Introduced in 2018, IFZA (the International Freezone Authority) has become one of the most popular free zones to set up a free zone company in the UAE, and for good reason. As the UAE shifts the country’s focus away from gas and oil, they’re investing heavily in other areas and encouraging entrepreneurs to invest in the country, and that’s clear with IFZA. IFZA offers businesses more than just a place to do business in one of the best cities in the world, it offers a creative, aspirational space where businesses succeed.
If you’re thinking about forming a business in the UAE, IFZA Dubai should be at the top of your consideration list – here are 10 reasons why:
10 Reasons Why You Should Choose IFZA for Your Company Formation
- It’s Time & Cost-Effective
The two biggest concerns when setting up a company in a UAE-free zone is the time and cost involved. IFZA Dubai offers fast, affordable company formation (starting at just AED 13,900), all of which can be implemented in Dubai. Other free zones are more expensive, often slower, and require more documentation from you prior to formation. As in other countries, there is an annual license fee, but the good news is that annual company renewal is also competitive, keeping your ongoing costs down. Costs related to getting residence visas are also generally lower here than in other free zones.
- High-Quality Service Standards
We at Global Success Consulting love IFZA as a free zone setup as we work with European partners here and high-quality standards are maintained. Many believe IFZA is the next big investment hub for international businesses, and the benefits and standards of service reflect their ambition to meet these expectations.
- Modern Infrastructure
IFZA enjoys all the modern amenities Dubai has to offer, a modern infrastructure, and you get your own flexi-desk or office in the free zone. IFZA’s state-of-the-art facilities will meet any new entrepreneur’s needs who can operate from an office. The free zone really is a hub of superior business activity that will allow you to make global connections.
IFZA offers foreigners to retain 100% ownership of their business, while many other areas require a native shareholder to have at least 50% ownership. You can also send all your profits to your home country, without any restrictions or requirements. It of course benefits from the generous tax benefits the UAE offers.
- Easy Reach of Downtown
IFZA is easy to reach from downtown Dubai, which means you don’t have much traveling to do and can access all the world-class opportunities in Dubai. IFZA Business Park is approximately a 20-minute drive from downtown (about 20km). Dubai is a multicultural city and the IFZA Business Park brings together business owners from all over the world.
Living in Dubai offers an incredibly high standard of living, with the majority of people experiencing prosperity. You can easily establish family life here, and once you’re established, you can sponsor your family’s visas.
- It’s Surprisingly Fast
Dubai being the most popular free zones, it naturally has more applications to process than other emirates when issuing work visas, but you’d be surprised how quickly they process applications. Urgent applications can be applied for as little as 1-3 days with IFZA as a part of our VIP service. You don’t need to be present to set up your company, and the approval process is also simpler (and more convenient) than in other free zones.
- Wide Range of Business Activity Options
IFZA offers a large pool of activities you can choose from; there are six license categories, which cover more than 1,000 business activities. This means you have plenty of room to grow and expand. The 6 license categories are:
- Trading License: this allows you to engage in e-commerce and retail activities, such as import and export of items specified on the license – this is the most versatile license because you can also engage in packaging and white-labeling/rebranding
- General Trading License: trade a wide range of items
- Industrial License: production, manufacture, packaging, and export – you can sell within the UAE with the help of a local service agent
- Holding License: hold assets such as real estate, patents, and trademarks
- Service License: allows you to provide services – you must demonstrate that you’re educated in the field, and they may request educational certificates or letters of recommendation – we can guide you here
IFZA is one of the only free zones in the UAE that allows you to combine up to 7 trading activities, services, and consulting under one license (though note they do need to be in related fields). Other free zones require you to have different licenses for trading and consulting, which can drive up costs or limit the ways in which you do business.
Choosing the right activities is crucial, as it will impact how successfully you can obtain a Corporate Account for your free zone company, so make sure you get proper incorporation advice from an expert in Dubai to help you choose the correct activities – we’re happy to guide you on this.
- Banks are Enthusiastic
When you incorporate a company in IFZA, opening a corporate bank account is incredibly easy. IFZA provides a long list of banks that are enthusiastic about new IFZA-incorporated businesses and will assist you in opening an account with them without hassle.
- Offers an LLC Structure
IFZA offers a Limited Liability Company (LLC) structure, which is one of the most popular types of company structure for businesses all over the world but isn’t offered by all free zones. If you want to operate under this type of structure, IFZA will be an ideal choice.
- You Can Upgrade Licenses Easily
How much IFZA company formation costs depends on the visa allocation to the company license, which ranges from 0 to 6. This means you can start with a lower visa allocation package and upgrade later, should you need to.
There’s no open directory of company ownership in IFZA Dubai, so you don’t need to worry about receiving unsolicited marketing materials or having your information disclosed to the public. If you are privacy conscious, this is particularly beneficial as you don’t need to find workarounds or risk your information being disclosed.
How do I get a residence visa through the formation of an IFZA company?
Getting your residence visa through the formation of an IFZA company is straightforward, but if you want it to be a stress-free process, it’s best to allow an experienced consultant to guide you through the process. Here’s a basic overview of the steps involved:
- Get your IFZA business license and apply for your company’s establishment card within the following week (5-7 days)
- Complete your visa application form and submit it to IFZA
- Pay the associated fees
- They’ll issue your visa and give you an appointment for your medical examination (this takes 2-3 working days)
- Get your medical exam and apply for your Emirates ID
- Once your medical exam results have been approved, go through the biometric scanning process
- Submit all the required documents to the IFZA office
- Within 10 days, your Emirates ID and visa will be ready
Dubai Company Formation with IFZA
You need a professional partner to help you set up your company with IFZA and get that all-important residence visa – without a consultant to guide you, you’ll struggle to take advantage of all the great benefits forming with IFZA offers.
We understand your needs and can assist you in the successful establishment of your company in Dubai, and have helped many people make the move to Dubai to enjoy the business and lifestyle benefits.
Many people are tempted to look only at the cost of formation, but here in Dubai, you need the assistance of a company formation consultant to successfully incorporate your company and get the necessary visas. There are cheap options available from companies outside Dubai, but cutting corners in this way nearly always leads to challenges down the road. Working with us means you have someone on the ground in Dubai who can help you at any stage in the process.
If you’re ready to start the formation of your company in Dubai, we’re here to guide you to success. We provide a range of packages that can either provide you with someone to lean on when you need them, or give you the uncompromising support of our team. Click here to find out more about how Global Success Consulting can help you take your next steps toward success.