START BUSINESS IN UAE FREE ZONES

Fujairah Free Zone

Fujairah Free Zone overview

Fujairah free zone is one of the oldest UAE free zones. It is situated in the Fujairah Emirate adjacent to Fujairah Port.

The free zone focuses on industrial and maritime activities. A lot of heavy industrial and mining companies are located there.

It also has branches of all large petroleum companies in the region due to the convenient location of Fujairah port with the exit directly to the Indian ocean.

Fujairah free zone company setup is one of the preferred choices of the companies that are planning to operate in Fujairah Emirate. It has the biggest oil storage in the GCC area.

Business setup in Fujairah offices and warehouses

Fujairah offers extensive range of facilities for your business. It has ready-to-move offices, warehouses and plots of land for long term lease.

A small company can rent a flexi-desk a desk in a shared office in the premises of the free zone.

Small offices start from 20 sq meters. They can be combined to make a bigger office for your company if you need to.

Warehouses start from 230 sq meters.

The land lease is 20 AED per sq meter.

Fujairah free zone license activities

Company formation in Fujairah can be done for multiple activities, including a lot of specific activities that cannot be found in other free zones:

  • Maritime license
  • Alcohol trading
  • Tobacco trading
  • Real estate consultancy
  • Financial consultancy
  • E-commerce
  • Logistics Trading / consultancy in oil and petroleum products sector

There are certain license types that cannot be issued in Fujairah Free Zone such as: ship agency, marine consultancy, ship building and repair, ship chandler.

Fujairah free zone license cost

Fees of Fujairah free zone start with 21,500 AED for a zero visa license with a virtual office. There is a refundable deposit of 5,000 AED as well.

Certain business activities have higher costs due to their nature. For example, alcohol trading license costs 50,000 AED. On top of that a deposit of another 50,000 AED will be required.

Fujairah free zone company formation

Company registration in Fujairah free zone is done quickly. The license and other corporate documents will be issued on the day of application.

We recommend to contact a business setup company in Dubai before the incorporation in order to run name check and activity check. The same company can accompany you to the free zone to finish the formalities quickly.

Personal visit of the shareholder is mandatory, but if you cannot come, you can issue a Power of Attorney to your business advisors to represent you in the free zone.

Fujairah is the most remote Emirate from Dubai. The trip to the free zone will take about 2 hours. Keep it in mind when you are planning your Fujairah free zone business setup.

Fujairah free zone visa cost

Fujairah free zone visa fee is 3,460 AED.

Entry visa is usually issued within 3-4 days. After that medical check and Emirates ID application need to be done.

UAE residence visa stamping can be done in 2 working days.

Health insurance is not required for visas processing.

Fujairah company renewal

Renewal of the company in Fujairah zone is easy and straightforward. It can be done within 1 day. The fees will be less than the costs of the initial setup.

All renewals in this free zone take place in January. So if you incorporate your company in October, you will pay the license fees until the end of the calendar year and then renew your license for the next year in January.

Zero visa company renewal will be 16,200 AED.

Audit is not required in the first year, but the free zone will ask for it after the second year of operations is completed.

If you had no business all that time, you can negotiate the audit submission with the free zone in order to waive it.

Company amendments

Corporate amendments of the company generally include:

  • Shares transfer
  • Change of Director
  • Change of Manager
  • Activity amendments

Most of them have to be done personally by the shareholders.

Fujairah company liquidation

In the event of company liquidation you need to give a 5-6 months notice to the free zone authority. It can be done by an email from your registered mail ID.

You will need to do the following:

  • Return all original corporate documents
  • Close corporate bank account and get clearance
  • Do final audit
  • Pay the fees for the cancellation

The government fee for license cancellation will be 1,500 AED.

Expert opinion

Fujairah Free Zone is a great place for registration of businesses with activities related to petroleum, maritime sector, heavy industry and manufacturing.

If you are planning to carry out your business in the Emirate of Fujairah, it is one of the best places to base your business.

If you are going to conduct a more conventional activity, you may also check alternative options of company registration in Dubai or other nearby Emirates.

BENEFITS OF FUJAIRAH FREE ZONE COMPANY

START YOUR BUSINESS IN FUJAIRAH FZ TODAY

Top 10 questions about Fujairah free zone company

  • If l register a company in a free zone outside of Dubai, can l live and have a bank account in Dubai?

    Yes, you can have a company registered outside Dubai, but reside in Dubai or any other Emirate. You do not have to live in the same Emirate where your visa belongs to. You can also have a bank account in a Dubai branch of any UAE bank of your choice.

  • Can I open a bank account remotely?

    No, you have to visit UAE personally. It is a requirement of a UAE Central bank which all local banks have to follow. Personal visit is required to make sure that the client is known by the bank.

  • Do banks give debit and credit cards or loans?

    Normally you can get a debit card for your newly opened company if there is only one shareholder. You can also have a credit card, but it will be given against a fixed deposit. As for the loan, it is possible to get it, but you need to show company operations and profits to the bank. Upon checking your company's turnovers and profits, a bank may approve a loan. We recommend applying for it at least after one year of company's operations.

  • Can a free zone company hold its offices outside the free zone?

    Officially an office of a free zone company has to be located only within the free zone where this company was registered. If you need an office in Dubai, you have an option to rent a space in a Business center and use it either a few times per month or daily, depending on the package that you choose. However, the free zone minimum required space (flexi desk) cannot be cancelled.

  • Why do I need a flexi desk or office?

    A flexi desk is an obligatory requirement for any company eligible for resident visas. UAE government obliges to have it because it's the minimum physical office space, that a company who has any individual under its visa must have. Apart from that, flexi desk is helpful for bank account opening. The compliance department of the banks needs to see that a company has some kind of office or at least a small physical seat, where it can be working from.

  • Do we have to pay VAT if our company is registered in the Free Zone?

    VAT obligations of the company depend not only on the place of its registration, but on the place where its business takes place. To start with, VAT comes into picture once your taxable turnover reaches 375 000 AED. Taxable turnover means the turnover which was done in the UAE. If your company is registered in a Free Zone, but the trading takes place abroad (for example you sell goods from India to Africa), that turnover is not considered taxable, because the transactions are taking place out of UAE. It means that you do not have to pay VAT. But if you have a free zone company and import goods to UAE, you have to add 5% VAT to your Invoices and pay VAT. If your company is registered in a designated free and sells the goods to another designated free zone or within the same zone, VAT does not appear.

  • Should I pay any other TAX?

    UAE is free from income tax and corporate tax. It has only imported tax 5% for the goods that you bring into the country and VAT 5% for the trading or service transactions that happened in UAE.

  • Why will a free zone company suit me better than an offshore or a mainland entity?

    Everything depends on your business model and requirements, but a free zone setup is the most suitable for the majority of the business needs. Free Zone company has 100% foreign ownership unlike mainland where you need a local partner or agent, it can be eligible for resident visas, allows doing business both in and out of UAE, more favorable by the banks in comparison to offshore companies, can have a flexi desk space instead of an executive office like in mainland companies. Free Zone is a good way to start a business for reasonable fees and without unwanted obligations.

  • Can you guarantee opening of a bank account?

    We do our best when we setup your company in such a way that would make account opening easier for you. Knowing your background and your business model, we can give you our estimation about the chances of successful account opening. The approval of the account fully depends on the bank. Each case goes to a few departments of the bank where it has to be approved before the account gets opened. If the bank has any questions or needs clarifications, it will contact you directly with the inquiries. The more clear picture about your business you give to the bank, the higher your chances of account opening are. Being a consultancy company, we cannot guarantee opening of a bank account, because it depends on the factors which do not depend on us. However, we do our best to prepare you and your company for smooth and fast account opening.

  • Should I renew my company? When? How much does it cost?

    Yes, the company should be renewed annually. The cost of the renewal is usually less than the setup cost. It depends on your company package. You can get the price by downloading the Estimate from this page. Renewal does not require personal presence of the owner and can be done by your agent. After company renewal, the new license has to be shown to the bank in order to extend the bank account. It is always included into our renewal service.

GET FREE ADVISE

  • SEND US
    your contact details

  • WE CONTACT YOU WITHIN 3 HOURS
    to arrange a consultation – personal or remote (by Skype or phone)

  • 30 mins
    FREE CONSULTATION

  • BEST SOLUTION
    in your hands

HOW CAN WE CONTACT YOU?