JAFZA company formation

Company setup from AED 52,636

Registration from 2 weeks (Industrial licenses usually take longer)

Bank account Guaranteed

Residence visa for 2 years

Personal visit of the shareholder is required

Emirabiz experts’ opinion

JAFZA authorized partner

Is JAFZA suitable for your business?

— Yes, if you already have a medium or large business, especially in manufacturing, assembly, trading, import/export, or logistics.

• The cost of setting up a company in this free zone is relatively high, and it is worth entering only if you have a real need for large production spaces, warehouses, transport hubs, and ports.
• There is also a wide selection of modern offices in new buildings, commercial spaces, and exhibition halls.
• Jebel Ali Port is one of the largest and oldest in the UAE. Additionally, it is a major transportation hub in the country.
• Also, it has an in-house customs area, which allows for cheaper and faster cargo clearance.

An alternative to JAFZA is RAKEZ as it also has all the facilities for manufacturing and logistics businesses (land, warehouses, sea port) but the cost is lower.

— No, if you have a small company or startup due to the high registration costs and the limited number of small offices and coworking spaces (flex-desks). For these purposes, we recommend other free zones, such as IFZA or DMCC.

JAFZA company formation process

Business setup at the Jebel Ali Free Zone can vary from 3 to 14 work days starting from the date of submission of all the required documents. It depends on the business activity and the type of facility that you choose. JAFZA company setup can be started without your presence, but you will need to make a visit to the free zone when the documents of your company are generated.

Company formation types in JAFZA include FZEs (Free Zone Establishments), FZCs (Free Zone Companies), PLCs (Publicly Listed Companies), branches of both local and foreign companies, and offshore companies with no limit to the maximum number of shareholders.

Here is the list of basic documents for JAFZA company registration that you will need to submit to the business registration authorities:

• Application form
• Brief project summary (1 page is sufficient)
• Passport copy
• Company name options
• Business activities

Company registration procedure in JAFZA

1. Choose the legal entity and license type for your future free zone business based on your needs in terms of business model, business activities, number of shareholders, etc.
2. Prepare the required documents in accordance with the free zone regulations, submit them together with a filled-out application, and pay the fees. 
3. Sign the lease contract for the free zone premises. Submit the contract to the JAFZA authorities as well.
4. Once your application is approved, receive your company’s incorporation documents.
5. Undergo a medical checkup and apply for a residence visa.
6. When the visa is issued, wait for your Emirates ID card.
7. Apply for a corporate bank account in the UAE banks. In some cases, the bank’s approval may take a month.
8. Receive the account details and start running your business in the UAE.

JAFZA license cost

Here is the list of JAFZA licenses and associated fees:

Other fees associated with company registration at JAFZA include:

Apart from the above-mentioned costs, it includes name approval fees, attestation of documents costs, establishment card fees, and several others. The cheapest company setup package in JAFZA will cost about 52,636 AED.

The overall JAFZA business setup costs are seemingly higher than those in many other free zones, but this is compensated by the provided advantages and opportunities.

JAFZA licenses and business activities

The category of your license can be different based on the type of your business setup in the UAE. JAFZA company formation is highly recommended for those who are planning to deal with international trading, distribution, or logistics sectors.

Here is a table with licenses offered by JAFZA:

The Trading license has 3 types. They differ depending on the number of activities you can have under the license:

• Type 1: up to 7 activities from the same group
• Type 2: up to 12 activities from two groups
• Type 3: no restrictions on the number of activities from 3 or more groups

Type 3 license in Trading essentially constitutes the General Trading license. Adding an extra activity to any type of license will cost AED 500.

Licenses at Jebel Ali Free Zone license can be obtained for a variety of business activities.

JAFZA’s activity list is vast, with 335 activity groups divided into license categories. It should be noted that the Industrial license also mandates having a warehouse and a production plant inside JAFZA.

JAFZA facilities

Company formation at Jebel Ali Free Zone is suitable for many business types and activities due to the extensive choice of available facilities. JAFZA provides an array of ready-to-use or customizable premises for work, storage, and staff accommodations as well as land plots suitable for development and logistic facilities for cargo shipping.

In JAFZA, it is mandatory to have a premise within the free zone, as it requires having a lease agreement in time for company setup. One of the smallest available offices is 26.88 sq. m with an annual rent of 53,670 AED.

It should be noted that the number of visas available for a company setup is directly tied to the floor space of the leased premises.

Note that the minimum available facility for Jebel Ali Free Zone company setup is a workstation (5-7 sq.m.) eligible for 2 visas. If you are planning to start your business here, you should consider an office space right away.

JAFZA company license renewal

In order to execute company renewal at JAFZA, you need to pay:

• License fees
• Office (facility) fees
• Establishment card costs

Renewal of Jebel Ali Free Zone license costs the same as JAFZA company registration.

The company renewal can be done without visiting the Jebel Ali Free Zone.

You need to provide your company’s audit report at the time of company renewal. Audit can be done through any UAE licensed and accredited auditing company.

A license can be renewed for 3 years for companies having a plot of land and a sublease facility.

JAFZA company amendments and regulations

Most of the amendments of your JAFZA company can be processed without a personal visit to the free zone.

Such amendments include:

• change of name (personal and corporate)
• business activity
• change of manager/director, etc.

For the share transfer procedure, you will be required to visit the free zone. Otherwise, it can be done by a person holding a notarized Power of Attorney.

JAFZA company liquidation

The liquidation procedure requires the personal presence of the owner or it can be done by the Power of Attorney holder.

The free zone will request you to return the original documents and pay the liquidation fee. The license cancellation fee will be around 2,000 AED.

Company liquidation will take approximately 1 month. JAFZA company register will provide you with a certificate of liquidation upon completion of the procedure.

About JAFZA

Jebel Ali Free Zone (JAFZA) is the oldest free zone in the UAE. It was founded in 1985 and is currently the largest free zone in Dubai attracting immense foreign investments.

It has become home to more than 9,500 international and local companies including factories and logistics firms, manufacturing plants and assembling units, and the overall annual trade value generated by these companies exceeds $100 billion.

Jebel Ali Free Zone has direct access to Jebel Ali Sea Port (Port Jebel Ali) and Al Maktoum International Airport (also known as Dubai World Central), which adds to its global connectivity. JAFZA is also the primary free zone of DP World, one of the world’s major logistics companies and port operators.

It has a single customs area, which helps to reduce cargo clearance time and costs.

Shipping, logistics, and trading companies are often based in this free zone. If you are intending to implement such a business setup in Dubai, JAFZA has a lot to offer you:

Logistic Corridor

By sea: Port Jebel Ali has one of the best global ocean connectivities. It serves over 150 shipping lines capable of handling over 19 million containers per year.

By air: Al Maktoum International Airport is considered one of the largest cargo airports around the globe.

By land: The UAE region is fully equipped with an extensive highway link. It makes the cargo travel fast and safely in Dubai and between the emirates.

By rail: Etihad Rail, UAE’s national rail project, is currently under construction. Once completed, its second stage is going to link JAFZA to the entire Arabian Peninsula.

JAFZA residence visas

Like any other Dubai free zone, JAFZA makes your company eligible for resident visas. You will be entitled to 1 resident visa per every 10 sq. m of office space you have.

JAFZA visa costs

The visas are valid for 2 years.

Health insurance is required in this free zone. The cheapest package you can get is 600-800 AED. Health insurance needs to be renewed annually.