Establishing a company in Ajman Free Zone

Establishing a company in the Ajman Free Zone offers a golden opportunity for entrepreneurs and investors who want to benefit from a flexible and supportive investment environment. Ajman is strategically located in the heart of the United Arab Emirates, making it an ideal destination for companies seeking to access local and regional markets easily. Ajman Free Zone offers a wide range of benefits that make it attractive to businesses of all sizes and sectors.

One of the most notable advantages of establishing a company in the Ajman Free Zone is full tax exemption on income and profits for up to 50 years, providing companies with the opportunity to achieve greater profits and raise capital. In addition, the free zone provides an environment free of bureaucratic complications, where companies can obtain the necessary licenses quickly and easily, allowing them to start operating in record time.

Other facilities offered by the Ajman Free Zone include providing advanced infrastructure that includes modern offices, warehouses and industrial facilities equipped with the latest technology. The free zone also provides integrated support services, including legal and administrative consultations, in addition to logistical support, shipping and storage services.

Establishing a company in Ajman Free Zone

Steps to establish a company in Ajman Free Zone

Establishing a company in Ajman Free Zone requires following specific steps to ensure compliance with local procedures and laws. Here are the basic steps to establish a company in Ajman Free Zone:

1. Choosing a business activity: Determine the type of business activity you want to practice, whether it is commercial, industrial, or service, as this step will affect the type of license you need.
2. Choose a company type: Choose the company type that best suits your needs, such as a limited liability company (LLC), subsidiary, or representative office.
3. Submitting the application: Submit the incorporation application to the Ajman Free Zone Authority. This includes filling out the required form and submitting basic documents such as a passport and a copy of the signatures of directors and shareholders.
4. Initial approval: After submitting the application, you will obtain initial approval from the free zone authority. You must then fulfill the remaining requirements and obtain the necessary approvals.
5. Preparing legal documents: Preparing and submitting the required legal documents such as the company’s articles of association and articles of association. You may need legal advice to ensure the accuracy of the documents.
6. Choosing a company location: Choose a location for your office or facility within the Ajman Free Zone. You can take advantage of available facilities such as ready-made offices or industrial lands.
7. Registration and payment: Register the company in the commercial registry of Ajman Free Zone and pay the required fees. You will receive a company registration certificate after completing this step.
8. Obtaining a commercial license: After registration, apply for a commercial license that allows you to conduct business activity legally. This procedure includes submitting the required documents and paying fees.
9. Open a bank account: Open a bank account in the company’s name at a local bank. You will need to provide a copy of your registration certificate and business license.
10. Employment and visa application: If you plan to hire employees, submit applications for employee visas and work permits.
11. Compliance with subsequent procedures: Ensure compliance with all subsequent procedures such as social security registration and compliance with local laws and regulations.

Costs of establishing a company in Ajman Free Zone

Establishing a company in the Ajman Free Zone includes a variety of costs that must be taken into consideration. These costs vary based on several factors such as the type of company, its size, and the type of business activity. Here is an overview of the steps and costs associated with each step:

• Registration and establishment fees: These include administrative fees and the costs of submitting initial applications to register the company in the free zone.
• Trade license fees: This includes the cost of obtaining a commercial license that allows the company to operate legally within the free zone.
• Office or space rental: The cost of renting office or industrial space within the free zone, which may vary depending on the size of the space and location.
• Accommodation and visa fees: Includes the costs of obtaining residence visas for company founders and foreign employees.
• Approvals and permits fees: These relate to the costs associated with obtaining the necessary approvals and permits from the competent authorities according to the type of commercial activity.
• Legal services fees: Includes the costs of legal consultations and services to ensure compliance with all local laws and regulations.
• Professional services costs: may include accounting, auditing, financial and administrative consulting costs.
• Bank establishment fees: The costs of opening a company bank account in a local bank, which may require administrative fees.
• Insurances: The cost of various insurances, such as employee health insurance and accident insurance.
• Facilities and services costs: These relate to the costs of electricity, water, internet, and other services needed to operate the company.
• Annual Renewal Fee: Business license renewal costs, office space, and other annual costs associated with maintaining a company’s legal status.

Benefits of free zones in Ajman

Free zones in Ajman provide a range of benefits that make them a preferred destination for companies and investors, including:

• Full tax exemptions: Companies in free zones enjoy complete exemption from taxes on profits for specified periods of time, which reduces operational costs and increases the company’s profitability.
• Facilities for foreign ownership: Full ownership by foreigners is permitted in companies registered in free zones, which attracts foreign investors looking for investment opportunities in the Emirates.
• Easy bureaucratic procedures: Ajman free zones provide quick and simple establishment and registration procedures, which reduces administrative red tape and speeds up the process of starting a business.
• Advanced infrastructure: Ajman free zones include advanced infrastructure that includes modern facilities for offices, warehouses and logistics services, which makes it easier for companies to organize their activities with high efficiency.
• Access to regional and global markets: Ajman is located close to Khalifa Port and international airports, making it easier for companies to access regional and global markets effectively.
• Government support and service facilities: The UAE government provides great support to companies located in the free zones, in addition to providing a wide range of service facilities such as maintenance, security, and logistics services.

Strategies to attract investment to the Ajman Free Zone

To attract investment to the Ajman Free Zone, several strategies can be followed that contribute to making it a preferred destination for companies and investors. Here are some key strategies:

1. Encouraging advanced infrastructure: Investing in infrastructure such as roads, ports, airports, and communications, to provide a suitable and attractive environment for companies.
2. Providing financial and tax incentives: Offering financial incentives, such as tax exemptions, and reductions in registration and licensing fees, to attract new companies and encourage them to grow in the region.
3. Facilitating administrative procedures: Simplifying bureaucratic procedures and accelerating transaction processing to provide an easy and convenient business environment for investors.
4. Providing support and assistance to startups: Providing integrated support to startups, small and medium-sized companies, such as assistance with financing, training, and technical consultations.
5. Promoting vocational education and training: Providing advanced educational and training programs that meet the needs of the local and international labor market, which increases the region’s attractiveness for companies looking for specialized skills.
6. International promotion and marketing: Conduct internationally targeted marketing campaigns to promote the advantages of the Ajman Free Zone and attract investors and companies from around the world.
7. Developing strategic economic sectors: Focus on developing strategic economic sectors such as technology, light industries, financial services, tourism, and e-commerce, to enhance economic diversification and attract a wide range of investments.
8. Benefiting from successful experiences and strategic partnerships: Benefiting from successful experiences in other free zones and developing strategic partnerships with international institutions to support innovation and economic growth.

At the conclusion of this article, we can conclude that establishing a company in a free zone is a strategic and promising step for individuals and companies wishing to take advantage of the business opportunities available in the emirate. Ajman free zones are characterized by many advantages and privileges that make them an ideal destination for investors.

One of the most important advantages provided by the free zones in Ajman is commercial and investment freedom, as investors enjoy great freedom to establish and manage their companies with flexibility and promotion, without the need for a local partner or specific capital. Free zones also provide an advanced commercial environment and advanced infrastructure, which facilitates import and export operations and promotes growth and expansion.

The most important frequently asked questions about establishing a company in the Ajman Free Zone