How to Set Up a Company in Fujairah Free Zone?

by Zaara 19, Jul 2018

Set Up a Company in Fujairah Free Zone?

Fujairah free zone, although a lesser know, is on its way to embark itself as one of the promising hub for business setup in the UAE.

Being located at a strategic position, Fujairah acts as a multipurpose port and UAE’s only access to the Indian Ocean. The emirate covers an area of 1,166 square kilometres and positions itself among the top three bunkering locations in the world. Moreover, it is a hub of tourism as it holds beaches and the Hajar Mountains. The core economic activities embrace fishing and agriculture. The city is heading towards becoming a modern industrious city and is focusing on Fujairah 2040.

Fujairah Free Zone Authority (FFZA)

The economy in UAE is booming at a very fast pace for a few years. Be it Abu Dhabi or Dubai, or Ajman, each emirate is arising in its own sector and trying to be an investment magnet. Fujairah has also taken a step forward and came up with Fujairah Free Zone (FFZA) which was established in the year 2005, with an aim of developing the emirate as an investment hub.  It believes in connecting the dots ACE – Accessibility, Connectivity, and Economy.

Fujairah Free Zone Company Types

Fujairah International Airport, FFZA, provides expansive opportunities for different businesses.  As we know that Fujairah serves as a free zone, let’s have a look at the different Fujairah Free Zone Companies that can be established here:

  1. Branch of a Foreign Company (including offshore)
  2. Branch of a UAE Company
  3. Free Zone Establishment (FZE)
  4. Free Zone Company (FZC)

Fujairah Free Zone Business Sectors

Fujairah widens the business scope for more than 200 different business sectors. Few of the main sectors of operation include:

  • Information and Technology
  • Textile Industry
  • Gold Industry
  • Recycling Business
  • Perfumes and Plastics
  • Trading Sector
  • Service Sector

Types of Licenses Offered in Fujairah Free Zone

Before you even decide on Fujairah free zone company setup, you must be clear about the business activities that will be carried out by your firm. Depending on the different business activities, different trade licenses are offered. Let’s have a look at the different Fujairah free zone license available:

  • Normal Trading License
  • General Trading License
  • Professional License
  • Industrial License
  • National Industrial License
  • Warehousing License
  • Consultancy/Service License

Fujairah Free Zone license cost comes at a very minimal cost of AED 5,000. It also provides special licenses if a foreign investor wants to engage in industries like petrochemical, education, oil, investments, etc.

Benefits of Business Setup in Fujairah Free Zone Authority

Being a trade free zone, Fujairah attracts foreign investments from every corner of the world. The zone provides a wide range of benefits such as:

1. Lowest Setup Cost

Establishment of a company requires huge capital. This statement has been proven wrong by Fujairah. Fujairah creative free zone provides the flexibility of setting up a business at a very low cost starting from AED 5,000.

2. 100% Tax Exemption

Tax is a headache that any business goes through. It becomes an obstacle in business establishment or expansion. In Fujairah, you don’t need to pay tax. This act as a blessing for foreign investors and relieves them from the heavy burden of tax payment.

3. Physical Presence

Technology plays a key role at this point as it gave birth to the concept of a virtual office. Physical presence is not mandated to incorporate a company in Fujairah. For foreign investors, No Objection Certificate (NOC) is not required.

4. Fast Process

Thanks to the easy application process, company documentation and business license can be acquired within 7 days in Fujairah Free Zone.

5. 100% Repatriation of Capital and Profits

This becomes another plus point that provides the flexibility to foreign investors to repatriate all the investments and profits earned during the business tenure.

6. Multiple Residency Visas

In Fujairah Free Zone, there is no requirement of leasing a physical office up to 6 UAE residency visas.

Documents Required for Fujairah Free Zone Company Setup

To begin the process of company incorporation, there is a mandate to provide certain documents that act as proof and suffice the legal process. Documents required for Fujairah Free Zone company registration includes:

  • Certified passport copy and UAE visa entry stamp
  • 2 copies of proof of address
  • Bank reference letter
  • Shareholders’ CV
  • Company application form

Creative City Fujairah

The growth of Fujairah has not been restricted to core business industries. On the other side of the coin, Fujairah Creative City free zone was initiated in the year 2007, to provide a platform to the ideas of the mind, creativity. Creative zone Fujairah provokes startups, established businesses working under the broad spectrum of the media industry. The industry comprises media, events, education, communicating and marketing, design, technology.

International Free Zone Authority (IFZA) Fujairah

IFZA Fujairah is a new kid in the town. It is set to quickly become a leading investment hub within the thriving UAE economy. It is strategically situated within one of the dynamic getaways of the UAE. IFZA provides local and international businesses the ideal platforms, infrastructure and location that optimize the benefits of the UAE’s strategic geographic position, world-class infrastructure and business- and tax-friendly environment.

Fujairah 2040

Unlike Dubai 2021, the Ministry of United Arab Emirates has set a goal for this emirate as well. The Fujairah 2040 plan is a master plan prepared to uplift the emirate’s economy to a tremendous extent. One of the main reasons behind setting this plan is that by the year 2040, the emirate population is expected to exceed by half a plan. Imagine the business opportunities that it holds for the future. The plan focuses on enhancing housing, transportation, hospitality, oil, and marine services.

Industry Highlights

July 2018

  • The Ministry of Infrastructure Development would be undertaking the construction of 3 main roads in Fujairah, Kalba, and Khorfakkan to increase the speed of connectivity with other six emirates.

June 2018

  • Dubai Investments announced the Fujairah Business Center Project to be completed by the end of 2020.
  • The Ministry of Climate Change and Environment (MoCCAE), Fujairah Center for Adventures, signed an MoU to build the largest coal garden in the world.
  • St. George’s University, Grenada, signs an MoU with the Government of Fujairah to expand the potential of the education industry.

On the whole, we can say that Fujairah is emerging by leaps and bounds. The Ministry of United Arab Emirates has been a constant support and is focusing on multiple aspects and trying to develop the emirate as a business destination. We can say that Fujairah has opened large options for business activities in different business categories. Do you have an out of the box business idea?  Do you want to see your business growing like Fujairah? Want to establish your business in the future business city? To understand how you need to get in touch with a business consultant expert who can answer all your queries. Commitbiz Management Consultants is a business consulting firm to guide you and answer your queries. To get your answers, do contact us – we’d be happy to answer your queries and glad to help you up with Fujairah free zone business setup.

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