Dubai Cars and Automotive City were established in April 2000 with an aim to re-export used cars to the Asian and African markets. Also known as DUCAMZ, it is located in Ras Al Khor and has an easy access to the regional airport and seaport, including Dubai International Airport and the Jebel Ali Port as well as modern highways which link the Middle East countries. The total size of this free zone is 8 million sq. ft, making DUCAMZ free zone the largest free zone of its kind. They offer comprehensive infrastructure to meet the high demands in the automotive industry, providing competent highway connectivity and boosting all mod cons necessary to relocate cars within and outside the region.
The vehicles sold by DUCAMZ are divided into 2 categories:
- Left-hand drive vehicles to be exported to the local markets and fall under the regulations of the UAE
- Right-hand drive vehicles dedicated to African countries mostly
Benefits of Setting Up a Business in DUCAMZ
- 100% foreign ownership
- 100% repatriation of capital and profits
- No restriction on the number of imported cars
- Economical freight charges
- Availability of skilled workforce
- No personal income and corporate tax for 50 years
- No currency restrictions
- Attractive work environment
- Hassle-free clearance from Police (traffic department), Customs, Port and Bank
- Excellent support services from Dubai Ports Authority and other service institutions such as Shipping, Insurance, Banking, Automobile Workshops and Restaurants
Company Formation in DUCAMZ
Free Zone Company
One can choose to form a free zone company in DUCAMZ, which can have multiple shareholders with a minimum of 2 and maximum 5 as the limit. The minimum capital requirement is AED 100,000.
How to Set Up a Business in DUCAMZ?
The activities permitted for companies operating in the Dubai Cars and Automotive City Free Zone are related to trading and selling vehicles. In order to start a business in the DUCAMZ free zone, one must have a valid license, and to get the license, one has to apply for the same to the authorities. In DUCAMZ free zone, a valid trade license is a trading license which is issued within 2-4 weeks. There is a certain procedure to apply for a trade license to the authorities. It is as follows:
Procedure to Set Up a Business in DUCAMZ
Jebel Ali free zone authorities administer the Dubai Car and Automotive City Free Zone. They have made the registration process simple by putting the administrative office in a central location. The intention of the authority is to promote investment and business formation in the zone with a simplified procedure.
- Fill the form and submit the application for initial approval
- Submit the legal documents for registration of the company
- Sign and return customer confirmation letter, and make payment
- Sign the Memorandum and Articles of Association (MAA)
- Deposit the share capital
- Sign the lease and personnel sponsorship agreement
Documents to Set Up a Business in DUCAMZ
- A trade name must be registered and proof presented
- Before starting business formation activities, the applicant must receive initial approval
- A Memorandum of Association and/or Articles of Association for corporate shareholder/applicants must be provided. This must be notarized by the UAE Embassy in the country of origin
- A resolution from the Board of Directors of corporate shareholder/applicants indicating the intent to establish a new business in Dubai
- Certificates of registration for the corporate shareholder/applicants from the Registrar of Companies in the origin country
- The individual shareholders must provide the passport copies
- Managers must provide their passport copies and CVs
- The physical address of each corporate shareholder/applicant must be provided
- Personal Information Sheets must be completed for each individual shareholder and manager
- Suitable space for the business must be leased, and document provided
Why Set Up a Business in DUCAMZ?
Company formation in Dubai Cars and Automotive free zone provides an excellent network, not just through transportation but also in terms of channeling with other automobile industries. They have national and global companies set up in the free zone providing an advantage to the investors who are interested in the same field. DUCAMZ displays an array of renowned brands such as Al Tayer Motors, Luxury Motors Limited, Heewad Motors, Al Habib Motors, Al Meezan Motors, and other related enterprises. They also provide additional facilities along with the aforementioned benefits, like:
- Offices spaces
The important function of Dubai Car and Automobile City is to influence several automobile production companies to get into re-exporting, including buyers, sellers, traders, and more. Thus, if you are willing to create an enterprise in the automobile industry, DUCAMZ free zone is the right option for you. But before taking any step to set up a business in Dubai free zone, the first port of call should always be to consult a company setup expert, who can guide you through every part of the application, ultimately ensuring the entire process requires little more than a few hours of your time. If you are looking for a consultant for the same then, we at Commitbiz we do not only offer to answer your question of ‘how to start a business in Dubai?’ but to also make it happen. Our staff will study your requirements and cater to your needs. Even more, we provide services that can assist you in having your business grow further. Contact us today, even it’s for a friendly advice.