Many expats flock to open a business in a free zone in the UAE due to advantages like 100% ownership and complete tax exemption. Apart from Dubai and Abu Dhabi, business setup in Sharjah free zone is catching the eyes of investors around the globe. Setting up a business in Hamriyah Free Zone in Sharjah is one of the best and cheapest options in the UAE. Hamriyah Free Zone Authority (HFZA) was established by an Emiree Decree in November 1995. HFZA is becoming one of the cornerstones of the United Arab Emirates industrial development. The zone has provided competitive incentives and unique opportunities to investors to establish a business in a tax-free environment. The free zone manages an area of approximately 22 million square meters of prime industrial and commercial land and a 14-meter deep Hamriyah port, which has scope for expansion. Hamriyah Free Zone is playing a prominent role as the pre-eminent industrial base of the UAE, with its unique strategic location between 3 continents, serving a growing market of 1.5 billion people.
Types of Entities in Hamriyah Free Zone
- Free Zone Establishment (FZE): Entity with 1 shareholder
- Free Zone Company (FZC): Entity with 2 to 5 shareholders
- Branch of a Foreign Company
- Branch of a Local Company
Zones in Hamriyah Free Zone
- Hamriyah SME Zone
- Hamriyah Logistic Village
- Hamriyah MB Zone
- Hamriyah Industrial Zone
Key Benefits of Setting Up a Business in Hamriyah Free Zone
- 100% foreign ownership
- 100% repatriation of capital and profits
- No customs duty
- No currency restriction
- Affordable cost of living
- Abundant and reasonably priced energy
- Exclusively designed and furnished executive office suites
- Land lease for 25 years, renewable for another 25 years
- Pre-built warehouse and office units for lease
- Liberty for personnel recruitment and economical workforce
How to Set Up a Business in Hamriyah Free Zone?
For more than 2 decades, Hamriyah Free Zone has been continuously contributing to the economy of the UAE. At this zone, a large emphasis is put on nurturing the small and medium-sized enterprises (SMEs). The process to set up a business in Hamriyah Free Zone is just like the process in any of the other free zones, with more or less the same documents required.
To start with the process, decide on the business activity you want to go about. Depending upon the same, you need to apply for an appropriate license. But before that, don’t forget to register your business at the free zone portal. After the documents are approved, which won’t take more than a week, you are good to go ahead and start your business.
Documents Required to Get a License in Hamriyah Free Zone
The following documents are required to acquire a license in HFZ:
- Passport copies of the shareholders
- Your visa copy, visit visa copy and UAE Entry page
- Online application signed by the shareholders
- Legal documents signed in front of the free zone authority
- Your passport size photo
- Name and activity approvals
The total cost of a Hamriyah Free Zone license estimated as:
|Type of License||License Cost in AED|
|General Trading License||15,000|
Why Set Up in Hamriyah Free Zone?
Hamriyah Free Zone Authority is continually trying to ensure that its management is flexible and dynamic, besides being an investment-oriented free zone. Like any other free zone, Hamriyah too goes through different challenges, but taking into consideration the global presence of Abu Dhabi and Dubai free zones, Hamriyah Free Zone in Sharjah is not behind in the race. It has invited many investors to its location for business setup.
The below list illustrates why investors are keen on establishing their company in this place.
1. 100% Foreign Ownership
There are places in the UAE where you need to have a local sponsor to start a business. Also, the local sponsor shall own 51% of the shares in the company. But in free zones, there is no such problem. An expat can have 100% ownership of his/her company.
As mentioned before, Hamriyah enjoys a strategic geographic location by being accessible via land, sea and air. Many investors find this beneficial, hence a good number of international companies situated in the free zone.
3. Tax Exemption
Another benefit of setting up business in Hamriyah Free Zone is tax exemption. Even if the value-added tax (VAT) has already been implemented in the country for some goods and services, corporate and income taxes are still not required to be paid to the government.
Hamriyah Free Zone enjoys many such leverages including access to the UAE and GCC markets. For any investor wanting to start a business in a foreign land, access to different markets is important, which is what Hamriyah provides. But in order to set up a business in the UAE, it is advisable to have a help of professional consultants to handle formalities and business support services. At Commitbiz, not only do we offer to answer your question of ‘how to start business in Sharjah?' 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.