Dubai Free Zones Guide: Dubai is one of the most important economic and commercial centers in the world, and is proud to provide a flexible investment environment full of opportunities. Among the many economic initiatives launched by Dubai, free zones are an effective tool for attracting national and foreign investments. Free zones provide an encouraging business environment that helps companies achieve success and rapid growth.

In this article, we will explore a comprehensive guide to free zones in Dubai, providing information on their benefits, different types, and how to benefit from them. We will talk about the advanced infrastructure and distinguished logistical services that these regions enjoy, in addition to the procedures and licenses necessary to establish companies there.

We will also explore the tax and customs benefits available in free zones, and how companies can benefit from them to enhance their profits and achieve competitiveness in the global market. We will highlight some of the main free zones in Dubai, such as Jebel Ali and Al Jaddaf, and review the features of each zone and the commercial sectors it is famous for.

Furthermore, we will provide practical advice to companies wishing to benefit from free zones in Dubai, including how to choose the appropriate zone, submit a license application, organize logistical operations, and employ skilled human resources.

In summary, this article will provide the reader with a comprehensive and concise guide to free zones in Dubai, and will be a valuable resource for companies and investors looking to benefit from Dubai’s thriving economic environment and achieve success in their businesses.

Guide to free zones in Dubai

Free zones in Dubai

Dubai is home to a large number of specialized free zones that provide an ideal environment for business and investment. These areas are characterized by government facilities and an encouraging business environment that make them an ideal destination for local and international companies. Here are some of the major free zones in Dubai:

Jebel Ali Free Zone:

It is considered one of the largest free zones in the world and is located on a large area in the suburbs of Dubai. Jebel Ali is an integrated area that includes industrial, commercial, logistical and service facilities. The region provides excellent infrastructure and advanced logistics services, offering advantages such as full foreign investment, easy customs clearance and fast shipping operations.

Al Jaddaf Area (Dubai South – DAFZA):

It is located in the modern southern district of Dubai and enjoys a strategic location near Al Maktoum International Airport. Al Jaddaf is an area specialized in logistics, technology and global trade. The region offers world-class facilities and attractive incentive programs such as tax breaks and fast-track licensing to attract international companies.

Dubai Investment Park:

This free zone provides an integrated environment for investments in the industrial, commercial and logistics sectors. Dubai Investments District is home to many major companies and provides modern facilities such as warehouses, factories and offices. It is distinguished by providing logistical services, advanced infrastructure, and its strategic location near Al Maktoum International Airport.

Dubai Technology and Innovation Free Zone (DTEC):

It is considered an ideal destination for emerging and innovative companies in the fields of technology and innovation. The region provides an encouraging environment for startups and provides the support and resources necessary to achieve success. It features co-working spaces, advanced technological facilities, and specialized educational and training events.

Dubai Airport Free Zone – DAFZA:

It is located in the heart of Dubai International Airport and is considered one of the oldest free zones in Dubai. The region provides a distinctive business environment for companies in the fields of logistics, technology and aviation. It has a developed infrastructure and provides banking, logistical and consulting services to its resident companies.

Dubai World Trade Free Zone (Dubai South Free Zone – DWC) :

It is located in the South Dubai area and is strategically located near Al Maktoum International Airport. It provides facilities to companies in various sectors including manufacturing, logistics and global trade.

Dubai Knowledge Park (DKP) and Dubai Media City (DMC )

DKP focuses on the educational and training sectors and includes educational institutes, universities and training centres. DMC specializes in media, advertising and media production and includes international and local media companies.

Dubai Technology and Media Free Zone (Dubai Technology and Media Free Zone – TECOM) :

Also known as Dubai Media District. It specializes in media and technology, and includes areas such as Dubai Internet City and Dubai Media City.

Dubai Energy and Environment Park – DEEP :

DEEP focuses on innovation in the fields of renewable energy and the environment. It is located near Al Maktoum International Airport and promotes innovation and development in the clean energy sectors.

These are some of the main free zones in Dubai, but there are more free zones and specialized areas in Dubai targeting different sectors such as food, financial and medical industries. These areas provide the opportunity for companies to benefit from government facilities and the encouraging investment environment in Dubai, which contributes to strengthening the local economy and attracting more investments and business.

How to invest in free zones in Dubai

To invest in free zones in Dubai, the following steps can be followed:

1. Research and Planning: Study the free zones available in Dubai and decide which zone suits the type of business you want to invest in. Check out the sectors supported by each free zone and the advantages of each.
2. Communicating with the competent authorities: Contact the specific free zone authority to obtain the necessary information about the procedures and requirements for investment in the zone. You can obtain this information by visiting the free zone’s official website, contacting by phone or email.
3. Preparing the required documents: Prepare all the necessary documents required to open the company in the free zone. This includes company documents, government permits, and necessary contracts.
4. Submit an application: Submit an application to obtain a license to open the company in the designated free zone. This may require steps such as filling out a registration application form and submitting required documents.
5. Review and Approval: The competent authority in the free zone will review your application and the documents submitted. If approved, you will receive a license to open the company.
6. Starting work: After obtaining the license, you can start working in the company in the free zone and benefit from the advantages and opportunities provided by the zone.

Conditions for investing in free zones in Dubai

To invest in free zones in Dubai , there are usually specific conditions that must be complied with. Here are some general terms that may apply:

• Type of company: The company to be established must be within the framework of activities permitted within the free zone. These areas are usually specialized in certain activities such as logistics, manufacturing, technology, travel and tourism, aviation, medicine, and others.
• Capital: There may be special requirements regarding the capital required to establish the company in the free zone, and this varies depending on the type of company and its activity.
• Licenses and Permits: Some activities may require obtaining special licenses and permits from local authorities in the free zone.
• Local Partnership: In some cases, foreign companies may have to partner with a local partner in the free zone, and this varies depending on the type of company and local laws.
• Taxes: Investors should ensure that they comply with local and international tax legislation applicable in the free zone.
• Labor Conditions: There may be special conditions for foreign workers, employment contracts and salaries in the free zone.
• Other Government Regulations and Laws: You must comply with all other government regulations and laws that apply in the Free Zone.

Investment costs in free zones in Dubai

Investment costs in Dubai free zones consist of several factors and change based on the type of business activity, company size, and the specific free zone. Here are some items that can affect costs:

• Registration and license fees: These fees include the costs of registering the company and obtaining the necessary licenses to conduct business activity in the free zone.
• Required Capital: Some free zones may require a specific initial capital which varies based on the type of business activity.
• Real estate and rental costs: The costs associated with renting or purchasing property in the free zone may be one of the most significant costs. These costs depend on the size and location of the space needed by the project.
• Labor and operating costs: These costs include employee salaries, social benefits, insurance costs, training, and supplies necessary to operate the company.
• Additional administrative and financial costs: These costs may include bank fees, accounting and auditing costs, advertising and marketing, and travel and accommodation costs if necessary.
• Logistics and supply costs: These costs may include shipping costs, customs clearance, warehousing, and other logistics services needed to operate the company.

Free zones in Dubai

Establishing a company in the free zones in Dubai

Establishing a company in Dubai’s free zones can be a relatively simple process, but it requires compliance with many procedures and requirements. Here are general steps for establishing a company in the free zones in Dubai:

1. Choosing the type of company: You must decide what type of company you want to establish, whether it is a sole proprietorship, a limited liability company, or a joint stock company.
2. Choosing a free zone: Choose the free zone that suits the company’s activity and its special requirements. Remember that each free zone has its own rules and regulations.
3. Obtaining a permit: Obtain a permit from the government body responsible for the free zone you have chosen to establish the company in, such as the Dubai Free Zone Authority.
4. Submitting the required documents: Submit the documents required to establish the company, such as the registration application form, incorporation document, photos of IDs, etc.
5. Payment of fees: Pay the fees required to register the company and obtain the necessary permits.
6. Company establishment: After completing all procedures and requirements, you will obtain a permit to establish the company and begin doing business.

Advantages of free zones in Dubai

There are many advantages to investing in free zones in Dubai, some of these advantages include:

• 100% Foreign Ownership: Foreign investors are allowed to own 100% of their companies without the need for a local partner.
• No corporate taxes: Companies in free zones enjoy no corporate taxes for a specific, renewable period.
• Ease of establishment procedures: Free zones provide simple and quick establishment procedures, which reduces bureaucracy and speeds up the process of starting a business.
• Advanced infrastructure: Free zones offer advanced infrastructure, including international airports, seaports, highways and advanced communications, facilitating transportation and distribution operations.
• Facilities for obtaining visas: Free zones provide facilities for investors to obtain visas for foreign workers and employees.
• Access to the regional and international market: Dubai provides a strategic location that allows easy access to regional and international markets, making it a major hub for global trade.
• Providing additional facilities and services: Free zones offer a range of additional facilities and services such as equipped offices, business centers, logistics and marketing services, which facilitate companies’ operations.

In conclusion, we are pleased to have provided this comprehensive guide to free zones in Dubai in cooperation with Itqan Company. During this article, we have explored the basic information and important details about the free zones in Dubai, which form an integral part of the emirate’s leading economic and commercial infrastructure.

Through this guide, we were able to provide a comprehensive and detailed overview of the advantages and opportunities that free zones in Dubai offer to investors and businessmen, in addition to practical guidance to facilitate the establishment and operation processes within these zones.

We are grateful to Itqan for its cooperation and support in preparing this guide, and we hope that it will be a valuable resource for everyone looking for deeper knowledge and understanding about the free zones in Dubai.

Ultimately, we believe that this guide will be a reliable and useful guide for investors and businessmen seeking to benefit from growth and development opportunities in the UAE market, and we look forward to a bright future full of successes and achievements for all.

The most important frequently asked questions about free zones in Dubai