Looking for a Dubai freezone consultant who can help you understand the difference between a free zone and a mainland company in UAE and choose the best location before you indulge in business setup in UAE mainland? Youโve come to the right place. There are many opportunities to start a Dubai mainland company setup. First, letโs try and understand the difference between the two zones separately. We, at Consultzone, a Dubai freezone consultant will also tell you how an investor can set up a company in each zone.
What Is The Difference Between A Free Zone And a Mainland Company?
In this detailed guide, we will look at all of the elements that add up to setup costs and offer suggestions on how companies can efficiently handle these expenditures. These charges will vary based on the sort of company you wish to establish and the products or services you select. A general analysis of the Dubai Silicon Oasis Company Setup rent and expenses, on the other hand, may offer valuable insight:
Free zone Company
A free zone in UAE is a geographical area designated for commercial activities. A company that works in such an area is classified as a Dubai freezone company setup.
Free Zone Company Formation In UAE
Free zone in UAE offers 100% self-ownership, tax exemptions, import and export duty exemptions. Compared to a Dubai mainland company setup, a free zone company in UAE provides more power and relaxed administration rules. There are many free zones in UAE, and most zones run a particular kind of business. For example, Dubai Media City Free Zone engages in companies related to media.
Business Setup In Dubai Free Zone
Dubai freezone company setup is faster and smoother than the process of a mainland company. The federal laws do not influence businesses in free zones giving more freedom to businesses. Setting up a company in the Dubai free zone requires only the primary documents to get started. Some popular free zones in UAE are Dubai Multi Commodities Center (DMCC), Dubai Airport Free Zone (DAFZA), and Dubai HealthCare City.
Free Zone License In Dubai
A Dubai freezone company setup will receive its licenses from the regulatory body of the respective free zone company. Some of the issued licenses are trading licenses, industrial licenses, service licenses, and commercial licenses. The permit cost is around AED 10,000 โ 50,000 annually, depending on the business and many other factors. It is essential to renew the license on time to avoid penalties.
Mainland Company
A company that is onshore or inland is called a Dubai mainland company setup. Due to the change in law, foreign investors of mainland companies in the UAE now receive 100% ownership rights.
Mainland Company Formation In Dubai
Business Setup Consultants in Dubai is a strict process that involves necessary prerequisites. Company formation in Dubai mainland takes more time than a free zone company but is advantageous in many ways. Mainland Company Formation in Dubai enjoys the competitive business atmosphere that helps their growth. The strategic location also encourages trade opportunities for Dubai mainland companies with other businesses.
Business Setup Dubai Mainland
Starting the Dubai mainland company setup is an excellent chance for people to grow their businesses and practice trade freely. A mainland company gives entrepreneurs the freedom to extend their business across Dubai or the UAE. Dubai offers a healthy business environment for businesses to flourish and expand their interests. The location and economic initiatives make Dubai an excellent place for business setup in UAE mainland.
Dubai Mainland License Cost
There are various types of licenses such as industrial, commercial, professional, tourism, agricultural, and occupational. The Department of Economic Development issues the permits and charges an initial approval fee to start a company. A commercial license will cost approximately AED 10,000, and a professional license for sole proprietorship will be around AED 5600.
A Dubai free zone and a mainland company setup have their benefits, but each offers favorable conditions for businesses to run smoothly. Dubai free zone and a mainland company zone provides numerous avenues to run a business of their interest. With the help of the right Dubai free zone consultant like Consultzone, setting up a company in Dubai will be no pain.
