Setting up Your Business in Dubai Technopark [Guide]

Dubai: The very name conjures up images of sand dunes, camels, locals rubbing shoulders with people from all over the world, extravagant malls, the Burj-al-Arab, lavish lifestyles – all in all, a thriving, futuristic desert city. With its cosmopolitan culture, open economic structure, strategic location and superlative infrastructure, it makes sense for starting a company in Dubai.

Dubai has been fortunate to have been ruled by a visionary and liberal Government that realized the value of inviting foreign investment. Almost since inception, this Emirate has encouraged foreigners for Dubai business setup. With that objective in mind, they framed regulations for that specific purpose. Minimal paperwork, absence of taxation, provision of robust infrastructure, etc. are some of the reasons that make company setup Dubai very attractive to foreigners.

The Government has also established several special economic zones called Free Zones for the express purpose of attracting foreign investment. Let’s check out one of the busiest and most popular free zones in Dubai, the DAFZA. It was established in 1996, adjacent to Dubai International Airport to help drive Dubai’s economy with foreign investment, DAFZA currently has over 1600 companies operating there in sectors as varied as aviation, IT, jewellery, pharmaceuticals and food and beverages, among others.

Investors can setup company in DAFZA as one of the following – Free Zone Establishment, Free Zone Company, Local Company Branch, Foreign Company Branch, in any of the following industry segments: trading, light industry, assembling, services and logistics.

    Company setup free zones in Dubai, especially DAFZA is as easy as 1-2-3.

    1. Choose the licence best suited for your business

    2. Choose which category your business falls into

    3. Submit the requisite paperwork

    Three types of licences are offered in DAFZA:

  • Trade Licence– for importing, exporting, distributing and storing specific products included in the approved list
  • Service Licence– the license should be for the same activity as the parent company’s license, dispensed by the Economic Department or Municipality of the appropriate Emirate in the UAE.t
  • Light Industry– granted for the manufacture, processing, assembly and packaging of approved products. Hazardous products will not be given approval because of DAFZA’s closeness to Dubai Airport
  • Advantages of Company Setup in Dubai Airport Free Zone:

  • No restriction on foreign ownership
  • No restriction on repatriation of capital and profits
  • No taxation – corporate or on personal income – for up to 50 years; this can be extended
  • No import or re-export duties to pay
  • No restriction on employing foreign talent
  • No restriction on foreign exchange
  • Options to lease land and develop it as required for the business
  • Help with visa provided
  • On site customs, health and security services
  • Expedited processing of all paperwork and customs procedures
  • Top notch facilities like spacious offices, warehousing and other facilities
  • Provision of power and water connections at reasonable rates
  • Corollary services like banking, insurance, financing are easily available
  • Dedicated logistics and cargo handling facilities
  • Strategically located next to the airport which offers connectivity to 200+ cities
  • The only drawbacks are that once you’ve established your company in the DAFZA, then business setup in Dubai is not possible – your operations and offices have to be confined to the free zone region.

    But the advantages far outweigh this drawback – and that’s why it makes excellent business sense to setup your company in DAFZA.

    Here is the infographic that accompanies the article about setting up company in DAFZA:



1Why UAE Is A Good Place To Start A Business?

2Why you Should Set up Your Company in JAFZA?

3Setting up Your Business in Dubai Technopark [Guide]

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