Dubai Airport Free Zone (DAFZA) was set up as a free financial zone in 1996 and is one of the quickest developing free zones in the UAE, contributing 4.7 percent of Dubai's GDP. It is situated at the Dubai International Airport, and across 170 sections of land. DAFZA houses a few organizations in the parts of flight and aviation, IT and broadcast communications, gadgets, medication, coordinations, food and refreshment, and extravagance products.
The downtown DAFZ has secured countless key business segments, including IT, media communications, drugs, flight, cargo, food and drink, building, adornments and beauty care products. It likewise gives admittance to 24-hour coordinations administrations, head class courtesies, and framework. The free zone additionally gives direct admittance to various taxpayer driven organizations.
DAFZA was created to raise Dubai as a venture driven economy. It is an ideal decision for the previously mentioned business spaces attributable to its vital area in the core of Dubai, advantageous admittance to Middle East and North Africa (MENA) and Asia-Pacific locales, bleeding edge foundation, best in class civilities, a speculator cordial milieu, and a large group of different advantages that join setting up an organization in a free zone in the UAE.
Why Set Up Your Business in DAFZA?
- Provision of 100% foreign ownership
- No restriction on capital repatriation
- No import or re-export duties
- No personal income tax
- No currency restrictions
- Easy hiring of professionals
- Company ownership in foreign land
- No restriction on repatriation of capital
- Exemption on corporate taxes and duties
- World-class infrastructure
- Dedicated logistic facilities
- Permission to lease land and use it as the business need
- No restriction on foreign exchange
- Easy access to more than 200 international markets
- Easy availability of services like banking, finance, and insurance
- Quick and easy access to government services
Business Licenses Available in Dubai Airport Free Zone
Any business needs to have a license to start their operation in DAFZ, according to the planned business activity company can opt from any of the 4 licenses. They even have an option of applying for a dual-license, which allows the company to operate across Dubai. The different types of licenses are:
1. Trade License
A trade license allows the holder to carry out trading activities including export, import, re-export, distribution, and storage of specific products.
2. Industrial License
A business person who wants to start the light manufacturing industrial activities, packaging and assembling can opt for an industrial license.
3. Service Licence
A service license is exclusively for service-oriented business and enables a company to provide service specified in the license.
4. General Trading License
General activities like import, export, re-export, distribution and storage can be carried out by a general trading license holder. He/she can trade in more than 2 product categories as well.
Legal Business Entities in Dubai Airport Free Zone
For business setup in Dubai Airport Free Zone, one can choose from among the following two legal entity types:
1. Free Zone Establishment (FZE)
A Free Zone Establishment must meet the following requirements:
- The number of shareholders must be between 1 to 50 (a shareholder can be an individual or a corporate entity)
- A minimum share capital of AED 1,000
2. Branch Office
An existing company which is 100% owned by the parent company can open their branch office in DAFZ without any paid-up capital requirement.
Steps for business setup in dubai airport freezone
Dubai Airport Free Zone Authority has kept up a basic and straightforward cycle of organization arrangement. It has the accompanying 3 stages:
1. Select a Company
DAFZA offers two types of business entities: (1) Free Zone Establishment (FZE), and (2) Branch Office of an Existing Company. After selecting the business entity, the next step would be obtaining a business license – in accordance with your business activity.
Once you decide on the type of business entity and license, you need to choose your office space. DAFZ provides a varied range of office spaces, light manufacturing units, co-working spaces, and serviced offices for business operation for rent on an annual basis.
2. Submit the Relevant Documents
Once you decide to set up a business in DAFZ, you need to submit the following documents to DAFZA:
- Application form
- Letter of intent
- Detailed business plan
- Existing company brochure (if available)
- CV and passport copy of the manager
- Annual financial report or shareholder(s) 6 months bank statement (Not applicable for a new entity)
- Copy of shareholder’s CV and passport
- No-objection letter by the current sponsor
- Initial approval(s) from the third-party in case your business requires such approvals, e.g., for media, IT, etc.
3. Collecting the Business License
Once your documents have been approved, the final steps to start your business are:
- Signing the lease agreement
- Payment of fees and collecting your business license