The ever-thriving business landscape of the Ajman Freezone has garnered much attention from all over the world. One of the major reasons behind this development is the privileged tax status, progressive infrastructure, and outstanding facilities it offers to both local and international companies.
Besides, it is a perfect place to conduct international trade, as it is incredibly well-connected with major ports and highways. Thus, all these cost-saving benefits and a fully-serviced environment make up for a profitable company formation in Ajman Free Zone.
Advantages of company formation in Ajman Free Zone
- AFZA companies are not subject to corporate or personal income tax.
- Offers a range of packages and support services for business establishments.
- Flexible leasing options for offices and warehouses.
- Well-connected with other parts of the UAE, thereby providing access to major markets.
- Companies can engage in a varied range of business activities
- Offers extensive support services to businesses, including assistance in visa and immigration, business development support, and access to varied networking and promotional events.
- Foreign investors can have full control and ownership of their business in Ajman.
- Zero restrictions on foreign currencies enable companies to conduct international business easily.
- Proximity to major ports, airports, and road networks; facilitates excellent connectivity to the rest of the area.
- Accommodates a diverse community of businesses, facilitating networking and collaboration opportunities for companies.
- Provides access to modern and well-maintained infrastructure, utilities, and telecommunications services.
- Proximity to major cities such as Dubai and Sharjah where companies can have access to a large and diverse pool of talent.
- Ajman Free Zone company setup costs are reasonable and economical.
- Promotes significant growth and international visibility by providing scalable business platforms.
- AFZA ensures total confidentiality with limited financial disclosures.
- Facilitates re-domiciliation services at the owner’s convenience.
- Reasonable prices for the workforce, land leasing, and electricity
Different types of Ajman Free Zone license
- Commercial license – Companies can have the authority to import, export, and distribute products throughout the UAE with a commercial license.
- Industrial license – An industrial license allows companies to carry out necessary manufacturing activities within the free zone including the imports of raw materials, and the export of products abroad.
- Service license – Entities can conduct the services listed on the license contract clause with a service license.
- E-commerce license – Businesses engaged in online trading activities can acquire an e-commerce license in the Ajman Free Zone.
Legal structures allowed for company formation in Ajman Freezone
- Free Zone Establishment
- Free Zone Company
- Branch of a local/foreign company
Facilities provided in Ajman Freezone
Ajman Free zone authorities facilitate companies with world-class infrastructure and equipment. Some of the facilities provided by the authorities include –
- Smart offices – Smart offices are an affordable creative investment for start-ups and entrepreneurs. Moreover, it facilitates the investors with two employee visas to support proactive business operations.
- Executive offices – The executive offices in the Ajman FZ are strategically located. And unlike smart offices, it offers up to five employment visas. Moreover, executive office packages provide excellent facilities including easy parking and high security to free zone companies.
- Warehouses – Ajman Free Zone provides high-quality warehouses with all the specifications and facilities as per investors’ requirements.
- Lands – These areas are suitable for industrial investments and are prepared as per the investors’ needs in the Free Zone.
General Requirements for Ajman Freezone Business Setup
- Apply for a trade license to conduct business activities lawfully.
- Regardless of the size of the company, physical office space is a must in the Ajman Free Zone. Hence, business owners can even rent an office facility such as desk space, warehouse, or small offices in a designated building in the Freezone.
- AFZA does not mandate companies to appoint a resident manager or director. Also, there is no such compulsion that the business owner has to be a UAE resident.
- Before applying for a business license, the owner must decide on a precise business activity.
- The number of visas that the business owner can apply for depends on the size of the office.
- Companies with single shareholders must use the suffix FZE, whereas companies with multiple shareholders must have FZC in their suffix.
- Foreign businesses, local mainland companies, and partly or fully owned subsidiaries can set up their branches in the Ajman Free Zone.
- While registering the company, the owner must show a minimum share capital of $50,000 in the bank account.
For FZE & FZC:-
- Three proposed business names
- Entry stamp/visa
- Passport copy (with a minimum six months validity)
- NOC from the sponsor, if applicable
- Passport-sized photographs
- Feasibility report (for industrial and service enterprises)
- Certificate of Incorporation and Trade license copy of the parent company (For branch offices)
- Memorandum and Articles of Association of the company
- A resolution issued by the competent authority to carry out the activity in the Freezone and appoint a representative or manager.
Guide to Ajman Free Zone Business Setup
When you work with the company formation experts at UAE Expansion, your journey to AFZA company formation can be accomplished in five simple steps –
1. Outline your activities
First and foremost, you need to determine the business activities that you wish to perform in your Ajman company. Most of the activities permitted by Ajman FZ authorities include accounting and bookkeeping, consultancy, hospitality, IT, marketing, trading, and transport.
In addition, make sure to list all intended activities on the license application to avoid any significant complications further down the line.
2. Choose a company name
The UAE government imposes strict, yet easy-to-follow rules when it comes to establishing a company name. Hence, always ensure to adhere to these rules while choosing a name for your business.
For example, avoid any offensive or blasphemous language, or references to any religion or holy books. Use the full name, rather than just the surname or initials while including an individual name in the company name.
To make this step easier, it’s better to seek assistance from a company formation expert you can come up with good name suggestions and even get it registered lawfully.
3. Make the license application
The next step to getting your Ajman Freezone license is to make an application for the same. The application process may differ depending on the type of company you want to form. For instance, FZC, FZE, branch, etc.
Furthermore, you can receive your business license as quickly as possible provided your application is complete and error-free. And to achieve this, it is better to work with a business formation service provider to lead you through the entire procedure of business setup in Dubai.
4. Apply for visas
After successfully securing the license, you can proceed with the visa application. You can apply for a visa for yourself, your employees, and dependents including your spouse, children, and domestic staff.
Usually, your visa quota depends on the size of your office and the license package you have selected.
5. Set up a corporate bank account
The final, yet most important step is to open a corporate bank account in UAE. This may often not be an easy task as there are several options of local and international banks to choose from. All these banks have different application criteria and provisions, and navigating them can be difficult and baffling.
And that is why working with an expert can be a good idea. They will not only suggest the best and most reliable banks but also take care of all the arrangements required to set up a corporate account.
Work with UAE Expansion and get your business onboard!
Company formation in the Ajman Free Zone may not be a difficult process, but it does require an expert eye. And when you work with the professional team of UAE Expansion, you get the best and most affordable business formation services. All you need to do is share your business requirements and some basic documents with the team and wait for the final results. It is just that simple!