Your Guide to Business Setup in IFZA
Are you interested in pursuing business setup in Fujairah’s International Free Zone Authority, or IFZA? As one of the most cost-effective Free Zones in the UAE, IFZA Fujairah company setup offers you the ability to establish your entity efficiently while enjoying a significant level of flexibility. Here’s why this Free Zone should be among your Free Zone choices as you look to begin your next business venture, whether it’s your first in the UAE or you’re a repeat business-person.
But first, what is the International Free Zone Authority (IFZA)?
The International Free Zone Authority (IFZA) Free Zone is in the emirate of Fujairah on the UAE’s eastern coast. It benefits from having the only access point to the Indian Ocean in the UAE via the Gulf of Oman. As a result of its privileged location, it has a robust shipping sector that stands out for having one of the world’s largest livestock shipping firms. IFZA is only 800 metres away from the Fujairah International Airport, giving you the utmost convenience to reach the Free Zone after flying into Fujairah as well.
The Fujairah Plan 2040 initiative is working on developing new terminals for marine services, bulk and dry containers, as well as oil. The goal is to strengthen the facilities in the Fujairah port and to work on diversifying from the emirate’s mainstay industries, which besides shipping are stone crushing and mining.
As the fastest growing Free Zone in the country, IFZA specialises in company formation for small-and-medium-sized enterprises (SMEs). It also boasts a wealth of value-added services that include warehouse sourcing and management, processing residency visas, private flat and hotel amenities and retail and office space. With the centralisation of services and friendly pricing for SMEs, IFZA has plenty to offer.
What are the permitted IFZA activity licence classes?
As with every Free Zone in the UAE, part of the business setup process in IFZA is applying and receiving an activity licence that fits into the permitted categories. The following activity types are permitted for your IFZA company licence:
- Business professionals that offer professional, expert consultancy services across all sectors.
- Service: This licence covers service transformation, reproduction, distribution and production. All activities where the purpose of the business is to render services by providing an associated good also fall under the service licence category.
- Trading: This licence is for imports, exports, distribution and storage of the items directly noted on your licence.
- Consultancy: This licence is for consulting services in every industry.
- General Trading: This licence lets you trade in any commodity in Emirati territory and to trade in a broader range of activities.
- Holding: This licence is for any activities associated with a holding company. They include holding the assets or shares of another corporation.
Why pursue business setup in IFZA?
As we just saw with the wide range of licence classes, the breadth of the permitted activities offers you more than 1,000 available activity licences. Not only are there numerous activity licence options, but you’re also afforded the utmost flexibility across this part of your business. You can upgrade or downgrade your licence at any time, and your adjustments upon renewal are free of charge. Not only that, if your trade licence is rejected, you will also receive an 80% refund on the price.
What else makes IFZA so appealing? Regardless of the licence class, every entity resulting from business setup in IFZA is under the limited liability corporation, or LLC, structure. There’s no need for paid-up share capital or for office space, adding to the cost-effectiveness of the Free Zone as appealing reasons for SMEs to incorporate there.
If you need a residency visa along with your company licence, all residency permits are valid for three years, simplifying this part of establishing an entity in the UAE. Each licence package can support up to six visas should you need more residency permits for other employees not currently living in the UAE. You will also have a Dedicated Experience Manager to service your needs and to benefit from the lack of corporate or income taxes stemming from establishing your new entity in IFZA.
How to start a business in IFZA
If you’re interested in the process of establishing your enterprise in IFZA, our expert team of Free Zone and UAE company formation professionals are ready to ensure you complete the application process for your new IFZA company and licence. We’ll make sure you have the appropriate documentation prepared and gain an understanding of your goals to choose the most suitable arrangement for you and your employees, as well as coordinate other additional needs beyond the business itself such as dependent visas. Would you like to get started? Don’t hesitate to contact us today.
Business Advisor, Europe Emirates Group