17 January, 2024

IFZA Free Zone : Cost, Registration & Documents Required

ifza free zone

International Free Zone Authority (IFZA)

Originally established in Fujairah, the International Free Zone Authority (IFZA) has now relocated to the Dubai Silicon Oasis area. When considering starting a business in Dubai, exploring IFZA and similar zones within the emirate is highly advisable. IFZA stands out as a competitive free zone for establishing businesses and Dubai free zone companies, offering cost-effective fees and transparent procedures for investors.

International Free Zone Authority (IFZA) in Dubai,is a premier destination for investors and entrepreneurs. Situated in the heart of the United Arab Emirates, IFZA stands out as a top investment hub. This dynamic zone, in collaboration with the Dubai Silicon Oasis Authority, offers tailor-made company formation packages, perfectly suited for the ambitious entrepreneur.

IFZA, understands the diverse needs of business investors. That’s why they present a range of attractive company license packages, catering to various business requirements. Starting your business journey in IFZA is not only cost-effective but also a smart choice. IFZA packages begin at an affordable AED 12,900 for a Zero Visa Quota, ensuring you get the best value for your investment. For those looking for a longer-term commitment, a 3-year business license is available at just AED 43,470, making IFZA the most economical option in Dubai for setting up a free zone company.

But it’s not just about cost savings. IFZA is synonymous with excellence and opportunity. Here, entrepreneurs enjoy 100% foreign ownership and 100% profit repatriation. Our world-class infrastructure and a host of investor benefits make IFZA the go-to destination for those looking to make their mark in the business world.

business license in ifza

Types of Licenses in IFZA Free Zone Dubai

IFZA offers a spectrum of licenses tailored to meet the unique needs of various enterprises, ensuring a smooth and successful company setup. Here’s an easy-to-understand guide to what each license entails:

Consultancy License: Ideal for companies offering expert advice and professional consultancy services. This license is a perfect fit for professionals who provide specialized knowledge.

Service License: This license is designed for businesses involved in the production, re-production, transformation, and distribution of services. It’s a versatile option for service-oriented companies.

Trading License: For businesses focused on trading specific items, the Trading License is the right choice. It allows companies to legally trade items listed on their trade license.

General Trading License: Expanding on the regular Trading License, the General Trading License provides the freedom to trade a broader range of items. It’s ideal for businesses looking to diversify their trading activities.

Industrial License: This license caters to companies involved in manufacturing. It covers activities like importing raw materials, production, re-production, manufacturing, packaging, and exporting products.

Holding License: A unique option, the Holding License is tailored for businesses that want to hold standalone assets and/or shares in other companies. It’s a strategic choice for expanding your business portfolio.

ifza freezone license cost

IFZA Free Zone License Cost

Starting business in the IFZA Free Zone is a cost-effective and efficient choice for entrepreneurs. The licensing fees start from AED 12,900, which includes a registration address and up to three business activities under the same license category. Here’s a breakdown of the license costs and their associated visa packages:

  • Zero Visa Package: AED 12,900 (First year and renewal)
  • 1 Visa Package: AED 14,900 (First year and renewal)
  • 2 Visas Package: AED 16,900 (First year and renewal)
  • 3 Visas Package: AED 18,900 (First year and renewal)
  • 4 Visas Package: AED 20,900 (First year and renewal)

The registration process typically takes between 3 to 5 business days and can be completed remotely, eliminating the need for shareholders to be physically present.

Additional Costs

Alongside the license fees, there are several additional costs to consider:

  • IFZA Establishment Card Fee: AED 2,000 for the first year; AED 2,200 for renewal.
  • IFZA Residence Visa Fee: AED 3,750 per applicant.
  • Medical Checkup: VIP process at AED 850 or normal process at AED 450.
  • Emirates ID Application Fee: AED 390.
  • Investor/Partner Visa Fee: AED 1,000 per application (AED 4,750 total).

 

Sponsoring Family Members

After obtaining a residence visa, applicants can sponsor family members. The requirements include:

  • Sponsor’s original Emirates ID
  • Passport and visa copy of the sponsor
  • Salary certificate in Arabic or labor contract
  • Registered tenancy contract or title deed with a utility bill
  • Dependent’s passport copy
  • Attested marriage or birth certificates, translated into Arabic
  • Clear passport-sized photo.

By choosing IFZA Free Zone, businesses benefit from a strategic location, modern infrastructure, and a business-friendly regulatory environment, making it an ideal hub for various business activities

business setup in ifza

Steps for Business Setup in IFZA

The Dubai International Free Zone Authority (IFZA) offers a streamlined process for setting up your business. Follow these steps to successfully launch your company:

1. Meet the Eligibility Requirements

To register a company in IFZA Dubai, you must first meet the eligibility criteria set by the authority. These include:

  • Compiling and submitting all required paperwork in accordance with IFZA specifications.
  • Ensuring that you have paid the registration fees necessary for your chosen company type.
  • Complying with the minimum capital requirements listed for your chosen company structure.
  • Considering the type of organization you want to partner with based on your business objectives.
  • The registration process typically takes 3-5 days, depending on the company type and business activities.

 

2. Types of Companies

  • Free Zone Company (FZCO): The most popular option among entrepreneurs and small enterprises in IFZA Dubai.
  • Branch Offices: Ideal for larger businesses looking to expand into IFZA Dubai.

 

3. How to Register a Company in IFZA Dubai

  1. Choose Your Business Activity: Select the specific business activity you wish to carry out within IFZA.
  2. Select a Unique Business Name: Choose a unique business name and request initial approval from IFZA.
  3. Submit Required Documents: As part of the registration process, submit all necessary documents.
  4. Obtain the Company License: After the documentation is reviewed, acquire the necessary company license.
  5. Complete VAT Registration: If required, complete the VAT registration process.

Our IFZA free zone company formation experts offer a streamlined and efficient registration process to start your business operation swiftly.

Benefits of  Business Setup in IFZA

Establishing a business in the Dubai International Free Zone Authority (IFZA) offers several significant advantages:

Full Ownership

Foreign investors can enjoy 100% ownership of their businesses, giving them complete control and authority over their ventures.

Full Profit Repatriation

You can transfer all your profits back to your home country without any restrictions, ensuring you retain full financial benefits.

Less Corporate Tax

Businesses in IFZA are exempt from paying corporate taxes if they do not engage with mainland companies. This allows you to retain profits and reinvest them as needed.

Access to Global Markets

IFZA provides a multicultural environment that facilitates networking with a diverse global business community, opening doors to valuable partnerships and market opportunities.

No Physical Presence Required

Complete your IFZA company registration without needing to be physically present in the UAE, making the process convenient and efficient.

Flexibility for Multiple Activities

Operate multiple activities under a single license, giving you the flexibility to diversify and expand your operations as your business grows.

ifza freezone company setup cost

IFZA Freezone Company Setup Cost & Trade License Cost

Starting your business in Dubai’s International Freezone Authority (IFZA) is more affordable than you might think, with license fees beginning at just 12,900 AED. This fee includes a Flexi-desk, perfect for entrepreneurs seeking a flexible workspace, and a zero-visa consultancy and service license. Here’s a simple breakdown of what IFZA offers:

Affordable Licensing: IFZA makes starting your business cost-effective. With license fees starting from 12,900 AED, you get access to a Flexi-desk along with a zero-visa consultancy and service license.

No Heavy Financial Burdens: One of the great advantages of setting up your company in IFZA is the exemption from hefty capital requirements and annual audit expenses. This makes it an ideal choice for entrepreneurs and startups.

Low-Cost License Packages: IFZA offers a variety of license packages to suit your business needs:

Non-visa package: 12,900 AED

1 visa package: 21,795 AED

2 visa package: 28,690 AED

3 visa package: 35,585 AED

Comprehensive Package Inclusions: Each package includes several key components:

IFZA License: Essential for legal operation.

IFZA Establishment Card: A must-have for your business identity.

IFZA Visa fee: For you and your team, depending on the package.

Medical checkup: Quick and efficient, with results in 24 hours.

Emirates ID: An important requirement for doing business in the UAE.

 

Wide Range of Activities Offered by IFZA Free Zone

The International Free Zone Authority (IFZA) offers a diverse array of business activities. You can operate up to three business activities under the same license without any additional fees if they fall under the same license type (Trading, Service, or Industrial). If you wish to add an extra business activity, an additional fee of AED 1,000 applies.

IFZA categorizes business activities into three main types:

  1. Consulting: Activities that provide expert advice and services across various domains.
  2. Service: This includes professional services such as IT, marketing, and other support services.
  3. Trading: This encompasses activities related to the buying and selling of goods.

Additionally, IFZA allows combining trading and consulting activities under the same license for an extra annual cost of AED 2,000

 

Different Facilities Offered by IFZA Freezone

The International Free Zone Authority (IFZA) offers a variety of office facilities at the Dubai Digital Park, including:

  1. Flexi-desks: Ideal for startups, providing a shared workspace with 10 hours of access per week, an IFZA address, and one hour of complimentary meeting room use per month.
  2. Flexi Desk+: Offers unlimited access to a dedicated desk during business hours, an individual address, five hours of complimentary meeting room use per month, one parking space, and high-speed WiFi.
  3. Dedicated Workspaces: These provide unlimited access to a dedicated office space in a shared environment, an individual address, five hours of complimentary meeting room use per month, one hour of complimentary conference room use per month, one parking space, and high-speed WiFi.
  4. Private Offices: Designed for growing businesses, offering unlimited 24/7 access to a dedicated office, an individual address, seven hours of complimentary meeting room use per month, two hours of complimentary conference room use per month, one parking space, and high-speed WiFi.
  5. Personalized Offices: Customizable office spaces with unlimited 24/7 access, an individual address, seven hours of complimentary meeting room use per month, five hours of complimentary conference room use per month, two parking spaces, and high-speed WiFi.

Office Packages and Amenities

Dedicated office rent prices in IFZA start from AED 18,240 per year. The office packages include:

  • Wi-Fi: High-speed internet to ensure smooth business operations.
  • Furniture: Pre-installed furniture for convenience.
  • Electricity and AC: Essential utilities included in the package.
  • Access to printer, scanner, and copy machine: Supporting daily business needs.
  • Access to a meeting room: Providing space for client meetings and team discussions.

These facilities are designed to cater to the diverse needs of businesses, ensuring a conducive environment for growth and success. Whether you’re a startup or an established business, IFZA flexible office solutions offer the right fit for your company.

 

IFZA Freezone Company Establishment Card & Visa Fees

Setting up your business in Dubai’s International Freezone Authority (IFZA) is an exciting venture, and it’s important to be aware of all the details involved in the process. Here’s an easy-to-understand breakdown of the additional costs and requirements you should consider with IFZA’s attractive packages:

IFZA Establishment Card Fee: This is a fundamental part of your business setup. For the first year, the fee is AED 2,000, and for renewal, it’s slightly higher at AED 2,200.

IFZA Residence Visa Fee: If you or your team members need a residence visa, it costs AED 3,750 per applicant.

Medical Checkup: A crucial step in the visa process. You can opt for the VIP process at AED 850 for quick results, or the normal process at AED 450.

Emirates ID Application Fee: An essential for any resident, this is priced at AED 390.

Investor or Partner Visa: For those applying for an investor or partner visa, there is an additional fee of AED 1,000 per application, making it a total of AED 4,750.

Once you have your residence, IFZA also offers the opportunity to sponsor your family members, enabling them to live in Dubai as your dependents. To do this, you’ll need to provide:

  • Your original Emirates ID.
  • A copy of your passport and visa (either original or a color copy).
  • A salary certificate in Arabic or your labor contract.
  • A registered tenancy contract or title deed, along with a utility bill.
  • A color passport copy for each dependent.
  • Attested marriage or birth certificates, translated into Arabic.
  • A clear, passport-sized photo.

documents required for business setup in ifza free zone

Documents Required for Business Setup in IFZA Free Zone

Documents Required for Shareholders

Individual Shareholder:

  • Copy of passport.
  • Passport photo for each shareholder.
  • Emirates ID (for UAE residents).
  • Visa copy (for UAE residents).

Corporate Shareholder:

  • Notarized and attested board resolution.
  • Notarized memorandum and articles of association.
  • Notarized trade license copy.
  • Notarized certificate of incorporation.

Additional Information

For individual shareholders, ensure all personal identification documents are current and valid. Corporate shareholders must provide notarized copies of essential corporate documents to comply with regulatory requirements.

This structured approach helps streamline the incorporation process, ensuring all necessary documentation is prepared and submitted correctly.

 

Step by Step Process of Company Closing in IFZA

Here’s a clear, straightforward guide to what you need to do:

Board Resolution for License Cancellation: Your company must prepare a formal board resolution stating the intention to cancel the license and the reasons for closing down.

Clearances from Authorities: Obtain necessary clearances from relevant entities such as Free Zones, telephone service providers, Emirates Post, and banks. This step is crucial to confirm that all official ties with these entities are properly severed.

Settling Employee Dues: Before proceeding with the trade license cancellation request, make sure to cancel all employee visas and clear any pending dues. This is an essential step in maintaining a good standing.

Clearing Outstanding Dues and Audit Report: Ensure that all dues to suppliers are settled. Additionally, prepare an audit report that outlines the current financial status of the company.

Public Notice in Newspapers: You’re required to publish a notice of your company’s liquidation in two local daily newspapers (one of which must be in Arabic). This advertisement should run for 45 days.

Cancellation of Memorandum of Association: The company’s Memorandum of Association with the business jurisdiction must be formally canceled. This is a legal requirement for the dissolution process.

Obtaining the License Cancellation Certificate: Once all documents are submitted and reviewed by the authorities, and all the above steps are completed, you will receive a license cancellation certificate. This certificate officially confirms the liquidation of your company and the cancellation of its trade license.

Are you ready to setup a business in Dubai with RadiantBiz? If you want to learn about starting business in UAE, you can contact us by calling +971 50 797 4832 or sending a WhatsApp message to +971 50 777 5554. You can also email us at info@radiantbiz.com for assistance.