Starting a Business in Freezone

UAE free zone company formation

Establishing a company is not always easy, especially when you are a foreign business owner or investor who wishes to open business in Dubai. Even if you are planning on conducting business activities within the free zone, there are certain requirements that you have to meet before you can start operating legally.

The procedures for UAE free zone company formation is more simple compared to acquiring the requirements for establishing a Limited Liability Company or LLCs on the mainland. It is also more beneficial since non-UAE residents can own 100% of the business and are not required to pay for taxes other than those mandated by the law.

If you are new to being an entrepreneur or you are not familiar with the procedures for setting up business in UAE, you may use this as your guide on what needs to be done so you can complete the requirements without delay and start conducting your business activities as soon as possible.

Steps in starting a business in the free zone:
  1. Determine the type of legal entity

Before thinking about anything else, you need to decide on what type of legal entity your business would take up. Depending on which free zone you choose to establish your operations in, you may opt to set up a Free Zone Limited Liability Company (FZ LLC) or a Free Zone Establishment (FZE). The differences between the two mainly lie in the number of shareholders and whether or not they are UAE residents. If you have decided on establishing an FZ LLC, you may want to grow your network of UAE locals and consider a business partnership in Dubai with a UAE resident or sponsor who is willing to work with you in growing your business.

  1. Choose a trade name

Choosing the right trade name for your business is crucial as it will appear on all the paperwork and other related documents related to your business. When possible, choose a unique name that reflects the values of the brand that you wish to establish. It may also help to check with proper authorities if your intended trade name is not yet registered. This way, you won’t have to worry about sharing a similar name to other brands that may or may not offer products or services similar to yours.

  1. Apply for a business license

Once you have decided the type of legal entity and have chosen a name for your business, it’s time to submit all the requirements and documentation requested by the authorities to verify your and the business’ identity. Apply for the business license that is appropriate for the type of business activity you will be conducting.

  1. Choose an office space

Depending on the type of business you are establishing, you may or may need a physical office for yourself and your staff. If your day-to-day operations require the use of machinery and other equipment, it will be easier to have a furnished office where your staff can do their work without delay. But if the nature of your business does not require your staff to work regularly, you may opt for virtual offices instead. This way, you and your staff can work in a professional environment even when you are working from home.

Whether you need legal services to acquire permits or you need advice in establishing your business in the free zone, Austria Business Center offers a range of business solutions and rental offices to meet all your business needs.


    Jumeirah Bay X2 Tower (3rd Floor)
    Email: office@austriabc.com
    Phone: +971 (0)4 427 3600

    Jumeirah Bay X2 Tower (3rd Floor)
    Email: office@austriabc.com
    Phone: +971 (0)4 427 3600

    Jumeirah Bay X2 Tower (16th Floor)
    Email: office@austriabc.com
    Phone: +971 (0)4 437 5700

    Opal Tower
    Email: office@austriabc.com
    Phone: +971 (0)4 427 3700