JAFZA

Jebel Ali Free Zone (JAFZA) stands out as the largest and most strategically positioned free zone in the UAE, serving as a vital gateway to major global shipping and air transport routes. Hosting over 9,500 companies, predominantly in the logistics, trading, and manufacturing sectors, JAFZA is distinguished by its significant annual trade volume. It’s a top choice for international investors due to its policy of no foreign ownership restrictions, making it perfect for setting up companies in the region.

At AEY Prime Ventures, we understand the value of JAFZA’s dynamic business environment and offer comprehensive services to ensure your JAFZA Free Zone Company Registration is seamless and efficient. Contact us today to begin your company registration in JAFZA and take the next step in your business journey.

Jebel Ali Free Zone (JAFZA)

Established in 1985, Jebel Ali Free Zone (JAFZA) is the UAE’s oldest and largest free zone, positioned as a pivotal business hub in Dubai. Strategically located with direct access to Jebel Ali Sea Port and Al Maktoum International Airport, JAFZA offers unparalleled connectivity to major shipping and air transport routes. This prime location is instrumental for businesses in shipping, logistics, and trading sectors, making it a preferred choice for global enterprises.

As the primary free zone of DP World, a leading global logistics company and port operator, JAFZA boasts a unified customs area. This integration significantly streamlines cargo clearance processes, reducing both time and costs associated with logistics operations. This efficiency, combined with its strategic location and diverse business environment, positions JAFZA as a key destination for businesses looking to tap into regional and international markets.

Benefits of JAFZA Free Zone Company Registration

Establishing a business in the JAFZA Free Zone offers a multitude of advantages:

• Global Access: Ideal for international investors with no foreign ownership restrictions.
• Independent Regulation: Operates under its own authority, offering specialized licenses and overseeing enterprise activities.
• Diverse Business Services: Access to a wide array of services tailored to support and achieve business goals.
• Customized Formation Types: Offers five formation types, accommodating different shareholder structures and business natures.
• Variety in Licenses and Activities: Provides a range of license types and activities, enabling direct connection to a market of over 3.5 billion people.
• Supportive Business Environment: Designed to cater to the specific needs of manufacturing and trading companies.
• International Business Community: Opportunity to join a vibrant and successful international business network.
• Strategic Location in Dubai: Positioned in one of the world’s most desirable living and business environments.

With AEY Prime Ventures, navigate the process of setting up your business in JAFZA, a hub that blends competitive advantages with expansive opportunities for growth.

JAFZA License and Activities

In Jebel Ali Free Zone (JAFZA), the license category for your business depends on the specific nature and activities. JAFZA offers a broad spectrum of activities, and accordingly, there are several license categories available to cater to different business needs:

• Trading
• Service
• Industrial
• Logistics
• E-Commerce
• General Trading

Trading License

A Trading license in JAFZA enables businesses to trade goods and provide services. It’s the most common type of license and offers flexibility. The cost depends on the number of activities:

• Type 1 Trading License: Allows up to seven activities within a single group.
• Type 2 Trading License: Permits up to twelve activities across a minimum of two groups.
• Type 3 Trading License: Grants an unlimited number of activities across three or more groups, and is recognized as a General trading license.

Service License

The JAFZA service license is ideal for companies whose main operations revolve around providing services, consultancy, or intellectual knowledge transfer, which form the bulk of their offerings to clients. In JAFZA, the cost of a service license is calculated based on the scope of business activities included:

• Type 1 Service License: Accommodates up to seven activities within a single group.
• Type 2 Service License: Allows for a maximum of twelve activities, spanning at least two groups.

Industrial License

An industrial license in the UAE is for manufacturing businesses, and JAFZA is a great place for it due to its logistics support. This license is for companies involved in different manufacturing processes, including buying raw materials, manufacturing products, and offering related services. Businesses with this license must have their facilities in the free zone and comply with health and safety regulations through regular checks.

Logistics License

The Logistics license in JAFZA is designed for logistics and supply chain companies. This license covers various logistics services, including storage, transportation, distribution, sorting, forwarding, clearing, order and inventory management, and more.

JAFZA Free Zone Company Types

In Jebel Ali Free Zone (JAFZA), businesses have the flexibility to choose from five distinct company types, catering to different shareholder structures:

• FZE (Free Zone Establishment)
• FZCO (Free Zone Company)
• PLC (Public Listed Company)
• Branch
• Offshore Company

JAFZA Free Zone Establishment (FZE)

A Free Zone Establishment (FZE) allows for the creation of a company with just one shareholder, who can be either an individual or another company. An FZE is a type of limited liability company. It offers benefits like no foreign ownership restrictions and is governed by the Free Zone Authority, which handles licensing and regulations. The FZE has its own legal identity, separate from its shareholder, and its liabilities are limited to the company’s capital.

JAFZA Free Zone Company (FZCO)

A Free Zone Company (FZCO) registration allows the formation of a company with multiple shareholders. These shareholders can be individuals or companies, or a combination of both, with a limit ranging from two to fifty. An FZCO operates as a limited liability partnership within the free zone, meaning the company’s liabilities are confined to its paid-up capital. A key advantage of forming an FZCO in a UAE free zone is the absence of foreign ownership restrictions.

JAFZA Public Listed Company (PLC)

A Public Listed Company (PLC) in JAFZA is a business structure that allows companies to offer their shares to the public through a stock exchange, following an initial public offering (IPO). PLCs differ from private companies as they have public shareholders with a stake in the company’s assets and profits. These companies are limited liability entities, with their liabilities limited to the paid-up capital, and require at least two shareholders. A PLC operates as a separate legal entity, with rights similar to an individual, and is subject to stock market laws and regulations.

Branch Setup in JAFZA: Extension of Parent Company

Establishing a branch in JAFZA allows existing companies to extend their operations within the free zone while maintaining their original identity and operational model. A branch is not a separate legal entity but an extension of its parent company. This setup is often chosen to preserve the company’s operating history, age, and brand name. Any company located outside the Jebel Ali Free Zone can set up a branch within JAFZA. The branch must be fully owned by the parent company, bear the same name, and engage in similar business activities. Opting for a branch formation in JAFZA offers various advantages, primarily allowing companies to continue their business seamlessly in a new location without needing significant operational changes.

JAFZA Offshore Company

A JAFZA offshore company is authorized to engage in lawful business activities as determined by the Registrar. Setting up an offshore company in JAFZA necessitates a minimum of one shareholder, with no constraints on the maximum number of shareholders. Shareholders can be individuals, non-individual entities (such as companies), or a mix of both. Essentially, an offshore company in JAFZA functions as a limited liability partnership within the free zone, with the company’s liabilities confined to its paid-up capital.

Documents Required for JAFZA Free Zone Company Registration

The following documents are required for JAFZA Free Zone Company Registration:

• Completed application form.
• A brief summary of the project (about one page).
• A copy of the passport.
• A list of preferred company names.
• The business activities list.

JAFZA Free Zone Company Registration Procedure

Setting up a business in Jebel Ali Free Zone (JAFZA) involves a series of straightforward steps, and with the assistance of AEY Prime Ventures, this process can be even more seamless:

1. Business Plan and Activity Selection: Begin by determining the nature of the business and the activities you intend to undertake. This will guide the type of license you need to apply for.
2. Choose Your Company Formation Type: Depending on your business needs, select the appropriate company formation type (such as FZE, FZCO, PLC, Branch of a Company, or Offshore Company).
3. Select Business License: Choose a business license that aligns with your intended activities (like Trading, Industrial, Service, Logistics, E-Commerce, or General Trading).
4. Choose a Company Name: Select a unique name for your company that complies with JAFZA’s naming conventions. The name should not be already registered or similar to an existing business in the free zone.
5. Office Space & Lease Agreement: Based on your business requirements, choose and secure your office space or facility within the free zone. JAFZA offers various options like warehouses, office spaces, or land for development. Complete and sign the lease agreement for your selected premises.
6. Documents Submission & Payment: Gather and submit all required documents, including application forms, business plans, and passport copies.