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Introduction to Ajman Free Zone (AFZA) is one of the leading free trade zones in the United Arab Emirates, designed to attract local and international businesses looking for a competitive business hub in the Middle East market. Launched in 1988, AFZ has become a business hub for many industries, including trading, manufacturing, logistics, and services.
Ajman Free Zone, located in the Arabian Gulf, is ideal for businesses entering regional and global markets. With minimal regulatory hurdles, 100% foreign ownership, and numerous tax incentives, it offers flexible office space, robust infrastructure, and comprehensive support services. AFZ caters to startups, entrepreneurs, and established companies, providing a framework for growth. Silver Oak Auditing Consultancy, an authorized agent, offers expert guidance throughout the business formation introduction to the Ajman Free Zone and aims to highlight its unique advantages and opportunities for businesses in the UAE.
Flexible Licensing Options: Companies can choose many license types based on business activities.
Ajman Free Zone (AFZ) offers many advantages, making it an attractive destination for businesses looking to establish or expand their operations in the United Arab Emirates. Here are some key benefits:
1. Prime Location
Nestled along the Arabian Gulf, the Ajman Free Zone is ideally situated near major highways, Dubai International Airport and Sharjah International Airport. Strategic location facilitates easy access to regional and international markets, making logistics and transportation significantly more efficient.
2. 100% Foreign Ownership
One of the standout features of the Ajman Free Zone is the allowance for 100% foreign ownership of businesses. Entrepreneurs and investors can retain complete control over their ventures without any requirement to partner with local nationals, which promotes greater autonomy and flexibility in operations.
3. Tax Advantages
Ajman Free Zone offers an attractive tax regime, including:
4. Streamlined Business Setup Process
AFZ is known for its efficient and time-saving business registration process. Free Zone provides simple procedures and quick approvals, enabling businesses to start operations in a short amount of time, often within a few days.
5. Many Business Activities
Ajman Free Zone supports various business activities, allowing companies from multiple sectors, including trading, manufacturing, e-commerce, technology, and logistics, to set up operations. This diversity encourages collaboration and innovation among businesses within the Zone.
6. Flexible Office Solutions
AFZ offers many office space options, from virtual offices to fully equipped commercial spaces, catering to different needs and budgets. This flexibility allows businesses to choose the most suitable setup for their operations, whether startups or larger enterprises.
7. World-Class Infrastructure
Ajman Free Zone has modern infrastructure, including advanced telecommunications, reliable utilities, and well-planned logistics services. This infrastructure supports business operations and provides the necessary resources for growth and expansion.
8. Supportive Ecosystem
AFZ provides businesses with a supportive, eco-friendly system, including access to legal, financial, and consulting assistance services. The presence of industry experts and professional service providers enhances the support for companies operating in the Free Zone.
9. Networking Opportunities
Ajman Free Zone business community allows companies to network, collaborate, and share resources in a collaborative environment, leading to partnerships, joint ventures, and long-term business relationships.
10. Quality of Life
Ajman offers a high quality of life with modern amenities, affordable housing, educational institutions, and healthcare facilities. The friendly and multicultural environment attracts a modern workforce, adding to the talent that businesses can utilize.
Ajman Free Zone, located near Ajman Airport, offers a prime location and efficient business opportunities. It provides flexible workspaces, warehouses, and housing for workers, making it a hub for health, food, and drink companies. The cost of setting up a business in the Ajman Free Zone is from AED 11,000 to AED 23,000. The fees depend on licenses, E-channel deposits, registration, visas, medical checkups, Emirates ID, and specific business needs.
Ajman Free Zone (AFZ) supports a wide range of business activities and needs of entrepreneurs and businesses looking to establish their presence in the UAE. Below are the primary categories of business activities allowed in the Ajman Free Zone:
Ajman Free Zone (AFZ) offers office space options designed for businesses, from startups to established enterprises. Here are the primary types of office space available in the Ajman Free Zone:
A virtual office gives businesses a professional address and access to administrative services without needing physical office space. This option is ideal for freelancers or companies looking to minimize operational costs while establishing a presence in the UAE.
Services Included: Business address, mail handling, phone answering services, and meeting room access on demand.
Flexi desks are shared office spaces that allow businesses to use desk space as needed. This option is suitable for startups and small companies looking for cost-effective solutions.
Features: Access to high-speed internet, meeting facilities, and essential office amenities. These spaces are best for networking and collaboration.
AFZA provides conventional office units of different sizes that can accommodate larger teams or specific operational needs. These can be customized based on the requirements of the business.
Customization: Standard offices often suit the company’s specific layout and functionality preferences.
Always conduct comprehensive research or consult with a business advisor to understand the complete scope of costs and the best options available for your business setup in the Ajman Free Zone.
Muhammad Ali
About Silver Oak Auditing
Silver Oak Auditing Consultancy is an authorized agent who provides vital support and services for businesses looking to establish or expand operations in the Ajman Free Zone. With a deep understanding of local regulations and an extensive network, Silver Oak stands out as a trusted partner for companies aiming to enter the UAE market.
The cost of forming a company in the Ajman Free Zone can vary based on several factors, including the type of business setup, the type of license required, the facilities needed, and any additional services you may opt for. Below is a general breakdown of the costs associated with company formation in the Ajman Free Zone:
1. License Fees:
Commercial License: Generally, it ranges from AED 8,000 to AED 15,000, depending on the specifics of the business.
Service License: Typically ranges from AED 5,000 to AED 12,000.
Industrial License: Usually falls between AED 10,000 and AED 20,000.
2. Registration Fees:
Initial registration fee: AED 1,000 – AED 3,000.
Name reservation fee: AED 1,000 – AED 2,000.
3. Office Space:
Flexi-Desk Office or Virtual Office: Approximately AED 5,000 to AED 10,000 annually.
Physical Office Space: Costs can range from AED 12,000 to AED 30,000 or more annually, depending on size and location.
4. Other Costs:
Local Sponsorship Fee (if applicable): Usually around AED 5,000 to AED 10,000 annually.
Share Capital Requirement: The minimum share capital varies but may range from AED 10,000 to AED 100,000 based on business type.
Employee Visa Costs: Approximately AED 3,000 – AED 7,000 per visa, including medical tests and other expenses.
Renewal Fees: Annual renewal of licenses and permits can often be around 50-100% of the initial costs.
5. Professional Services:
Fee fees can vary if you opt for consultancy services to assist with the company formation process. These services may cost anywhere from AED 3,000 to AED 10,000, depending on the extent of support provided.
Total Estimated Cost:
The total cost for setting up a company in the Ajman Free Zone can range from approximately AED 15,000 to AED 100,000 or more, depending on your specific requirements and business model.
FAQ
Contact us for 24/7 support or queries about business setup in Afza
The Ajman Free Zone is a special economic zone in Ajman, UAE, that allows for 100% foreign ownership of companies, tax exemptions, and various incentives to attract businesses. It serves as a hub for trade, manufacturing, and services.
There are three main types of licenses available:
The total cost can range from approximately AED 15,000 to AED 100,000 or more, depending on the license type, space requirements, and other associated costs such as office space, local sponsorship, and visa fees.
The company registration process can generally take 1 to 4 weeks, depending on the completeness of your documentation and the type of business you are registering.
No, businesses in the Ajman Free Zone can enjoy 100% foreign ownership, meaning you do not require a local sponsor for company formation.
Silver Oak Accounting and Bookkeeping, a top accounting firm in Dubai, offers reliable, efficient, and professional services. We can assist startups towards success and be contacted for a consultation to experience the difference they can make.
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The minimum share capital requirement varies based on the type of business. Generally, it can range from AED 10,000 to AED 100,000, depending on your business activities.
The process typically includes selecting a business name, submitting the required documents (like passport copies, a business plan, etc.), paying registration fees, and then receiving your business license once approved by the Ajman Free Zone Authority.
Businesses registered in the Ajman Free Zone can apply for employee visas based on the number of licenses and office space available. The visa cost varies but usually ranges from AED 3,000 to AED 7,000 per visa, including health insurance and medical tests.
Yes, companies in the Ajman Free Zone enjoy various tax advantages, including 100% tax exemption on corporate income, no import or export duties, and no personal income taxes.
Ongoing costs may include annual license renewal fees, office space rental, employee visa renewals, and any necessary audits or compliance reviews.