IFZA Dubai - Everything you need to know about the International Free Zone Authority

Dubai is known for its thriving business environment, and the International Free Zone Authority (IFZA) is one of the leading free zones that offers companies an excellent platform for setting up a business. In recent years, IFZA Dubai has established itself as a popular location for businesses looking for an economically efficient, flexible and tax-optimized company formation. In this comprehensive article, you will learn everything you need to know about IFZA Dubai to benefit from the advantages of this free zone.

What is IFZA Dubai?

The International Free Zone Authority (IFZA) in Dubai is a free zone that offers companies worldwide the opportunity to set up in one of the world's most economically powerful cities. IFZA offers a variety of benefits for companies, including 100% foreign ownership, no corporate tax and simplified incorporation procedures. Originally based in Fujairah, IFZA has relocated its headquarters to Dubai, offering entrepreneurs even better business opportunities.

Advantages of IFZA Dubai

IFZA Dubai offers numerous advantages that set it apart from other free zones in the United Arab Emirates. These advantages make the IFZA an ideal choice for entrepreneurs looking for a cost-effective and flexible business structure in the region.

1. 100% foreign ownershipAs an entrepreneur, you can own your business in IFZA at 100% without the need for a local sponsor.

2. No corporation taxCompanies based in IFZA Dubai benefit from a full tax exemption on corporate profits.

3. Flexible business packagesIFZA Dubai offers flexible license packages tailored to the needs of small businesses to large international companies. You can choose between different licenses depending on the nature of your business.

4. No restrictions on capitalThere are no minimum capital requirements, which is particularly attractive for start-ups.

5. Full profit and capital repatriationEntrepreneurs can transfer 100% of their profits and capital contributions abroad without restrictions.

6. Simple company formationSetting up a company in IFZA is possible within a few days thanks to streamlined and efficient procedures. In addition, you can do everything online without being physically present.

7. Several visa optionsIFZA offers various visa packages for entrepreneurs and their employees. You can apply for long-term visas for yourself as well as for your family or employees.

8. Permission for physical office locationsYou have the option of renting a physical office in Dubai if your business needs it, or you can opt for a virtual office solution.

9. Possibility to apply for free zone visasCompanies in the IFZA have the right to apply for visas for their employees who benefit from the advantages of the free zone, such as work visas and Emirates ID.

10. Broad spectrum of business activitiesIFZA offers licenses for a variety of business activities, including trade, services, consulting and logistics.

Setting up a company in IFZA Dubai - step by step

Founding a company in the IFZA Dubai is straightforward and suitable for businesses of any size. Here is a step-by-step guide to understanding the process of starting a business in IFZA:

1. select the appropriate company license

First, you need to choose the type of license that best suits your business. IFZA offers different types of licenses, including:

• Trade licenseFor trade in goods within the UAE and internationally.
• Service licenseFor companies that offer services such as consulting, IT, marketing or training.
• Industrial and production licenseFor companies involved in the production and export of goods.
• General Trading LicenseFor companies that want to import and export a variety of products.

2. select the company form

When setting up a company in IFZA, you can choose between different types of company, including

• Sole proprietorshipA single person owns and operates the company.
• Limited liability company (LLC)A company that is formed by one or more persons and the liability of the partners is limited to the capital.
• Branch foundationA branch of an existing company.

3. application for the license

Once you have selected the business license and the company form, you can submit the application for a license to IFZA. The process is completely online and requires the submission of the necessary documents, such as passport copies and proof of management.

4. application for visas

Once your business license is approved, you can apply for up to six visas for your business owners, employees and their family members. The process is simple and is also completed online.

5. choose your business location

Depending on the needs of your business, you can either rent a physical office unit or opt for a virtual office solution. IFZA Dubai offers flexible options for every type of business.

6. locking and starting

Once all the formalities have been completed, you can start your business. IFZA also offers support with opening a bank account, bookkeeping and other administrative tasks.

IFZA Dubai Costs - What does it cost to start a business?

The costs of setting up a company in the IFZA Dubai depend on various factors, including the type of license, the number of visas and the location of the company. In general, the set-up costs in the Dubai IFZA are very competitive compared to other free zones.

• License costsThe cost of a trade or service license usually starts at around AED 12,000 and can vary depending on the type of license and the number of activities.
• Visa costsA visa in the IFZA usually costs between AED 3,500 and 5,000, depending on the type of visa and the additional services required.
• Office unitsThe costs for physical offices and storage space vary depending on the size and location of the company. Alternatively, IFZA also offers virtual office solutions from around AED 12,000 per year.