|Company type||Free Zone Limited Liability|
|Governing corporate legislation||Ajman Free Zone Authority|
|Accounting requirement||No accounts and auditing are required|
|Taxation||No corporate or personal taxation|
|Local sponsor requirement||Not needed|
|Residence visa issuance||Residence Visa issued|
|Number of directors needed||A minimum of one director|
AJMAN FREE ZONE
Amongst the seven Principalities that together constitute the United Arab Emirates, the Emirate of Ajman is one of the most progressive. It is an attractive tourist destination boasting pristine white beaches, prestigious resorts and hotels, cultural heritage sites steeped in history, museums and nature reserves. It also offers a vibrant corniche, bustling with shops and restaurants.
Equally attractive is its proposition to businesses. Being located on the Gulf coast it accommodates an ultra modern port – an important maritime focal point that serves over 1,000 ocean-going vessels a year. It is well positioned to serve the eastern and western markets to set up businesses. Ajman port serves over 1000 vessels every year and today, it has emerged as an important maritime focal point. Additionally, AFZA is located half an hour from Dubai and 10 minutes from Sharjah makes it an interesting opportunity with ease of accessibility to the two international airports and four ports.
Ajman Free Zone License Types
Ajman Free Zone Authority (AFZA) has 4 types of business licenses, which they issue according to the type of business setup:
1. Trading License
People who carry out trading activities in the free zone region are issued with a trading license. The business can add 3 activities in a single license issued by the Ajman Free Zone Authority.
2. E-Commerce License
A company that wants to venture into e-Commerce or starts an online business can opt for an e-commerce license. It also provides marketing and technical support to investors.
3. Professional License
All the UAE or foreign companies that are willing to set up their business in providing PRO services, such as IT, management or marketing consultancy, in Ajman Free Zone must acquire a professional license to start their business.
4. Industrial License
All companies involved in the production of goods have to acquire an industrial license from Ajman Free Zone Authority in order to start their manufacturing plant in the free zone region. Ajman Free Zone Authority also provides warehouses and smart-store service for manufacturing companies.
5. National Industrial License
This license is issued to companies that fulfill the following criteria:
- Should be registered in Ajman but operating in the free zone
- Should be registered with nationals of the Gulf Cooperation Council (GCC) owning at least 51% of the shares of the company
- A minimum of 40% of the manufacturing of the company should be completed within the free zone
Ajman Free Zone Companies List Allowed Business Setup in Ajman
- Ajman Free Zone Entity/ Establishment – is an independent corporate entity. And the minimum capital requirement is AED 185,000/-. The owner is liable to the extent of the capital
- Ajman Free Zone Company – The company is set-up by a number of natural or corporate people. And the minimum capital requirement is AED 185,000/-. The owner is liable to the extent of the capital
- Branch of a Local Company – Licenses are issued to the free zone companies which hold a valid license issued from any other United Arab Emirates licensing authority. No minimum capital requirements.
- Branch of a Foreign Company – Licenses are issued to companies already established outside United Arab Emirates. The company ownership is 100% foreign. The business activity can be industrial, commercial or professional/ services. Sales are made via a UAE registered agent or distributor. No minimum capital requirements.
Why Set Up a Business in AJMAN FREE ZONE
- Commercial Benefits
- Companies in Ajman Free Zone enjoy total exemption from customs duty for goods and services
- 100% foreign company ownership
- 100% repatriation of capital and profits
- No red tape
- Liberal economic policies and legal framework
- Labor cost is low
- Tax Benefits
- 100% corporate tax exemption
- 100% personal income tax exemption
- 100% import & export tax exemption
- Environmental Benefits
- Ajman Free Zone Authority has set business-friendly laws for companies
- The process for setting up a business in Ajman Free Zone is easy and cost-efficient
- The immigration process is simplified and quick for workers
- AFZA has provided single window clearance for multiple government services like licensing, visa services, immigration, etc.
- Infrastructural Benefits
- Companies enjoy land leasing for 20 years, renewable for another 20 years
- The energy supply is abundant and cheap
- No hidden charges
- Ajman Free Zone has pre-built offices, smart offices, and warehouses to facilitate companies
- Other Benefits
- No currency restrictions
- No quotas or foreign exchange controls
- Companies have 24-hour security service
- Simple staffing and recruitment procedure for employment by companies
- Companies have access to other services like bank, postal, and advanced communication facility