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Company Incorporation in Ajman

Source: Kd International   |  Update: 03/04/2019, 14:31 (UTC+8)  |  Editor: Norman

Introduction

The Ajman Free Zone Authority (AFZA) was established in 1988 and is one of the fastest growing freezones in UAE. AFZA regarded as one of the most cost-effective free zones in the UAE for start-ups. Company registration in Ajman freezone grants easy access to four seaports and two international airports to the investors. 100% own company structure for investors and hassle-free registration process makes AFZA as one of the preferred freezone for the business community.


 


Free Trade Zone


License Types in Ajman Freezone:


1. Trading License

2. Professional or Service License

3. Industrial License

4. E- Commerce License (E- Commerce license offering by Ajman Free Zone is only for electronic trading and technical & marketing support activities or investors)

5. National Industrial License (A company operating in the free zone is awarded an Industrial license if it meets certain eligibility criteria. Basically, the business needs to be registered within GCC countries. Moreover, 51% of the shares need to be owned by GCC national(s) and accomplish at 40% of the process of manufacturing in the free zone)

6. Offshore License (Offshore company registering in Ajman are not permitted to do business in the freezone and UAE. Ajman offshore company only allows international business and not eligible to apply for the residence visa)



Permitted Legal Entities Ajman Free Zone Company Setup:


1. Free Zone Company (FZC) – A new business owned by 2 – 5 shareholders at a minimum capital investment.

2. Free Zone Establishment (FZE) – A new business owned by one shareholder and registered with a minimum capital investment

3. Branch of a Local Company – The parent company should be UAE based and have been in business for over a year.

4. Branch of a Foreign Company – A non-UAE based company can run a business in AFZA, however, the parent company should have been in business for not less than one year and only a registered distributor or agent in the UAE can make sales. The shareholder can conduct either a commercial, industrial, or professional service.



Benefits of Company formation in Ajman Free Zone:


1.Corporate Benefits


(1)  Complete (100%) foreign or business ownership

(2)  100% repatriation of capital and profits

(3)  Zero customs duty for goods or services

(4)  Low labour cost

(5)  Available 20-Year Land Contract renewal for 40 years with tax free operations



2.Business-Friendly Atmosphere


(1)  Liberal economic and legal policies

(2)  An economical wage structure and visa sponsorship

(3)  Competitive lease pricing

(4)  Low energy prices

(5)  Simple business incorporation

(6)  Highly competitive prices on the use of premises

(7)  Access to a wealth of manpower resources



3.Tax Incentives for Business Setup


(1)  100% corporate tax exemption

(2)  100% import and export tax exemption

(3)  100% personal income tax exemption



4.Business Infrastructure in Ajman Free Zone


(1)  Exemption from service charges

(2)  Competitive pricing on handling charges

(3)  The lowest tariffs in the region



Offshore Company


Benefits of setting up an offshore company in JAFZA:



1. No office space is mandatory

2. No residence visa

3. 100% tax free and 100% profit repatriation

4. Complete confidentiality and privacy

5. Only international business is permitted and no UAE sales or trading transactions

6. Easy incorporations and license renewals

7. Approved by all leading bankers in UAE