Discover 4 Benefits of Starting a Free Zone Company
Dubai freezone company formation can be beneficial in several ways. For example, UAE has strong partnerships with other countries. The country’s largest export is petroleum products. UAE company formation agents can handle the registration process for you. This way, you can focus on running your business. Another advantage of setting up a business in a free zone is tax exemption.
You don’t need to hire local staff:
Another major benefit of setting up a business in a free zone is that you don’t need to hire local staff or maintain an office in the UAE. You are also exempt from paying personal and corporate taxes in UAE. Additionally, you will not have to pay customs duties on imported goods. In addition, the bureaucracy in the free zone is minimal. It would help if you researched the rules and regulations of the free zone before starting your business in Dubai.
You have a tax exemption:
The UAE has no income tax but recently introduced a value-added tax or VAT. This indirect tax is also refundable, so companies can claim it for expenses related to running their business. The UAE also levies a corporate tax on oil companies and foreign banks but no other industries. Businesses registered in free zones are exempt from this tax. The UAE has different types of business ownership and tax categories, including the possibility of 100% tax exemptions.
Free zone offer office space, warehouses, and factories:
Free zones offer office space, warehouses, and factories, which help entrepreneurs reduce the time and money spent on establishing facilities. Furthermore, they assist in obtaining work permits for foreign workers, which can be a huge benefit to any business. The free zones also deal with all company registration procedures, enabling them to help their clients avoid the hassles of securing foreign employee visas. There are many benefits to setting up a business in a free zone, but the main advantage is that it is tax-exempt.
You can operate without any local partner:
Companies can operate in Dubai Free Zone without any local partner, allowing them to retain 100% of their ownership. It is also worth mentioning that UAE Free Zones allow full repatriation of profits. Because of this, companies in Dubai Free Zone can repatriate their profits to their countries. Additionally, they can also enjoy no corporate tax on their business revenue. They also do not have to pay any customs duties.