The Umm Al Quwain (UAQ) Free Trade Zone has played a key role in changing the status of Umm Al Quwain from a calm backwater emirate to one of the preferred business setup locations in the UAE.
Business setup in the UAQ free trade zone offers a wide range of benefits to foreign investors such as strategic location, diverse business activities, tax advantages, cost-effective company formation, state-of-the-art infrastructure, and easy access to international trade routes.
Foreigners need not worry about the setup procedures as business setup consultants can help them establish a presence in the UAE. This blog explores the features of company formation in the UAQ Free Trade Zone:
Benefits Offered by UAQ Free Trade Zone
If you are thinking about setting up a new company in the UAQ Free Trade Zone, you may consider the following benefits:
Designated Free Zone
The UAQ Free Trade Zone is a designated free zone, which means you can avail of 0% corporate tax rate, reliefs and incentives compared to normal free zones.
Ownership Control
Companies registered in the UAQ Free Trade Zone can enjoy 100% ownership. It means they are not required to have a UAE national as a local partner or sponsor.
Special Concessions at Seaport
The free zone provides special concessions at the UAQ seaport, which is a logistical advantage for companies engaged in import and export activities.
Establishment Card
The UAQ Free Trade Zone gives a lifetime establishment card at no additional cost. This business setup benefit offered by the UAQ Free Trade Zone gives significant savings for businesses as they are not required to renew and pay for such services regularly.
Robust Infrastructure
The free zone offers robust infrastructure including office spaces, co-working spaces, land plots, warehouses, staff accommodation etc. The free zone is currently developing (as of October 2024) 350,000 sq ft of warehouses in various sizes, alongside an additional 65,000 sq ft of commercial space.
More Business Activities
Investors can choose from 1500+ business activities in the UAQ Free Trade Zone.
Affordable Startup Options
UAQ FTZ offers low-cost business setup options, making it easier to get your venture off the ground without breaking the bank.
Licenses Permitted in UAQ Free Trade Zone
Commercial License
If your business activity involves the purchase and sale of goods within or outside the UAE, you need to get a commercial license from the UAQ Free Trade Zone Authority. This license is required for activities such as the import, export, storing and distribution of items permitted on the license.
General Trading License
A General Trading License permits businesses to trade in any commodity permitted within the UAE.
Service License
The UAQ Free Trade Zone offers Service Licenses to help service companies to incorporate companies, market and distribute their services.
Freelance Permit
Individuals can operate as freelancers in the UAE by applying for a freelancer permit issued by the UAEQ Free Trade Zone. Unlike the traditional business setup system in the UAE, a freelancer conducts business in his or her birth name as opposed to a brand name or company. The UAQ Free Trade Zone freelance permit covers sectors such as technology, media and film sectors.
Industrial License
If your business involves the process of manufacturing and production, where natural material is transformed into finished goods, you must obtain an industrial license. Companies operating under an industrial license must have a physical office or a warehouse.
The UAQ Free Trade Zone offers leasable land units at affordable operating costs. You can get the cost of licenses and warehouses from business setup advisers operating in the UAE.
Hire Best Business Setup Consultants in the UAE
The UAQ free trade zone offers excellent infrastructure, cost-effective licenses and tax incentives for investors. However, experienced business setup consultants can make the process easier for those seeking to establish their presence in the UAE. Jitendra Business Consultants (JBC) is one of the leading business setup advisers headquartered in Dubai.
