There is a piece of good news for the businesses that are looking to set up a company in the United Arab Emirates. DP World, which is the owner of the Jebel Ali Free Zone, has reduced the cost of the license fee. These cuts relate to the Administration and the registration associated fees in the Free Zone, and the cut will be about 50 – 70 per cent of the previously applied cost.
This is an excellent opportunity for people all over the world which are looking to initiate a business in the Jebel Ali Free Zone. Here is all you need to know about the Jebel Ali Free Zone (JAFZA).
Jebel Ali Free Zone (JAFZA)
Jebel Ali is considered as the biggest free zone in the United Arab Emirates and is regarded as home to a number of businesses such as production houses, storage units, manufacturing companies etc. The free zone is also considered as a significant hub for logistics for businesses all over the world. The free zone is spread over 57 square kilometres, and the various shipping lines present here contribute almost 23.9 per cent of the Foreign Direct Investment (FDI) which comes into the country.
The free zone not only provides a conducive business environment but also generates employment for man people in the country (almost 150,000 jobs). This free zone contributes nearly 21 per cent of the Gross Domestic Product (GDP) of Dubai and is also responsible for a trade of almost $ 87.6 billion.
Located near the largest deep seaport in the Jebel Ali region, this free zone is best suitable for an import and export business. This free zone is accessible via roadways with the Dubai Metro Redline. The free zone acts as a catalyst for the many small businesses and provides them with unprecedented opportunities for growth.
Types of Licenses in JAFZA
Every business requires to have the related licence so that the business can start its activities. There are many types of licenses available to businessmen in the Jebel Ali Free Zone such as:
A trading license will allow the holder to import, export and distribute the items which are specified on the license. The businesses which are looking to incorporate a business in the import and export of goods or any retail business must hold a trading license in the Jebel Ali Free Zone.
2.General Trading License
The holder of a general trading license will have the ability to perform a broader range of activities on a broader array of items or products which are mentioned in the license.
The holder of a services license can perform legal and professional activities, which are specified in the license, in the JAFZA region.
This license is essential for a business is looking to set up a logistic or an import or export business in the Jebel Ali Free Zone. Gaining an industrial license will allow the holder to carry out the manufacture of a product and also export the said product. This license will also enable the business to import raw materials.
5.National Industrial License
A national industrial license is a type of license which is issued to a manufacturing company which has at least 51% Gulf Cooperation Council (GCC) ownership of the company.
This license will allow the holder to avail specified logistic services which will include transportation, storage, distribution, sorting, clearing and forwarding activities, inventory management and various other services.
An E-Commerce license will allow buying and selling of several goods and services with the help of electronic networks or any other electronic means.
With the availability of so many business licenses in the free zone, there are enormous opportunities for businessmen all over the world. We can all agree that for setting up a business, we will require financial services such as Auditing services, Accounting services, tax-related services, etc. Availing such services will help the company to understand the present economic condition of the company and will also help in deciding a future path for the business.
Approved Auditor in JAFZA
The free zones require that the management must approve the firm conducting an audit of the company in the free zone of the free zone. The approval of the Chartered Accounting Firm by the administration will allow the businesses to have a sense of confidence that their business was in good hands.
The conducting of Auditing services is very important for deciding the health of a company. It is the duty of an approved auditor not only to analyse the business data but also to take care of the financial aspect of the business. As the management has approved the auditor of the free zone, there will be easy and frequent to and fro communication between the business and the authority.
You were looking for a financial consultancy which will conduct a detailed audit of your company and will also provide essential services such as Accounting, Bookkeeping, Payroll, VAT and Tax related services? You don’t need to look ahead as the answer is in front of you.
JAXA Chartered Accountants are a reputed consultancy firm in the United Arab Emirates. It is an ISO 9001-2015 certified firm and is dedicated to providing financial services to the business which will help the business to gauge their financial standing and take future decisions about their company based on this data. JAXA will also provide services such as Accounting, Tax and VAT related services, Payroll services etc. For more details, Contact Us. We will be happy to help.