Company Formation in Dubai Airport Freezone (DAFZA)

The United Arab Emirates is currently one of the ever-developing countries in the world. It homes numerous national and international companies within its boundaries. Besides, many emerging industries like aviation, pharmaceuticals, trading, manufacturing, logistics, jewelry, IT, etc. have found their base in the UAE market. Additionally, UAE is still actively curating strategies to invite more foreign investments by providing incredible incentive packages to investors and entrepreneurs globally. Dubai Airport Freezone DAFZA is one such part of the government’s strategic plan to have an investment-driven economy.

DAFZA is indeed one of the fastest developing, most valuable exclusive Free Zone in Dubai for business proprietors. With its basic requirements, reasonable costs, and simpler methods, it provides a convenient and fast-track business setup in the region.

For more details about DAFZA company registration, DAFZA activities, and DAFZA license fees, keep reading.

Dubai airport freezone DAFZA

Dubai Airport Freezone was built as a part of Dubai International Airport in 1996. Hence, due to this immediacy, it becomes a primary choice for businesses involved in logistics and import-export activities. Also, it is one of the fewer free zones that provide a dual licensing facility with the Dubai Department of Economic Development(DED).

Dubai Airport Free Zone Authority (DAFZA) is the licensing authority that issues licenses for expatriate investors to operate their business within the Dubai Airport Freezone.

Additionally, there are various government services available within the jurisdiction, such as –

24*7 customs service
Banks
Notary
Telecommunications provider

Features of DAFZA company registration

Availability of inexpensive office facilities
Excellent infrastructure and amenities
Strategical location
Proximity to Dubai Airport
Quick licensing procedure
VAT exempted zone
No special requirements for share capital for branch company
Allows 100% ownership of the company
Ultra-modern industrial units
Fast operational efficiency
Availability of energy resources
Innovative storage and warehousing model
Zero operational hassle
Full repatriation of profits
No restrictions on foreign currency
Fast and efficient cargo clearance services
Single-window administration
Direct access to government services such as Immigration, Customs, Chamber of Commerce, etc.
Exemption from taxes as well as customs duty
Low freight charges
Free transfer of funds
Easy recruitment procedures
Efficient communication system
Liberal government policies and legal framework
Sponsorship facility for the skilled workforce

Activities allowed in Dubai Airport Freezone DAFZA

DAFZA allows the functioning of the following activities in the region –

Insurance
Legal services
Aircraft and spacecraft
Investment
Petrol, crude oil, and natural gas
Business/management consultancy
Travel and tourism
Transportation, shipping, and storage
Architectural activities and consultancy
Engineering activities and consultancy
Automobiles and spare parts
Metal and chemicals
Construction materials
Waste management
Machinery and equipment
Eateries
Electronics
Agricultural materials
Clothing and accessories
Advertising
Medical equipment
Household and furniture trading
Paper and packaging material

Facilities provided in DAFZA

DAFZA offers the following office facilities to the companies for convenient operation of the business –

Executive offices
Flexi-desk spaces
Storage units
Warehouses

Company structures permitted in Dubai Airport Freezone DAFZA

Free Zone Company (FZCO) – So, this form of business can be established with a minimum of one shareholder and a maximum of 50 shareholders. Besides, the shareholders can be individuals, corporate entities, or a mix of both.
Branch – A branch is basically a sub-division of an existing company, also known as the parent company. In other words, any existing foreign or domestic company can establish its branch in the free zone.

Business license available in Dubai Airport Freezone DAFZA

Trading license – This license allows companies to conduct trading activities, but on specific goods. Activities such as import, export, re-export, distribution, and storage of products.
Industrial license – Companies with an industrial license can carry out light manufacturing as well as industrial activities, such as packaging, assembling, etc.
E-commerce license – The holder of a commercial license can conduct the trade of goods and services through online platforms.
General trading license – Unlike a trading license, a general trading license allows companies to import, export, re-export, distribution, and store all kinds of products.
Service license – This license is designed especially for those entrepreneurs or professionals who provide services in a particular field of expertise. For example, IT services, management consultancy, web development, graphic designing, etc.

Services offered by DAFZA

DAFZA has a wide range of services to offer to its clients, which include –

Business setup services

Leasing
Licensing
Visa services
Dedicated government services

Business operational services

Information and communication technology
Security services
Interior and facility management
Other operational facilities, such as the food court, retail area, etc.

Online portal services

Also read the post: Do You Really Need To Apply for the UAE Influencer License?

Process to set up a company in Dubai Airport Freezone DAFZA

Although the process of incorporation is quite straightforward, the investor has to follow certain steps to initiate a business in the Dubai Airport Free zone. These steps are as follows :

Choose a business activity you wish to operate in Dubai Airport Freezone
Select a business structure you want to open, whether a Free Zone Company or a Branch office
Select the right business license based on the business plan and activity
Choose a facility that suits best your business requirements
Prepare the required documents including shareholder details and identification documents.
Make an application and submit the documents to the authorities
Prepare the tenancy contract for the office space
Pay the requested fee amount
Collect the license from the authorities
Apply for the UAE Residence Visa
Open a corporate bank account for seamless company transactions

To experience seamless company incorporation, it is best to take the assistance of business consultants of Shuraa who can properly guide you with the end-to-end company formation process.

Documents required for DAFZA Company Registration

DAFZA company registration application form
Letter of intent
Business plan
Existing company profile/trade license (for corporate shareholders)
Annual financial report, if required
Updated CV of the appointed manager
Copy of passport of the shareholders
CV of the shareholders
Original bank reference letter

License renewal

DAFZA offers a highly cost-effective and simple renewal process for businesses. So, all you need to do is submit an annual audit report starting from the second renewal of your company. Further, pay the renewal fee and submit the signed lease agreement of your office facility. The major advantage of this process is that you do not have to visit the UAE office to complete the formalities. Rather, you can get it done through a local agent.

Apart from that, DAFZA also allows companies to make amendments to their company registration details during the time of renewal. These amendments may include

Change of manager or director
Transfer of shares
Addition/cancellation of business activities
Change of company name

Business liquidation

While initiating the liquidation of the company, the shareholders must provide notice for liquidation three months before the expiration of their lease. You also need to complete certain tasks, such as –

Cancel the visas, if any
Close the bank account
Terminate the lease agreement
Advertise in the newspaper for business closure.
Pay the required government fee

In addition, you need to take clearance from the following departments –

DEWA
Dubai Customs DAFZA
Emirates post
Dubai Intelligence Department DAFZA
Compliance Health and Security Department DAFZA
Government Services Department DAFZA
Finance Department DAFZA

Furthermore, the company must appoint a liquidator, say an auditing company, to accomplish all these tasks. Besides, the whole liquidation process may take about a month to complete.

Also remember, the expense for the visas and advertising are to be paid separately. They are not included in the government fee for company liquidation.

Final Opinion

DAFZA indeed provides one of the convenient ways of business setup. Besides, it is a popular and reputable zone among all the free zones in Dubai. It provides an ideal base for foreign businesses with many exceptional facilities such as a business-friendly environment, world-class infrastructure, tax exemptions, total ownership, etc. Thus, establishing a company within a facilitated procedure and modern facilities in Dubai Airport Freezone DAFZA can be an excellent opportunity for investors.

However, for easy and convenient placement of your business idea in Dubai Airport Freezone, team up with the business setup professionals of Shuraa. Shuraa Business Setup provides end-to-end assistance in setting up your business in any part of the UAE. Moreover, our consultants hold expertise in assisting clients with all documentation and visa processes. They also take care of the license renewal, visa applications, audit report arrangements, and all other related activities.

To know more, call +97144081900 or send a WhatsApp message on +971507775554. You can also visit the official website of Shuraa or email at info@shuraa.com.