UAE free zones - the perfect place for your business - Baltimore Post-ExaminerBaltimore Post-Examiner

UAE free zones – the perfect place for your business

The first free zone in the United Arab Emirates appeared in the 1980s in Dubai. It became a kind of tester who had to prove to the government that the influx of foreign investors into the country is possible if you offer them favorable business conditions. Few people believed in the positive result of this experiment, because at that time there were already enough offshore jurisdictions that offered businessmen from around the world ways to conceal income and reduce the tax burden.

The rulers of the United Arab Emirates took into account their mistakes and decided to act on the contrary: create soft tax policy zones with a simple and transparent registration procedure which would be used not as a tax haven, but as a field for business activities.

Today, Ras AL Khaimah free zone (RAKFTZ) is one of the best free zones in the UAE. Compared to other zones, it is quite young. The sheikh of this emirate, by his decree, created it only in 2000. But representatives of the management of this zone conduct their popularization activities in different countries: USA, Turkey, India, Germany, bringing to the market more and more new foreign investors.

And RAKFTZ has a lot to offer to foreign entrepreneurs: there are 5 theme parks on a huge area with everything you need for business activities: infrastructure facilities, registration agents, banks, transport connections, round-the-clock security and much more.

 

The advantages of opening an offshore company in Dubai

The offshore industry is a fairly developed phenomenon all over the world. Practically on all continents, there are economic zones in which foreign businessmen can register companies and open accounts in local banks without paying taxes.

The UAE government initially opposed turning into a classic offshore. Registration conditions for foreigners here were initially quite tough, all data was checked. Due to such a government policy, offshore company registration in Dubai will bring you the following benefits:

  • Data confidentiality – most states have signed an agreement that declared their readiness to share tax information with each other. The United Arab Emirates did not sign such an agreement and, despite some external pressure, are not going to do this in the near future.
  • Great reputation – offshore firms, schemes, and banks are associated with certain financial fraud by many entrepreneurs. Opening the same offshore company in the UAE, entrepreneurs can safely work without fear of reputational risks.
  • Presence of agreement on double tax exemption – the UAE has signed a similar agreement with several dozens of states, and the list continues to grow.
  • Stable political and economic climate – the UAE operates on a developed economic model, and the people immensely respect the government and authorities.

 

Ajman Free Zone – another great place to register an offshore company in the UAE

The Ajman free zone was founded in 1988 and received autonomy status in 1996 according to the decree of a ruler of the Ajman Emirate.

The Ajman free zone business setup offers competitive privileges and administrative support that enable companies to get good returns on their investments. A first-class infrastructure, flexible legal frameworks, tax breaks, and ideal logistics conditions make an investment in this free zone extremely efficient.

One of the most important factors of the Ajman free zone is its tactical location with such advantages:

  • The free zone is located opposite the Ajman Sea Port at the entrance to the Persian Gulf, which makes Ajman an ideal place to deliver goods to both western and eastern markets.
  • The nearest international airport is just 25 minutes from the Ajman free zone.
  • The modern international road network connects Ajman with neighboring countries.
  •  Proximity to Dubai and Sharjah provides access to four ports and two international airports.





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