Business Setup in Umm Al Quwain Free Trade Zone.

Business Setup in UAQ FTZ - Umm Al Quwain Free Zone (UAQ FTZ) is comparatively a new Free Zone in UAE. The UAQ FTZ started operation in the year 2014. It is ideally located in the emirate of Umm Al Quwain which is witnessing high paced infrastructural, industrial and economic growth. The investor friendly business environment, low cost of living and labour are the unique advantages of Umm Al Quwain Free Zone.

UAQ Free Trade Zone ideally located with easy access to other emirates in UAE. It is only 45 minutes away from the Dubai International Airport. Sharjah International Airport is also easily accessible from the Free Zone. The proximity of UAQ FTZ to the above two international airports, advantageous Company Formation Packages and quick incorporation procedures makes the Free Zone an attractive choice to prospective investors planning to establish their business in UAE.

For knowing more about “Business Setup in Umm Al Quwain Free Zone (UAQ FTZ), please refer the FAQ and Answers given below:

What are the advantages of setting up a business in Umm Al Quwain Free Zone?

100% foreign ownership

0% corporate tax

0% personal tax

0% import and export duty

100% profit and capital repatriation

No currency restrictions

No restrictions on investment in any sector

Which types of business can be setup in Umm Al Quwain Free Trade Zone (UAQ FTZ)?

Umm Al Quwain Free Zone is ideal for setting up business of any size and nature. The sound infrastructure, transparent legal framework, low cost of living, low operating cost and low incorporation cost makes UAQ Free Zone an ideal option to setup any Micro Business, SMEs and Conglomorates in UAE.

What are the types of license issued in Umm Al Quwain Free Trade Zone?

UAQ FTZ issues the following types of licenses:

Commercial (Trading License)

Commercial license allows the license holder to carry out trading and commercial activities like import, export, storing and distribution of items or products specified on the license. A commercial license can include three similar products or ten similar product lines.

General Trading License

This license is much wider in scope as far as the activity and products are concerned. A general trading license holder has the freedom and flexibility to trade any line of product permitted in UAE. Restricted items requiring special approval from concerned authorities are not allowed to trade under this license.

Service License

This kind of license is issued to carry out service activities like logistics, courier service, insurance service, tour service, travel agency, car rental etc.

Consultancy License

This type of license is issued to professionals, craftsmen and artisans who are providing expert advice and professional support. Two similar activities can be included in this license.

Freelance License

This kind of license allows professionals to operate as a freelancer in individual’s birth name. Freelance license is suitable for technology, media and film sector professionals to play creative / talent / selected administrative roles.

Industrial License

Industrial license allows the license holder to engage in manufacturing and production activities. It includes importing raw materials or components to manufacture, process, assemble, package and export finished products.

What are the legal forms allowed to setup a company in Umm Al Quwain Free Zone?

Investors planning to setup a company in Umm Al Quwain Free Zone can select any of the following legal forms:

Free Zone Establishment (FZE) – is suitable for a business which is owned by a single individual or company. A  Free Zone Establishment has separate legal entity apart from its owner.

Free Zone Company (FZCo) – is suitable for those business having more than one share holder. The liability of the FZCo will be limited. A Free Zone Company can have two to fifty shareholders.

Branch of a Company – an existing company registered outside the Free Zone can setup a branch in UAQ FTZ. A foreign company can also setup a branch in Umm Al Quwain Free Zone. The parent company will be the 100% owner of the branch.

Is there any minimum share capital requirement to setup a company in UAQ FTZ?

FZE or FZCo shall have such amount of capital required to achieve its objectives subject to the minimum capital requirements stipulated by the Free Zone Authority. At present the minimum capital required id AED 300,000 which should be mentioned in Memorandum of Association and other legal documents. At present, you need not produce the proof of capital introduction.

What are the documents required to setup a FZE / FZCo in Umm Al Quwain Free Zone?

Duly filled application form

Passport copy of Shareholders, Directors

Passport copy of Manager

Proof of address of Shareholder

Memorandum and Articles of Association

What are the documents required to setup a Branch in Umm Al Quwain Free Zone?

Duly filled application form

Passport copy of Manager

Proof of address of Manager

Memorandum and Articles of Association

Certificate of Incorporation

Board Resolution and Power of Attorney

Mr. Baiju Masoodu is a Free Zone Business Set-up Consultant. Our ‘corporate service firm’ can advise and assist you to set-up a business in Umm Al Quwain Free Zone and other Free Zones in Dubai and UAE. For a free consultation & cost estimate, call me on: +971 50 214 1476 or mail me at: baijumasoodu@gmail.com

Reference:
UAQ FTZ

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