Learn how to complete the company formation process in Ajman Free Zone

All free zones in the UAE are known for being advantageous places to do business. Currently, there are 45 available free zones across the country. Among the best ones, you can find the Ajman Free Zone, in which you can form your company easily. Knowing more about the company formation process is essential to start building your business efficiently.

In this article, you will learn the information you need to know about this popular free zone. In addition, here you can learn how the company formation process is done and the benefits it offers. Also, you will find information about the requirements to complete the setup process, such as documentation and fees. Let’s observe:

1. A brief overview of Ajman Free Zone.
2. How many types of industries are operating in Ajman Free Zone?
3. What benefits can this free zone offer to investors?
4. How many types of licenses can you find in Ajman Free Zone?
5. How do investors complete the company formation process in this location?
6. What documents are necessary to complete the setup process in Ajman Free Zone?
7. The process to set up a single-owner company in Ajman Free Zone.
8. The required documents to establish a corporate owner company.
9. How much can cost to set up a company in this free zone?
10. Are there any other free zones in the emirate of Ajman?
11. How can Connectfz help you set up your business in Ajman Free Zone?

1. A brief overview of Ajman Free Zone.

The Ajman Free Zone location is on the Arabian Gulf coast, strategically located near 2 international airports and 4 seaports. Also, it has the advantage of being able to serve the eastern and western markets. Since 1988, this free zone has been operating and offering its services and space to local and international companies.

Due to its admirable reputation, Ajman Free Zone has become an influential leader in the UAE. Besides, its commitment to boosting new companies has given it several awards and recognitions in the last decade. Therefore, if you are interested in knowing more about the company formation in AFZ, keep reading this article.

2. How many types of industries are operating in Ajman Free Zone?

One of the reasons why Ajman Free Zone is popular is because of the variety of industries and sectors. In this location, you can find different business sectors operating and succeeding. Among the most common industries and business sectors, you can find and join the following ones:

• Automotive industry: AFZ is home to 96 companies involved in the development manufacturing, design, marketing, and selling of motor vehicles.
• Food and beverage: this industry is one of the largest ones in the free zone. Currently, there are more than 430 food companies operating in Ajman Free Zone.
• Education: in AFZ, you can find 170 education-based facilities that are suitable for institutes, research centers, universities, etc.
• Oil and gas: more than 70 companies related to this industry are operating in AFZ. This free zone has the proper equipment to deliver integrated solutions to these companies.
• Media industry: due to the modern facilities it offers, AFZ is a media hub in the Middle East. This free zone is home to more than 200 media-related companies, agencies, and outlets.
• Other popular sectors: construction, health & beauty, agriculture, paper & packaging, jewelry, textile, marine, chemical, trade, sports, etc.

Here you can learn how investors like you can form a company in a Sharjah free zone.

3. What benefits can this free zone offer to investors?

During the setup process, investors can obtain several benefits to boost their businesses effectively. For example, these are some of the advantages that you can use to fulfill your business needs:

• 100 percent of foreign ownership.
• Complete repatriation of profits and capital.
• Full exemption from income, personal, and corporate tax.
• The labor cost is very low.
• There are no currency restrictions.
• There are no quotas or foreign exchange control.
• Total exemption from import and export customs duty for services and goods.
• An easy setup process and fully digitized setup for business if necessary.
• This location has liberal economic policies and a legal framework to allow companies to operate easily.
• Ajman Free Zone offers a land leasing period of up to 20 years, which is renewable for another 20 years.
• Investors have access to major seaports and airports of the UAE due to its proximity to Sharjah and Dubai.
• It is easy to recruit new employees and you can have access to high-qualified candidates.
• All investors can obtain smart offices for startups along with state-of-the-art communication facilities.
• Large industries can use lands at reasonable rates.
• World-class infrastructure including strong connectivity through a federal network of highways.
• You can have access to other services and facilities, such as bank services, postal services, and 24-hour security services.

Here you can learn how to set up your business in Umm Al Quwain Free Trade Zone.

4. How many types of licenses can you find in Ajman Free Zone?

Before setting up your company, you must choose between the available business licenses according to your business activities. In the Ajman Free Zone, you can find the following licenses available for investors like you:

• Commercial license: it allows you to export, import, and distribute products throughout the country. Besides, it is the cheapest license in the free zone. It costs around AED 3,200.
• Services license: it allows companies to provide their services. For instance, consultancy services, accounting services, and more. It costs AED 6,500 approximately.
• Industrial license: with this license, companies can import raw materials to manufacture them. Moreover, it allows them to export finished products abroad. This license costs around AED 9,100.
• E-commerce license: on the other hand, this license allows you to perform e-commerce activities, including e-trading. This license costs AED 10,000 approximately.
• Freelancer license: some packages may include the Ajman Free Zone freelance visa. Besides, this license is one of the most affordable ones. Its cost starts from AED 6,000.
• Pioneers license: unlike other licenses, this license’s purpose is to empower youth and enable professional independence. Only people between 20 and 30 years old can obtain it. It costs AED 5,000 approximately.

Here you can learn about the professional license in Dubai and how to obtain it.

5. How do investors complete the company formation process in this location?

Firstly, you need to gather all the required documents and approvals. You can obtain the approvals only after submitting the documents to the AFZ authorities. Secondly, you must apply for the registration and visa processes. Thirdly, determine your type of entity, your company name, and your business activities. And lastly, apply for your business license and start operating your company.

Remember that you can complete this process along with a business setup partner. This way, you’ll be able to make the process more efficient and without spending too much time. Besides, it could make the procedures easier during the company formation process.

Here you can read our step-by-step guide to set up your company in Ajman Free Zone correctly.

6. What documents are necessary to complete the setup process in Ajman Free Zone?

Several types of documents are necessary to form a company in AFZ. For example, these are the main documents that you will need:

• A passport copy of the manager with at least 6 months validity.
• 6 or 8 passport-sized colored photos with white background.
• If the applicant has a valid residence in the country, the No Objection Certificate will be needed.
• In case of applying for a professional or e-commerce license, it’s necessary to submit a small business plan.
• If you’ll establish a foreign company branch, it’ll be necessary the Certificate of Incorporation of the parent company.
• In case of establishing a local company branch, you’ll need a copy of the trade license.

7. The process to set up a single-owner company in Ajman Free Zone.

During the first step, the business owner’s passport copy is the only necessary document. And then, other documents will be required, such as:

• A small business plan including products, finances, markets, special services, and other elements. This is in case you want to get a consulting or professional license.
• Provide a detailed process description in case you desire to obtain the industrial license. Besides the description, you also need to provide safety and environmental data.
• Make sure if your desired business activity is allowed in the location. After that, you can be sure that the license will cover the activity. Also, it’ll let you know if other special approvals are necessary to continue the process.
• Submit the application for approval of your company name.
• Hire a legal manager for the company during the registration process.
• You’ll obtain the initial approval after the authorities approve the business name.
• Both the legal manager and the owner must sign all the documents, along with their passports and photographs.
• Complete the payments, receive your issued documents, and start operating your business.

Here you can learn about the general trading license in Dubai and how to apply for it.

8. The required documents to establish a corporate owner company.

In this case, you will need to submit the following documents:

• The Memorandum and Articles of Association.
• A shareholder or a board resolution to establish the new business.
• The certificate of Incorporation of the parent company.
• The Power of Attorney.

Also, keep in mind that these are in case the new company is foreign. And these documents must be attested from the UAE consulate in the home country of your firm.

9. How much can cost to set up a company in this free zone?

Setting up a company in Ajman Free Zone costs at least AED 5,000 per license. And the Ajman Free Zone license cost varies depending on the type of license and package. Also, the package cost may vary depending on the visa allocations and business activities.

For instance, if you choose the trading package eligible for 1 visa, the cost would be 13,500 approximately. On the other hand, the service package eligible for 1 visa costs around AED 16,100. The cheapest packages are the pioneer package (AED 5,000) and the freelance package (AED 6,000)

Here you can learn about the free zone company setup cost in Dubai free zones.

10. Are there any other free zones in the emirate of Ajman?

Besides Ajman Free Zone, you can also find the Ajman Media City Free Zone (AMCFZ). However, unlike AFZ, this location is dedicated to the media sector mostly. AMC is known for offering all the necessary services and packages to create media-related companies. Besides, it also offers a world-class environment, which ensures professional guidance for the new investors.

If you’re planning to form a media company, this is the most suitable free zone for you. Moreover, you can easily obtain the packages you need due to their low costs. Also, you can request the services and resources that the free zone offers to make your business grow.

11. How can Connectfz help you set up your business in Ajman Free Zone?

Forming a company in Ajman Free Zone can be an easy task with Connectfz by your side. With our services, you can build your business in a matter of time and without too much effort. Besides, we offer you affordable packages that include visas and licenses, helping you fulfill your requirements.

Also, you can request other services to help you make your company even more efficient. For instance, among our different services, you can find visa and government services, UAE market entry services, and more. Feel free to contact us and ask for our help in your quest for success in the UAE.

Would you like to contact Connectfz to know more about the company formation process in free zones such as Ajman Free Zone? If you have any questions, call us on +97143316688. You can email us at info@connectfz.ae, and you will talk to one of our representatives who will answer your questions.