Alpha Management Limited

Jebel Ali Free Zone - The Benefits

Why form a corporation in the Jebel Ali Free Zone?

The benefits and incentives that the Jebel Ali Free Zone (JAFZ) offers those wishing to incorporate an offshore company in Dubai or move existing operations to within the scope of the free zone jurisdiction include:

  • 100% foreign ownership of the company
  • Import and re-export tax free operations
  • Personal income tax free operations
  • 100% allowance for the repatriation of all profits and gains
  • Corporate tax free operations for 50 years
  • Free recruitment policy
  • Ongoing administrative assistance from the free zone authorities
  • Unrestricted flow of Capital
  • Full Asset protection
  • Simple procedure for registration 
  • Minimum operating costs 

JAFZ - Five types of license

Companies approved for operation in Jebel Ali Free Zone are granted one of the following types of licenses, renewable annually as long as the company holds a valid lease from the Free Zone Authority:

  • General trading license - allows the holder to import, distribute and store all items as per Jafza rules and regulations
  • Trading license - allows the holder to import, export, distribute and store items specified on license
  • Industrial license - allows the holder to import raw materials, carry out the manufacture of specified products and export the finished product to any country
  • Service license - allows the holder to carry out specific services. The type of service must conform to the parent company's license, issued by the Economic Depatment or Municipality of relevant Emirate in the UAE.
  • National industrial license - is designed for manufacturing companies with an ownership of sherholding of atleast 51% AGCC (Arabian Gukf Co-operation Council)

JAFZ - Quite distinct legal status

Companies operating there are treated as being "offshore", or outside the UAE for legal purposes.

Documents needed to incorporate an offshore company in JAFZA

The following are required from all applicants:                                                        

  • Covering letter                                                                               
  • Application form
  • Memorandum & Articles of Association
  • Letter of appointment form the Registered Agents  

Alpha Management will assist in the provision and completion of the above

Further documents required from the client

INDIVIDUAL APPLICANT

  • Applicants personal profile (short CV)                                            
  • Passport Copy
  • Bank Reference
  • Proof of residence

NON-INDIVIDUAL APPLICATION:

  • Certificate of registration of the company (N&A)
  • Certificate of good standing of the company (N&A)
  • Memorandum & article of association (N&A)
  • Board resolution calling for the establishment of offshore company (N&A)
  • Power of attorney  (N&A)

(N&A) be Notarised and Attested by UAE Embassy

Frequently asked Questions (FAQ'S)

What are the reasons and benefits to set up offshore company?

To protect assets, manage risk, avoid bureaucracy, reduce costs enhance assets and security of property rights, use it as holding company. 

How many Directors can participate?

Company consists of at least two Directors and one Secretary. 

How many shareholders can participate? 

Minimum one shareholder. 

In which language are the documents prepared?

English 

Can the client perform their activities in the UAE?

The company cannot carry out activities in the UAE. They can however own property developed by Dubai World, Emaar and Dubai Holding. They also can own shares in an L.L.C  Company in the UAE. 

What is the minimum and maximum share capital?

Minimum share capital is 1 AED Dirham , there is no maximum