Dubai stands as a global business hub, and within its beating heart lies the Meydan Free Zone, established in 2009 under Ruler’s Decree No. 5. Now imagine this: a location minutes away from Downtown Dubai, with access to vital commercial hubs and major transportation links. It’s surely a strategic gateway for businesses. Here is an FAQ series to help you tread the path of setting up your business!
Q1: What is Meydan Free Zone, and why is it an attractive location for businesses?
A1: Meydan Free Zone (MFZ) is an economic free zone in Dubai, established in 2009 under Ruler’s Decree no. 5. Situated in a prime location near Mohammed Bin Rashid Al Maktoum City and the Dubai Logistics Corridor, it provides strategic proximity to vital commercial hubs and facilitates numerous business activities.
Q2: What are the advantages of setting up a business in the Meydan Free Zone?
A2: Meydan Free Zone offers several advantages, including:
- 100% foreign ownership for ex-pats and sole shareholders.
- Flexibility to operate through a flexi-desk.
- Strategic location near Dubai Logistics Corridor.
- Secure regulated environment.
- 50-year tax holiday on personal and corporate tax.
- 100% capital repatriation.
- Efficient licensing and registration procedures.
- Diverse business licenses for manufacturing/industrial, trading, and service activities.
Q3: How can businesses be structured in the Meydan Free Zone?
A3: Business operations in Meydan Free Zone can be structured as:
Branch of a foreign/local company.
Free Zone Sole Establishment (FZE) with one shareholder.
Free Zone Limited Liability Company (FZ LLC) with two to seven shareholders.
For FZE and FZ LLC, a minimum share capital of AED 100,000 and a bank deposit of capital are required.
Q4: What are the facility costs and types of licenses at Meydan Free Zone?
A4: The facility and license costs at MFZ include:
- One-time registration fees for FZE and FZCO – AED 10,010.
- Annual Flexi Virtual Office Lease – AED 6,000.
- Every 3-year Visa cost (per visa) – Approx. AED 4,000.
- Annual miscellaneous expenses – Approx. AED 2,000.
- Annual Manufacturing/Trading, Service License fee – AED 10,010.
Q5: Why is Meydan Free Zone the right fit for your business?
A5: Meydan Free Zone is a fantastic location for new businesses, offering a seamless startup process and numerous advantages, such as:
Tax exemptions.
Access to a dynamic market and growth opportunities.
Strategic location with cutting-edge services and infrastructure.
Q6: What documents are required to start a business in the Meydan Free Zone?
A6: The required documents vary for individuals and companies:
For individuals:
- Signed registration and application forms.
- Passport and visa copies.
- Bank reference letter.
- Three-year business plan.
- CV of owner or manager.
For companies:
- Audited financial report.
- Company profile.
- Board resolution and memorandum of association of the parent company.
Q7: What types of licenses, activities, and entities are allowed in the Meydan Free Zone?
A7: Meydan Free Zone offers various licenses, activities, and entities:
Possible Business Licenses:
- Commercial License.
- Consultancy License.
- Media License.
Activities:
- Retail.
- Consultancies.
- Advertising.
- Communications.
Entities:
- Sole Establishments.
- Limited Liability Company (LLC).
- Branch Office.
Q8: What is the business setup cost in Meydan Free Zone?
A8: The business setup cost includes:
Application Fee – AED 520.
Registration Fee – AED 10,000.
License Fee – AED 10,000.
Establishment Card – AED 1,800.
Refundable Deposit – AED 10,000.
Q9: What are the benefits of operating a business in the Meydan Free Zone?
A9: The benefits include:
100% foreign ownership.
100% repatriation of capital.
Flexible facilities with no currency restrictions.
No minimum capital requirement.
Convenient and skilled labor pool.
No personal, income, or corporate tax.
Q10: What are the visa eligibility and fees for investors in the Meydan Free Zone?
A10: Meydan Free Zone companies are eligible for two visas, with no investor visas available. Various fees are involved, including application, registration, licensing, establishment card, and a refundable deposit, as mentioned earlier.
Q11: What is the governing law in the Meydan Free Zone?
A11: Businesses operating in the Meydan Free Zone are subject to laws set forth by the Department of Economic Development. These laws and regulations may vary based on the particular free zone jurisdiction.
Q12: How can I ease the process of setting up a business in Meydan Free Zone?
A12: To ease the process, it is recommended to reach out to Dubai lawyers, legal consultants, or business setup experts. They can provide tailored advice, assist with documentation, and ensure a smooth business setup process in Meydan Free Zone.
Embark on your entrepreneurial journey with confidence in Meydan Free Zone. For personalized guidance and legal support, consider reaching out to Dubai lawyers and consultants who specialize in business setups in this dynamic free zone. Your success story starts here!