Foreign investors, expats, and entrepreneurs from all over the world have started their businesses in Dubai and its free zones. UAE has been the best place to start a business and have it succeeded. But will all the booming businesses in Dubai and its free zones, the question now is: Where would it be the cheapest and most affordable place to start up a business.
With the busyness of the business sectors in the free zones, you might wonder if it is worth the time and money to establish your own business.
It is quite notable that government support for foreign investors has always been present. You have all the legal support from the UAE Government. You can get licenses hassle-free. Dubai indeed is the best city for young and promising investors. To cut the story short – Yes! You can get an affordable business startup in the free zone – perfect for new-age investors because it is cost-effective.
Cheapest Free Zones in the UAE
There are more than 30 free zones in the UAE that are affordable to a starting entrepreneur. You can choose from different business activities that suit your specialty. Do take note that each of the free zones has its own set of laws. With each jurisdiction, you need to understand that the business requirement may vary as well. Here are 5 of the Most Affordable Free Zones worth mentioning:
- Jebel Ali Free Zone (JAFZA) – It is located on the far west side of the city. It is considered one of the largest free zones in the world. Most manufacturing and trading companies are located here. It was established in 1985 with 17 companies. It has proven to be an attractive option for different business activities because of its proximity to the port and it is VAT free. Today, there are around 7500 companies in JAFZA.
Strong Points JAFZA
- Location – best for manufacturing and trading
- Tax Exemption
- 100% Ownership
- No Capital Repatriation and No VAT
- Home to Fortune 500 Companies
- Dubai Multi Commodities Centre (DMCC) – It is considered as the world’s no. 1 free zone and center of global commodities trading. They say it is the heart of Dubai. This free zone is made for trading and has everything a business needs to build and grow. It was crowned ‘Global Free Zone of the Year‘ by the Financial Times Magazine.
Strong Points of DMCC
- Unique Combination of Residential and Commercial Properties
- Top-tier commodities and financial services
- Most interconnected, innovative infrastructure
- Dubai Silicon Oasis (DSO) – THe Dubai Silicon Oasis Authority is designed as a hi-tech ecosystem. It offers a wide range of benefits for a technopark region. It is considered to be the ONLY technopark that has a living and working integrated community.
Packages and Incentives of DSO
- Low Cost of Operations
- State of the Art Infrastructure
- Tier III Data Center Facilities
- Fast Track Business Set-Up
- Dubai Media City (DMC) – Dubai Media City is a free zone that boasts of its most credible media community that houses several local and global media brands. It is best for freelancers, startups, SMEs, and even large enterprises. It is also known as “The capital of Arab Media 2020”. It has more than 24,000 business professionals and 1600 business partners.
- Integrated Infrastructure and supportive environment
- Fertile ground for Media development and the Digital Industry
- Dubai Airport Free Zone (DAFZA) – The DAFZA is Dubai’s gateway to the Middle East. It has unrivaled access to Europe, the Far East, and Indian Subcontinents compared to other free zones in the UAE. It is home to 17,000 professionals and 1800 registered companies. It is Dubai’s dynamic business hub located at the very heart of the global trading industry.
Benefits of DAFZA to Foreign investors
- Direct access to the world’s busiest airport
- Only with a minimum capital of AED 1000
- 100 percent foreign ownership (No need to partner with a UAE national
The cheapest Free Zone to start a business in Dubai all boils down to what your business activity is. You can browse all the offerings of each of these 30 free zones and take your pick. Dubai is an investor-friendly city. It is just waiting for you to take the next step.