You can also open a mainland branch of your company to trade with Dubai-based businesses. E-commerce enterprises based in free zones can utilise a delivery partner or a courier to deliver items in the UAE. Look for a free zone partner who can help you transfer goods around the UAE.
Benefits
There are numerous advantages to starting a business in a Dubai free zone. Here are a few examples:
- Your company will benefit from expert help
Dubai’s free zones are designed to appeal to entrepreneurs, offering a variety of benefits and assistance as you start your business.
- Income tax rate of 0%
Being headquartered in a Dubai free zone offers a variety of tax advantages, allowing you to keep more of your income. Excluding foreign products sold to the mainland, business owners can benefit from a 0% income tax rate and no customs duties. In a non-gated free zone, however, VAT still applies.
- Foreign ownership is 100 per cent
Unlike mainland enterprises in Dubai, free zones allow 100 per cent foreign ownership, making them more appealing to foreign-owned businesses.
Therefore, you must choose the meydan free zone to uplift your business in Dubai.
Is it possible for a free zone corporation to sell in the UAE?
Yes, a free zone corporation can sell directly in the UAE as long as no physical goods are sold. A service-based corporation, for example, can sell its services directly in the UAE. A free zone corporation, on the other hand, cannot cooperate with any government entity. A free zone corporation is also unable to sell items directly in the UAE, albeit this is a more ambiguous situation with many workarounds.
Are you looking for a mainland logistics partner to help you distribute goods in the UAE? Working with a courier or delivery partner who can transport items for you is a possibility if you run an e-commerce business. Another alternative is to open a branch office on the mainland.
In Dubai, what’s the difference between a limited liability company (LLC) and a free zone?
The structure of an LLC is similar to that of a corporation, and it functions on the UAE mainland. Businesses can engage in any DED-approved commercial activity while remaining completely risk-free. A free zone, on the other hand, is a special economic zone managed by the government in the United Arab Emirates. A free zone licence does not, in general, necessitate permission from outside agencies.
