Ajman Free Zone
Ajman Free Zone is one of the oldest and best-known free zones within the UAE. It’s situated in the Emirate of Ajman about 40 minutes drive from Dubai.
This zone is located adjacent to a sea port and welcomes any businesses: starting from freelancers, ending with light manufacturing and trading companies.
As opposed to business setup in Dubai, Ajman Free Zone company setup is attractive to those who start a new business from scratch due to its competitive fees for young entrepreneurs and multiple installment payment plans.
OFFICES AND WAREHOUSES IN THE FREE ZONE
Ajman Free Zone Authority always has the following facilities on the list:
- Flexi–desks – available without monthly time limits
Flexi-desks and offices can be either located within the free zone headquarters or in a separate tower nearby.
The warehouses complex has significantly grown and covers all the area around Ajman Sea Port.
Customs and Immigration office are just across the road from Ajman Free Zone.
AFZA LICENSES AND ACTIVITIES
The free zone activities are grouped by industry sector categories:
- Food & Beverages
- Oil & Gas
- Health & Beauty
- Paper & Packaging
- Chemical Industry
- Advanced Technology
Ajman Free Zone offers the following license types:
- Commercial license
- Service license
- Industrial license
- E-Commerce license
- Freelancer license
- Pioneer license
- Offshore license
The Freelancer permit category was introduced in AFZA in 2019 and it allows having a license and a 3-year visa for the most reasonable costs. This license supports the following activity categories:
- Marketing Research Consultancies
- IT Consultancy
- Educational Consultancy
- Interior Design Engineering Consultancy
- Media Consultancy and Studies
- Woman Personal Care and Beauty
The Offshore license is intended for companies operating in a jurisdiction different from that of their incorporation. It includes activities such as Property Owning, Investments, Consulting & Advisory Service, Shipping, Individual Property, and others.
MULTIPLE PAYMENTS PLAN
AFZA is the only free zone in the UAE that officially offers multiple installment payment option. You can pay for the company in 2, 3, or 6 installments.
There are certain conditions set by Ajman Free Zone Authority to be met. The most important one is that the payment should be provided by post-dated checks from a UAE bank. So, if you go for 3 installments for Ajman Free Zone license, you can pay the initial one by cash and provide the remaining payments by 2 checks on the day of application for the company.
If you come from abroad, of course, you won’t have any checks from a UAE bank. In this case, you can use the checks of a friend or a relative, for example. But AFZA will ask him to sign a no objection letter to use his checkbook. Apart from that, you need to provide past 3 months bank statement as proof of funds.
AJMAN FREE ZONE COMPANY SETUP
Ajman company formation can be done within 1 working day.
The following documents and information will be required:
- Passport copy
- Passport-size photo
- Residential address, phone number, and e-mail
- Company name
- Business activity
- Business plan
You can hire business setup consultants in Dubai for your Ajman Free Zone company registration. It can be done without your visit to the free zone.
After the company is registered, you will receive your set of corporate documents:
- Chamber of Commerce registration certificate
- Lease agreement
- Memorandum (for companies with multiple partners)
These documents will enable you to apply for a corporate bank account in Dubai.
UAE RESIDENCY VISAS
The procedure of getting a resident visa under your own free zone company is almost the same as in all other free zones:
- Business registration – 1 day
- Establishment card (immigration card) – 10 days
- Entry visa – 5 days
- Medical checkup, Emirates ID, and visa stamping – 5 days
- Emirates ID – 7 days from the date of visa stamping
If you have processed your resident visa while being in the UAE as a tourist, you will need to change your status from tourist to resident after the entry visa is issued.
Company renewal cost will be exactly the same as registration fees.
Renewal can be done without a personal visit of the owner. Upon renewal, you will receive:
- New license
- Renewed lease agreement
- Renewed Chamber of Commerce certificate
Audit report is not required.
Amendments usually need to be done personally by company owners, but there is an option to authorize their representative too.
COMPANY LIQUIDATION IN AJMAN FREE ZONE
Company closure in AFZA is also rather low cost and easy to perform. You will need to get a few clearances first:
- From the bank that the account is closed
- From Ajman Maintenance Department of you rented a facility
You also have to close all resident visas in the company prior to its cancellation.
Liquidation can be done by the owner or his representative holding a Power of Attorney. All original company documents need to be given back to Ajman Free Zone. If you lose them, you need to go to the Police and get a report about that.
Liquidation takes about 1 month, after which you receive an official deregistration letter.
If any deposits were made under the company, you will get a refund after the liquidation is finished.
Ajman Free Zone is suitable for any business indeed and there is no reason not to recommend it.
It’s a great hub for small startups due to the lowest incorporation costs for them.
Larger businesses will enjoy the facilities and close distance to Dubai and Sharjah.