Umm Al Quwain Free Trade Zone was founded in 1987, but it became known to the public only after 2014 when it had undergone some restructuring and started marketing its services.
It is located in the smallest Emirate of the UAE but offers all the facilities that larger free zones are proposing.
There are various packages starting from zero visa companies, ending up with 1,2 or 3 visa options. Even if you start with zero visas package, it can be upgraded at any point in time. Packages can also be downgraded if you need to minimize the ongoing costs.
All packages come with a flexi-desk facility - a desk in a shared office, which serves as a minimum office requirement in the UAE.
Umm Al Quwain Free Zone offers offices and warehouses as well, which means it would suit any type of business.
The business activities list is quite broad. It has the following categories:
Every license can have up to 3 commercial activities if they are not related or 10 related ones. The consultancy segment allows 2 business activities per license.
You can have a dual Umm Al Quwain Free Zone license - it's an unbeatable offer of UAQ Free Zone. How does it work? You get a company setup with one category license and add another license from a different category for 2,500 AED only. For example, you open a trading company and add a consultancy license to it as an additional one.
UAQ freelance setup has a lot of activities for creative individuals, but it is worth to compare it with Freelance license in Dubai to make the right choice.
UAQ FTZ offers very reasonable fees for the companies registration and renewal. Umm Al Quwain Free Zone license fees start with 8,000 AED.
If you have a flexi-desk setup, you are saving a 5,000 AED deposit paid to the immigration for the E-channel system. UAQ stopped charging it for small companies.
Office rent prices start from about 35,000 AED including license fees.
Company registration can be done without personal visit. However, the shareholders need to sign incorporation documents and ship original hard copies to UAE for the incorporation.
The owners need to provide certain personal documents for business setup, such as:
Once the documents reach Umm Al Quwain Free Zone authority, your company will be registered within 1-2 working days.
Umm Al Quwain Free Zone visa is one of the most affordable visas in the UAE. All visas are valid for 3 years.
Umm Al Quwain residence visa fees (AED):
Free zone visa fee, AED | Medical checkup, AED | Emirates ID, AED | |
---|---|---|---|
Investor/Employee visa cost | 2500 | 637 | 370 |
Health insurance is not required for visa processing.
Visas for dependants can be obtained quite easily. Just remember that the main requirements for that include:
Resident visas can be opened remotely without your visit to UAQ. You can reside in any of the Emirates - you don't need to live in UAQ if you have a visa from there.
It may be challenging to get resident visas for citizens from so-called high risk countries, such as:
However, a security approval can be done prior to payment for the company registration to check the possibility of getting the visa. Keep in mind that the high risk list is frequently changing and also differs in various Emirates, so there is always an option to accommodate a person of any nationality.
Business setup in Dubai is usually recommended for such nationalities due to less immigration restrictions in this Emirate.
UAQ company renewal can also be done remotely just like the registration. You will need to make the payment and submit a new copy of flexi-desk lease agreement to the free zone.
Audit reports are not required.
Renewal is usually done within 2-3 days.
Upon renewal you will receive a new license and flexi-desk lease agreement.
Renewal costs are usually slightly less than the incorporation fees.
Possible amendments of the company include change of corporate name, business activity, shares transfer, change of manager/director, etc. Most of amendments can be processed remotely.
Shares transfer procedure would require either personal presence of the shareholders or a notarized Power of Attorney to a truster person, who can come on their behalf.
Company liquidation also requires either a personal presence of the owner or a visit of a PoA holder. You will need to return all original documents of the company to UAQ, make the payment and wait about 1 month for the procedure to be finished.
Government fee for liquidation is 2,000 AED, which is much lower than in the majority of other free zones.
To sum it up, UAQ is likely to suit almost any business activity. We recommend this Free Zone for those who need cheap and quick UAE business setup or residency and don't care about the location.
An alternative solution for those who did not find suitable activity in Umm Al Quwain Free Zone could be Hamriyah Free Zone company registration.
1 visa company
LICENSE TYPE | VISAS INCLUDED | TOTAL COST | |
---|---|---|---|
Freelance license | 1 visa | AED 15,809 $4,350 | download breakdown |
Non-visa options
LICENSE TYPE | VISAS INCLUDED | TOTAL COST | |
---|---|---|---|
Trading / Service / E-commerce license + Flexi Desk | no visas | AED 8,000 $2,200 | download breakdown |
Up to 2 visas options
LICENSE TYPE | VISAS INCLUDED | TOTAL COST | |
---|---|---|---|
Trading / Service / E-commerce license + Flexi Desk | no visas | AED 13,500 $3,700 | download breakdown |
Trading / Service / E-commerce license + Flexi Desk | 1 visa | AED 21,262 $5,850 | download breakdown |
Trading / Service / E-commerce license + Flexi Desk | 2 visas | AED 26,623 $7,300 | download breakdown |
Up to 3 visa options
LICENSE TYPE | VISAS INCLUDED | TOTAL COST | |
---|---|---|---|
Trading / Service / E-commerce license + Flexi Desk | no visas | AED 20,500 $5,650 | download breakdown |
Trading / Service / E-commerce license + Flexi Desk | 1 visa | AED 28,262 $7,750 | download breakdown |
Trading / Service / E-commerce license + Flexi Desk | 2 visas | AED 33,623 $9.250 | download breakdown |
Trading / Service / E-commerce license + Flexi Desk | 3 visas | AED 38,985 $10,700 | download breakdown |
Up to 2 visas company
LICENSE TYPE | VISAS INCLUDED | TOTAL COST | |
---|---|---|---|
General trading + Flexi Desk | no visas | AED 20,500 $5,650 | download breakdown |
General trading + Flexi Desk | 1 visa | AED 28,262 $7,750 | download breakdown |
General trading + Flexi Desk | 2 visas | AED 33,623 $9,250 | download breakdown |
Up to 4 visas company
LICENSE TYPE | VISAS INCLUDED | TOTAL COST | |
---|---|---|---|
General trading + Flexi Desk | 3 visas | AED 45,985 $12,600 | download breakdown |
General trading + Flexi Desk | 4 visas | AED 51,346 $14,100 | download breakdown |
Up to 2 visas company
LICENSE TYPE | VISAS INCLUDED | TOTAL COST | |
---|---|---|---|
Premium license + Flexi Desk | no visas | AED 20,500 $5,650 | download breakdown |
Premium license + Flexi Desk | 1 visa | AED 28,262 $7,750 | download breakdown |
Premium license + Flexi Desk | 2 visas | AED 33,623 $9,250 | download breakdown |
Up to 4 visas company
LICENSE TYPE | VISAS INCLUDED | TOTAL COST | |
---|---|---|---|
Premium license + Flexi Desk | 3 visas | AED 50,985 $14,000 | download breakdown |
Premium license + Flexi Desk | 4 visas | AED 56,346 $15,450 | download breakdown |
INDIVIDUAL SHAREHOLDER
Top 10 questions about Umm Al Quwain free zone company
No, a personal visit to the UAE is required as per the regulations of the UAE Central Bank. Local banks require this visit to verify the client's identity.
In most cases, you can obtain a debit card for your newly opened company, especially if there is only one shareholder. However, a credit card is usually issued against a fixed deposit. As for loans, banks may consider your eligibility based on your company's operations and profits. It is recommended to apply for a loan after at least one year of company operations.
Officially, the office of a free zone company should be located within the free zone where it is registered. However, if you need an office in Dubai, you have the option to rent space in a Business Center and use it on a flexible basis. It is important to note that the minimum required space (flexi desk) in the free zone cannot be canceled.
A flexi desk is a mandatory requirement for any company eligible for resident visas. It serves as the minimum physical office space that a company with individuals under its visa must have. Additionally, a flexi desk can facilitate bank account opening as banks require evidence of a company having some form of office or physical presence.
VAT obligations depend not only on the place of registration but also on where the business activities take place. VAT becomes applicable when the taxable turnover reaches AED 375,000. If a free zone company's trading activities take place abroad, the turnover is not considered taxable as long as the transactions occur outside the UAE. However, if goods are imported to the UAE, VAT at a rate of 5% must be added to invoices and paid.
The UAE is free from income tax. However, there is a 5% import tax on goods brought into the country and a 5% VAT on trading or service transactions that occur within the UAE.
On June 1, 2023, the UAE introduced 9% corporate tax, however, companies registered in UAE free zones are exempt from this tax if they do not make profits from activities on the UAE mainland or this profit is less than AED 375,000 per year. Branches of companies registered in free zones and carrying out activities on the mainland will be taxed at the mainland rate.
The suitability of a free zone company versus an offshore or mainland entity depends on your business model and requirements. However, a free zone setup offers advantages such as 100% foreign ownership, eligibility for resident visas, the ability to conduct business both within and outside the UAE, and greater favorability with banks compared to offshore companies. Additionally, free zones often offer flexi desk spaces instead of executive offices, making it a cost-effective way to start a business without unnecessary obligations.
While we strive to make the account opening process as smooth as possible, we cannot guarantee the approval as it ultimately depends on the bank. Each case goes through several bank departments for approval, and the bank may contact you directly for clarifications. Providing a clear picture of your business to the bank increases the chances of successful account opening. We do our best to prepare you and your company for a smooth and fast account opening process.
Your company should be renewed annually, and the cost is typically lower than the initial setup cost. The renewal fees depend on your company package, and you can obtain the price by downloading the Estimate from our website. Company renewal does not require the personal presence of the owner and can be done by your agent. After renewal, the new license must be presented to the bank to extend the bank account, which is included in our renewal service.
You have multiple options for fee payment. You can make payments via bank transfer, cash, or online using a card.
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