Why Meydan Free Zone is the Right Fit for Your Business
For investors seeking new business opportunities, the Meydan free zone offers numerous advantages. Like many other free zones, businesses operating here are not subject to personal, income, or corporate taxes. This allows these entities to streamline their finances and enjoy profits that would not be possible under standard taxation regulations.
Additionally, investors owning companies in the Meydan free zone can return 100% of the profits to their nation of origin. With these incentives being a mere drop in a much larger bucket of advantages, it’s easy to see why so many investors choose the Meydan free zone as their prime location to conduct business.
Aside from the potent business and tax benefits, this free zone is strategically located with cutting-edge services and infrastructure, including state-of-the-art telecom support and high-speed internet connectivity to keep your business running at maximum potential.
The Required Documents You'll Need to Start Your Business in the MFZ
When forming your business in the MFZ, gathering all the documents necessary to submit your application is essential. This documentation can vary depending on whether you apply as an individual or a larger company with multiple shareholders. These documents include:
Signed registration and application forms (available on our website)
• A copy of passports and visas for the owner or manager
• An original reference letter from your bank with statements reach back at least six months
• A three-year business plan
• A CV of owner or manager
• Proof of address (This can be in the form of a utility bill)
• A copy of your Emirates ID
• A copy of any existing UAE trade license
• A notarized power of attorney, if a legal representative or agent is appointed
• Color copy of passport
• Name reservation with a minimum of three name choices
• Signed registration and application forms
• A three-year business plan
• An original bank reference letter and bank statements for six months
• Board of resolution appointing a manager or director
• A Memorandum of Association and Articles of Association of the parent company
• A notarized power of attorney for all shareholders
• Colored copy of passport and visa for manager or director
• Name reservation with a minimum of three name choices
The Types of Business Licenses, Activities, and Entities Allowed in Meydan Free Zone
When applying for a business license in the MFZ, it’s crucial to have a carefully researched business plan that covers several aspects of your proposed company, including the business activity you’d like to conduct and the legal form you’d like your company to take. We’ll cover these aspects below:
Possible Business Licenses
1. Commercial License
Commercial licenses give you the authority to operate retail stores, import and export goods, purchase and sell real estate, and much more!
2. Consultancy License
A consultancy license is dedicated to businesses that sell their products as services. This includes lawyers, consultancies, and medical professionals.
3. Media License
A media license grants owners the ability to conduct business in the media, marketing, advertising, and communication-based companies.
There are a significant number of business activities available in the Meydan free zone. These include:
Retail establishments make up a huge portion of the UAE economy.
Businesses that sell their consultative services are a popular option in MFZ.
Media-based activities like advertising and marketing operate under this activity.
News companies, radio, and more fall under the banner of this business activity.
The legal form for your company is a massive step in the business formation process. It will single-handedly dictate how your enterprise handles its legal affairs, including profits, losses, and assets. These entities can include but are not limited to:
1. Sole Establishments
A sole establishment is a legal entity operated by a single individual that controls all operations and bears responsibility for all profits and losses.
2. Limited Liability Company (LLC)
A limited liability company, or LLC, is a popular business form often recommended for companies aiming to sell goods within a particular jurisdiction. In the event of bankruptcy, an LLC limits the owner’s responsibility for debts accrued during the business.
3. Branch Office
A branch office is an extension of a larger established corporation. All responsibilities for a branch will fall under the legal structure for the parent branch.
Meydan Free Zone Business Setup Cost
Forming a business in the MFZ is a more cost-efficient jurisdiction compared to other free zones. Below, we’ve broken down the fees that you’ll encounter when submitting your business license application:
• Application Fee
The fee for your initial application will cost roughly AED 520
• Registration Fee
A registration fee of roughly AED 10,000
• License Fee
A licensing fee, charged per activity, will run another AED 10,000
• Establishment Card
An establishment card will cost AED 1,800
• Refundable Deposit
You will be charged a refundable deposit of AED 10,000
The Benefits of Operating a Business in Meydan Free Zone
As we’ve mentioned, Meydan free zone offers a large variety of lucrative business incentives and an expansive scope of business opportunities. These incentives include:
1. 100% Foreign Ownership
Meydan free zone allows foreign investors to own 100% of their company, including the assets and profits.
2. 100% Repatriation of Capital
Foreign investors have the power to return the entirety of their earnings, including profit and capital, to their home nation.
3. Flexible Facilities
Meydan offers an extensive selection of office space solutions, from physical offices to Flexi-desk options, with no limitations on shared usage.
4. No Currency Restrictions
Businesses operating in the MFZ are not restricted to a particular type of currency. Additionally, you can easily exchange any currency type through your local bank with no tariffs or restrictions.
5. No Deposit Requirement
Unlike other jurisdictions in the UAE, Meydan has no minimum capital requirement to start a business, allowing you to start your business with less startup capital.
6. Convenient and Skilled Labor Pool
The UAE is home to a large pool of skilled laborers, offering you a large selection of workers to help your business reach its maximum potential.
7. No Personal, Income, or Corporate Tax
In the MFZ, businesses are not subject to any person, income, or corporate taxes, allowing them to streamline their finances.
Frequently Asked Questions (FAQs)
- What is the visa eligibility for investors in the MFZ?
Meydan free zone companies are eligible for two visas, with no investor visas available.
- What are the fees incurred for company formation in the MFZ?
There are several fees involved in Meydan free zone company formation. These include an application fee, registration fee, licensing fee, an establishment card fee, and a refundable deposit. The pricing for these fees are noted in the previous sections of this page.
- Why would I prefer setting up a business in the MFZ over other jurisdictions?
There are a large number of benefits that companies enjoy under the Meydan free zone. Unlike mainland and offshore business setups, these companies retain 100% of their profits, enjoy no tax responsibilities, and have the ability to access state-of-the-art office facilities.
- If I’m not a UAE resident, what ID will I need to provide to register my company?
For foreign investors, you’ll need a copy of your passport and visa, as well as several other pertinent documents mentioned above.
- What is the governing law in MFZ?
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.
MSZ Consultancy is Your One-Stop-Shop for All Things Business!
1. What we do?
MSZ Consultancy is dedicated to being your headquarters for all your business needs. We have a comprehensive knowledge of business customs throughout the UAE and can provide thoughtful, quality consultative assistance for businesses of any size and type.
2. How we help?
Our team of experts are experienced in regional business operations’ customs, laws, and regulations. We want to help you navigate the ins and outs of business ownership in the Emirates! Whether you need assistance in completing Meydan free zone business setup, registering trademarks, or securing PRO services, we have the skills to help you stand above the competition!
3. Why you should choose MSZ Consultancy?
We are proud to have helped over 32,000 happy customers find their way in the UAE business world! Our team of specialists possesses an in-depth understanding of legal and business practices. They can carefully assist you in streamlining your business to maximize profits, minimize losses, and protect your assets! Regardless of whether you intend to start a new business enterprise or you’re simply renewing an existing license, we are the team to call. Choose a reputation that matters. Choose success. Choose MSZ Consultancy! Contact us today at +971 52 544 1248.