Ajman Free Zone Authority (AFZA)

ajmanfreezone

Ajman Free Zone Authority (AFZA) was established in 1988 and was granted independent status by H.H. Sheikh Humaid Bin Rashid Al Nuami, Ruler of Ajman.

The development of AFZA has boosted industrial activities in the emirate of Ajman, resulting in thousands of companies presently being housed in the free zone.

AFZA’s strategic location at the doorway to the Arabian Gulf means easy access to both western and eastern markets. Ajman is easily accessible from two international airports and four seaports. The international airports are within 30 minutes’ drive from AFZA. AFZA is located next to Ajman Port, which serves over 1000 ships per year. Highways connect AFZA to other emirates. Sharjah is adjacent to Ajman and Dubai is only 12 km away.

Where is it located?

PO Box 932
Shaikh Rashid Bin SaeedAl Maktoum Street (opposite to Ajman Port)
Al Bustan
Ajman
United Arab Emirates
Tel: 00971 67011555
Fax: 00971 67429222
Website: www.afza.gov.ae 

Describe the kind of businesses here?

  • Formation of companies
  • Issuing of licenses
  • Services provided to existing clients 

Formation of Companies

Free Zone Establishment (FZE)

  • An independent corporate entity
  • Minimum capital requirement: AED 185,000
  • The owner is liable to the extent of the capital 

Free Zone Company (FZC)

  • The company is set up by a number of natural or corporate people
  • Minimum capital requirement: AED 185,000
  • The owners are liable to the extent of the capital

What are the advantages of setting up business here?

  • 100% foreign ownership
  • Zero corporate tax
  • Zero income tax
  • Zero tax on imports and exports
  • Strategically located
  • World-class facilities and services
  • Fast-track company setups
  • Streamlined, simple transactions
  • Trade licenses issued in one day
  • Energy efficiencies
  • Skilled and low wage labour
  • 24/7 client accessibility to facilities
  • 24/7 security

What are the procedures for establishing a business here?

Procedure for Applying for Company Registration and Business Licenses:

  1. The client fills in the application form and submits it to AFZA, together with the necessary documents (see below a list of documents required).
  2. The application form is registered at the registration office, and the submission date noted on the application.
  3. Applications are processed on the same day of submission.
  4. The client is notified of AFZA’s decision on the same day.
  5. AFZA notifies the client if the application has been approved or not. Once all requirements have been met, and fees settled, the business license is issued.
  6. If AFZA rejects the application, the applicant is notified in writing of the reasons for rejection within 15 days of notification of the rejection.
  7. AFZA reviews any opposition and issues its final decision within 30 days from the date of submission of the opposition.

Documents Required with the Application Form: 

Free Zone Establishment (FZE)

  • Passport copy – valid for at least six months
  • Coloured photograph
  • No Objection Letter from sponsor if the applicant is a resident of UAE
  • Feasibility study – submitted for industrial & services companies
  • Capital requirement: AED 185,000 

Free Zone Company (FZC)

  • Passport copy for each partner – valid for at least six months
  • Coloured photograph of each partner
  • No Objection Letter from sponsor if the applicant is a resident of UAE
  • Feasibility study – submitted for industrial & services companies
  • Capital requirement: AED 185,000 

Branch of a Local Company

  • Passport copy for the representative or manager – valid for at least six months
  • Coloured photograph
  • Original Trade License
  • Original Membership Certificate from respective Chamber of Commerce
  • Original Commercial Registration Certificate
  • Feasibility study submitted for industrial & services companies 

Branch of a Foreign Company

  • Passport copy for the representative or manager – valid for at least six months
  • Coloured photograph
  • Registration Certificate from relevant authority in the country of the company’s incorporation
  • Company’s Contract of Association
  • Resolution issued by the relevant authority for the company’s activity in the free zone and appointment of a representative or manager by Power of Attorney
  • Feasibility study submitted for industrial & services companies

What is the cost of setting up business here? 

Offices

Features of AFZA’s Offices:

  • Yearly renewable lease
  • Capital: AED 185,000
  • Telephone line
  • Fax line
  • PO Box address
  • Internet connection
  • 24/7 security
  • Cleaning services
  • Car parking

Smart Office Packages

  • Trading License Package – One Activity
  • Trading License Package – Two Activities
  • Trading License Package or Service License Package – Three Activities
  • General Trading License Package
  • E-Commerce License

Visa Charges

Companies with Smart Office packages are allowed two visas.

Cost for 3 years Resident Visa:

  • 2000 AED + 2000 deposit (refundable) for Owner/Partner
  • 2000 AED + 2000 deposit (refundable) + one month’s salary deposit (refundable) for employees

Capital Required: AED 185,000

Smart Office Package Includes:

  • Smart office rent
  • Business license
  • Services, maintenance, sewage,
  • Signage
  • Establishment card for immigration
  • Telephone line (monthly bill paid by the client)

Payment Terms:

One paymentadvance payment

Two payments 1 payment in advance and the balance paid by a post-dated cheque after six months. Cheques to be presented on the formation of the company.

Three payments 1 payment in advance and the balance to be paid by two post-dated cheques, one after four months and the other cheque after another four months. Cheques to be presented on the formation of the company.

12 payments 1 payment in advance and the balance by 11 post-dated cheques to be issued for each month. Cheques to be presented on the formation of the company.

Note: If the company is a partnership company, a one-off attestation fee of AED 1000 is applicable.

Executive Office Package

Click the link below for types of licenses, activities, fees and payment options:

http://bit.ly/2cEcFVE

Payment Terms

Clients should visit AJFZ’s website http://www.afza.gov.ae/en for further details if they wish to see the payments terms offered (1, 2, 3 or 12 installments).

Visa Charges

Companies with Executive office packages are allowed five visas.

Cost for 3 years Resident Visa:

  • 2000 AED + 2000 deposit (refundable) for Owner/Partner
  • 2000 AED + 2000 deposit (refundable) + one month’s salary deposit (refundable) for employees
  • Capital Required: AED 185,000 

Executive Office Package Includes:

  • Executive office rent
  • Business license
  • Services, maintenance, sewage,
  • Signage
  • Establishment card for immigration
  • Telephone line (monthly bill will be paid by the client)

Notes:

  • If the company is a partnership company, a one-off attestation fee of AED 1000 is applicable.
  • A deposit for non-industrial companies, which is refundable, also needs to be paid.

Warehouses

AFZA’s warehouses are located in an area covering 5 million square feet. There are 286 warehouses of various sizes. All warehouses are fully equipped with all required facilities. Housing facilities for workers are located close by. 

Cost of Rent

Size – area square metres Yearly Rent AEDPer square metre
100 350
115 350
200 325
225 300
250 300
280 300
330 300
500 300
1000 300

 

Category Yearly Cost AED
Commercial License  
One Activity License 3900
Two Activity License 5200
Three Activity License 6500
General Trading License 9100
Service License 6500
Industrial License 9100
National Industrial License 9100
Other Fees  
Maintenance 15 per square metre
General Services 1000
Sign Board 1000 (one payment)
Refundable Deposit 5000 (one payment)

Note: if the company is a partnership firm, a one-off attestation fee of AED 1000 is applicable.

Plots of Land

AFZA provides plots of land starting from 2000 square metre for the annual rent of AED 20 per square metre.

 What is the distance from various landmarks to this location?

AFZA to Dubai –  40.4 km

AFZA to Downtown – 41.1 km

 

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