Ajman Free Zone Authority / AFZA | All you need to know

Ajman Free Zone Authority / AFZA | All you need to know April 24, 2020

Ajman Free Zone Authority was established in 1988 in Ajman, United Arab Emirates. The free zone

gives way to free zone company formation, offshore company formation, and foreign direct investment.

Currently, there are more than 12,000 companies operated in AFZA.

Ever since its formation, the Ajman Free Zone Authority provides a conducive business environment to entrepreneurs and potential investors. AFZA offers a cost-saving company formation options to

investors and provides a hassle-free business setup service. Recognizing the growing need of businesses to flourish in new areas like healthcare, retail, education, food & beverage, and technology, AFZA is actively focusing on these sectors and is flexible enough to accommodate new sectors.

Why choose Ajman Free Zone Authority     

Better connectivity doesn’t exist: Ajman Free Zone is well-connected globally through the waterways and airways. The Ajman port and Dubai, as well as Sharjah Airport, are in Free Zone’s proximity.

Easy to setup: Just choose your business type, fill the application, and submit the documents, make the payment, and get the license. The company formation process is fast as well as easier in AFZA.

100% company ownership: While setting up a business in Ajman Free Zone, you need not part your equity with anyone. You can hold all the company shares and have complete ownership.

Best Infrastructure: The AFZA offers Flexi desks, offices, warehouses, land, and onsite accommodation with optimum quality and best facilities.

Business-friendly laws: Repatriation of capital, as well as profit, is allowed completely. Moreover, companies are fully exempted from the corporate tax. The immigration policies for employees are simplified.

Type of Business Setups in Ajman Free Zone Authority Branch of a Foreign Company This license is provided to companies which are established outside the United Arab Emirates, and wish to establish a branch in the UAE. The business activities conducted by the company can be commercial, service-related, or manufacturing. The 100% foreign ownership is provided, allowing one to own the company fully.

Following documents are required to set up a branch of a foreign company in Ajman Free Zone Authority:

1. Company manager’s passport copy – must be valid for at least 6 months 2. Memorandum of Association Copy 3. Visa copy of company manager

4. A colored photograph of the company manager

5. Board Resolution copy 6. Trade license copy

Branch of a local company This license is provided to the local companies which are already established in the UAE outside Ajman Free Zone Authority. The ownership remains the same, and a suitable license is required according to the company’s activities.

There are a few essential documents which you need to submit while applying for a local company’s branch formation:

1. Trade license copy

2. Visa copy of company manager 3. Board Resolution copy

4. Company manager’s passport copy – must be valid for at least 6 months 5. Memorandum of Association Copy

6. A colored photograph of the company manager

Free Zone Company (FZC) In Free Zone Company Formation, corporate individuals are allowed to apply for a license. It is a limited liability company that strengthens the willingness of foreign investors to set up their company in Ajman Free Zone.

For Free Zone Company Formation, you require to submit the below-mentioned documents along with the application. After the verification and payment, the required license will be provided.

Free Zone Company (FZC)

In Free Zone Company Formation, corporate individuals are allowed to apply for a license. It is a limited

liability company that strengthens the willingness of foreign investors to set up their company in Ajman Free Zone.

For Free Zone Company Formation, you require to submit the below-mentioned documents along with the application. After the verification and payment, the required license will be provided.

Facilities and solutions in Ajman Free Zone Authority Flexi Desks As the workspace is an essential part of a business and putting the right cost for workspace is critical for start-ups and new organizations. The Flexi Desk gives an option to use the investment carefully by

providing the facility of a shared office. Ajmer Free Zone has no time limit on the usage of Flexi Desk.

Each desk is assigned to a company, and they can use it during the working hours.

Executive Offices

The executive offices are designed to cater to all the business requirements. They are spacious and can

be customized exactly as per your business setup. For flexibility and convenience, they are strategically located, making the work fun and fruitful.

Freelancer Hub

Besides Flexi desks, there is a dedicated freelancer hub that offers flexible co-working spaces, which lets one grow his business cost-effectively.

Onsite Accommodation

Ajman Free Zone Authority provides onsite accommodation so that companies can take great care of the employees to get optimum business results. For that reason, the onsite accommodation at AFZ is well facilitated. The living area is spacious and comes with centralized air conditioning, lavatories, prayer accommodation areas, laundry services, restaurants, and parking facilities.

All the time, security remains alert, and surveillance cameras are also installed. One room can fit up to

five employees. As the accommodation site is nearby offices, it saves unnecessary transportation costs and time. The utilities such as electricity and water are included in the rent.

Land and Plots

This is a suitable option for the companies looking for long term investment and planning to prepare their own facility as per their needs. The land space is provided as per the yearly lease plan.

One can get as much land as required, starting from 1000 m2. The land is well-connected with the roads

and paved pavements. The general utilities and telecommunication facility is present here. In AFZA, you get easy access to the workforce for construction, loading, and unloading requirements.

Warehouse

Warehouses are suitable for businesses having activities related to trade and manufacturing. The

warehouse comes with an inbuilt office space and eligibility for getting fourteen resident visas. It comes

with all utilities required, 24/7 security, and a parking facility. The minimum available warehouse space is 100 m2. You can even get forklifts, cleaning services, and Labor by paying a minimal extra cost.

Business Centre

If you can run your business with a shared space, the business center is the exact spot for you. Besides

co-working spaces, you get access to meeting rooms and lounger area for your clients. Business Centre is suitable for trading, professional, and commercial services.

General features      

You can get a furnished office and save yourself from putting huge efforts from establishing the office elements.

In case you wish to customize the office yourself, you can get the unfurnished office.

Each member can get to resident visas.

For your office security, 24/7 security and surveillance is setup.

150+ app services will help you to digitalize your business.

The Ajman port, Sharjah, and Dubai Airport and the primary highways are in convenient proximity.

AFZA: License Types Know about various license types available in AFZA

All you need to do is choose your industry, submit the application, make the payment, and you will

receive your business license according to your industry. In total, there are seven different licenses related to trade, industrial, and professional services.

Services License

Before getting the license, one needs to mention the kind of services business is going to provide to its clients. The businesses can only operate those services which are mentioned over the license contract clause.

Pioneers License This license is dedicated to the specific age group- from 20 years to 30 years old. The primary aim

behind introducing this license is to provide professional independence to the youth by empowering them. It is suitable for undergraduates, entrepreneurs, postgraduates, and start-ups.

Commercial License

There is a range of activities and products mentioned in the license clause. This license promotes Ajman Free Zone Authority as it gives the accessibility to a business to import, export, and distribute products related to the entertainment throughout the UAE. E-commerce License

This license is required when a company is involved in B2B and B2C electronic trading. AFZA provides value-added services that you can choose from their e-commerce packages.

Freelancer License

This is an inexpensive license having low rates and cost-effective renewal options. It is specially

introduced for the benefit of individual freelancers. However, there are forty categories offered by AFZ, and the individual must fall under any of them to become eligible for this license.

Offshore License

Offshore License is required for every company which is incorporated in a jurisdiction, which is different from the jurisdiction where the business activities are carried out. The offshore company formation in Ajman Free Zone Authority is beneficial to foreign enterprises conducting business all over the world.

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One can go for Offshore business setup in AFZA for the following activities: General Trading

Holding Company

Consulting Services / Advisory Services

Investments Company / Joint Investments Company International Services Property Ownership

Shipping Companies / Ship Management Companies Commission Agents

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Professional Services

Industrial/Manufacturing License Manufacturing License is essential for the industries which perform manufacturing of products within the free zone. It provides them the approval to import the required raw material, manufacturing the product, and exporting the product globally.

AFZA : FAQs 1) Is there any restriction implemented to the good’s import and export in AFZA? As per the rules and regulations of the Port and Customs organization of the UAE, one first needs to

request a Custom Code Letter through the AFZ portal. This will provide you permit to import and export goods.

2) Is there any grace period on license renewal?

Yes, one month grace period is provided to all the companies for the license renewal after the expiry date of the license.

3) Is it possible to change the license activity type?

Yes, one needs to raise a Service Request (SR) through the customer portal present under the client services option.

4) How to apply and obtain new visas for the employees?

Through AFZA’s online portal, first apply for “Entry Permit,” then go to the “Visa Status Amendment.”

You need to select the option- “New Residency Visa Stamping.”

N R Doshi and Partners – Company Formation Service

N R Doshi and Partners has experienced company formation agents when one talks about the mainland company formation, offshore company formation, or free zone company formation. Our agents have worked with different industries established in various free zones.

We can conduct the Ajman Company Formation service for you by taking care of the licensing and leasing process. Our business setup services in AFZA include consultation regarding the required

license, type of company you must form in Ajman Free Zone, and suitable workspace for you and your employees.

We even provide assistance in getting resident visas for your employees and their bank account

opening. By taking advantage of our efficient, fast, and facile company formation service, you can get started with your business in no time.