Ajman Free Zone

The Emirate of Ajman is located on the western coast of United Arab Emirates was formed by the Al Nuaim tribe, well known for their bravery, courage and wisdom who migrated to this region from Oman around 1775.

The Ajman Free Zone, a 30 minute drive from Dubai, offers the cheapest General Trading license in the whole of UAE. Ajman Free Zone is the only Free Zone that offers multiple installment payment plans (if you have a UAE bank cheque book). The Free Zone is most suited for Trading, professional and small industrial businesses.

Ajman do not have oil, and that makes it much faster and sharper in taking up the economic development at much early stage, Ajman continues to develop its infrastructure and broaden its economic base. The economy of Ajman in the past was mainly based on its strong maritime tradition - fishing and trade, though the wise Rulers always encouraged various other allied activities such as shipbuilding, pearl diving and trading.

Its dhow building yard is the largest in the Emirates and continues to operate despite being dwarfed by modern developments such as the major dockyard. Currently Ajman Port serves over 1000 vessels in a year and is an important maritime focal point with twelve berths. A massive development plan for Ajman Ports, under progress, seeks to enhance its facilities to world level in the near future. n is undergoing a great up-gradation through construction activities in the industrial areas, the port and Al Zawra, which is an indication and reflection of spectacular economic growth in the emirate.

Ajman Free Zone, established in 1988, was granted autonomous status under the Amiri decree no. 3 of 1996 issued by H.H. Sheikh Humaid Bin Rashid Al Nuaimi, Ruler of Ajman. Ajman Free Zone Authority has been named as the sole regulatory agency for Free Zone in the Emirate.

The formation of the Free Zone Authority in 1996 has given great impetus to industrial activity in the Free Zone which has resulted in quadruple growth in the number of companies during the last few years and is now known as entrepreneur's heaven.

A massive multi-million Dirhams development on over a million square metre area at the Free Zone, on completion will be able to accommodate 1500 companies. Strategically situated at the entry point of the Arabian Gulf, it is well placed to serve the eastern and western markets. Moreover its proximity to Sharjah and Dubai provides easy accessibility to the two major international airports and four ports.

Why Ajman is decorated with "Investors' heaven" tag

  • Free Zone advantage
  • Most ready or ready availability of raw material
  • Modern infrastructure and captivating benefits
  • Competitive handling charges at its ports
  • Conducive business environment, easy procedures
  • Superb location that is highly strategic and central
  • Lower prices of land and office rents as well as residential premises for staff
  • Low cost of living, huge Indian, Bangladeshi, Fillipino and Sri Lankan blue and white collar staff living around

Cost Advantage in all areas of business, e.g.

  • Cheap energy
  • Low lease prices
  • Lowest tariffs in the region
  • The most economical wage structure and easy access to vast work force
  • Total exemption from all import and export duties
  • Total elimination of all service charges and hidden fees
  • Exceptionally low handling charges
  • This 20 years land contract is renewable for another 20 years guaranteeing 40 years tax and customs free operations
  • World class infrastructure

Other Corporate benefits includes

  • Ownership, Taxation, Repatriation Advantage
  • 100% foreign ownership
  • 100% repatriation of capital and profits
  • No personal income tax
  • No corporate tax

Customs duty is exempted in UAE

Manufacturing goods produced (atleast 40% value addition at cost) by the companies having National Industrial Licence in the Ajman Free Zone with 51% shareholding with GCC nationals are eligible for "UAE Certificate of Origin" from the Ministry of Economy and Commerce, UAE. This makes them eligible for a customs duty exemption in member states of the GCC.

Impressive Industrial Growth

Ajman today has over 300 industrial firms which constitute more than 20% of the total number of industrial units in the UAE and ranks third among all the Emirates. Goods from Ajman are being exported to over 65 countries.

Various industries already present in Ajman includes:

  • Textile, readymade garments and leather industries
  • Food, beverages and tobacco industries
  • Timber, furniture and wood product industries
  • Paper, paper products, printing and publishing industries
  • Chemicals and plastic products industries
  • Non metal mineral products
  • Basic metal industries
  • Metal products, machinery and equipment industries
  • Other conversion industries

Transport: Global Connection

AIR: Two international Airports, within 25 minutes drive from the Ajman Free Zone.

SEA: Ajman Free Zone is adjacent to the Ajman Port. Sharjah's Khorfakkan Port, Port Khalid and Dubai's Port Rashid are within 35 minutes drive from Ajman Free Zone.

ROAD: Extremely efficient international road network connects the Ajman Free Zone to Oman, Qatar, Bahrain, Saudi Arabia, Iran, Kuwait and beyond to Europe

Easy Accessibility

  • Distance of the other Emirates from Ajman
  • Sharjah 2 km.
  • Dubai 12 km.
  • Umm–Al–Quwain 21 km.
  • Ras–Al–Khaimah 70 km.
  • Fujairah 120 km.
  • Abu Dhabi 180 km.

Types of Licence

Ajman Free Zone, in its endeavour to eliminate bureaucratic procedures, has produced 4 types of licences namely:

Trading Licence: This type of licence is issued to foreign/UAE corporate bodies/companies/Free Zone Entities those wishes to carry out trading activities in the Free Zone.

Industrial Licence: This type of licence is issued to foreign/UAE corporate bodies/companies/Free Zone Entities those wishes to carry out manufacturing activities in the Free Zone.

Professional/Service Licence: This type of licence is issued to foreign/UAE corporate bodies/companies/Free Zone Entities those wishes to carry out the business of providing professional services in the Free Zone.

National Industrial Licence: This is strictly given to a registered companies operating in the Free Zone those meets the following eligibility criteria:

  • Company registered in GCC with 51% or higher stake holder being a GCC national.
  • And at least 40% of the manufacturing value addition process should be accomplished in the Free Zone.

Free Zone Entity FZE:

  • FZE is an entity formed and registered in Ajman Free Zone and regulated by the Free Zone Authority, in accordance to the Amiri Decree No. 3 of 1988 as amended by the Amiri Decree No. 3 of 1996
  • FZE enjoys a separate legal entity and is owned (100%) by either a person or a corporate body. Such an entity must have a capital equivalent to US $50,000. The liability of the owner is limited to the amount of the share capital.

Formation and Registration of the FZE by a Corporate Entity

Any corporate entity wishing to establish an FZE must complete an application form provided by the Authority and attach the following documents:

  • The feasibility study of the project and the anticipated schedule for its completion together with relevant plans and drawings (for industrial project).
  • Incorporation or Registration Certificate from the competent authority in the country where the Corporate entity is formed.
  • Decision or Board resolution of the competent authority of the corporate entity authorizing a representative or manager with Power of Attorney duly notarized and legalized.
  • The above documents should be certified by the Chamber of Commerce and the UAE Embassy in the Country of origin.
  • Passport copy of the representative or manager.
  • The memorandum and/or Articles of Association of the Corporate entity.

The Free Zone Authority being satisfied that the relevant documents are submitted, shall register the FZE and issue a Certificate of Registration and a Free Zone Licence.

Zone Company FZC:

This category licenses are issued to Free Zone Companies incorporates within the Free Zone in accordance with the Amiri Decree. Such company enjoys a separate legal identity and the liability of its owner is limited to the value of the paid up shared capital.

Branch of a local company BLC/Branch of a foreign Company BFC:

Branch of a local company BLC: Licences under this category are issued to companies holding a valid licence from any UAE licensing authority except from other Free Zones.

Branch of a foreign Company BFC: Licences under this category are issued to companies established outside the UAE. The ownership of the company should be 100% foreign. However, sales can be made through a UAE registered agent or a distributor only. The activity may be commercial, industrial or professional/services.

About Samsun Godwin Consulting

Samsun Godwin, a well established network of business consultants based out of Dubai, helps you set up, market and manage your company in the UAE. Our experienced team of professionals can help you start your business anywhere in the UAE, be it the Mainland, Free Zone or Offshore.

We take care of all your business needs from day one itself, starting from your initial query to your final choice. Our commitment in providing our clients with the very best and our exceptional customer service standards form the grounds of our core value system. Our expert team is quick to identify your needs and deliver to your exact requirements in the most efficient manner.

Subscribe Now

Get notified about every update

Share your plan

Share Your Plan
We will get back to you shortly