With a population of over 450 million people, half or more of which is under the age of 35, a burgeoning middle-class with high spending power, the Middle East and North Africa (MENA) region is one of the few developing markets with a high growth potential across various industries and market segments, appealing to investors, local and global, looking for the best return on their capital.

However, the MENA region consists of countries with varying degrees of opportunities and framework for foreign investors, meaning it can be burdensome for clients to go through the initial identification and selection process for the most suitable jurisdiction to setup a business.

We at INCORPORTAS would like to simplify the process for you by proposing a free zone company setup in Dubai or the UAE as our preferred recommendation.

This article will explain on the benefits and advantages of incorporating your business registration in the UAE and as a jumping board to the MENA region.

Why is a Free Zone Company in the UAE the best option for investors to enter the MENA market?

The answer to this consists of two parts, the inherent appeal of free zones itself, and the pull of the United Arab Emirates (UAE) as a country jurisdiction.

First, let’s talk about free zones.

Companies incorporated within the free zones allow for,

• 100% wholly-foreign ownership

• Wide spectrum of infrastructure and facilities

• Broad range of business activities

• Access to both local and international markets

• Strong networking and synergy effects within and across free zone member companies

• Corporate and individual income tax holiday

• Availability and access to strong legal framework based on Common Law

You may be interested in this article on the types of free zones available to choose in the UAE.

Free zones in the UAE wouldn’t have existed without the foresight and support of the UAE government to create such special onshore jurisdictions to attract and retain foreign direct investment.

This leads us to our second point as to why the UAE is a perfect country for foreign investors to setup their businesses.

Relative to the region, the UAE offers,

• A sizeable and developed domestic market

• A mature financial center

• High quality of life and living standards

• Ease of doing business

• Unrivalled socio-political and economic stability

• Ease of passporting services

• A keen and receptive government and business-friendly policies

• Access to quality talent and capital

• Solid infrastructure and economic fundamentals

The presence of Common Law jurisdictions in the two financial free zones in the UAE, Abu Dhabi Global Market (ADGM) and Dubai International Financial Centre (DIFC), provide most free zone companies across the UAE, access to a globally accepted legal framework.

Strong government support, especially in strategic sectors identified by the country’s leadership (such as Agriculture Technology (AgTech), Biotechnology (BioTech), Artificial Intelligence, Pharmaceuticals) allow investors in such industries to take advantage of incentives and or public-private partnerships opportunities where applicable.

An existing pool of talented workforce combined with high standards of living makes it easier to build up and attract a team of qualified personnel for the proposed businesses.

The UAE also boasts one of MENA’s best developed financial center, providing an unrestricted and seamless access to capital and financial transactions, making it an appealing destination, and as a connecting point in MENA for the flow of capital.

The strong advantages of free zones, coupled with the benefits the UAE has to offer, makes free zones in the UAE an ideal jurisdiction for foreign investors and their business setups and act as a springboard to enter the various individual markets in the region.

For more information on how your proposed free zone business setup in the Dubai, contact us now for an initial consultation and review of your circumstances.