The modern world is growing rapidly with great pace in every aspect. Many companies had started the development phase and many are getting registered every day. Businesses are cherishing quickly as the development phase is getting more modernized. The trend of people choosing a business is more than in the service sector. This is the main reason why more and more companies are coming up. Some businesses are closing down while others are coming up. These days had witnessed a large crowd engaged in online business. But before letting you know about the company registration process, you must know about an important term related to a company services.
Free trade zone or Free zone UAE or Export processing zone or foreign trade zone is a place where products can be manufactured, reconfigured, handled, landed, and exported without discomfort caused by the custom authority. These freezones can be easily found near the seaports or some international airports. The first free trade zone of the world was built in Ireland at Shannon. The freezones are also essential for providing employment in rural area as most of the people there are illiterate. They do not know any work. So, they can carry out the assets and products in and out of the cargo and can be paid for their work. As the freezones become popular, more and more countries stared establishing these free trade zones for employing rural population. It is an area where different countries had agreed to trade without any restrictions and trade barriers. According to a report collected from the web, around 144 countries had employed 2.4 billion people in freezones in 2010. The corporations which set these trade zones pay some incentives to the tax breakers. Most of the multinational firms use these freezones to serve their purpose of manufacturing near sea to save the transportation cost. They had significantly contributed in reducing the poverty in different countries.
But to start up any trade you need to start a company having its own trade license. These trade licenses are of different types. Company trade license is a bond defining the region of trade for the organization beyond which they can be penalized. When a company is approved by some freezone then it gets different licenses. It is provided by trade license, industrial license, service license, and National industrial license. These licenses must be renewed yearly or according to the time period allotted on the license. Before getting a trade license you must have a well established business and business license too. Companies are of different types, for example- Limited, Private Limited, LLC, Corporation, Joint ventures, partnership firms and lots more. The registration process of a company is similar for all types, but it`s quite difficult to understand. You need to hire a good registration agent to get the license by running your companies in one go. Then you can apply for a trade license anytime when your company is well established. Just specify the owner and directors to be includes with their id proofs attested, rest is the job of agent and will be efficiently handled by him. The best and easy way to establish a free zone company is through agency. Some companies or agencies have expertise in helping to establish a business and provide various business set up packages that can be tailor made as per requirements and critiria of the client to set up business in UAE.