How to set up a company in Sharjah Media City Free Zone (Shams)

How to set up a company in Sharjah Media City Free Zone (Shams)

All UAE’s free zones serve up a host of benefits – 0% corporate and personal tax, 100% company ownership, 100% repatriation of capital and profits, no currency restrictions, and 100% import and export tax exemption, to name just a few.

As well as the benefits offered above, some Free Zones also boasts world-class facilities and extra advantages. Take Shams, for example: located in Sharjah, it’s a hub for the media, trading and creative industries – and offers a number of specialised business services and facilities to help its inhabitants grow both locally and internationally.

There are a number of steps that need to be undertaken, some complex, some less so. Usually the first thing to do is choose your business activity. From here you’ll need to decide on your company name, complete and file your registration paperwork with the relevant authorities, open a bank account, and apply for any visas that may be required.

However, the specifics of this process will depend on the type of licence you are applying for and the kind of business you wish to run. That’s why before starting any of these steps, the first port of call should always be to a company setup expert who will guide you through every part of the process, ultimately ensuring the entire application requires little more than a few hours of your time.

Setting up your own business has never been easier. We take care of it all so you can focus on what matters – building your business. For more information about company formation in the UAE mainland or free zones contact us.

1. Straightforward setup: Sharjah Media City’s incredibly straightforward two-step setup process makes it hugely popular with businesses of all sizes. Moreover you don’t need to be in the UAE to start the process; not only, even though you’ve never been in UAE you can apply for a company here.

2. Open to a broad range of business activities: Shams is open to a broad range of business activities – over 200 in fact, including bookkeeping, HR, plumbing, publishing, hospitality and wholesale.

3. Flexible office options: As Shams is a relatively new free zone, it currently only offers flexi-desk packages – these allow entrepreneurs use of the free zone’s state-of-the-art business facilities on an ad-hoc basis. A whole free zone city is currently under construction and when complete it will feature a range of physical office spaces as well as studios, showrooms and other creative units. The finished project will also include a residential boulevard, community plaza and a series of restaurants, shops and hotels.

4. Set up with multiple shareholders: While you have the option of applying for a flexi-desk package alone at Shams, you certainly don’t have to. It is possible to establish your business with multiple shareholders – up to a maximum of 50 – which can be either individuals, corporate entities or a combination of the two.

5. Apply for multiple visas: Sharjah Media City’s flexible visa options make it easy for solo entrepreneurs and beyond. Currently under the free zone’s flexi-desk package it is possible to apply for up to six visas, for you, and your shareholders or employees.

6. Easy to sponsor dependants: As well as applying for employee visas, it’s also very straightforward to sponsor your dependants for their visa applications as well. Whether you require a visa for a spouse, child, maid or driver, the process is four straightforward stages: entry permit, status adjustment, a medical fitness test, then Emirates ID registration and visa stamping. 7. Easy to arrange your corporate bank account: Once you’ve received your licence and established your business in Shams, you’re ready to set up your corporate bank account. The application process is quick and simple. Free zone staff can advise on the best bank to suit your needs – and can even arrange meetings in-branch for you, should you wish. A company formation specialist can also provide the same service – or alternatively, you’re welcome to approach any local or international bank on your own.

Setting up in Sharjah Media City

So you’re sold on the benefits of setting up your business in Sharjah Media City – what next?

There are a number of steps that need to be undertaken, some complex, some less so. Usually the first thing to do is choose your business activity. From here you’ll need to decide on your company name, complete and file your registration paperwork with the relevant authorities, open a bank account, and apply for any visas that may be required.

However, the specifics of this process will depend on the type of licence you are applying for and the kind of business you wish to run. That’s why before starting any of these steps, the first port of call should always be to a company setup expert who will guide you through every part of the process, ultimately ensuring the entire application requires little more than a few hours of your time.

Setting up your own business has never been easier. We take care of it all so you can focus on what matters – building your business. For more information about company formation in the UAE mainland or free zones contact us.

EChannel system Dubai UAE

What is the E-Channel Immigration System and how will it affect your company?

The country’s rapid expansion from a population of just one million in 1980 to around nine and a half million today has been largely underpinned by rising numbers of expatriate workers. Such is the influx of foreign workers in recent years that today approximately 90% of the UAE’s population is non-Emirati, according to the CIA’s World Factbook.

The UAE economy has also been bolstered by a huge rise in the number of overseas travellers visiting the UAE on tourist visas. Dubai alone attracted 14.3 million visitors in 2015, making it the fourth most visited city in the world, behind only London, Paris and Bangkok. This is up five million since 2010 when 9.3 million overseas arrivals came to the city.

The UAE has adjusted its immigration policies and procedures over the years to cope with this increase in demand for visas and to ensure a smooth application and issuing process. The latest changes – in the form of E-Channel immigration – look set to make the process even easier, cutting down admin time and paperwork for both businesses and individuals.

What is the E-Channel immigration system? 

Launched as part of the UAE 2021 vision under the slogan ‘Smart Services with Future Vision’ – the E-Channel Immigration System is a new, unified immigration system that has been implemented in six out of the seven Emirates. Dubai and Abu Dhabi continue to use their own independent immigration systems for the time being.

The most noticeable change to the current procedure is that now both businesses and individuals can apply for visas, residence permits, and entry permits through a single online portal – instead of visiting a typing centre or immigration office.

The new system – known in Arabic as the ‘Tahaluf’ system – removes the need for hard copy documents and aims to ensure that all applications are processed more efficiently with improved integration across the Emirates.

Once registered on the E-Channel portal, individuals and businesses can apply for their visas, or entry permits (residence, visit and tourist) – and for those of employees or relatives. The whole process, including payment can be carried out online and where applicable permits can be printed at home.

Registration fees vary depending on the Emirate you are in but are in the region of AED 7,500 with a refundable deposit component of approximately AED 5,000. Registration must be renewed annually at a cost of around AED 1,000.

How to register in the E-Channel portal

The online E-Channel immigration portal has been designed to be incredibly easy to use.

If you are a free zone incorporated entity, it is the free zone’s details which must be used for log in purposes. In this case, you must register to the E-Channel portal via your agent and/or free zone appointed and authorised typing centres.

Otherwise, to get started, visit the E-Channel website and select either individual or establishment services.

Next click on the ‘Registration’ button. You will be asked to input your email address – instructions on how to set up your account will be sent here. Once you have received your confirmation message from the Ministry of Interior (MOI), simply select the ‘Complete Registration’ link to continue creating your profile.

Once set up on the E-Channel immigration system portal, you can start using online services right away.

Benefits of the E-Channel system

The biggest benefit of the new E-Channel immigration system is its efficiency. The MOI calls the new system ‘…a pioneering step to ensure speedy process and accuracy in the visa and residency services.’ And it’s difficult to see how this won’t be the case. For the first time, license applications, visas, amendments, upgrades, renewals, and most other associated activities can now be managed from a single portal – with the whole process entirely online. The MOI is naturally confident that this will result in faster, more efficient processing. As well as freeing up your time, the E-Channel system is also designed to lower your administrative burden – removing the need to visit immigration centres to fill out excessive paperwork. Any required documents such as passport copies or ID cards can be simply scanned and uploaded to the portal with no need to produce hard copies. By the end of 2018, the E-Channel system is expected to have reduced the need for in-person visits to government centres by up to 80%.

Company Setup in Dubai South Free Zone

Company Setup in Dubai South Free Zone

But what are some of the advantages in setting up a company in Dubai South Free Zone? First of all, this free zone allows the establishment of a wide range of business activities, from IT to design, HR to consultancy, including trading. Setting up is affordable and allows businesses with a small starting budget to begin operations quickly.

Location is also a plus for the Dubai South Free Zone. Dubai is one of the world’s most dynamic and cosmopolitan cities where it is easy to do business. This zone is the closest to Expo 2020 site and Dubai World Central (DWC) Al Maktoum International Airport, a pivotal event in the area, and is widely accessible via land, sea or air.

Paperwork is also reduced to the minimum. Although procedures in the South Free Zone might not be as straightforward as in other areas (you will need bookin, with the help of a professional it would be extremely easy to set up a business. Up to three visas are available without a physical office space and just a flexi-desk option; dependents visa also can be obtained in an uncomplicated way. Assistance is available to choose and setup a bank account.

Dubai South free zone:
– does not require share capital (it will be mentioned in the documents 300,000 AED total share capital);
– require annual auditing report, however the first year is under grace period;
– allows General Trading license only if renting physical office space.

You can contact us to find out more about opportunities in Dubai.

Company formation Dubai & UAE

Company formation in Dubai is a relatively simple and speedy process with strong incentives, notably in the form of the UAE’s free zones.  There are other options as to the type of business you can set up in the UAE (for example, onshore or offshore), but free zones are particularly popular with foreign entrepreneurs and with good reason. Among the incentives they offer are 0% corporation and personal tax, 100% company ownership, 100% repatriation of capital and profits, no currency restrictions and 100% import and export tax exemption.

So why to setup a business in UAE now?

According to the IMF, the UAE is expected to lead economic growth in the Arabian Gulf in 2017, increasing by 2.5%, significantly ahead of the region’s biggest economy, Saudi Arabia, which is forecast to grow at 0.4%.

So how do you go about it?

While the technical, administrative and financial aspects of company formation in Dubai can seem daunting, by following a simple step-by-step process with the right support, it is far more straightforward and affordable than you might think. We have helped numerous companies establish themselves in various free zones and can break the process down into the following six steps.

1. Choose your business activity

The nature of your business can have a bearing on which free zones you can or should set up in. For example, some free zones only allow certain types of activity, such as media, medical or transport, and aside from the restrictions, it often makes sense to set up in close proximity to businesses in the same sector. Look at transport links too. If your business relies heavily on import and export, you will probably want to choose one of the free zones situated near an airport or port.

The final decision can be taken later in the preparation process, but establishing your business activity will certainly give you a steer and can help to eliminate some options early on. However, there is no need to pigeon-hole your business, as it is possible to have multiple business activities listed under one trade licence.

2. Choose your company name

The UAE has some strict naming conventions, so before you commit to a company name, make sure it conforms. Any names that include offensive language are forbidden, as are any company names that refer to Allah, Him or indeed any other religious, sectarian or political groups such as the FBI or Mafia. If you choose to name your business after a person, that person must be a partner or owner of the company and their full name must be used – no initials or abbreviations.
A business set-up expert will be able to give you chapter and verse on all the naming conventions. You can save a lot of time and effort by running your proposed name past them to check whether it passes and if it doesn’t they can help you come up with something that does.

3. Finalise all incorporation paperwork

You will be required to complete an application for your chosen company name and activity, to be provided along with copies of shareholders’ passports to the relevant government authorities. Some free zones will require additional documentation, such as a business plan or Non-Objection Certificate (NOC) – a letter from a current sponsor confirming that you are allowed to set up another business in the UAE. While perhaps the most arduous of all these steps, the paperwork does not have to be too taxing providing it is undertaken with expert help. Your business set-up partner can advise you on the paperwork required and help you complete it.

Some free zones will require additional documentation, such as a business plan or Non-Objection Certificate (NOC) – a letter from a current sponsor confirming that you are allowed to set up another business in the UAE.

4. Receive your license notification

This is the easiest step of all. Once your application has been processed, the government will issue you with your company licence. At Virtuzone we notify our clients when their documents are ready to be collected.
5. Process your visa (if needed)

And so to the final step of company formation in Dubai. As well as applying for your own visa, many free zones allow you to put in applications for staff and dependants – the exact number you can submit will depend on which free zone you choose to set up in. So, if you are looking to obtain visas for a spouse, child, maid or driver, it is best to seek expert advice to ensure that firstly, it is possible to do so in your chosen free zone, and secondly, that both you and anyone you are hoping to sponsor for a visa meet all of the entry criteria. Assuming this all checks out, the process is made up of four simple stages: entry permit, status adjustment, medical fitness test, then Emirates ID registration and visa stamping.

For some free zones / activities you may not be required to apply for a visa (NO visa package) saving money and time.

6. Open a bank account

Once your paperwork has been returned, you will have all the documentation you need to open your corporate bank account. The UAE is home to many banks, both local and international, including Emirates NBD, Abu Dhabi Commercial Bank and the Commercial Bank of Dubai, along with global names such as HSBC, Citibank and Barclays. You can either approach the bank of your choice or ask your business set-up partner to arrange meetings with a number of institutions to help you choose the most suitable option.

With some banks you can open a corporate bank account also without having the resident visa.