Business Setup in Fujairah

Company Formation and Registration in Fujairah

The Emirate of Fujairah stands out among the other emirates because of its strategic location, competitive edge, and easy access to sea ports. In addition, Fujairah has an unrivaled maritime advantage on the eastern seaboard due to its proximity to the Strait of Hormuz, one of the world's busiest shipping lanes. 

Fujairah is an excellent location for almost any type of company. Because of its unique benefits and very efficient business creation processes, it has a lot to offer global investors and local businesses. 

Fujairah at an Overview

Fujairah is one of the emerging emirates in the United Arab Emirates, with a lively heritage value. It is historically known as the "Land of Sea Giants" and makes up 1.5% of the UAE's total land area. It occupies a unique position inside the United Arab Emirates. 

Among the seven emirates, Fujairah is the only emirate on the UAE's eastern coast near the Gulf of Oman. Due to its key worldwide location and international transportation connections, the inflow of investors from neighboring Gulf Cooperation Council (GCC) states, Europe, Africa, and Asia is difficult to ignore.

Fujairah's Healthy Economic Outlook

Fishing and agriculture are the mainstays of Fujairah's economy. In addition, its strategic position is the UAE's only access to the Indian Ocean.

Fujairah is home to some of the world's top cattle shipping companies since it operates a multipurpose port with access to its major shipping routes.

Touristic Attractions- Drive Investors in Business

Fujairah is distinguished by its rugged mountains, valleys, waterfalls, oases, and wide sandy beaches. There are various hot, cold, and mineral springs in the area. Due to its easterly position, Fujairah's climate is more temperate than Abu Dhabi and Dubai's. Fujairah's quiet and peaceful ambiance attracts weekend tourists hoping to escape the heat.

While considering tourist attractions, starting a tourism business or investing in Fujairah would be beneficial.

Port of Fujairah

The Port of Fujairah, located about 70 miles from the Strait of Hormuz, is the only multi-purpose port on the UAE's eastern coast. The port contributes significantly to Fujairah's economy development by stimulating the city's shipping and trade activities. It is supplemented by installing modern facilities at the port and constructing new terminals specifically designed to handle wet cargo.

Let’s glance at the facilities and services at the port of Fujairah.

• Pre-shipment & Post shipment compacted storage area
• Bunkering and Trading for shipping vessels
• Port Facilities for small supply craft users and agents
• 24/7 service with a variety of backup equipment available round the clock
• Excellent road links between UAE and other countries
• Adjacent to Jebel Ali Free Zone
• Skilled and experienced workforce
• Economic advantages to container operators
• Outstanding reputation for safety & security in operation and handling
• High level of control and policing

In addition, knowing the company formation in UAE would help set up a company anywhere in UAE.

Types of Cargo Handled by Port of Fujairah

In addition to the facilities and services at the port of Fujairah, the different types of cargo handled by the port are,

• General Cargo – Project Cargoes
• Bulk Cargo – Aggregate exports, Bulk loading operations
• Wet Bulk Cargo – Crude, Fuel, Oil, Gas, Condensate, Gasoline, Jet A-1, Naphtha and Base Oil

Fujairah- the Best Place for Investment

Fujairah, one of the seven emirates, has also been the center of investments in the eyes of investors. While Fujairah's economy has always been focused on fishing, agriculture, and tourism, it now plays an important role as a multifunctional port with access to key shipping routes.

 Global business owners and investors have been favoring investing in the land of Fujairah because of the following parameters: 

• Tax-free jurisdiction
• Flexible government policies
• Famous tourist spot
• Wide range of business segments

A Glance at the Legal and Economic Framework

Business owners altogether globally may engage in numerous strategic planning and brainstorming activities. However, it should be remembered that specific laws and regulations must be followed when it comes to commercial enterprises. 

To get permission from the Fujairah Government Department, it is necessary to understand the business entities.

Fujairah Government Departments
S. No	Business Activity	Permits need to be obtained from
1	Medical and Pharmacy	Ministry of Health
2	Air Transport and Cargo	Department of Civil Aviation
3	Financial Institutions/Banks/Money Exchange	Central Bank
4	Medical, PharNew Industrial Project	Ministry of Finance and Industry
5	Publishing/Printing	Ministry of Information
6	Education, Training	Ministry of Education
7	Agriculture, Veterinary	Ministry of Agriculture
8	Customs Clearance/Freight Forwarding/Sea Cargo	Seaports and Customs Authority
9	Telecommunication Equipment	Ministry of Communication
10	Branch of a Foreign company/Chartered Accounts Firm	Ministry of Economy
11	Insurance Company	Federal Insurance Authority
12	Tourism Business	Fujairah Tourism and Antiquities Department

Booming Industries in Fujairah

Fujairah stands firm like a growing business destination; let’s take a step further and understand the different business sectors in detail.

Tourism and Hospitality

As mentioned in the initial stage, Fujairah holds a vibrant culture in its arena, making the zone one of the favorite destinations for the tourism industry. Therefore, apart from uplifting the tourism sector, the hospitality sector parallelly rises, contributing equally to the nation's GDP.

Transport

When it comes to the business world, transportation is a necessity. Therefore, the Federal Transport Authority (FTA) was founded in 2006 under Federal Law No. (1) of 2006 to instill justice, integrity, and openness in the transportation industry. 

The FTA allows corporate investors to invest and seek a license for land transportation and maritime activities. Therefore, Fujairah is an excellent choice if you possess a firm in the tourist or transportation industries and wish to grow.

Oil and Gas

The Middle East is known as the "Land of Liquid Gold" because of its massive oil and gas reserves. When it comes to the UAE, the country's economy is based on oil and gas. Despite the government's efforts to encourage the non-oil sector to improve income creation, the oil business remains one of the strong foundations that propel the UAE economy.

Futuristic Fujairah Vision 2040

Fujairah's ground is also moving towards Vision 2040, just like Dubai Expo 2020, which will be a game-changer for the UAE and worldwide corporate industries. The vision is to leverage Fujairah's future growth by implementing integrated sustainability measures in economic, social, urban, rural, infrastructure, environment, education, and cultural heritage, at around AED 1.5 billion.

According to predictions, the Fujairah Airport will be significantly expanded. In addition, new oil, marine services, dry bulk, container facilities, and an anchoring area will be built at the Fujairah seaport. In addition, there would be 8,800 new dwellings and 1,500 hotel rooms in the real estate, tourism, and hospitality sectors.

Different Jurisdictions in Fujairah and Their Uses

There are two types of jurisdictions in Fujairah. They are mainland and free zone.

Mainland and its uses

• Exempted from corporate and personal incomes
• Quick access to open multiple branches
• Easy access to booming markets
• No restrictions during the recruitment process

Free Zone and its uses

• 100% foreign ownership
• 100% free transfer of funds
• 100% tax exemption from import and export duties
• No foreign exchange controls
• No restriction on hiring foreign employees
• Cost-effective and timely immigration procedures

A Gist of Free Zones in Fujairah

The Emirate of Fujairah offers incentives by planning and creating specialized free trade zones or Free Zones (FTZ or FZ) around the state in important places such as seaports, airports, cities, and manufacturing centers to launch commercial activities in Fujairah.

The free zones in Fujairah are as follows.

• Fujairah Free Zone (FFZ)
• Fujairah Creative City Free Zone (FCC-FZ) 

Process for Business Setup in Fujairah

If you are willing to start a company in Fujairah, the following are the procedure or steps to take into account.

Determine Your Business Activity

The first step is to analyze, comprehend, and be clear about the company activity you want to deliver to your target clients. Each company activity is distinct, with its own needs and criteria that must be met. 

Select a Business Structure

It is necessary to have a corporate structure that emphasizes your company's existence. There are several commercial operations to consider, and a system must be determined depending on the number of shareholders and the amount of cash available for investment. All investors, regardless of their legal status, must go to the Department of Economic Development's General Directorate of Residency & Foreign Affairs to gain approval.

The legal business structures of commercial companies in Fujairah are,

• General Partnership Company
• Limited Partnership
• Public shareholding company
• Private shareholding company
• Limited Liability Company
• Professional company
• Free Zone Establishment
• Free Zone Company
• Branch

Choose a Trading Name

A company's trade name serves as its public face. Thus, care must be taken while selecting one. The trade name must be original and suitable, according to UAE legislation. Before deciding on a business name, a checklist must be completed. 

• Your business name must reflect the company's primary activity
• The selected name needs to be non-identical to competitors
• Consider Acronyms
• Make sure it's simple and easy to spell
• Undertake a trademark 

Determine a Suitable Location

The next stage is to select a good location that also happens to be strategically advantageous. Another consideration when choosing a location is the target audience's availability. The Emirate of Fujairah offers a variety of possibilities for the establishment of a business.

In addition, it would be useful if you knew the benefits of incorporating your company into Fujairah Creative City.

Gather the Required Approvals

It is a need for company investors to seek appropriate permits from government authorities to run their businesses. To run their businesses successfully, each business entity needs a single clearance from the Department of Economic Development (DED). 

Obtain a Business License

After receiving the necessary permissions, the business licenses must be secured successfully to carry out the operations.

The types of licenses one can get from the respective authorities are,

• Trading or general trading license
• Commercial license
• Service license
• Industrial license
• Warehousing license
• Manufacturing license

Open a Bank Account

Opening a bank account is the final step in establishing your business in Fujairah. Unfortunately, opening a bank account is not as straightforward as it may look. Our business consulting experts can assist you in completing the procedure easily and efficiently.

Documents Required for Fujairah Company Setup

The below table represents the documents required for company setup.

Documents	LLC (Individual shareholder)	LLC (Corporate Shareholder)	Branch
Certificate of Incorporation	Not required	Required	Required
Memorandum and Articles of association	Not required	Required	Required
Board resolution to establish a new company	Not required	Required	Not required
Board resolution to establish a new branch	Not required	Not required	Required
Certificate of good standing, valid trade license	Not required	Required	Required
Board resolution giving signatory authorization or power of attorney for the third party	Required	Required	Required
Passport copy of the individual shareholder	Required	Not required	Not required
Passport copy of the director, company secretary	Required	Required	Not required

The Emirate of Fujairah has well-built roadways that connect it to major Middle Eastern cities such as Dubai, Sharjah, Muscat, and Abu Dhabi in less than four hours. Furthermore, it is well-connected by water and air, making it an attractive commercial and commerce center.

If you wish to establish a company in Fujairah, you need to seek a business counselor's advice to assist you with the legal and accounting requirements. Moreover, exploring the business setup services in the UAE would be beneficial.

Our Business Setup Services in Fujairah

Business Setup Worldwide is a highly qualified professional team that takes the necessary procedures to provide customized company formation services. We offer a complete range of business formation services, from pre-incorporation to post-incorporation. Our Dubai team consists of highly qualified individuals that can help you with the following:

• A company's incorporation and registration
• Sponsorship from the community
• Accounting and auditing of business bank accounts and company secretarial services.
• VAT registration service for intellectual property protection

Why Choose Us

Our client-centric approach at Business Setup Worldwide will assist customers in making the best business decisions when expanding into new regions or starting a new company anywhere in the world. For many years, our specialists have perfected the art of customer service, aiding clients from all walks of life from all corners of the globe. 

We value our clients' decisions by assisting them in making the best business decisions in Dubai and other major cities worldwide. Subject matter expertise, regional knowledge, client-centric practices, and operational openness mark the business formation process at Business Setup Worldwide. If you feel happy with our words, do contact us.