Sharjah

Why Set Up a Company in Sharjah?

Sharjah is a flourishing economy, one that attracts bountiful foreign investment. The Government of Sharjah acknowledges the importance of trade, service, and manufacturing sectors in sustaining the nation’s economy, and has thus charted policies that promote foreign investment. The government policies in Sharjah are favourable towards budding businesses, and have hence gained the faith of global investors, contributing to the rapid growth of the business milieu in Sharjah.

Setting up a company in Sharjah is fruitful from the following standpoints:

• Sharjah is a tax haven, i.e., companies are levied no corporate or income tax
• It has 100% tax exemption for import, export and all commercial levies
• It allows 100% repatriation of profits and capital for foreign companies setting up business
• 100% foreign company ownership is allowed in Sharjah
• There are no foreign exchange controls, quotas or trade barriers in Sharjah
• It presents lucrative governmental incentives for investors
• There are many local and foreign banks in Sharjah, along with a robust communication infrastructure
• Sharjah provides warehousing facility where investors can hoard goods freely for upto 2 months

Process of Company Formation in Sharjah

Setting up a business in Sharjah requires the following procedures to be undertaken:

1. Sign a lease agreement and MoA (Memorandum of Association) in a public notary
2. Process all requisite documents to get a payment voucher issued
3. Complete the licensing requirements and pay the licence fees to get a trade licence issued
4. Get an approval from the Name Board
5. Apply for an establishment card
6. Obtain an approval for employees from the Ministry of Labour
7. Get a stamp on visa from the Immigration Department
8. Decide the type of economic activity your business would be involved in
9. Determine the legal incorporation type of the business
10. Find a local sponsor
11. Submit the company registration application with a proposed company name to the Department of Economic Development (DED), and notarize the MoA (Memorandum of Association)
12. File the company documents with DED to get a trade licence from the Chamber of Commerce and Industry
13. Register the trade name of the company
14. Procure initial approval
15. Obtain an approval for location and inspection from the Municipality

The following documents are required for registering a company in Sharjah:

• Licence form
• Approval from the Ministry of Economy
• Approvals from other government entities, if called for
• Certified copy of the tenancy contract
• Certified No Objection letter, passport, visa and residency Xerox copies of the shareholders
• Land map or ownership certificate Xerox copy
• Lease agreement [Having a physical address for one’s business/office is mandatory in the UAE. The rent on an average within a free zone area is US$ 25 up to US$ 45 per square feet (US$ 225 up to US$ 400 per square metre)]
• Legal Affairs approval
• Partnership contract certified by the Public Notary
• National ID and family book Xerox copies
• Sign board
• Technical evaluation report
• Trade name certificate, as a proof of trade name reservation