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Jabel Ali Offshore Free Zone

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The Jebel Ali Free Zone Authority is the oldest and most respected of the free zones that have been allowed to operate in the emirate of Dubai. This type of incorporation is allowed to trade internationally and is allowed to own property in the emirate of Dubai. Corporate shareholders are permitted. Should the incorporator lease an office space within JAFZA, they will then be entitled to one director residence visa. As usual with all UAE incorporations, this entity is also allowed to own and operate a Dubai bank account. The JAFZA offshore company allows the incorporator to enjoy 100% repatriation of capital and assets, with no limits on foreign exchange or capital movements inside or outside the country.

Licensing and Permitted Activities

Unlike an operating company with a business licence that is incorporated in the UAE, whether incorporated in JAFZ, the UAE mainland jurisdiction, or other free zones, the JAFZ offshore company is not issued with a business licence at the time of incorporation. Rather, the offshore company only receives a certificate of incorporation. Other corporate documents for the offshore company will include a memorandum and articles of association. Because a business licence is not issued, the offshore company cannot conduct any commercial activity with persons within the UAE. However, as commercial activities conducted outside the UAE are not subject to UAE law, the offshore company may conduct commercial activities outside the UAE.

Whilst the JAFZ offshore company is not permitted to conduct any type of business or activity in the UAE, it does, subject to JAFZ Authority’s approval and the Dubai Land Departments’ current policy, retain the right to acquire freehold property within specific designated areas in Dubai.

A JAFZ offshore can also act as a holding company by way of acquiring shares in UAE mainland companies and other free zone companies, as well as, subject to the applicable banks policy, open a bank account, pledge its shares, and secure loans and other finance facilities.

Licensing and Permitted Activities