How to Start a Business in Ajman?
So, you want to start a business in Ajman? Ajman is a fantastic location if you are considering setting up your business in the United Arab Emirates. Although Ajman is the smallest of the 7 emirates in the United Arab Emirates, it is one of the biggest in terms of trade.
By establishing a business in Ajman, you may benefit from one of the UAE’s most advantageous locations, which offers an impressive opportunity for exposure to domestic and international markets and the country’s rapidly expanding economy.
Ajman’s strategic location makes it a hotspot for foreign investors to establish new businesses. The emirate is close to Umm Al Quwain and Sharjah and is located on the Arabian Gulf coast.
Some of the most popular industries entrepreneurs target in Ajman business settings include retail, real estate, construction, transportation, and business services.
So, you want to start a business in Ajman? Great! Ajman is a wonderful place to do business, with plenty of opportunities for entrepreneurs. But before you get started, there are a few things you need to know. In this blog post, we’ll give you an overview of the steps you need to take to start a successful business in Ajman. We’ll cover everything from getting your business set up and registered, to finding the right location and securing funding. So let’s get started!
Why Start a Business in Ajman?
Because it is situated halfway between Sharjah and Dubai, Ajman is renowned for its strategic location. Ajman only covers a total size of 259 square kilometers. Nevertheless, despite its size, it is equipped with all the necessary amenities, including telecommunication, power, and medical care.
Ajman port offers possibilities for imports and exports, maintenance, and even ship repairs because of its 16 km of shoreline.
Additionally, modern infrastructure like ports, highways, transportation systems, and industrial zones make doing business affordable and hassle-free. Above all, financial incentives and transfer facilities support Ajman’s economy by attracting more investment.
Overall, business establishment in Ajman provides various exceptional benefits to local and international investors who desire to set up their businesses and improve their exposure to a diversified audience.
Benefits of Starting a Business in Ajman
In addition to the benefits and privileges listed above, some more advantages and essential factors that compel everyone to establish a business in Ajman include:
- Completely foreign ownership
- Tax advantages
- 100% lawful duty-free imports and exports
- Inexpensive business setup
- Minimal cost of living
- Central and strategic location
- Contemporary infrastructure
- Lower land and office rental costs
List of Free Zones in Ajman
While creating a Business setup in Ajman, you can choose from the following list of Free Zones in Ajman:
1. Ajman Free Zone (AFZA)
An important center in the UAE’s entity is the Emirate of Ajman. Ajman Free Zone was first established in 1988 and is one of many unbonded free zones in the UAE that allow investors to set up and run businesses.
The emirate is home to the cities of Musfout, Manama, and Ajman, which serve as the administrative center for the Governor’s Office, departments, and other government agencies.
Ajman has been able to serve as the region’s investment hub for the past three decades, providing a window to the rest of the world through trade and industry while assisting investors with a set of laws and regulations to realize the goals of smart leadership.
2. Ajman Media City Free Zone (AMCFA)
The recently established free zone in the city of Ajman, United Arab Emirates, is called the Ajman Media City Free Zone. It was established to foster an environment that is trustworthy, peaceful, and professional for both individuals and corporations.
Ajman Media City Free Zone aims to establish a world-class environment with flexible and innovative processes to guarantee expert guidance throughout the entire company formation process.
Due to its affordable packages, it quickly rose to the top of the list of free zones in the United Arab Emirates.
AMC offers seven different packages that range in value from zero to more than five resident visa allotments.
How to Set up a Business in Ajman
You must go through the following steps to form a company in Ajman.
Step 01 – Select your business activity
The first stage in setting up a business in Ajman is to decide on your line of work. After that, you can incorporate other company ventures under one corporate umbrella in Ajman.
The business activities you decide to engage in will also influence the legal framework of your company and the type of trade license you are eligible for in Ajman. Therefore, the conditions you must meet in the licensing procedure vary further depending on your company’s legal structure. For instance, getting a governmental license for a construction company is easier than a publication house license.
Step 02 – Register your business
Your company’s trade name is the main distinguishing factor that can help you stand out from your competitors. Therefore, you must choose a business name corresponding to your operations and sector. To register a trading name, you must submit an online application to the Department of Economic Development in Ajman.
Here are the prerequisites you need to understand before submitting an application to DED for trade name registration:
Following your trade name comes an abbreviation for your company’s legal structure, such as LLC or GCC.
- Your company name must not violate UAE moral, ethical, or religious standards.
- It must be original and not resemble any governmental or regulatory organizations.
- It doesn’t have any religious or sectarian implications.
Step 03 – Apply for initial approval
Once your business setup in Ajman has received preliminary approval, the UAE government and Ajman state legislation will formally acknowledge your company’s establishment in Ajman. This first approval is a guide for progressing to the finishing phases. It does not permit you to begin your company activity immediately.
Note: Entrepreneurs and foreign investors must obtain approval from the UAE’s foreign ministry to set up business in Ajman.
Step 04 – Finalize your office location
You must choose office space within Ajman’s administrative and geographic boundaries as specified by DED to get your trade license and begin your company operations there. To build up a warehouse, you can purchase or rent a shared, exclusive, furnished, or unfurnished office space with full-featured inventory locations.
The number of employee visas you can apply for under the same trade license depends on the size of your office space.
Step 05 – Get Government Approval
You must get additional authorization from the relevant authorities before engaging in your business activities or obtaining a trade license. The regulating bodies might include:
- The Interior Ministry of the UAE
- Justice Ministry of the UAE
- The Telecommunications and Digital Government Regulatory Authority is referred to as TDRA.
- Ministry of Economy of the UAE
- Local health departments in Ajman, the Supreme Petroleum Council, etc.
Step 06 – Apply for Trade License
The last step is to apply for your trade license on the Ajman Economic Development Department’s website after finishing the lengthy procedure that requires plenty of paperwork and permissions.
You can begin a business in Ajman once you have your trade license. It is advised to constantly abide by UAE law and avoid engaging in any banned activities to work and function in the UAE without any issues.
You may start your business and open a business bank account after you get your trade license.
How Airzone Can Help You Start a Business in Ajman?
Airzone provides you with all the necessary information and guidance to help you become familiar with the area and its administrative procedures if you’re an enthusiastic entrepreneur seeking to launch a new business in UAE jurisdictions like Ajman.
Our in-depth tools, tutorials, and manuals address crucial issues including how to register your company, how to obtain a free zone trading license, how to choose the best site for your company, and how to obtain a UAE visa.
In Ajman and other UAE states, we can also assist you in locating reliable business consulting and company formation service providers. Our partner company formation service providers have a track record of helping SMBs and high-caliber overseas companies establish their operations in the Mainland and free zones of the UAE.
Feel free to contact Airzone if you wish to simplify and streamline the process of setting up your Ajman business.
FAQs About Business Setup in Ajman
What types of business licenses are available for new companies in Ajman?
Here are the types of business licenses that are available for new companies in Ajman.
- National industrial license
- Trading License
- Industrial License
- Professional/Service License
- E-commerce License
- General Maintenance License
What is the cost of starting a business in Ajman?
The cost of a trade license depends on the visa fee. A trade license from the trading category only eligible for one visa has the lowest cost, AED 13,535. However, if you want to begin issuing resident visas through the business, further immigration fees would be charged.
With its ideal geostrategic location, modern seaports, high-end communication infrastructure, and business-friendly and safe ecosystem, Ajman is a strong pillar of the UAE’s economy.
Ajman is the ideal location to begin your company setup if you want to debut in the UAE market. All you have to do is establish a business setup in Ajman and start utilizing the city’s prosperous business environment to grow your company.
This concludes our overview of how to start a business in Ajman. We advise reading our comprehensive guide if you want to learn more about starting a business in United Arab Emirates. If you want more details, we also have in-depth articles on the various free zones in the UAE.