Twenty minutes from Sharjah, south of the straits of Hormuz lies the Hamriyah Free Zone. A land of opportunity.
Labeled as one of the fastest-growing free zones in the Emirate, the Hamriyah Free Zone currently has over 6000 companies registered. As for stats, HFZ recently attracted 9 international businesses from India, the US, African countries, and other parts of the world. An investment of AED 271 million – roughly $73.79 million was invested in the Hamriyah free zone.
The sole reason behind its rise as a Free Zone lies in its location. The Free Zone, since it’s in the middle-east, is known to be the best place for oil and gas companies. Also, the Hamriyah deep-water port offers opportunities for marine, fabrication, fishing, and many other related industries to thrive.
Its strategic location makes it an ideal place for investment and business. Anyone looking to set up a business in the Hamriyah Free Zone must first consider opening a bank account. The Emirates Development Bank (EDB) and First Abu Dhabi Bank (FAB) facilitate opening bank accounts in the Free Zone.
If you’re looking to establish a presence in the United Arab Emirates, Hamriyah Free Zone is a great place to start. This guide will provide an overview of what you need to do to set up a company in the Hamriyah Free Zone.
We’ll cover everything from licensing and registration requirements to setting up bank accounts and getting your business online. So if you’re ready to take the plunge into the exciting world of UAE business, keep reading!
Hamriyah Free Zone issues licenses for almost all service, commercial trading, industrial, and manufacturing businesses. Hamriyah Free Zone allows any industrial activity as long as it is ecologically friendly and follows local norms.
Advantages of a Hamriyah Free Zone Company
Full ownership of your company. Visa and banking services. No corporate or income taxes. These just touch the surface of the benefits you can gain from a company set up in the Hamriyah Free Zone.
The location carries three distinct categories of advantages:
- Complete foreign ownership.
- 100% Legal company setup.
- Complete repatriation of investments.
- VAT-free zone
- Business licenses
- Zero corporate and income taxes
- Business setup in an hour
- 300+ services for visas, renewals
- State of the art infrastructure
- Flexibility in your visa quota
- Competitive pricing of industrial property
- Pre-built office spaces and warehouses
- Efficient customer services
- 24-hours CCTV security
- Complete legal status
- A range of licenses for a variety of different industries
Setting up a business at the Hamriyah Free Zone comes with a range of benefits. But how does one get started?
Lots of prospective investors have asked this question. The answer is simple – it’s quite convenient to set up a business in the Hamriyah Free Zone. Let’s look at what you would need to get started:
First and foremost, think about the types of businesses that can be registered in the Hamriyah Free Zone.
In the Hamriyah Free Zone, foreign entrepreneurs can create free zone establishments (FZE) and free zone companies (FZC). In this free zone, foreign enterprises are permitted to open branch offices. The following are the primary distinctions between the two categories of businesses that can be founded in the Hamriyah Free Zone:
- The FZE will only have one shareholder, but the FZC may have up to five.
- To establish an FZE, the minimum share capital of 150,000 AED is required.
At least two managers or directors, as well as a secretary, are required in both types of businesses. A minimum of one director and one secretary must also be UAE residents. The HFZA, on the other hand, allows one of the directors to serve as the company’s secretary in the Hamriyah Free Zone.
The following documents must be filed with the HFZA by foreign investors or corporations beginning businesses in Hamriyah Free Zone:
- Passport size photo
- Passport copy
- Copy of previous UAE entry stamp
- Complete business plan (only for certain activities)
- If your visa is issued by another company/sponsor, you will need a No Objection Letter (NOC).
Companies incorporated in the Hamriyah Free Zone can apply for one of the following business licenses:
- Trading or commercial license
- service license
- Industrial license
If you want to set up a business in Dubai, this business setup guide should provide you with all the necessary details.
The Hamriyah Free Zone has three different licenses available for prospective business owners. The following is a list of business licenses and what trading allowances they provide:
- Allows three to five trading activities
- Permissions for import/export
- Distribution, selling, and storage permits
- Allows both specific and general trading licenses.
- Facilitates sales for eCommerce companies
Allows for import of raw material from Hamriyah Free Port.
Importing also extends to manufacturing, packaging, assembling, and processing activities
Facilitates in-country product sales through local distributors
The license allows for service operations only within the Hamriyah Free Zone.
The industries discussed above come with their own unique licenses. However, the Harmiyah Free Zone hasn’t limited itself to only those activities. The zonal authorities have recently added more allowed trade activities within the region complete with their own licenses.
- Sport research and consultancy services
- Fashion designing firms
- Science and technology firms
- Investments of own resources
- Insurance firms
This list of companies is now eligible for licenses within the area. In addition to that, the Hamriyah Free Zone company setup also extends to marine services. This broad category of licenses can include vessel, freight broker, and fishing industry licenses at Hamriyah.
The costs of setting up a company in the Hamriyah Free Zone vary. As discussed, each license will provide you with different privileges.
The company registration process starts at 11000 AED. While we illustrate this in the table below, this price can only get you a single visa. As an individual business owner, this may be sufficient, but if you’re a corporate entity, then you would need to invest in other packages.
Regardless, with the registration, you also need a PO Box which goes at about 1000 AED per year.
For warehouses, the prices start at 85000 AED per 300 sq. meters. Installments for warehouses are accepted.
Consult the table below for the cost of different licenses in Hamriyah Free Zone:
|Type of license||Cost in AED|
|7 visas package||35,000|
|1 visa package||11,000|
|Warehouse 307 sq meters||85,000|
|Office 15 sq meters||17,000|
List of Industries in Hamriyah Free Zone
There is no denying that the Hamriyah Free Zone is built for profits on both the ends of the Emirati govt. and the various businesses operating there.
The strategic location of the zone, with its access to Emirates Road and Sheikh Zayed Road, allows for fast movement and accelerated business activities.
As of this writing, the HFZ covers the following industries:
- Building Material
- Heavy Industry
- Food processing, packaging, and export
- Logistics and Transportation
- Oil and Gas
- Perfume and Cosmetics
Check out Other Free Zones to Set up your Business
- SHAMS Free Zone
- Ajman Free Zone
- UAQ Free Zone
- SAIF Zone
- RAKEZ Free Zone
- Masdar Free Zone
- KIZAD Free Zone
- JAFZA Free Zone
- IFZA Free Zone
- Dubai South Free Zone
- DTEC Dubai Free Zone
- DMCC Free Zone
- Dubai Airport Free Zone
- Dubai Silicon Oasis Free Zone
- Jumeirah Lakes Towers (JLT) Free Zone
There are several free economic zones operating in countries all over the world. So what makes Hamriyah any different from them? The deepwater/warm water port, the location, and the financial stability of the country it’s in are three prime reasons for investing at Hamriyah.
The end goal of the Emirati government is to utilize Hamriyah and turn it into the next Dubai.
So, if you’re looking to invest and set up a company in the Hamriyah Free Zone, then it’s a good option. If you want to know about different free zones other than Hamriyah, check out our archive page on free zones.