Shams Free Zone, located in the vibrant emirate of Sharjah, has rapidly become a popular destination for entrepreneurs looking to set up their businesses in the UAE. Launched in 2017, the Sharjah Media City (Shams) Free Zone is designed to foster growth and innovation in media, creative industries, and other related sectors. With its affordable setup options, modern infrastructure, and strategic location, Shams Free Zone has attracted thousands of startups and established businesses alike.

In this blog, we will explore the key benefits of business setup in the Dubai Shams Free Zone, the costs involved, and the process required to establish your company successfully.

Key Benefits of Setting Up a Business in Shams Free Zone

1. 100% Foreign Ownership

One of the most appealing advantages of the Shams Free Zone is the opportunity for 100% foreign ownership. This means that you do not need a local sponsor or partner to establish your company, allowing you to retain complete control over your business operations and decision-making.

2. Wide Range of Business Activities

Shams Free Zone offers over 120 business activities across various sectors, including media, marketing, e-commerce, consultancy, education, and more. Whether you’re a freelancer, a startup, or an established company, Shams provides the flexibility to choose the most relevant business activity for your venture.

3. Affordable business setup packages

Shams Free Zone is known for offering some of the most cost-effective company formation services in Dubai and the UAE. This is particularly beneficial for startups and entrepreneurs who are working with a limited budget. The affordable setup options also make it easier for small and medium-sized enterprises (SMEs) to establish themselves in the region.

4. Fast and Efficient Company Formation Process

Shams Free Zone is recognized for its streamlined business setup process, which can be completed in a matter of days. This quick and efficient process allows entrepreneurs to focus on their core business activities without lengthy delays in the formation of their company.

5. No Physical Office Requirement

Unlike some free zones in the UAE, Shams Free Zone does not require businesses to have physical office space. You can register your company using a virtual office or shared workspace, making it a cost-effective option for businesses that do not need a permanent physical presence in the UAE.

6. No personal or corporate taxes

One of the key incentives for businesses to set up in Shams Free Zone is the absence of personal and corporate taxes. In addition, there is no import or export duty, which can significantly reduce operational costs for businesses involved in trade.

7. Access to a Thriving Business Community

Shams Free Zone is designed to foster innovation and collaboration, making it an attractive option for businesses in the creative and media industries. Entrepreneurs benefit from being part of a thriving business community, with access to networking opportunities, events, and potential partnerships.

8. Strategic Location

Located in Sharjah, Shams Free Zone offers easy access to key markets across the UAE, the Middle East, Africa, and beyond. Sharjah’s proximity to major transportation hubs, including seaports and airports, makes it an ideal base for businesses involved in trade and logistics.

9. Flexible Visa Options

Shams Free Zone offers flexible visa packages that cater to the needs of various businesses. Whether you need visas for employees or dependents, Shams provides options to accommodate your requirements. Additionally, the Shams Free Zone allows business owners to apply for residence visas for themselves and their employees.

Costs of Setting Up a Business in Shams Free Zone

One of the primary reasons why startups and SMEs favour Shams Free Zone is its affordable pricing structure. Below is an overview of the typical costs involved in setting up a business in Shams:

1. License Fees

Shams Free Zone offers several business licenses, each with its associated costs. The cost of a business trade license in Dubai Shams Free Zone typically starts from as low as AED 5,750. License types include:

* Service License: Suitable for businesses that offer professional or consulting services.

* Trading License: Ideal for businesses engaged in buying and selling goods.

* Industrial License: For businesses involved in manufacturing or production activities.

2. Company Registration Fees

The company registration fees in Shams Free Zone are relatively low compared to other free zones in the UAE. These fees can vary depending on the type of company being established and the number of shareholders.

3. Visa Fees

Visa fees in Shams Free Zone vary depending on the number of visas required and the type of visa being applied for. Business owners can expect to pay around AED 3,500 to AED 4,000 per visa. This cost includes the entry permit, medical tests, and visa stamping.

4. Office Space Costs

While Shams Free Zone does not require a physical office, businesses can opt for different workspace solutions if needed. Shams offers a range of options, including shared workspaces, dedicated desks, and private offices. Prices for office spaces typically start from AED 10,000 annually, depending on the size and location of the office.

5. Additional Costs

Other potential costs include obtaining a Memorandum of Association (MoA), translation services, and additional approvals based on your business activity.

Process for Setting Up a Business in Shams Free Zone

Setting up a company in Shams Free Zone is a straightforward process. Below is a step-by-step guide:

1. Choose Your Business Activity

The first step in setting up a company in Shams Free Zone is to select the business activity that aligns with your company’s operations. Shams Free Zone offers a wide range of activities across various industries, making it easy to find the right fit.

2. Select your company structure.

Shams Free Zone allows for various company structures, including a sole establishment, limited liability company (LLC), and branch of a foreign or UAE company. Choose the structure that best suits your business needs.

3. Submit Your Application

Once you have chosen your business activity and company structure, you will need to submit your application to the Shams Free Zone Authority. The application will include details about your business, shareholders, and company structure.

4. Provide the required documentation.

The required documents for company formation typically include:

* Passport copies of shareholders and directors

* Passport-sized photos

* Proof of address (for foreign shareholders)

* No Objection Certificate (NOC), if applicable

5. Pay the required fees.

After submitting your application, you will need to pay the relevant fees for your business license, visa applications (if any), and other associated costs.

6. Receive Your Business License

Once your application is processed and approved, you will receive your business license. The entire process usually takes around 5 to 7 business days.

7. Apply for visas

After receiving your business license, you can begin the process of applying for visas for yourself and your employees. 

Start your company formation with Bizex LLC.

At Bizex LLC, we specialize in helping entrepreneurs and businesses navigate the complexities of business setup in Dubai, including establishing companies in free zones like Shams. With our company formation services in Dubai, we provide tailored solutions that ensure a smooth and hassle-free experience, from selecting the right business activity to securing a business trade license in Dubai.

Our team of experts will guide you through every step of the process, helping you prepare the necessary documentation, managing approvals, and assisting with visa applications. With our in-depth knowledge of UAE regulations and business requirements, Bizex LLC is your trusted partner for setting up a business in Shams Free Zone.

Whether you're looking to start a media company, consultancy, or e-commerce business, we provide a range of services to meet your specific needs, ensuring compliance and efficiency. Let us help you get started with your Shams Free Zone business and unlock opportunities in one of the UAE’s most dynamic free zones.