How to Start a Business in Fujairah: All You Need to Know

Fujairah’s location, infrastructure, and growth prospects hold many investors’ interests. They want to form a company in the Emirate and explore the potential advantages. But the big question is, “How to start a business in Fujairah”? We provide relevant answers to this question in this blog.

Business Setup HQ explains all you need to know about setting up a company in Fujairah. Our blog is the perfect guide for knowing the prerequisites for starting a business in Fujairah. We also enlighten you on the procedure, benefits, and Dos and Don’ts. You’ll learn how we can help you form and operate a company in Fujairah.

So, let’s explore how to start a business in Fujairah.

How to Start a Business in Fujairah

How to Start a Business in Fujairah: An Overview

Fujairah, an Emirate in the east of UAE, is the fifth largest in the country. Its location on the Gulf of Oman gives it a strategic position for conducting business. Its accessibility to the Indian Ocean enables easy trading with European, Asian, and African countries.

The port of Fujairah attracts many fuel storage, trading, and transport companies. The roadways and railways connectivity with other Emirates has increased tourism and transportation business. And the Fujairah International Airport is an appealing factor for foreign businesses.

Locally, manufacturing, agriculture, and fishing are the primary contributors to the Emirate’s GDP. Other contributors include logistics, wholesale retail trading, transportation, mining, real estate, and financial services. The Emirate provides access to many resources, advanced facilities, and the latest technological infrastructure. These features have resulted in the influx of foreign investors from GCC, Africa, Europe, the USA, and India.

The free trade zones are another enticing factor of Fujairah. Their main activities include manufacturing different products, trading, and services, such as design, graphics, publishing, marketing, and many more. Along with excellent infrastructure and facilities, the business setup cost in free zones is low.

The government is working on airport expansion. Significant investments are being made in tourism, hospitality, and real estate sectors. Also, the seaport will witness development in oil, container facilities, anchoring, and marine services. The future growth prospects are positive, with all these characteristics luring investors to Fujairah.

If you are an investor or a budding entrepreneur, you must try to grab these benefits. You can set up a base in Fujairah and run your business. And if you are thinking about how to start a company in Fujairah, read the blog further to learn more.

Things to Know Before You Start a Business in Fujairah

You must know the necessary details before setting your foot on Fujairah. When you decide to form a company in Fujairah, you must make some initial choices. These choices pertain to the following:

  • To form a company in the mainland or free zone
  • The types of legal structure
  • License types

Let’s look into each of these points in detail.

Whether You Should Start a Company in the Fujairah Free Zone or the Mainland?

When in Fujairah, you can set up a company in the mainland or any of the free zones.

In mainland Fujairah, you need 51% local sponsorship for some business activities. For the remaining activities, 100% FDI is allowed. You can obtain any number of employment visas on the mainland. Also, you are allowed to have several branches.

Free zones of Fujairah enjoy the benefits of 100% FDI, no currency restrictions, and 100% repatriation of capital and profits. There are two main free zones in Fujairah:

  • Fujairah Creative City Free Zone attracts businesses in the media field. These can include advertising, marketing, audio/visual, photography, and other business activities.
  • The Fujairah Free Zone is specifically for trading licensees. It enjoys the benefits of strategic location and easy connectivity due to highways, ports, and airports. Such connectivity leads to lesser costs of transportation, production, and overheads.

Different Types of Company Legal Structures Allowed in Fujairah

Deciding the Business Activity

Another crucial choice to make is the legal style of your company. The various options that you have include the following:

Sole proprietorship

An individual can form a sole proprietorship company. They are responsible for all company liabilities. A legal UAE residence permit is essential to form a sole proprietorship firm in Fujairah.

General partnership company

Two or more partners form this type of company. Only UAE nationals can form this type of establishment. The partners are responsible for the company’s liabilities to the extent of all their assets.

Limited liability company

It is an establishment with a minimum of two and a maximum of 50 shareholders. The liability of -32[partners is to the extent of their shareholding in the company.

Professional company

Professionals practising specific professional activities can set up such a company. These are non-commercial activities. Expatriates can form such a company, provided they have a UAE national as a service agent. The professional needs to pay an annual fee to the service agent, who will have no shareholding in the company.

Private shareholding company

At least three persons form such an establishment. The public cannot subscribe to such a company’s shares.

Public shareholding company

The capital of such a company is divided into equal shares. The liability of any shareholder is based on the number of shares held in such a public joint stock company.

Joint venture

It is an establishment where one or more commercial companies’ partners come together to share the profits and losses. The number of partners can be two or more. One of the partners retains the company.


It can be a branch of a foreign, local, GCC, or free zone company. It can conduct the same activities as the parent company.

Representative office

A representative office of a foreign company engages in advertising, marketing, and market research activities.

Types of Licenses in Fujairah

Now, let’s look at the types of business licenses available in Fujairah:

General trading license

It allows you to trade (import and export) several products.

Trading license

It allows you to trade in specific products based on the licensing authority’s decision. It is also called a commercial license.

Warehousing license

This license is essential if you need a warehouse for the storage, packaging, and distribution of goods. With this license, you can lease a warehouse.

Manufacturing license

It allows you to manufacture goods. For this license, you need approval from the relevant authority. Also, you must have insurance for machinery and human resources.

Service license

It allows you to engage in services business. Some of the services businesses include accountancy, business consultancy, and legal services.

Industrial license

It allows you to import raw materials into the country and export finished goods outside the country.

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How to Start a Business in Fujairah: Business Setup Complete Process

Since you know the prerequisites for how to start a business in Fujairah, it’s time to look at the procedure. It is a simple process but involves many steps. The process changes a bit for the type of legal structure and business license you choose. Also, the location of your company – mainland or free zone – affects the procedural changes.

Let’s look at each of the steps in detail:

Deciding the Business Activity

The first step for any investor intending to set up a base in Fujairah is the selection of business activity. It depends on your business idea. You must look at the various options of business activity licenses available in Fujairah. You must choose an activity based on the options available and your passion.

Decide the Legal Structure of Your Fujairah Company

You must decide the legal structure of your business. Some business licenses can have only specific structures. So, you must assess this requirement in Fujairah and choose accordingly. The options for foreign investors reduce as 100% FDI is allowed only in some business activities and legal structures.

Get Approval for Business Activity and Company Name

Now, you must determine 2-3 options for your company name. It depends on the business activity. You must ensure that the name follows Fujairah’s naming conventions and rules. After deciding on a few options for names, you must apply to the Fujairah Municipality to approve the name and business activity.

Choose an Office Location/Premises

You might or might not need an office based on the business activity you choose. If you want a service license, you don’t need an office space. But for manufacturing or other licenses, you need an office. In some cases, you also need approval for a warehouse. So, choose an office space for your business.

Get necessary external approvals from other departments or Ministries

Your business’s uniqueness might need more external approvals other than the Municipality. Depending on your business license, you must get approvals from the relevant Ministry or Department. Foreign investors need approval from the General Directorate of Residency and Foreigners Affairs.

Prepare necessary documents

It’s time to draft a Memorandum of Association and get the court’s notarization. Also, you must get the Article of Association from the Embassy. Other two documents that are crucial for the business license process are:

  • Capital contribution certification from banks proving the cash shares
  • Auditor’s certificate for proving the cash and kind shares

Submit documents and application form

Now, fill in all the details in the application form. Submit the form, documents, and initial approvals to the Municipality.

License issue

After you submit all the documents and the form, the Municipality and relevant departments examine them. They register the trade name in the Commercial Register and print the MoA in the Ministry of Economy Bulletin.  After this, you get the business license.

How to Start Your Own Business in Fujairah With the Required Documents

While submitting your application form, you must submit the following documents to facilitate the licensing procedure:

  • The filled-up application form
  • Trade name certificate
  • Business plan
  • Attested MoA
  • AoA from the Embassy
  • A resolution from the Board of the Company
  • Passport size photographs
  • Copies of passports of investors and shareholders
  • Office lease agreement
  • Investors and shareholders’ personal information
  • Proof of deposited capital amount in the bank

Benefits of Starting Your Own Business in Fujairah

The merits of starting a company in Fujairah are:

  • Strategic location
  • A hub for business because of easy connectivity with other continents
  • Advanced, modern, and efficient infrastructure and communication system
  • Well-developed and sophisticated roads, airports, railways, and seaports
  • Flexible economic and government policies
  • Easy visas and sponsorship facilities
  • Affordable and skilled labour force available

Besides these benefits for the entire Emirate of Fujairah, the free zones offer the following benefits:

  • 100% FDI
  • No currency restrictions
  • No taxes on import and export duties
  • 100% repatriation of capital and profits
  • Easy and non-restrictive immigration practices
  • Hiring of foreign employees made easy and convenient
  • Reasonably-priced visas and sponsorships
  • No need for annual audits
  • No need for shareholders’ physical presence for company setup
  • No share capital requirement

Pondering on how to start a business in Fujairah?,

We have an answer in our business setup services.

Do's and Don'ts of Starting a Business in Fujairah

Before and during starting a business in Fujairah, you must be careful of the following points:

Conduct in-depth research

Whenever you start something new, you need to do deep research. This is what is essential even when thinking of starting a company in any Emirate.

You must understand the Fujairah economy, business environment, growth prospects, and culture. Since you will be operating there, you must know the usual business things of Fujairah. Also, you must research the essential business contacts needed when you start your operations.

Make a wise choice

You will have options in front of you while starting a business in Fujairah. Options like mainland vs free zone, legal structure, and business license type. While doing your research, you will come to know the pros and cons of each. So, based on your interests and cost-benefit analysis, you must make a wise choice.

Take help from a business setup specialist

It is crucial that the process of starting a business in Fujairah is error-free. You can ensure this by hiring a business setup specialist to help you with all the administrative, legal, and compliance work. We have a strong team of professionals guiding you at every step of company formation. We keep ourselves up-to-date with rules and regulations, and understand their implications for your business vertical.

Start Your Business in Fujairah With Business Setup HQ's Support

From this blog, you know the entire procedure of setting up a company in Fujairah. It is not a complicated procedure. But while doing so, there are chances of delays, missing data, or inaccuracies. Partnering with a professional company formation services firm is essential to avoid this situation.

We at Business Setup HQ help you with all the answers to how to start a business in Fujairah. We take care of all the procedures, documents, and conditions to fulfil. We assess your business idea and help you convert it into a full-fledged company in Fujairah. You do not have to worry about administrative tasks for forming a company.

We provide the necessary advice to you before starting the formation procedure. We help you with legal paperwork, necessary selections, and filling up the form. You can also find support in visa application, immigration support, and assistance to open a bank account. Thus, you get all kinds of legal, administrative, and knowledge support to do what is best for your company.

The result? Less stress for you. More focus on core business tasks. And professional, expert help in company setup.

How to Start a Business in Fujairah: Frequently Asked Questions

Fujairah has a strategic location and a non-restrictive business policy and legal structure. The costs of forming a business and operating it are low. Also, many industry sectors like manufacturing, trading of goods, mining, and financial services make it an attractive destination. You have good opportunities to conduct your business with a potentially good number of clients.

You have to follow the same procedure as the formation of any business in Fujairah. It is an easy process and does not require many documents. You must decide on the activity, get approval for it, and choose the company name and office location. Following this, you must get external approvals for your activity. Now, you must fill up the form and submit it, along with documents, to get the license. This is how you can start a small business in Fujairah.

To start a company in Fujairah, you must spend money on the licensing procedure. The cost mainly includes the licensing and registration fees, legal agreements, office space, and visas. The licensing and registration fees depend on your chosen legal structure and business activity. Also, the cost varies in mainland and free zones. Thus, to know the cost, you must ask our consultants for personalized help.

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