The Hamriyah Free Zone Authority (HFZA), managed by the Sharjah government, is strategically located along the Arabian Gulf coast. Spanning over 26 square kilometers and adjacent to Hamriyah Port, it provides excellent access for company formation in the UAE across global shipping lanes. With its proximity to Sharjah International Airport and strong road connections to Dubai and the Northern Emirates, HFZA freezone company setup attracts heavy industries and international trade. Key industries include oil and gas services, petrochemicals, and steel fabrication. Whether you are setting up a trading company or a full-scale manufacturing facility, this blog will help you make an informed decision about obtaining the Hamriyah license through Dhanguard.
Types of HFZA Freezone Licenses
The first step to establish a business in the Hamriyah Freezone is for business operators to obtain the necessary Hamriyah Freezone license. HFZA provides three main license types that specifically meet the operational needs of different business activities.
Industrial License: The UAE Industrial License is the appropriate authorization for businesses engaged in manufacturing, processing, assembly, and packaging operations. The UAE Industrial Freezone permits businesses to operate from warehouses while granting them direct access to port facilities, which they use to import raw materials and export finished products. Trading License: A Trading License is suitable for companies engaged in the import, export, distribution, and storage of goods. A trading license allows businesses to operate within the free zone and trade internationally without restrictions on profit repatriation. Service License: The Service License is designed for companies offering professional and consultancy services, such as engineering, IT, and advisory services. Service license holders can operate from flexi desks or shared office spaces within the zone.
Advantages of the Hamriyah Free Zone License
Choosing the Hamriyah freezone as your company setup base offers a strong set of benefits that go beyond standard free-zone perks. Some of the benefits of company registration in the Hamriyah Free Zone are as follows:
- 100% Foreign Ownership: Like all UAE free zones, the Hamriyah Free Zone Company setup allows complete ownership with no requirement for a local sponsor.
- Direct Port Access: The adjacent Hamriyah Port offers seamless import and export capabilities, significantly reducing logistics costs and turnaround times.
- Zero Personal Tax: Businesses enjoy full exemption from personal income tax and a minimal rate of corporate tax.
- Full Profit Repatriation: Companies can repatriate 100% of capital and profits without any restrictions.
- Multi-Currency Operations: No foreign exchange controls, allowing businesses to transact in any currency.
- Competitive Lease Rates: Compared to Dubai free zones, HFZA offers more affordable land and warehouse rates, making it a cost-efficient choice for industrial operations.
Hamriyah Free Zone License Cost Breakdown
The Hamriyah free zone company setup can be easier once you know the cost breakdown for each area. Understanding the true cost of Sharjah Freezone, Entrepreneurs should prepare for additional costs, as the Hamriyah Freezone license cost involves multiple components:
| Factors | Standard Cost |
|---|---|
| Warehousing | AED 70,000* |
| Visa Package( Including License cost) | AED 13,500* |
| Office Rent | AED 8000* |
| Warehouse License | AED 40,000* |
| Investor Visa | AED 3,500* |
| Initial Approval | AED 1,000* |
| Medical Insurance | AED 1,200* Per Person |
Note: The price mentioned above is the starting cost, which can be increased based on business activity and preference.
Hamriyah Freezone vs Mainland
Before choosing the location for your business setup in the UAE, it is important to first consider across different jurisdictions. The table below shows the comparison of the Hamriyah Freezone with the mainland jurisdiction:
| Feature | Hamriyah Freezone | Mainland |
|---|---|---|
| Ownership | 100% Ownership | Full Ownership for Most Activities |
| Market Access | International and Freezone | Full UAE Market Access |
| Office Requirement | Only in HAMZA Free Zone | Anywhere in the UAE, with Ejari |
| Setup Cost | AED 5500-AED 15,500 | AED 11,000- AED 25,500 |
| License Cost | Starting from AED 5,750* | Starting from AED 19,999* |
| Corporate Tax | 9% above AED 3,75,000 | 9% above AED 3,75,000 |
| Government Contracts | Not allowed | Allowed |
Process to Get a Hamriyah Freezone License
Setting up a business in the Hamriyah Freezone can be complicated if not done properly. To set up a business, you should first obtain the Hamriyah Freezone license and follow a structured process. Here is a step-by-step overview:
Step-1: Choose Your Business Activity
Identify the type of license you need — industrial, trading, or service — and confirm that your intended activities are permitted under HFZA regulations.
Step-2: Select a Company Structure
Decide on your legal entity type — Free Zone Establishment (FZE) for a single shareholder or Free Zone Company (FZCO) for multiple shareholders.
Step-3: Reserve a Trade Name
Submit two to three trade name options to HFZA for approval, which must comply with the UAE naming conventions.
Step-4: Submit Initial Application
Complete and submit the Hamriyah freezone company setup application form along with the required documents, including passport copies, a business plan, passport-size photographs, and any other supporting documents.
Step-5: Lease Your Facility
Select and sign a lease agreement for your preferred facility — warehouse, industrial unit, flexi desk, or land plot, based on your business needs and budget.
Step-6: Receive License
Upon approval, you will receive your trade license, certificate of incorporation, and other official documents.
Step-7: Apply for Visas
Now that you have received a license, you need to apply for visas and process investor and staff visas through HFZA, including medical tests, Emirates ID, and entry permits.
Step-8: Open a Corporate Bank Account
With your Hamriyah freezone license in hand, approach UAE banks to open a business bank account for future transactions.
Secure Hamriyah Freezone License with Dhanguard Assistance
Establishing a business in the UAE with an HFZA License costs involves various procedures, approvals, and compliance requirements. DhanGuard streamlines the entire process by offering comprehensive support from planning to execution. Here’s how DhanGuard supports entrepreneurs and investors:
- Business Consultation: Expert advice to help you select the appropriate business structure, including Mainland, Free Zone, or Offshore.
- Company Formation: Assistance with registering your trade name, preparing documentation, and obtaining your trade license in the UAE.
- Bank Account Support: Helping with document preparation and facilitating the process of opening a business bank account in the UAE.
- Visa & PRO Services: Support for visa services, including investor visas, employee visas, Emirates ID applications, and immigration procedures.
- VAT & Compliance: Professional services for VAT registration, accounting, bookkeeping, and regulatory compliance.
- Ongoing Support: Help with license renewals, business expansion, and operations.
With DhanGuard’s end-to-end business setup services, starting and running a business in the UAE becomes smooth, fast, and hassle-free.
Conclusion
The Hamriyah Free Zone Authority stands as one of the top industrial and trading business locations in the UAE. The site provides direct port connection, low-cost leasing options, and permits complete foreign ownership, enabling manufacturers, logistics providers, and commodity traders to establish their regional operations base. The total Hamriyah Freezone license cost requires assessment because it includes hidden charges and renewal fees that determine the license expense. Ready to get started? Contact Dhanguard(https://dhanguard.com/ ) today at +971-522882376 or visit our website to know more about your cost estimate tailored to your specific business requirements.
DhanGuard: All-in-One Solution for Business Setup in Dubai, UAE
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