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About Hamriyah Free Zone (HFZA)

Hamriyah Free Zone is the UAE’s second largest industrial free zone, which spreads across 26 million square metres.

The free zone is home to over 6,500 businesses from 163 countries. It also hosts a range of office, warehouse and factory space, as well as a harbour.

Prices starting from AED 9,000

Average business setup time: 5-7 days

Benefits of setting up a company in: Hamriyah Free Zone


Hamriyah Free Zone is located at the intersection of three major transport hubs.


Hamriyah Free Zone welcomes activities under commercial, e-commerce, service and trading licences.


As an expatriate, you can own 100% of the company and remit all profits to your home country.


Hamriyah Free Zone offers 15 on-site business services including banking and auditing, and more.


Hamriyah Free Zone is built for businesses of all sizes, land for development and even a port.

Business Activities

Hamriyah Free Zone welcomes a range of financial and professional business activities. Here are some of the most popular options:


Event Management


Marine Related Activities








Veterinary Services






Health and Fitness












Hospitality Services



Physical Presence Requirement

You do not have to be physically present to complete the setup process of your company.

A Guide to Hamriyah Free Zone Company Formation

Did you know that the UAE issues a little more than 50,000 business licenses every year? And that’s not even touching on all the license renewals that they issue to already existing companies.

Whether entrepreneurs are doing business in the heart of Dubai or are setting up shop in one of the many free zones in the UAE, this country is a hotspot for business owners.

If you’re interested in starting your own business, you should consider Hamriyah Free Zone company formation. Let’s take a look at what you need to know about starting a business in the Hamriyah Free Zone.

What Is the Hamriyah Free Zone?

Before we jump into how to go about business setup in the Hamriyah Free Zone, let’s talk about what this zone is. The Emirate of Sharjah established this free zone back in 1995. This is the only emirate that gives businesses access to the Indian’s east and west coasts, making it a prime spot for business.

Hamriyah Free Zone companies get several major advantages from operating in this area. For one, the Hamriyah Free Zone Authority provides several incentives to all business owners. A few of those incentives include tax exemptions and land leases.

Apart from that, there aren’t too many company formation requirements in the Hamriyah Free Zone, which means that you can start a business with little barrier to entry. It’s a great choice for up-and-coming entrepreneurs wanting to start a new project.

As of right now, the government permits the following industries in this free zone:

  • SMEs
  • Recycling
  • Building Materials
  • Logistics and Transportation
  • Oil and Gas
  • Textile
  • Marine
  • Timber
  • Heavy Industry
  • Food
  • Packaging
  • Petrochemical
  • Perfume and Cosmetics
  • Steel

Types of Hamriyah Companies

Now that we know what the Hamriyah Free Zone is, it’s time for us to talk about what types of companies can set up shop in this area. After all, while most businesses are eligible, not all of them are.

One type of business that can launch operations in this free zone is foreign enterprises called free zone establishments (FZE). Another type of company that can launch operations in Hamriyah is a free zone company (FZC).

The biggest difference between these two types of companies is that FZEs have one shareholder. In contrast, FZCs can have as many as five different shareholders.

Another big difference between these two companies is that FZEs require AED 150,000 of capital to launch the business. That’s the equivalent of nearly USD 41,000.

It’s also important to note that both FZCs and FZEs should have at least two directors or managers and one secretary. On top of that, the secretary and at least one of the directors have to be residents of the UAE.

If you live outside the UAE, it’s good to know that one of the directors in the company can also act as the secretary. That means that you can work it so that only one of the directors has to live in the United Arab Emirates.

Benefits of Starting a Company in the Hamriyah Free Zone

There are tons of reasons to go look into a company set up in Hamriyah or in any other free zone in the UAE. If you’re thinking about starting your own company in Hamriyah but aren’t sure yet, these benefits should convince you that you’re making a good choice.

Full Ownership

One of the biggest benefits of starting a company in the Hamriyah Free Zone is that you get full foreign ownership of your company. You don’t need to split the ownership with a sponsor or worry about selling off percentages to shareholders even if you don’t live in the UAE.

No Duties

Another benefit of starting a company in the Hamriyah Free Zone is that there are no export, re-export, or customs duties. What’s more, there are several special benefits in VAT for business owners.

Renewable Leases

In Hamriyah, you have access to renewable leases regardless of whether you’re looking for a short- or long-term lease. Plus, those lease rates are fixed for the first 10 years.

As part of those contracts, investors can develop their plots for up to 60% of their revenue. That makes an easy way for you to create the type of business that you have in mind.

Easy Market Access

The Hamriyah Free Zone is in a strategic location, offering access to both the UAE markets and to the GCC markets. It also has access to both an inner harbour and a port, making exporting and importing easy.

Fast Online Processes

In the Hamriyah Free Zone, it doesn’t take long for you to get your applications processed. You can apply for visas and renewals online, shortening the turnaround time.

What’s more, these processes are fast. The business setup process, for example, only takes one hour to complete.

Great Infrastructure

The Hamiryah free zone has a fantastic telecommunications infrastructure that makes it easy for you to communicate with your business partners. They also have great electricity, water, and road networks throughout the area.

Documents Needed for Starting a Hamriyah Free Zone Company

If you’re ready to start a business in this free zone, good for you! You’re about to take advantage of tons of benefits of owning and operating a company out of Hamriyah.

Before you get started, however, you’ll need to gather a few documents. The documents you’ll need include:

  • A copy of your passport and those of any shareholders
  • A certificate of good standing and certificate of incorporation
  • Personal bank statement
  • The Articles of Association (AOA) and the company memorandum
  • A letter confirming the company’s representatives
  • A copy of your UAE visa
  • A signed registration application
  • A passport photo
  • Approval of your business activity and name
  • Signed legal papers

With those documents in hand, you’ll be ready to apply for your business license and start your new company!

Types of Business Licenses in the Hamriyah Free Zone

When you register for a business license in the Hamriyah Free Zone, you’ll need to apply for a business license. There are three types of business licenses that you can apply for: commercial, industrial, and service.

Industrial License

An industrial license is designed for businesses that will import raw materials to the UAE. This license lets them package, assemble and manufacture those materials to sell goods to the UAE market.

Service License

Service licenses let business owners operate the specified services on the license. You can only operate within the Hamriyah Free Zone if you have this type of license.

Commercial Market

A commercial market license lets businesses import, export, distribute, store, and sell items that are laid out on the license. This license also allows you to select specific trading, e-commerce, and between 3 and five general trading activities.

How to Start a Business in the Hamriyah Free Zone

Now that you’ve got all the information on starting a business in the Hamriyah Free Zone, it’s time to talk about the business setup process. The good news is that it’s fairly straightforward.

In fact, many people choose to start businesses in the UAE simply because they offer easy-to-follow, fast, and simple business setup processes. Let’s take a look at that process and how it relates to the Hamriyah Free Zone.

1. Choose Your Business Entity

The first step to starting your company in the Hamriyah Free Zone is to choose what type of business entity you’ll work under. Remember that you can choose to either run a free zone establishment or to open a free zone company.

2. Select a Business Activity and License

Next, you’ll need to select a business activity. This will determine whether you’ll apply for a commercial, industrial, or service business license so it’s important to choose wisely.

3. Register Your Trade Name

After you’ve chosen what type of license you’ll be applying for, you need to register your trade name. You do this by registering with the Sharjah Department of Economic Development.

To get your trade name approved, it can’t be similar to any already existing UAE companies. The government provides an official list of companies so that you can check your chosen name against the list.

4. Get Pre-Approval

The next big step in starting your Hamriyah Free Zone company is to get pre-approval from the DED for your business. To get pre-approval, you need to fill out an application form and send your documents to the DED.

If you receive pre-approval, you’ll be invited to continue the application process for opening your business.

5. Get Approved

The final step of the process is to fill out the form, submit your documents, and get approval for your company. Once you submit these documents, you’ll need to wait for your approval. When your business gets approved, you’ll receive a Certificate of Incorporation as well as your business license.

Making Company Amendments

Sometimes, you might need to make amendments to your company documents. This usually involves corporate name changes, director changes, shares transfers, or a change of activity.

You can either make the company amendments yourself or ask someone with power of attorney to take on the job. Either way, you’ll need to submit the documentation to the DED for approval.

Hamriyah Free Zone License Renewal

Just because you got approved for a business license in the Hamriyah Free Zone doesn’t mean that you’ll be able to work there indefinitely. You need to renew your license once a year.

Each time you renew your license, you’ll have to submit an audit report to the government. This has to be done starting in the third year of your business.

If you don’t want to go through the license renewal process, you can choose to sign a waiver. You’ll also need to pay a AED 1,000 fee if you won’t be submitting your audit report.

What to Know About Hamriyah Business Liquidation

While most people keep their Hamriyah businesses open for generations, there are situations in which you might want to liquidate your company. In order to do so, you’ll need to start by liquidating your visa and cancelling your ID card.

Then, you’ll need to cancel your lease and get customs clearance for your licenses. Once you have the clearance, you need to deregister your business license.

The amount of time it will take you to liquidate your company depends on what type of property you’re renting. Flexi-offices usually take just one day to cancel while warehouses require three months for cancellation.

The entire liquidation process will cost you AED 6,000. However, you’ll get back any deposits you paid on your leased land after you close the company.

How to Get a Hamriyah Free Zone Visa

A big part of starting a company in the Hamriyah Free Zone is getting your visa. And, luckily, this free zone is pretty flexible when it comes to what kinds of and how many visas you can get.

If you’re opening a warehouse facility, you can have as many as 50 visas, for example. What’s more, the business owner can get a visa for their partner that’s eligible for three years.

To get your visa, you’ll need to get a medical check and fill out an Emirates ID application. Both these steps need to take place in the Hamriyah Free Zone and can’t be done from outside the company.

After your visa and ID card get approved, the government will deliver them to the Emirates Post Office in the Hamriyah free zone. This usually takes about two weeks.

Get Started With Hamriyah Free Zone Company Formation

With this guide, Hamriyah Free Zone company formation becomes a breeze. You’ll be prepared to tackle the process from start to finish and to get your company up and running without a hitch.

So, are you ready to get to work? Connect with Virtuzone, and we’ll help you start your journey to launching a successful business in the Hamriyah Free Zone.

Start your business today

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