The industrial area of the Dubai Free Zones in the United Arab Emirates has been expanded into the Khalifa Industrial Zone (Dubai Industrial City), a designated region within the UAE. KIZAD is an economic, logistical, and trading hub located in the center of Abu Dhabi.
Through a top-notch transportation infrastructure with multimodal connectivity by sea, land, air, and future rail networks, KIZAD gives the businesses outstanding access to markets and connects them to more than 4.5 billion people.
In addition to encouraging business efficiency, KIZAD’s world-class infrastructure, transportation, and logistics alternatives, as well as its low operating cost setting, make it simpler for you to accomplish your business objectives. At KIZAD, support for the corporation begins even before operations commence.
The businesses operating in KIZAD industrial zone must audit their financial accounts through one of the top audit firms in Dubai.
The KIZAD region is divided into two regions:
This area focuses more on companies that work in the industrial sector. Area A provides a wide range of real estate choices and aids in meeting the needs of the staff, customers, and visitors.
Region B offers a variety of commercial and retail establishments, logistics businesses, light and heavy industries, and residential developments.
Benefits of choosing KIZAD
Significant Cost Savings Made Possible
- There are no corporate or income taxes.
- Power, gas, and water utilities are all readily available and offered at the best prices in the UAE.
- Duty-free commerce for “MADE IN UAE” goods in the GCC free trade region
- Facilities in a prime location with very affordable leasing rates
Versatility in Operations Scale
- Opportunity to use facilities in a Free Zone and a Domestic Economic Zone to conduct business in local, regional, and international markets
- Versatility in terms of structure and leasing term, etc.
- a variety of company infrastructure, from start-ups to large-scale initiatives
- Future-ready construction that includes provisions for growth and integration with new initiatives
Benefit of proximity and speed to market
- Two global ports, five international airports, multi-lane motorways, and projected rail linking KIZAD to the rest of the UAE and GCC provide quick access to vital marketplaces.
- The sole interface for all approvals is KIZAD.
- Presence of assisting firms in the zone, including packaging companies, raw material suppliers, and specialized logistical services
- Easy and adaptable business setup
Growing Business, Cluster, and Amenity Community
- Several residential, social, and recreational locations are all within a 10-minute drive
- Several on-site staff housing options are being planned and developed at various levels
- A grouped approach with shared amenities for more efficient planning and customer development
- Specialized clusters for SMEs, business parks, and logistics
Types of Businesses That Are Available
- Free Zone Limited Liability Company FZ-LLC
- Branches of foreign or UAE companies
In addition to the aforementioned, there are three other categories of licenses offered in the KIZAD Industrial Zone. These are:
The majority of businesses that have been established in the KIZAD Industrial Zone make use of an industrial license. The holder of this license will be able to import and export machinery, as well as assemble and package the machinery.
After obtaining a service License, a corporation is able to engage in a variety of operations. The activities comprise:
- Services at Restaurants
- Marketing Services
- Advisory Services
- Services for Travel and Tourism
- Logistics and Cargo Services
Trading / General Trading License
The dealing, importing, and exporting of items shall be permitted by this license. A general trading license will permit the trade of goods that are common or general, however a trading license only deals with the particular items listed in the license. This is the difference between a general trading license and a trading license.
Benefits of Free Zone business licenses and resources
- Completely foreign ownership
- 100% of the capital and profits are returned
- There is no VAT in the Free Zone.
- Ideal for SMEs and start-ups
- Affordable options to test the market
- Possibilities for expanding to permanent facilities
- Easy and quick approvals
- Start-up packages do not require security deposits.
- No money down for a visa
- Workstations that are shared or private offices
- Free Wi-Fi and internet access One-stop shopping
- Various packages to meet the needs of the business
Why is auditing important in KIZAD?
At the time of trade license renewal, companies with trade-free zone registration and a trade license must have a financial audit of their yearly financial statements performed. Although a corporation can select its own financial year based on its needs, it usually uses the calendar year. The fiscal year of choice should start on the date of incorporation and cannot be less than six months or longer than eighteen months.
Financial accounts of companies operating in free zones must undergo regular financial audits; failure to do so could result in penalties. The free zone audit must be completed on time if one wants to avoid fines and penalties. A Free Zone Company must currently submit the reports to the authorities 90 days after the end of its fiscal year. Each month that an audited financial report is outstanding could result in a financial penalty of AED 5,000 for Free Zone Companies.
Why is collaboration with registered audit firms in KIZAD important?
The main benefit of partnering with approved audit firms in KIZAD for the corporation is compliance with regulatory requirements. Businesses in the UAE are free to use any firm’s auditing reports, however free zone authorities place some restrictions on it. A list of registered audit firms in each free zone is often provided by the free zone authorities.
The Free Zone authorities want all businesses to adhere to the strictest regulatory requirements. For all UAE authorities, adherence to international accounting and financial standards continues to be a top focus. One must submit a financial audit from one of the KIZAD registered audit firms, regardless of the size of their business.
Which accounting records are necessary for conducting audit?
The authorities need an accurate evaluation of your financial management from one of the KIZAD registered audit firms. The shareholders of the company receive a transparent and objective audit report from the auditors regarding your financial documents. To fulfil the compliance requirements, the same audit reports can be distributed to the appropriate authorities.
Some crucial financial documents that all KIZAD registered auditors may check:
- Financial statements, including the cash flow statement, income statement, and balance sheet.
- Accounting documents that include bank statements, costs, and invoices.
- Previous audit reports for businesses that are still operating.
- Information on registering for VAT with the authorities.
- Company memorandum of organization, license for registration, and other relevant paperwork.
Auditors provide businesses with skilled financial advice. Experienced auditing firms can also provide insightful commentary on business accounting and financial risk as well. One will gain the shareholders’ trust by working with reputable auditing firms in KIZAD.
KIZAD Approved Auditors
Farahat & co. is one of the top audit firms in Dubai and is specialized in company formation and company liquidation. Serving the clients is our passion and we strive for 100% customer satisfaction.
We offer specialized accounting, audit, tax, and various business advisory services while adhering to the regulatory requirements.
At Farahat & co. we will help you take care of all the legal steps necessary to register and deregister your business in Abu Dhabi’s Khalifa Industrial Zone.
Call us right away or visit our website if you need any kind of information and assistance.