Sharjah is one of the seven emirates of the UAE, and is an emerging business hub known for its vibrant economy and investor-friendly policies. Its strategic location, diversified economy, and supportive government regulations make it an attractive destination for entrepreneurs and businesses looking to establish their companies in the UAE.
Whether you’re interested in setting up in Sharjah’s mainland or its many free zones, this guide provides a detailed overview of why Sharjah is an ideal business location, the benefits of operating here, and the process of setting up a business.
Why Sharjah is a Great Location for Business Setup in UAE?
Sharjah is one of the fastest-growing emirates in the UAE, known for its robust infrastructure, cultural richness, and proximity to Dubai. While it may be lesser-known compared to Dubai and Abu Dhabi, Sharjah offers a unique set of advantages for businesses looking to tap into the UAE and global markets.
Sharjah’s central location between Dubai and the Northern Emirates provides excellent access to major highways, ports, and airports, which makes it a key trading and logistics hub. The emirate’s government has focused on economic diversification, fostering industries such as trade, manufacturing, logistics, media, education, healthcare, and technology.
Additionally, the cost of doing business in Sharjah is relatively lower than in other parts of the UAE, making it an appealing choice for start-ups and SMEs. With a growing focus on attracting foreign investment and offering streamlined business setup processes, Sharjah provides a conducive environment for both local and international entrepreneurs.
Benefits of Starting a Business in Sharjah
Here are some of the key benefits of starting up a business in Sharjah:
- Strategic Location: Sharjah’s central position provides easy access to both UAE’s local markets and international trading routes.
- Lower Costs: The cost of setting up and operating a business in Sharjah is lower compared to Dubai and Abu Dhabi, making it ideal for SMEs and startups.
- Diverse Economy: Sharjah’s economy spans various sectors, reducing dependence on any single industry and providing multiple opportunities for growth.
- Cultural and Industrial Hub: Sharjah is known for its cultural, media, and educational sectors, making it a suitable location for businesses in these fields.
- Free Zones with 100% Foreign Ownership: Sharjah offers several free zones with benefits like full foreign ownership, tax exemptions, and simplified business setup processes.
Types of Business Jurisdictions in Sharjah
Sharjah offers two main business jurisdictions for entrepreneurs: the mainland and free zones. Each jurisdiction has its own advantages depending on the nature of the business, ownership preferences, and target markets.
Sharjah Mainland
Setting up a business in Sharjah mainland allows companies to operate across the UAE and enter into contracts with government entities and private businesses. The mainland offers access to the local UAE market, which is crucial for businesses looking to provide services to residents or local industries.
Popular locations for business setup in Sharjah mainland include Al Majaz, Al Nahda, and the Industrial Area, which provides excellent infrastructure, office spaces, and proximity to major highways and transport links.
Sharjah Free Zones for Business
Sharjah is home to several free zones that provide 100% foreign ownership, tax exemptions, and ease of doing business. Free zones are ideal for companies focused on international trade, manufacturing, media, education, and other specialized industries.
Each free zone caters to different industries and offers industry-specific infrastructure.
1. Hamriyah Free Zone (HFZ)
Hamriyah Free Zone is one of the largest industrial free zones in the UAE, offering businesses involved in manufacturing, logistics, and heavy industries access to world-class facilities, storage solutions, and international ports. It is a key trading hub in Sharjah, providing companies with comprehensive business infrastructure.
2. Sharjah Airport International Free Zone (SAIF Zone)
SAIF Zone is strategically located next to Sharjah International Airport, providing excellent connectivity for logistics, aviation, and trading companies. It offers a range of business facilities including offices, warehouses, and land for industrial use.
3. Sharjah Publishing City Free Zone
Sharjah Publishing City Free Zone is the world’s first free zone dedicated to publishing and the media industry. It offers a variety of facilities for publishers, printers, and content creators, providing a gateway to the Middle Eastern and global publishing markets.
4. Sharjah Media City Free Zone (SHAMS)
SHAMS is designed for media, entertainment, and creative industries. It offers affordable business setup solutions for entrepreneurs, start-ups, and freelancers in fields like advertising, marketing, film production, and content creation.
How to Start a Business in Sharjah (Steps)
Starting a business in Sharjah involves several key steps that ensure your company is legally established and operational. Here is an outline of the steps involved:
- Choose a Business Activity and Legal Structure
Identify the type of business activity you want to engage in and select the appropriate legal structure, such as a sole proprietorship, LLC, or partnership. - Select a Business Jurisdiction
Decide whether to set up in the mainland or one of Sharjah’s free zones, depending on the nature of your business and ownership preferences. - Register Your Trade Name
Register your company’s trade name with the Sharjah Economic Development Department (SEDD) or the respective free zone authority, ensuring it complies with the local guidelines. - Apply for Initial Approval
Obtain initial approval for your business from the relevant authorities, such as the SEDD or the free zone administration. - Submit Necessary Documents
Provide the required documents, including passport copies, business plans, and lease agreements, to complete the registration process. - Obtain the Business License
Once all approvals are in place, pay the relevant fees and receive your business license, allowing you to legally operate in Sharjah. - Set Up Your Office Space
Depending on your business requirements, lease an office space, warehouse, or industrial facility in either the mainland or the free zone.
How SolutionsFZCO Can Help You Start a Business in Sharjah?
SolutionsFZCO specializes in helping entrepreneurs and companies navigate the business setup process in Sharjah, whether it’s in the mainland or free zones. With our extensive experience and strong network of partners in Sharjah, we ensure a smooth and hassle-free process from start to finish.
We work closely with both Sharjah mainland and free zone authorities to expedite your business setup process. Whether you’re looking to establish a manufacturing unit in Hamriyah Free Zone, a media company in SHAMS, or a trading business in the mainland, we provide tailored solutions to meet your specific needs.
With SolutionsFZCO, you can trust that all legal and regulatory requirements will be met, allowing you to focus on growing your business.
Frequently Asked Questions
1. How much does it cost to set up a business in Sharjah?
The cost of setting up a business in Sharjah depends on several factors including the type of license, business activity, and the location (mainland or free zone). On average, the cost can range from AED 10,000 to AED 50,000 or more, depending on the specific requirements.
2. Can a foreigner start a business in Sharjah?
Yes, foreigners can start a business in Sharjah, especially in the free zones where 100% foreign ownership is allowed. In the mainland, certain businesses may require a local partner or sponsor, depending on the type of activity and legal structure.
3. What type of business licenses are available in Sharjah?
Sharjah offers several types of business licenses, including:
- Commercial licenses
- Industrial licenses
- Professional licenses
- Media licenses
