The service will allow companies that currently operate in high tax or high-risk regulatory environments to move to Sharjah without triggering a disposal of their assets
The Sharjah Airport International Free Zone Authority will “soon” be launching corporate migration and re-domiciliation services for companies that currently operate in high tax regulatory zones, according to SAIF Zone director Saud Salim Al Mazrouei.
“This process will allow for companies, which currently operate in more expensive, difficult regulatory, high tax and high-risk environments in other countries or within UAE to migrate to SAIF Zone without triggering a disposal of their assets or a diminution of their goodwill or operating history,” Al Mazrouei said in an interview with Arabian Business.
He added that “corporate migration [that] is particularly popular with companies registered in jurisdictions without substance – offshore companies – which have outgrown their environment, that now seek to capitalise on the UAE’s and SAIF Zone’s advantages and benefits and comply with international rules and regulations.”
Currently, SAIF Zone is home to over 7,500 companies, including trading offices, distribution hubs and professional service and consulting companies, as well as industrial units and start-ups.
“Although the majority of our investors are from the Asian subcontinent, we have a rich mix of European and American investors as well,” Al Mazrouei said. “We have a lot of companies setting up new businesses or opening a branch with SAIF Zone on a daily basis.”
Over the next year, Al Mazrouei said that SAIF Zone expects 10 to 15 percent growth in terms of new companies operating in the free zone, as well as 20 percent growth in foreign direct investment, totalling approximately $6 billion.
SAIF Zone, along with Sharjah’s Hamriyah Free Zone and 19 industrial areas that collectively contribute more than 48 percent of the UAE’s gross industrial output.