DAZ - Dubai Auto Zone

Key facts about setting up a company in DAZ

Company setup from

14,020 AED

Registration from

5 to 6 weeks

Bank account

Guaranteed

Residence visas for

2 years

DAZ company formation process

The business setup process in Dubai Auto Zone (DAZ) is overseen by JAFZA (Jebel Ali Free Zone Authority). While the initial steps can be initiated remotely, you will be required to visit the free zone in person once your company documents are prepared.

Company formation in DAZ begins with securing a physical space within the free zone, as it is assumed that businesses will require storage or display areas for vehicles. Due to limited availability, interested parties must first register their interest, specifying the type and size of space needed. Once a suitable unit becomes available, the free zone authority will grant approval to proceed with the license registration.

The estimated timeline for establishing a company in Dubai Auto Zone typically ranges from 5 to 6 weeks, covering the licensing and registration stages. Additionally, obtaining an immigration card and residence visa may take another 7–10 working days each.

Identify the specific business activities your company will engage in and choose the appropriate license type accordingly. This step is crucial for a smooth and successful business setup. Choosing an incorrect activity or license can lead to complications during the registration process, and may result in difficulties when applying for a corporate bank account or securing residency visas for you and your employees.

Choose the appropriate legal structure for your company based on the number of shareholders and the nature of your business activities. Dubai Auto Zone (DAZ) offers several formation options:

  • FZE (Free Zone Establishment): A limited liability company with a single shareholder, who can be an individual or a corporate entity.

  • FZCO (Free Zone Company): A limited liability company with two or more shareholders, which may include both individuals and companies.

  • Branch: A wholly-owned branch of an existing company, established under the parent company’s name and business activities. The parent can be based in the UAE or abroad.

All of these structures allow for 100% foreign ownership, with no local partnership requirements.

To register your company in Dubai Auto Zone (DAZ), you must prepare and submit a set of documents along with the application form. The required paperwork may vary depending on the type of company, license, and selected business activities, so it’s recommended to consult with a business setup expert for personalized guidance. Below is an overview of the typical documentation needed:

For All Applicants:

  • Completed application form

  • Business/project summary

  • Passport copies of the manager and shareholders/directors/secretary (for FZE/FZCO)

  • Passport copy of the manager (for a branch of a foreign company)

  • Personal information form

  • Three months’ bank statement (personal or company)

  • NOC from current sponsor (for UAE residents)

  • Parent company profile (for branch setups)

For Corporate Shareholders (FZE/FZCO):

  • Certificate of Registration (attested by UAE Embassy)

  • Memorandum and Articles of Association (attested by UAE Embassy)

  • Board Resolution (attested by UAE Embassy)

  • Passport copy of the appointed manager

  • Specimen signature of the manager (can be attested by DAZ)

  • Original typed FZE/FZCO application form

You will also be required to pay all relevant registration and processing fees. Please note, the application processing fee in DAZ is AED 545 and is non-refundable.

Secure the license and registration documents for the company, including:

  • Certificate of Incorporation
  • Business license
  • Memorandum and Articles of Association
  • Share certificate
  • Lease agreement

Receive the Establishment Card containing information about your company and visa quotes.

Once your company registration is underway, the next step is to apply for an entry permit.

If you’re outside the UAE when the permit is issued, you’ll need to enter the country within 60 days to complete the mandatory medical test and biometric procedures for your residence visa.

If you’re already in the UAE, a status change will be processed to convert your current visa—whether tourist or residency—to your new visa linked to your company.

Proceed with a medical examination as part of the residence visa application process. You will also need to submit the necessary documents for your Emirates ID.

The number of visas you can apply for—whether for company owners or employees—will depend on the specific business setup package and office space you’ve selected.

Once your visa is issued, secure your Emirates ID card.

Submit an application to a UAE-based bank to open your company’s corporate bank account. Once your account is successfully opened and you receive the account details, you can begin operating your business without restrictions.

With our assistance, you can navigate the entire process smoothly and efficiently—no need to travel to Dubai for company registration, as everything can be done remotely. However, you will need to visit the UAE later for medical tests, visa processing, and opening a bank account.

DAZ license costs

Dubai Auto Zone provides cost-effective company setup options, making it an attractive choice for automotive entrepreneurs and investors.

License fees in DAZ are comparable to those in JAFZA and are considered quite affordable when weighed against the numerous advantages and benefits the zone offers.

FEE TYPECOST
Trading/Service license14,020 AED
FZCO registration fee20,020 AED
FZE registration fee15,020 AED
Branch registration fee10,020 AED

Additional costs included in a typical setup package apart from the license fee:

  • Registration fee
  • Establishment Card
  • Lease cost
  • Visa-related fees
  • Medical checkup
  • Emirates ID
Jahney

Discuss your unique case with our expert right now

Is DAZ suitable for your business?

Yes,

  • Your business is centered around automobiles or related sectors, as Dubai Auto Zone is the world’s largest free zone dedicated exclusively to the automotive industry, offering unmatched opportunities in this space.

  • You seek a business setup in Dubai with easy access to major logistics hubs—DAZ operates under JAFZA (Jebel Ali Free Zone) and shares its strategic location near key seaports and airports.

  • You prefer an all-inclusive free zone with comprehensive infrastructure, on-site customs, retail zones, and showroom facilities.

  • You want to establish your company in a trusted and globally recognized free zone—DAZ is part of DP World, a highly reputed logistics and port operator, which helps ease banking and build credibility for your business.

No,

  • Your business has no connection to the automotive industry. For heavy industry or logistics operations, JAFZA is a better fit, while IFZA is ideal for consulting, trading, and general service-based businesses.

  • You require a fully remote company setup, as DAZ requires the physical presence of the business owner at certain stages.

  • You’re seeking to establish a business outside of Dubai—DAZ is location-specific and may not suit businesses focused on other emirates.

DAZ licenses and business activities

As its name implies, Dubai Auto Zone is tailored for automotive-related businesses. Most of the permitted business activities fall within the car industry and its associated services. These include:

  • Trading

  • Car import/export

  • Banking services

  • Insurance services

  • Sales

  • Repairs

  • Maintenance

Since Dubai Auto Zone is managed by JAFZA (Jebel Ali Free Zone Authority), all licenses are issued through JAFZA. Depending on your chosen business structure and activity, you can opt for either a Trading License or a Service License.

Below is an overview of the business license types available in DAZ, along with their descriptions.

Car Wash License

A Car Wash License offers a path to stable income with consistent demand from car owners.

Commercial License

A Commercial License enables you to start a business in retail, wholesale, or import-export, providing access to both local and international markets.

Technical Services License

Provide a wide range of technical services in the UAE, from equipment installation and maintenance to repairs and construction.

Used Automobile Trading License

Engage in the lucrative business of buying and selling pre-owned vehicles with strong local and export demand.

Car Trading License

Buy and sell new or used cars in the UAE’s thriving automotive market.

Car Import and Export License

Trade vehicles internationally from the UAE, a major hub for global automobile imports and exports.

Vehicles traded in Dubai Auto Zone (DAZ) are categorized into three groups:

  1. Left-hand drive vehicles: These are intended for sale in the local UAE market and must comply with UAE regulations.

  2. Right-hand drive vehicles: These vehicles are designated for export to countries in Africa and Asia.

  3. Other vehicles: This category includes heavy vehicles, agricultural machinery, bikes, motorcycles, recreational vehicles, and jet skis.

DAZ facilities

Dubai Auto Zone spans around 100 hectares and offers a wide range of customizable facilities tailored for all car-related activities, available for both sale and rent.

The available premises come in various sizes and layouts to suit different business needs. For example, warehouse options range from 3,000 sq. ft to 6,000 sq. ft, with the possibility of combining them into a larger space of up to 11,500 sq. ft, including a warehouse and land lot.

Plot of land

A space where businesses can construct their own facilities according to their specific needs, often with freehold or long-term lease options.

Warehouse

A facility for companies needing storage space for goods and materials, often equipped for light industrial use.

Dubai Auto Zone houses branches of key government agencies, including Dubai Customs and the Dubai Ports Authority. Additionally, DAZ provides a variety of services, such as insurance, banking, logistics, car maintenance, and dining options.

DAZ residence visas

Like other Dubai free zones, Dubai Auto Zone offers eligibility for resident visas based on your company type and the size of your chosen premises. The number of visas you can obtain will depend on these factors.

DAZ visa costs:

VISA TYPEDAZ FEEMEDICAL CHECKUPEMIRATES ID
Owner visa3,500 AED (for applicants outside the UAE)
4,350 AED (for applicants in the UAE)
760 AED390 AED
Employee visa3,500 AED (for applicants outside the UAE)
4,350 AED (for applicants in the UAE)
760 AED390 AED

The visas issued are valid for 2 years.

Health insurance is mandatory within this free zone. The most affordable package available ranges from 600 to 800 AED, and it must be renewed annually.

Complete UAE Residency Guide

Requirements, terms, and prices

DAZ company license renewal

Companies in Dubai Auto Zone must undergo annual renewal. The process includes renewing both the license and office lease. To complete the renewal, you need to pay:

  • License fees

  • Office (facility) fees

  • Establishment card costs

The cost of renewing a Dubai Auto Zone license is the same as the initial company registration.

FEECOST
DAZ license renewal (minimal cost, does not include other associated fees like lease, etc)14,020 AED

To renew your business license:

  • Submit an application form with the required documents to the DAZ authorities.

  • Sign the renewed lease agreement.

  • Pay the renewal fees.

  • Wait for the renewal of your license.

Company renewal can be processed without your personal presence in Dubai Auto Zone.

At the time of renewal, you will need to provide your company’s audit report. The audit can be conducted by any UAE-licensed and accredited auditing firm.

 

DAZ Company Amendments


Dubai Auto Zone allows your company to make amendments at any time. Common amendments include:

  • Changes to shareholders or managers

  • Company name changes

  • Changes in business activity

  • Modifications to office facilities

For most amendments, the personal presence of the shareholder or manager is required.

DAZ Company Liquidation


Liquidation of a company in DAZ requires the personal presence of the owner, or it can be managed by a Power of Attorney holder.

To liquidate your company in DAZ, shareholders must first provide a notice for company termination and appoint a liquidator (usually an auditing firm). The liquidation process consists of the following steps:

  1. Submit the mandatory documents:

    • Board resolution signed by the shareholders stating the reason for liquidation

    • Deregistration documentation

    • Business license and all company incorporation documents

    • Auditor Liquidation Certificate

    • Audit report

  2. Pay cancellation fees and settle other outstanding payments. Once done, the liquidation process is initiated.

  3. Cancel all residence visas and immigration-related documents issued under the company.

  4. Once the liquidation is complete, you will be notified and receive the corresponding documents.

The entire liquidation process typically takes about 1 month, and the DAZ company register will provide you with a certificate of liquidation upon completion.

About DAZ

Dubai Auto Zone (DAZ), established in 2000, is a premier hub for the automobile industry designed to facilitate the export of used vehicles, particularly to Asia and Africa, with a focus on the Middle East and North Africa (MENA) regions. This free zone serves as a dynamic marketplace, catering to all sectors involved in the car import/export business, including car manufacturers, authorized dealers, traders, logistics providers, and service businesses such as maintenance.

Originally known as Dubai Cars & Automotive Zone (DUCAMZ), DAZ is part of DP World UAE, the Dubai-based division of DP World, a global leader in logistics and port operations. DAZ operates under the management of JAFZA (Jebel Ali Free Zone), DP World’s flagship free zone, and benefits from its strategic location, close proximity to both Dubai seaports and air hubs, which offer significant logistical advantages.

Located in Ras Al Khor, Dubai, DAZ is the world’s largest free zone exclusively dedicated to the automotive industry. It is divided into several specialized sections, such as the GCC (Gulf Cooperation Council) zone, a retail zone for the local market, and a section tailored to attract Foreign Direct Investments (FDI).

Home to over 400 international companies, including names like Boeing International, Emirates Post, and Aramex, DAZ provides a comprehensive range of car-related services, from licensing and customs clearance to retail and shipping.

Given its strategic location and direct ties with JAFZA, Dubai Auto Zone is an ideal choice for anyone looking to establish a business in the automotive sector in Dubai. The free zone’s prominence, coupled with its seamless logistics network, positions it as the leading global platform for the automobile industry, offering vast opportunities in rapidly expanding African and Asian car markets.

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