Specialist automotive business setup · New & used cars

New & Used Car Trading Company Setup in JAFZA

You buy cars, new or used, and you sell them on. The cars are the easy part. The company setup is where the questions start.

Setups usually start from AED 50,000+ · JAFZA sets the government fees, not us.

A car with a price tag, a clock and paperwork, surrounded by question marks
We understand your questions

Do you struggle with

  • Which license activity to pick for new cars, used cars, or both?
  • Whether you can add spare parts to the same license later?
  • Where your cars will wait before they are sold or shipped, and what that space really costs?
  • Whether you can sell to a buyer who calls from Dubai or Sharjah?
  • Whether JAFZA is really free of VAT and duty for your cars?
  • How many visas you will get for your driver or salesman?
  • Three quotes, three different prices, and none of them talk about parking your cars?

Trade parts too? See the spare parts page

WhatsApp us

No cost to talk · We reply the same day

General vs automotive

Why choose Ignition?

A car trading business is not a desk full of papers. Cars arrive, wait, and leave again. Your setup has to fit that from day one.

A general setup company

  • Sees your business as "trading"
  • Gives every client the same desk package
  • Thinks about your license only
  • Learns about car trading while working on your file

Ignition

  • Sees cars that arrive, wait and leave
  • Asks where your cars will sit before anything else
  • Plans your license, land and visas together
  • 30+ years of JAFZA experience on our team
  • Automotive only. JAFZA only.
Rows of cars in a yard next to Jebel Ali Port, with cranes and a container ship behind
Why JAFZA

Why JAFZA for car trading?

Next to Jebel Ali Port

Your cars arrive and leave from right next door.

100% foreign ownership

No local partner needed to own your company.

A big automotive community

Car traders, parts traders and global car makers, all in one free zone.

Land and yards for cars

Plots of land, offices and more. Space made for holding vehicles, not just papers.

629+Automotive companies in JAFZA
57 sq kmOf space in JAFZA
67+ countriesAutomotive companies come from
Global brandsBig car makers already work here

Figures as published by JAFZA. 629+ covers the automotive, transport and aftermarket industry.

How it works

Five simple steps

1You message us

Tell us what cars you sell and where they go.

2We talk

About your cars, your buyers, your team and where your cars will sit.

3We prepare

License, facility and visas. You check it before anything is sent.

4JAFZA reviews

We follow up and tell you what is happening at each stage.

5License issued

Your company is ready. You get back to the cars.

JAFZA requirements

What JAFZA asks for when you set up

A quick look at JAFZA's own setup process for a new company, written in simple words.

1. Company type

JAFZA offers these main company types:

  • FZE: Free Zone Establishment, one shareholder
  • FZCO: Free Zone Company, two or more shareholders
  • Branch: a branch of a company you already own, in the UAE or abroad

2. Facility

JAFZA does not issue a license without a facility. The options JAFZA lists include:

  • Plots of land
  • Showrooms
  • Office space
  • Co-working desks and workstations
  • Space subleased from another JAFZA company, with JAFZA's approval

3. JAFZA's process

  • Expression of interest: you register your interest with JAFZA
  • Online application: JAFZA checks it before moving forward
  • Facility selection: a unit is offered and a booking fee holds it
  • Incorporation and handover: you get your company documents, your facility and access to the Dubai Trade portal

4. Documents

For every new company:

  • KYC-UBO form, one for each shareholder
  • Passport copies of shareholders, directors and managers
  • An NOC from the sponsor, if anyone is a UAE resident

Depending on your setup, JAFZA may also ask for:

  • Shareholder resolutions and Memorandum and Articles (FZE and FZCO)
  • A project summary and business plan (for plots of land)
  • An EHS declaration (for plots, showrooms and subleased space)

Source: JAFZA, "New company formation" guide. JAFZA's rules and document lists can change, and every case is different. We confirm what applies to you before anything is submitted.

FAQ

Questions people ask us

Do I need to be in Dubai to set up?

Not for the first steps. We can start with your documents while you are abroad. Some later steps, like visas, need you here. We tell you exactly when.

Do I have to take land for my cars?

JAFZA requires every company to have a facility. It can be land, an office or a desk. Which one fits depends on how many cars you hold and for how long. We talk about this with you before anything is applied for.

How long does it take?

It depends on your case and on the approvals your business needs. We give you an honest idea once we have seen your details.

I already have a company in another country. Does that help?

It can. Tell us about it in your first message and we take it into account.

Do you only work in JAFZA?

Yes. Only JAFZA. If another free zone fits you better, we will tell you.

Do you help after the license is issued?

Our job is the company setup: the license, the facility and the visas. Shipping, customs and selling stay with you.

Get in touch

Talk to us about your car trading business

Tell us where your cars come from and where they go. We reply the same day.

Prefer to talk? WhatsApp us now

Disclaimer

The information on this page is general information only and does not constitute legal, tax, customs or financial advice. JAFZA and UAE rules, fees and requirements can change, and every business is different. Please speak to a qualified professional before making any business decision. Ignition accepts no liability for any loss or damage arising from reliance on the content of this page.