Free zone company in Dubai and the UAE: costs and comparison 2026

Year-1 entry government cost (zero visas) in 2026: Ajman Free Zone from AED 5,555, SPC and Shams in Sharjah from AED 5,750, RAKEZ from AED 6,000 all-in, ADGM tech startup licence USD 1,500 (≈ AED 5,510, eligibility applies), Meydan FZ from AED 12,520 (VAT included), IFZA from AED 12,900 and DMCC from AED 50,985. Each figure is verified in our per-emirate guides. Service fees are always separate.

Of the zones we compare, on entry price, Ajman Free Zone at AED 5,555. With a fixed price and visas included, RAKEZ: AED 14,000 all-in with 1 visa, renewing at the same price. In Dubai, Meydan FZ at AED 12,520. The cheapest depends on your number of visas and how many years you renew; we calculate the total for your case.

A company licensed by one of the UAE’s free zone authorities: 100% foreign-owned, trading internationally by default, with residence visas for founders and staff. It differs from mainland (which sells inside the UAE without restrictions) and offshore (which cannot trade or sponsor visas at all).

Qualifying free zone income can remain at 0% under the QFZP regime; everything else follows the federal rule: 9% only on profit above AED 375,000. Whether your income qualifies depends on what you sell and to whom (activity and substance rules). We review it before incorporation.

It depends on your case: cost-driven founders usually choose Ajman, Sharjah or RAKEZ (entry AED 5,555–6,000); client-facing businesses that need the Dubai address pick Meydan, IFZA or DMCC (AED 12,520–50,985); startups with investors and financial firms choose ADGM for common law (from USD 1,500/year). Our per-emirate guides carry the full numbers for each.

It depends on the package or facility: RAKEZ bundles quotas of 0–3+ into its price, SPC allows up to 25 and Shams up to 50 per licence (visas quoted per case), and Dubai zones price per visa on published schedules. Every visa is a federal UAE residence visa valid nationwide.

Yes. UAE residence visas are federal: a visa sponsored by RAKEZ, SPC or Ajman Free Zone lets you live, rent, drive and bank in Dubai exactly like a Dubai-sponsored visa. Many founders run the licence where it is cheap and the life where they want it.

Not much, with two exceptions: DMCC and ADGM make the process easier, and the cheapest licences draw more questions. The bank mainly reviews the activity, the source of funds, the shareholders’ residency and the file. The bank decides on approval and no provider can guarantee it.

Three logics: RAKEZ renews flat at the same all-in price (AED 6,000–22,000 by quota); Dubai zones renew on published schedules (Meydan AED 12,520, IFZA from AED 12,900, DMCC AED 38,910); budget zones like Ajman and Sharjah renew from their published rates, reconfirmed at renewal. Visa holders re-run federal medical and Emirates ID steps every two years.

The licence takes hours at SPC, days at most zones, and one to two weeks at ADGM. The residence visa adds 1–3 weeks of federal steps, and the bank account runs in parallel from days to several weeks depending on profile.

No. Every zone bundles or offers a flexi desk (shared workspace) that satisfies the legal address requirement; dedicated offices are optional. This is a key difference from mainland, where an Ejari-registered lease is mandatory.

When you sell inside the UAE without intermediaries, need consumer-facing premises, or bid for government contracts. For international services and trading, a free zone does the job with lower entry cost and the QFZP tax option; the full comparison is in our mainland LLC guide.