Freezone License in UAE: Everything You Need to Know
Setting up a business in the UAE? A Freezone license is one of the most attractive options for entrepreneurs, startups, and foreign investors. It offers 100% ownership, zero income tax, and full profit repatriation β making it a magnet for global businesses aiming to tap into the Middle Eastern and international markets.
π‘ What Is a Freezone License?
A Freezone license allows you to operate a business within one of the UAE’s many designated free zones. These are special economic areas offering regulatory and tax advantages to expatriate business owners.
There are over 40 free zones across Dubai, Abu Dhabi, Sharjah, and other emiratesβeach tailored for specific industries like media, IT, logistics, healthcare, and more.
π§Ύ Types of Freezone Licenses
- Commercial License
- For buying and selling goods or services
- E-commerce included
- Professional License
- For service providers, consultants, or freelancers
- No physical product required
- Industrial License
- For manufacturing or light industrial activities
- Often includes warehouse or factory space
- General Trading License
- Broader category to trade multiple types of goods
- Ideal for import/export businesses
π° Cost of a Freezone License in the UAE
The price of a freezone license depends on the zone, business type, visa quota, and office setup. Here’s a general idea:
| Freezone | Starting Price (AED) |
|---|---|
| IFZA (Dubai) | 12,900 |
| SHAMS (Sharjah) | 5,750 |
| RAKEZ (Ras Al Khaimah) | 6,500 |
| DMCC (Dubai) | 20,000+ |
| DTEC (Dubai Silicon Oasis) | 9,500 |
Add-ons such as visas, office space, and business activities may increase the cost.
β Benefits of a Freezone License
- 100% foreign ownership
- 0% personal and corporate tax
- Full profit repatriation
- No currency restrictions
- Quick and easy setup (often within 3-5 working days)
- No local sponsor or partner required
- Dedicated business infrastructure
π Popular Freezones in UAE
- DMCC β For commodities, crypto, and general trade
- IFZA β Budget-friendly for SMEs and freelancers
- RAKEZ β Ideal for manufacturing and trading
- KIZAD β Logistics and industrial operations
- SHAMS β Creative and media startups
π Documents Needed
- Passport copy of owner/shareholders
- Visa or entry stamp copy
- Passport-sized photograph
- Business name approval
- NOC (if UAE resident under another sponsor)
Some zones may ask for a business plan or additional documents depending on activity.
π How Long Does It Take?
- Online license without visa: 1β3 working days
- License with visa + office: 5β10 working days
π§ Freezone vs Mainland License: Key Differences
| Feature | Freezone | Mainland |
|---|---|---|
| Ownership | 100% expat ownership | Requires Emirati sponsor (51%) |
| Office Requirement | Flexible or shared spaces allowed | Physical office mandatory |
| Market Access | Only within the freezone or internationally | Can trade anywhere in UAE |
| Tax Benefits | Usually tax-free | Subject to UAE corporate tax (9%) |
Final Thoughts
A Freezone license in the UAE is an excellent choice if youβre looking for a fast, affordable, and fully-owned business setup. From freelancers to multinational firms, free zones cater to all β offering legal flexibility and business-friendly environments. The key is to choose the right zone that aligns with your industry, budget, and scalability goals.Setting up a business in the UAE? A Freezone license is one of the most attractive options for entrepreneurs, startups, and foreign investors. It offers 100% ownership, zero income tax, and full profit repatriation β making it a magnet for global businesses aiming to tap into the Middle Eastern and international markets.
π‘ What Is a Freezone License?
A Freezone license allows you to operate a business within one of the UAE’s many designated free zones. These are special economic areas offering regulatory and tax advantages to expatriate business owners.
There are over 40 free zones across Dubai, Abu Dhabi, Sharjah, and other emiratesβeach tailored for specific industries like media, IT, logistics, healthcare, and more.
π§Ύ Types of Freezone Licenses
- Commercial License
- For buying and selling goods or services
- E-commerce included
- Professional License
- For service providers, consultants, or freelancers
- No physical product required
- Industrial License
- For manufacturing or light industrial activities
- Often includes warehouse or factory space
- General Trading License
- Broader category to trade multiple types of goods
- Ideal for import/export businesses
π° Cost of a Freezone License in the UAE
The price of a freezone license depends on the zone, business type, visa quota, and office setup. Here’s a general idea:
| Freezone | Starting Price (AED) |
|---|---|
| IFZA (Dubai) | 12,900 |
| SHAMS (Sharjah) | 5,750 |
| RAKEZ (Ras Al Khaimah) | 6,500 |
| DMCC (Dubai) | 20,000+ |
| DTEC (Dubai Silicon Oasis) | 9,500 |
Add-ons such as visas, office space, and business activities may increase the cost.
β Benefits of a Freezone License
- 100% foreign ownership
- 0% personal and corporate tax
- Full profit repatriation
- No currency restrictions
- Quick and easy setup (often within 3-5 working days)
- No local sponsor or partner required
- Dedicated business infrastructure
π Popular Freezones in UAE
- DMCC β For commodities, crypto, and general trade
- IFZA β Budget-friendly for SMEs and freelancers
- RAKEZ β Ideal for manufacturing and trading
- KIZAD β Logistics and industrial operations
- SHAMS β Creative and media startups
π Documents Needed
- Passport copy of owner/shareholders
- Visa or entry stamp copy
- Passport-sized photograph
- Business name approval
- NOC (if UAE resident under another sponsor)
Some zones may ask for a business plan or additional documents depending on activity.
π How Long Does It Take?
- Online license without visa: 1β3 working days
- License with visa + office: 5β10 working days
π§ Freezone vs Mainland License: Key Differences
| Feature | Freezone | Mainland |
|---|---|---|
| Ownership | 100% expat ownership | Requires Emirati sponsor (51%) |
| Office Requirement | Flexible or shared spaces allowed | Physical office mandatory |
| Market Access | Only within the freezone or internationally | Can trade anywhere in UAE |
| Tax Benefits | Usually tax-free | Subject to UAE corporate tax (9%) |
Final Thoughts
A Freezone license in the UAE is an excellent choice if youβre looking for a fast, affordable, and fully-owned business setup. From freelancers to multinational firms, free zones cater to all β offering legal flexibility and business-friendly environments. The key is to choose the right zone that aligns with your industry, budget, and scalability goals.
