Free Zones & Mainland

Where You Set Up
Defines Everything.

Jurisdiction, licence type, and ownership structure determine your tax rate, who you can sell to, and how much it costs to grow. This guide explains every major UAE option — with real costs — so you can make the right decision from day one.

Get Incorporation Advice See All Free Zones
The First Question

What Type of Business
Are You Building?

Your answer determines whether free zone or mainland is right — and which specific jurisdiction makes the most sense.

International / Remote Business
Your clients are overseas, you invoice internationally, or you're building a digital product. You don't need local UAE market access.
Free Zone is likely your answer — lower cost, 100% ownership, simpler compliance.
Local UAE Market Sales
You sell directly to UAE consumers, retail customers, or mainland companies without a distributor or agent arrangement.
Mainland LLC is required — free zones cannot directly trade with the UAE market.
Financial Services / Regulated Activities
You are operating a fund, advisory firm, fintech, or regulated financial business that needs a credible common-law jurisdiction.
DIFC or ADGM — common law, internationally recognised, premium infrastructure.
Free Zone Profiles

Every Major UAE
Free Zone — Explained

Approximate licence costs, key features, and honest assessments of who each free zone is actually best for.

IFZA
International Free Zone Authority
Dubai Silicon Oasis, Dubai
Startups Services Consulting
Licence from
AED 12,500
per year (single activity)
Key Features
✓ 100% foreign ownership
✓ Up to 3 visa allocations on entry-level licence
✓ Wide range of permitted activities
✓ No paid-up share capital required
✓ Fast setup — often under 7 days
✗ Cannot trade directly with UAE mainland
Best For
Startups and early-stage companies
Consultants and freelancers
Digital & SaaS businesses
Import/export and trading
Founders wanting cost efficiency
Our verdict: IFZA is the most popular choice for UAE startups and cost-conscious SMEs. Flexible activity scope, competitive annual fee, and a straightforward process make it the default starting point for most founders.
Annual Cost Breakdown
› Licence fee: AED 12,500+
› Establishment card: ~AED 1,300
› Immigration card: ~AED 2,500
› Visa (per person): ~AED 3,500–5,500
› Virtual office included in some packages
RAKEZ
Ras Al Khaimah Economic Zone
Ras Al Khaimah
Budget-friendly Manufacturing Trading
Licence from
AED 10,000
per year (freelance / micro)
Key Features
✓ One of the lowest licence costs in UAE
✓ 100% foreign ownership
✓ Wide activity scope — trading, services, industrial
✓ Warehousing and industrial units available
✓ Freelance permit option from ~AED 10,000
✗ RAK address — less prestigious than Dubai for some sectors
Best For
Budget-conscious entrepreneurs
Freelancers and solo operators
Manufacturing & industrial businesses
E-commerce and trading
Businesses not needing a Dubai address
Our verdict: RAKEZ is the most affordable credible option in the UAE — ideal for founders who need a real free zone entity without the Dubai price tag. Less suited to client-facing sectors where a Dubai address signals prestige.
Annual Cost Breakdown
› Freelance licence: from AED 10,000
› Business licence: from AED 13,500
› Establishment card: ~AED 1,200
› Visa (per person): ~AED 3,500–4,500
› Physical office & warehouse options available
DMCC
Dubai Multi Commodities Centre
Jumeirah Lakes Towers, Dubai
Commodities Trading Crypto
Licence from
AED 18,000
per year (registration fee separate)
Key Features
✓ World's top-ranked free zone — 22,000+ companies
✓ Commodity-specific licences (gold, diamonds, tea, etc.)
✓ Virtual Asset licence available (crypto, Web3)
✓ Premium JLT address
✓ 100% foreign ownership
✗ Higher cost than IFZA/RAKEZ
Best For
Commodities traders (gold, diamonds, agri)
Crypto, Web3, and virtual asset companies
Businesses needing the DMCC ecosystem
Companies wanting a prestige JLT address
Our verdict: DMCC is the world's leading commodities hub, and the go-to for commodity traders, virtual asset businesses, and companies that benefit from its ecosystem. Higher cost than IFZA, but justified for the right sector.
Annual Cost Breakdown
› Registration fee: AED 8,010 (one-time)
› Licence fee: from AED 18,000 / yr
› Establishment card: ~AED 1,300
› Visa (per person): ~AED 4,000–6,000
› Share capital: AED 50,000 (held, not paid)
DIFC
Dubai International Financial Centre
Downtown Dubai
Finance Fintech Legal
Licence from
AED 15,000
non-regulated; regulated: AED 30,000+
Key Features
✓ English common law jurisdiction
✓ DIFC Courts — internationally recognised
✓ DFSA regulation — credible for financial firms
✓ 100% foreign ownership
✓ World-class infrastructure and community
✗ High office rents; regulatory costs significant
Best For
Fund managers and investment firms
Fintech and payment companies
Law firms and legal services
Family offices and wealth management
Professional services needing credibility
Our verdict: DIFC is the most internationally credible address in the Middle East. Non-regulated businesses can incorporate here for a reasonable cost; regulated activities attract significant DFSA fees. Justify with the nature of the business — don't choose DIFC for the prestige alone.
Annual Cost Breakdown
› Non-regulated licence: ~AED 15,000
› Regulated firm licence: AED 30,000–70,000+
› DFSA application: AED 30,000+ (one-time)
› Office rent: among highest in UAE
› Share capital: depends on activity
ADGM
Abu Dhabi Global Market
Al Maryah Island, Abu Dhabi
Wealth Family Office Assets
Licence from
AED 15,000
non-regulated activities
Key Features
✓ English common law jurisdiction
✓ ADGM Courts and robust dispute resolution
✓ FSRA regulation for financial services
✓ Popular for Special Purpose Vehicles (SPVs)
✓ Foundations and family office structures
✗ Abu Dhabi location — less convenient for Dubai-based founders
Best For
Family offices and private wealth structures
Special Purpose Vehicles (SPVs)
Asset and investment holding structures
Regulated financial services in Abu Dhabi
Our verdict: ADGM is Abu Dhabi's answer to DIFC — strong common law jurisdiction, excellent for holding and SPV structures, and preferred by family offices. Closely comparable to DIFC; the right choice often depends on where your stakeholders are physically based.
Annual Cost Breakdown
› Commercial licence: from AED 15,000
› SPV registration: from AED 8,000
› Foundation setup: from AED 15,000
› FSRA fees: activity-dependent
SHAMS
Sharjah Media City
Sharjah, UAE
Media Creative E-commerce
From
~AED 11,500
per year
Key Features
✓ 100% foreign ownership
✓ Among the lowest licence costs in UAE
✓ Freelance permit available (one-person setup)
✓ Wide activity range — media, e-commerce, consulting, trading
✓ Fast digital setup — often under 5 working days
✗ Sharjah address — less prestigious than Dubai for some clients
✗ Cannot trade directly with UAE mainland without agent
Best For
Content creators & influencers E-commerce businesses Media & PR agencies Freelancers & solopreneurs Budget-conscious founders
Our verdict: SHAMS is one of the UAE's most affordable and flexible free zones. It rivals RAKEZ on price and is particularly popular with media, creative, and e-commerce businesses looking for a legitimate UAE licence at a low annual cost.
Approximate Cost Breakdown
› Licence from ~AED 11,500/yr (single activity)
› Establishment card ~AED 1,200
› Investor visa ~AED 3,500–4,500 per person
› Freelance permit from ~AED 7,500/yr
JAFZA
Jebel Ali Free Zone Authority
Jebel Ali, Dubai
Logistics Trading Import/Export
From
~AED 16,000
per year
Key Features
✓ 100% foreign ownership
✓ Co-located with Jebel Ali Port — world's 9th largest port
✓ On-site warehousing and logistics facilities available
✓ Strong manufacturing and industrial licence options
✓ Customs duty exemptions on imports/exports within zone
✗ Higher cost than IFZA/RAKEZ for service businesses
✗ Location less convenient for service/consulting businesses
Best For
Import/export businesses Logistics & freight companies Manufacturing operations Commodity trading Companies needing warehousing
Our verdict: JAFZA is the UAE's oldest and most established free zone, and the best choice for businesses where physical goods movement, port access, or warehousing is central to the operation. For pure service businesses, IFZA or RAKEZ will be more cost-effective.
Approximate Cost Breakdown
› Licence from ~AED 16,000/yr
› Registration fee ~AED 5,000 (one-time)
› Investor visa ~AED 4,000–6,000 per person
› Warehousing: priced separately based on sqm
Dubai
South
Dubai South Free Zone
Near Al Maktoum International Airport, Dubai
Aviation Logistics E-commerce
From
~AED 12,000
per year
Key Features
✓ 100% foreign ownership
✓ Strategic location next to Al Maktoum International Airport
✓ Dedicated e-commerce licence with fulfilment infrastructure
✓ Aviation, aerospace, and MRO sector specialists
✓ Competitive pricing for logistics and trading businesses
✗ Remote location — 45+ mins from central Dubai
✗ Less suited for consulting or professional services
Best For
E-commerce & fulfilment Aviation & aerospace Logistics companies Airport-adjacent businesses
Our verdict: Dubai South is purpose-built for logistics, e-commerce fulfilment, and aviation-linked businesses. Its e-commerce licence is particularly well-designed for online retailers who need physical warehousing and last-mile delivery infrastructure near a major airport hub.
Approximate Cost Breakdown
› Business licence from ~AED 12,000/yr
› E-commerce licence from ~AED 14,500/yr
› Investor visa ~AED 3,500–5,000 per person
› Warehousing available from ~AED 25/sqm/month
Side by Side

Free Zone
Comparison

Feature
IFZA
RAKEZ
DMCC
DIFC
ADGM
Mainland
100% foreign ownership
✓
✓
✓
✓
✓
✓
Trade with UAE mainland
✗
✗
✗
✗
✗
✓
Annual licence (approx.)
~AED 12.5k
~AED 10k
~AED 18k
~AED 15k+
~AED 15k
~AED 15k+
Common law jurisdiction
✗
✗
✗
✓
✓
✗
Regulated financial services
✗
✗
Ltd
✓
✓
Ltd
Visa allocation
3–6+
Flexible
Based on office
Based on office
Based on office
Based on office
Speed of setup
3–7 days
3–7 days
5–14 days
2–6 weeks
2–6 weeks
1–3 weeks
Ideal for
Startups, SMEs
Budget, manufacturing
Commodities, crypto
Finance, fintech
Wealth, SPVs
Local market
UAE Mainland

When a Free Zone
Isn't Enough

Mainland companies operate under UAE federal law and can trade anywhere in the UAE without restrictions — making them essential for businesses selling to the local market.

Mainland LLC
Limited Liability Company — UAE Federal Law
✓
Full UAE market access — sell to UAE residents, government, and mainland companies without a local agent or distributor
✓
100% foreign ownership allowed in most sectors since the 2021 Commercial Companies Law amendments
✓
Government contract eligibility — free zone entities generally cannot bid on UAE government contracts
✓
Physical presence — a real Dubai/Abu Dhabi office address, which many clients and banks prefer
✗
More regulated — Ministry of Economy and DED oversight, annual audit requirement, and higher administrative burden
Annual licence cost
AED 15,000 – 25,000+
Branch Office
Foreign Company Branch — UAE
✓
No separate legal entity — operates as an extension of the parent company abroad, maintaining the parent's legal identity
✓
Same activity scope — can only conduct activities that the parent company is authorised for in its home jurisdiction
✓
Faster to establish for established foreign companies entering the UAE market for the first time
✗
Parent liability — unlike an LLC, a branch office does not limit liability to UAE assets; the parent company is fully liable
✗
Local service agent required for most mainland branches — adds cost and administrative complexity
Annual cost estimate
AED 20,000 – 35,000+
How We Help

We Help You Choose Right
— and Set Up Correctly

01
Jurisdiction Strategy Session
We start with a free call to understand your business model, clients, activities, and goals. We then recommend the right jurisdiction — not the most expensive or convenient one for us.
02
Full Incorporation Management
We handle every step — application, documentation, authority submissions, trade licence, establishment card, and bank account introduction. You focus on the business.
03
Tax Registration from Day One
VAT and Corporate Tax registrations completed correctly and on time. We document your tax position from inception — no retrofitting required later.
04
Ongoing Compliance
Monthly accounting, quarterly VAT filings, annual CT returns, and licence renewals — managed continuously so your entity stays clean, compliant, and investor-ready.
Free Incorporation Advice
Not Sure Where
to Incorporate?

Book a free 30-minute call. A senior Accountra advisor will review your business model and give you a clear, honest recommendation — with no obligation to proceed.