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Business setup

Free zone company setup in the UAE

A free zone is a designated area with its own licensing authority and rules. Free zone company setup in the UAE typically suits businesses whose activity fits a zone. This page explains the benefits, the limits and how free zone differs from mainland.

Benefits and limits

Each free zone sets its own rules. These points are general and must be checked for the zone you are considering.

  • Possible benefits

    Free zones typically offer a defined licensing route for particular activities and a single authority to deal with. Some offer different ownership or premises options.

  • Possible limits

    Operating with customers elsewhere in the UAE may need extra steps or a different licence. Activities allowed also vary from zone to zone.

  • Costs and conditions

    Fees, premises requirements and visa allowances differ by zone. Compare them before you choose.

Free zone vs mainland

An illustrative comparison. Always check the current rules of the zone or authority involved.

  • Where you trade

    Mainland: typically across the UAE market. Free zone: typically within the zone and with customers abroad, with extra steps to serve the wider UAE market, depending on the zone.

  • Who licenses you

    Mainland: the licensing authority of the emirate. Free zone: the authority of the zone.

  • Premises

    Mainland: a registered address is typically required. Free zone: premises options depend on the zone.

  • Visas

    Both routes can involve residence visas for owners and staff. The number and process depend on the authority and the premises.

Who it may suit

Free zones are commonly considered by businesses whose activity suits a specific free zone. Whether one suits you depends on your customers and your activity, not on your industry alone.

Process

A typical route. Each zone has its own application steps.

  1. Step 1: Choose the activity and the zone

    Check that the zone permits your activity and review its fees and conditions.
  2. Step 2: Submit the application and documents

    Owners typically provide identity documents and details of the proposed company.
  3. Step 3: Sign the zone's agreements

    This usually includes a premises or facility agreement and the company's constitutional documents.
  4. Step 4: Receive the licence and complete follow-on steps

    Further steps may include a bank account, tax registrations and visas.

How we work with you

We compare options with you and agree in advance which steps you handle and which steps we handle.

The Nexoviz team handles this work itself. Each free zone authority decides on your application and sets its own fees.

What to compare between zones

Zones differ from one another, so a comparison on the same points helps. Check each point with the zone itself.

  • Permitted activities

    Confirm that the zone allows your exact activity, not just your industry.

  • Fees and conditions

    Look at the full list of charges and the conditions that come with the licence.

  • Premises options

    Some zones offer flexible arrangements and others require specific premises.

  • Visa allowances

    If you need residence visas, ask how the zone decides how many you can have.

  • Serving customers elsewhere in the UAE

    If you plan to sell beyond the zone, ask what extra arrangement is needed.

Frequently asked questions

Can a free zone company trade across the UAE?
It depends on the zone and the licence. Many free zone companies need an extra arrangement to serve customers elsewhere in the UAE. Check the rules for your zone.
Which free zone should I choose?
That depends on your activity, budget, premises needs and visa plans. We can discuss the factors with you. We do not recommend a zone without understanding your plans.
Do free zone companies need an office?
Premises requirements differ by zone. Some offer flexible options, others require specific premises. Check the zone's current rules.
Can I get a residence visa through a free zone company?
Free zone companies can often sponsor visas, but allowances and steps depend on the zone. See our residency visas page for general information.
How much does free zone setup cost?
Costs depend on the zone, the licence and the premises. We do not publish fixed fees. Describe your plans and we will discuss the cost with you.

Considering a free zone?

Tell us your activity and customers and we will talk through the options.

Information on this page is general and may change. Requirements are set by the relevant UAE authorities. Contact us for advice on your situation.

This is general information and not legal or tax advice.

Nexoviz is an independent company and is not affiliated with, endorsed by, or acting on behalf of any government authority unless stated.