Free Zone Company Formation

There are more than forty free zones across the UAE, and the right one depends on your activity, budget and where your customers are. Trading, consultancy, media, technology and e-commerce each have zones that suit them better than others. We help you match your business to a zone, reserve a compliant trade name and structure your shareholding before any fees are paid.

Popular options include IFZA for flexible multi-activity licences and DMCC for commodities and international trade. Browse the full list on our UAE free zones page, and if you also serve the local UAE market, weigh up mainland company formation, where 100% foreign ownership now applies to most (not all) activities under Federal Decree-Law 26/2020. Strategic or restricted sectors may still require an Emirati partner, and some professional licences or foreign branches use a 0% equity Local Service Agent. For purely international holding structures that cannot trade inside the UAE, see offshore company formation.

UAE Corporate Tax applies from financial years beginning on or after 1 June 2023 under Federal Decree-Law 47/2022. The standard rate is 0% on taxable income up to AED 375,000 and 9% above that. A free zone company that meets the conditions of a Qualifying Free Zone Person (QFZP) pays 0% on qualifying income and 9% on non-qualifying income, with no AED 375,000 band. Corporate Tax registration is required, the late-registration penalty is AED 10,000, and returns must be filed and tax paid within nine months of the end of your tax period. Small Business Relief may apply where revenue is under AED 3,000,000 per period, available until 31 December 2026. Always confirm the current position on tax.gov.ae.

VAT is charged at a standard 5%. Registration is mandatory once your taxable supplies reach AED 375,000, with voluntary registration available from AED 187,500. Our accounting, VAT and corporate tax service keeps your registrations, bookkeeping and filings in order, and our PRO and government services team handles renewals and amendments. You can also explore residence routes through our investor residence visas and Golden Visa pages.

Free zone package prices are set by each authority and are not official until quoted, so we always present them as indicative ranges rather than fixed figures. Government fees also change from time to time. As an indication only, MOET foreign-branch initial approval is around AED 3,500, a DET trade-name reservation is about AED 620, and ICP residence-permit government fees are roughly AED 100 per year plus medical, Emirates ID and typing charges. Always request an exact, written quote before you proceed; see the official schedules at moet.gov.ae and icp.gov.ae.

To plan your budget, try our cost estimator or read our guide on the cost to set up a business in Dubai. When you are ready, we can also help with a corporate bank account, a trade licence, office solutions and trademark and IP protection. Message us on WhatsApp and we will give you an honest plan with no hidden fees.