Background
Freezone Guide

Your Complete UAE Freezone Guide

Everything you need to know about setting up in a UAE freezone — top freezones compared, tax advantages, visa allocations, costs, and step-by-step setup process.

Top Freezones

6 Popular UAE Freezones At a Glance

DMCC

From AED 18,500

Commodities, trading & crypto

Visa slots
50+
Best for
Traders & commodity businesses

IFZA

From AED 12,900

SMEs, startups & consulting

Visa slots
Up to 5
Best for
Cost-conscious entrepreneurs

DIFC

From USD 15,000+

Banking, finance & fintech

Visa slots
Unlimited
Best for
Financial services firms

DAFZA

From AED 25,000+

Aviation, aerospace & logistics

Visa slots
Scales
Best for
Logistics & aviation

RAKEZ

From AED 7,500

Industry, manufacturing & trade

Visa slots
Up to 3
Best for
Budget setups & manufacturing

DMC

From AED 22,000+

Media, advertising & PR

Visa slots
Scales
Best for
Media & creative agencies
Why Freezone

Six Reasons to Choose a Freezone License

100% Foreign Ownership

No local partner required — you own 100% from day one

Zero Corporate Tax

0% corporate tax on qualifying freezone income

Full Profit Repatriation

Transfer all profits and capital out of the UAE freely

Fast Setup

Licenses issued in as little as 48 hours

International Trade Hub

Access to Dubai's world-class ports, airports, and logistics

Modern Infrastructure

State-of-the-art offices, labs, and facilities

Comparison

Freezone vs Mainland

FeatureFreezoneMainland
UAE Market AccessVia distributor / dual licenseFull unrestricted access
Foreign Ownership100%100% (most sectors)
Corporate Tax0% (qualifying income)0% (under AED 375k)
Setup Speed48 hours3–7 business days
Office RequirementFlexi-desk availablePhysical lease mandatory
Government ContractsNot eligibleEligible
Visa CostBundled in packageSeparate per visa
Annual AuditRequired in some freezonesNot required (most activities)
Getting Started

Setup in 4 Steps

01

Choose Freezone

We match your industry, budget, and visa needs to the ideal freezone

02

Select Office Package

Flexi-desk, shared office, or private office — based on visa needs

03

Submit Application

Our team prepares and submits all documents to the freezone authority

04

License Issued

Receive your license (typically 48 hours) and begin operations

FAQ

Freezone Guide FAQs

Which UAE freezone is cheapest?

RAKEZ (Ras Al Khaimah) is typically the most affordable, with licenses starting from AED 7,500. IFZA is also very competitive at AED 12,900. However, the cheapest freezone may not be the right fit — our advisors match you to the best option for your specific needs.

Can a freezone company sell to UAE mainland clients?

Not directly. Freezone companies are primarily for international trade. To sell to UAE mainland customers, you can: appoint a mainland distributor, set up a mainland branch, or obtain a dual license. We help you choose the most cost-effective approach.

How many employees can I hire on a freezone license?

It depends on your office package. Flexi-desk packages typically allow 1–2 visas, shared offices 3–5, and private offices can accommodate 10–50+ depending on size. We plan for your current and future headcount before you choose a package.

Do I need to renew my freezone license every year?

Yes. Freezone licenses are renewed annually. Some freezones require an audited financial statement at renewal. Arab First provides annual renewal services and keeps track of all deadlines on your behalf.

Can I operate in multiple freezones with one license?

A single freezone license is restricted to activities within that freezone and internationally. To operate in a different freezone or on the mainland, you would need a separate license or branch. We can advise on multi-entity structures.

Is DMCC really the best freezone?

DMCC is the most awarded freezone globally and a top choice for commodities trading, but 'best' depends on your business. IFZA offers better value for SMEs, DIFC is unmatched for financial services, and RAKEZ wins on price. The right freezone depends on your industry and goals.

Ready to Set Up in a UAE Freezone?

Our freezone specialists compare all 40+ options to find the perfect match for your business, budget, and visa needs.