How much does it cost to set up a business in Dubai?

The cost of setting up a business in Dubai starts from AED 4,999 for free zone setup and AED 12,000 for mainland. All-inclusive packages with visa and bank account range from AED 15,000-25,000. Entityz offers transparent pricing with no hidden fees.

Can foreigners own 100% of a company in UAE?

Yes, foreigners can own 100% of a company in UAE. Free zones have always allowed full foreign ownership. Since 2021, mainland companies also permit 100% foreign ownership for most business activities under the Commercial Companies Law amendments.

How long does it take to set up a company in UAE?

Free zone company registration takes 1-5 business days. Mainland license takes 5-10 days. Visa processing requires 7-14 days. Bank account setup takes 2-4 weeks. Complete business setup typically takes 2-4 weeks total.

What is the difference between free zone and mainland in UAE?

Free zones offer 100% foreign ownership, 0% corporate tax up to AED 375,000, and duty-free imports but limit trading to free zone or exports. Mainland licenses allow trading anywhere in UAE, working with government clients, and have no local market restrictions.

What is the best free zone in Dubai for ecommerce?

The best free zones for ecommerce are: IFZA (most affordable, fast processing), Meydan (good for startups), Shams in Sharjah (budget-friendly), DMCC (premium, commodities), and Dubai CommerCity (dedicated ecommerce zone). IFZA and Meydan are most popular for online businesses.

Do I need to be in Dubai to start a company?

No, you can start a UAE company remotely. Most free zones offer complete online registration. Physical presence is only required for Emirates ID biometrics, visa stamping, and some bank account openings. Many entrepreneurs complete the initial setup without traveling to Dubai.

What documents are needed to start a business in UAE?

Required documents include: passport copy (valid 6+ months), passport-sized photos with white background, proof of address (utility bill or bank statement), NOC from current employer if UAE resident, and business plan for certain activities. Entityz assists with all documentation.

What is a UAE Golden Visa?

UAE Golden Visa is a 10-year renewable residence visa for investors, entrepreneurs, and exceptional talent. Eligibility includes: AED 2 million+ investment in property or business, successful entrepreneurs, or exceptional professionals in science, art, or sports.

How much is VAT in UAE?

UAE VAT is 5% on most goods and services. Businesses with taxable supplies exceeding AED 375,000 annually must register for VAT. Some items are zero-rated (exports, international transport) or exempt (residential property, local transport, financial services).

Can I get a visa for my family with a UAE business?

Yes, UAE business owners can sponsor family visas including: spouse, children (unlimited), parents (with salary requirement), and domestic helpers. Family visa costs approximately AED 3,500-5,000 per person and is valid for 2-3 years, renewable.

How much does it cost to set up a business in a Dubai Free Zone?

The cost to set up a business in a Dubai Free Zone typically ranges from AED 5,000 to AED 50,000 depending on the free zone, license type, office space requirements, and number of visas needed. Entityz offers packages starting from AED 4,999.

Can a foreigner own 100% of a free zone company in Dubai?

Yes. All Dubai Free Zones allow 100% foreign ownership. You do not need a local sponsor or UAE national partner to own and operate a free zone company.

How long does it take to set up a free zone company in Dubai?

With all documents ready, a free zone company in Dubai can be registered in as fast as 1 to 5 business days. The entire process including visa and bank account setup typically takes 2 to 4 weeks.

What documents do I need to register a free zone company?

You typically need a valid passport copy, passport-size photograph, proof of address (utility bill or bank statement), a completed application form, and a business plan for certain activities. Entityz handles all documentation on your behalf.

Which is the best free zone in Dubai for my business?

The best free zone depends on your business activity. IFZA and Meydan are popular for general trading and consulting. DMCC suits commodities trading. Dubai Internet City is ideal for tech companies. Entityz provides free consultations to recommend the right free zone for your needs.

How to Set Up a Business in Dubai Free Zone: Complete Guide 2026

What Is a Dubai Free Zone?

A Dubai Free Zone is a designated economic area within the UAE that offers special incentives to businesses, including 100% foreign ownership, full profit repatriation, zero corporate and personal income tax, and simplified import/export procedures. Dubai currently has over 30 free zones, each catering to specific industries and business activities.

Free zones operate under their own regulatory frameworks, separate from the mainland commercial system governed by the Department of Economic Development (DED). This means faster processing times, streamlined procedures, and a business-friendly environment designed specifically for international entrepreneurs and investors.

Benefits of Setting Up in a Free Zone

100% Foreign Ownership: No need for a local sponsor or UAE national partner.
0% Corporate Tax: Many free zones offer tax holidays and corporate tax exemptions for qualifying businesses.
Full Profit Repatriation: Transfer 100% of your profits to your home country without restrictions.
No Currency Restrictions: Operate in any currency without foreign exchange controls.
Fast Setup: Companies can be registered in as little as 1-5 business days.
World-Class Infrastructure: Access to modern office spaces, logistics hubs, and business support services.
Visa Eligibility: Sponsoring UAE residency visas for yourself, employees, and dependents.
Strategic Location: Gateway between East and West, with direct access to over 2 billion consumers within a 4-hour flight radius.

Top Free Zones in Dubai for 2026

Choosing the right free zone is crucial for your business success. Here are the most popular options:

IFZA (International Free Zone Authority)

Best for general trading, consulting, and e-commerce businesses. IFZA offers competitive pricing with packages starting from AED 5,750 and supports over 1,500 business activities. It is one of the fastest-growing free zones in Dubai.

Meydan Free Zone

Ideal for startups and SMEs. Located in the heart of Dubai near Downtown, Meydan offers affordable packages and a prestigious business address. Popular for consultancy, marketing, and technology companies.

DMCC (Dubai Multi Commodities Centre)

The world's leading free zone for commodities trading, DMCC is ideal for gold, diamonds, tea, coffee, and commodity-related businesses. It has been named the Global Free Zone of the Year multiple times.

RAKEZ (Ras Al Khaimah Economic Zone)

One of the most cost-effective free zones in the UAE, RAKEZ is perfect for budget-conscious entrepreneurs who still want the full benefits of a UAE free zone license.

Shams (Sharjah Media City)

Specifically designed for media, creative, and digital businesses. Shams offers some of the lowest setup costs in the UAE, making it popular with freelancers and content creators.

Step-by-Step Setup Process

Here is the complete process for setting up a free zone company in Dubai:

Choose Your Business Activity: Define what your company will do. This determines which free zone and license type you need.
Select the Right Free Zone: Based on your activity, budget, and location preferences, choose from 30+ free zones in Dubai. Entityz provides free consultations to help you decide.
Choose Your Company Name: Your trade name must comply with UAE naming conventions. It should not contain offensive language, religious references, or abbreviations.
Submit Your Application: Provide the required documents and submit your application to the free zone authority. Entityz handles this entire process on your behalf.
Receive Your License: Once approved, you receive your trade license, which is your legal authorization to operate in the UAE.
Get Your Visa: Apply for your UAE residency visa through the free zone. This typically takes 7-14 business days.
Open a Bank Account: With your license and visa, open a corporate bank account at a UAE bank. Entityz assists with bank introductions.

Costs and Fees

The cost of setting up a free zone company in Dubai varies depending on several factors:

Component	Estimated Cost (AED)
Trade License	5,000 - 15,000
Visa Package (per visa)	3,000 - 5,000
Office/Desk Space	5,000 - 25,000/year
Emirates ID & Medical	1,500 - 2,500
Bank Account Opening	0 - 5,000
PRO Services	2,000 - 5,000

Total estimated cost: AED 12,000 - AED 55,000 depending on your requirements. Entityz offers all-inclusive packages starting from AED 4,999 that cover licensing, visa, and PRO services.

Documents Required

To register a free zone company in Dubai, you will need the following:

Valid passport copy (minimum 6 months validity)
Passport-size photograph with white background
Proof of residential address (utility bill or bank statement, no older than 3 months)
Completed application form (provided by the free zone)
Business plan (required by some free zones for certain activities)
NOC from current sponsor (if already residing in the UAE on another visa)

Visa and Banking

Residency Visa

A free zone license entitles you to sponsor UAE residency visas. The number of visas depends on your office space package. A typical flexi-desk package allows 1-3 visas, while a physical office can allow 6 or more visas.

The visa process includes: entry permit issuance, medical fitness test, Emirates ID biometrics, and visa stamping. The process takes approximately 7-14 business days.

Corporate Bank Account

Opening a corporate bank account in the UAE requires your trade license, visa, Emirates ID, and proof of business activity. Popular banks for free zone companies include Emirates NBD, RAKBANK, Mashreq Bank, and Wio Bank. Entityz provides bank introduction letters and assists throughout the process.

Common Mistakes to Avoid

Choosing the wrong free zone: Not all free zones support all activities. Research thoroughly or consult with Entityz for free guidance.
Underestimating costs: Factor in visa costs, office space renewals, and annual license fees, not just the initial setup cost.
Incorrect trade name: Ensure your company name meets UAE naming guidelines to avoid delays.
Skipping the business plan: Some free zones require a business plan. Having one ready speeds up the process.
Not planning for banking: Bank account opening can be challenging. Start the process early and prepare all required documents.

What Is a Dubai Free Zone?

Benefits of Setting Up in a Free Zone

100% Foreign Ownership: No need for a local sponsor or UAE national partner.
0% Corporate Tax: Many free zones offer tax holidays and corporate tax exemptions for qualifying businesses.
Full Profit Repatriation: Transfer 100% of your profits to your home country without restrictions.
No Currency Restrictions: Operate in any currency without foreign exchange controls.
Fast Setup: Companies can be registered in as little as 1-5 business days.
World-Class Infrastructure: Access to modern office spaces, logistics hubs, and business support services.
Visa Eligibility: Sponsoring UAE residency visas for yourself, employees, and dependents.
Strategic Location: Gateway between East and West, with direct access to over 2 billion consumers within a 4-hour flight radius.