The Dubai freezone company setup cost is one of the key considerations for entrepreneurs looking to benefit from 100% foreign ownership, world-class infrastructure, and simplified regulations. Dubai’s free zones are designed to support international investors with streamlined setup procedures, tax advantages, and modern facilities tailored to industries such as technology, trading, logistics, media, and consulting.
Understanding the full Dubai free zone company formation cost is essential for planning your business budget effectively. Costs vary depending on factors such as business activity, visa requirements, office selection, and free zone jurisdiction. Many investors choose free zones due to their affordability and flexibility, especially when comparing the overall cost of opening a company in Dubai free zone with traditional mainland structures.
Dubai’s free zones provide various licensing options, such as commercial, service, e-commerce, and industrial licenses. Each comes with specific fees, which contribute to the final company registration in Dubai free zone cost. Additionally, free zones provide packages that may include visa quotas, office space, and corporate facilities—helping investors optimize the cost of setting up a company in Dubai free zone.
Why TAP Fiscal’s Advice is Unbiased: We are Official Channel Partners with almost every Free Zone in Dubai and the UAE. This gives us an unmatched perspective to offer truly unbiased, expert advice. We match the perfect jurisdiction to your specific operational and financial needs, not ours.
TAP Fiscal offers expert assistance in evaluating all Dubai freezone business setup costs, ensuring transparency and a smooth setup from start to finish. We specialize in structuring your business to meet the new Corporate Tax compliance requirements.
Dubai Free Zone Overview
Dubai’s free zones are designated business jurisdictions that encourage foreign investment by offering 100% ownership, zero personal income tax, low operational costs, state-of-the-art infrastructure, and fast company formation processes. Each free zone is structured around specific sectors, such as technology (Dubai Internet City), logistics (JAFZA), finance (DIFC), media (Dubai Media City), aviation (DAFZA), and innovation hubs (Dubai South).
Tax Smart Setup: Securing Your 0% Corporate Tax Rate
Businesses benefit from easy setup procedures and supportive administrative services, but choosing the right zone is now critical for tax.
- Corporate Tax (9% vs. 0%): While many Free Zones advertise a 0% Corporate Tax rate, maintaining this benefit requires meeting strict government rules. We ensure your business meets the strict legal requirement for “economic substance” (a real presence with adequate staff and assets) that is mandatory to guarantee you keep that 0% rate.
- VAT (5%): We guide you on whether a Designated Zone is best for your business to optimize your VAT liability and cash flow.
Free zone authorities offer comprehensive licensing packages that include workspace options, visa quotas, and an establishment card. These packages greatly influence the Dubai free zone license cost and overall investment planning.
Investors considering free zones often compare flexibility, office options, and free zone license cost in Dubai to determine the most suitable area. Whether you require a flexi-desk office, shared workspace, or a private office, Dubai’s free zones cater to all business sizes—from startups to multinational enterprises.
TAP Fiscal works closely with major free zone authorities to help investors navigate cost structures and compliance requirements. By providing clear guidance on free zone companies in Dubai, TAP Fiscal ensures investors make informed decisions that align with both their business goals and budget.
Dubai Free Zone Company Setup Cost in (2025–26)
The Dubai freezone company setup cost for 2025–26 is expected to remain competitive, making free zones one of the most affordable entry points for international investors. Basic company registration packages start from AED 10,000 to AED 18,000, depending on the free zone and business activity.
For most industries, the Dubai free zone company formation cost includes trade name reservation, initial approval, license fees, and establishment card issuance. Packages that include visa quotas may range between AED 14,000 and AED 25,000.
More specialized free zones, such as those in media, aviation, fintech, or logistics, may offer premium packages costing AED 20,000 to AED 50,000, depending on office type and activity approvals. Investors must also consider the Dubai free zone license cost, particularly if applying for multiple business activities.
If your business requires additional visas or a dedicated office workspace, the company registration in the Dubai free zone may increase. TAP Fiscal assists investors in choosing packages that match their operational needs and budget for 2025–26.
Typical Costs in Popular Dubai Free Zones (2025)
Below is an overview of estimated Dubai freezone business setup costs across popular free zones in 2025:
1. DMCC (Dubai Multi Commodities Centre)
- License cost: AED 15,000–20,000
- Flexi-desk: AED 5,000–8,000
- Typical total: AED 20,000–30,000
2. Dubai South Free Zone
- License + flexi-desk: AED 12,000–18,000
- With visa packages: AED 17,000–28,000
3. JAFZA (Jebel Ali Free Zone)
- Commercial license: AED 12,000–15,000
- Warehouse/industrial units vary based on size
- Ideal for logistics companies
4. IFZA (International Free Zone Authority)
- License: AED 10,000–15,000
- Many cost-effective packages for startups
5. Dubai Airport Free Zone (DAFZA)
- Premium free zone
- Licensing starts from AED 25,000–50,000
Each free zone’s free zone license cost in Dubai depends on visa requirements, business sector, and office type. TAP Fiscal helps compare all options to determine the most cost-efficient solution.
Ongoing Costs After Free Zone Company Setup in Dubai
Even after setup, businesses must account for annual operational expenses. These include:
1. License Renewal Fees
The highest recurring cost in a free zone company in Dubai is the annual renewal fee, usually AED 8,000–20,000.
2. Mandatory Annual Audit
Most Free Zones require the submission of Audited Financial Statements annually, an added cost typically starting from AED 3,000.
2. Office Space Renewal
Flexi-desk renewals range from AED 5,000–10,000, while private offices vary based on size and location.
3. Establishment Card Renewal
Typically, AED 2000-2500 per year.
4. Visa Renewals
Employee and investor visas require medical testing, an Emirates ID, and stamping fees.
5. Corporate Tax Filing
Annual filing is mandatory, even for companies claiming the 0% tax exemption.
The Rare 100-Employee, No-Office Scaling Solution
The highest recurring cost for a growing company is office space renewal tied to visa quotas.
Our Game-Changer: Most Mainland and Free Zone companies have a strict rule: small office = few visas. If you want to hire and sponsor up to 100 employees, you are usually forced to rent a massive, expensive physical office. It is compulsory to have an office in free zones if you are hiring more than 5 employees, and the same applies in the Mainland.
TAP Fiscal’s Advantage: We leverage our Strategic Channel Partner status with specific Free Zones that let you secure your high visa quota (up to 100) while committing only to a basic, low-cost virtual or shared office. This completely disconnects your staff growth from high rental costs. This flexibility to scale big without needing massive real estate is extremely rare in the UAE, across both Mainland and Free Zones.
TAP Fiscal ensures you receive accurate projections for the long-term cost of setting up a company in the Dubai free zone, helping you plan efficiently and remain compliant.
What are the Factors Affecting Dubai Free Zone Company Setup Costs?
Several factors influence the total cost of opening a company in Dubai free zone, including:
1. Business Activity
Specialized sectors such as aviation, healthcare, or fintech may require higher license fees.
2. Office Type
Flexi-desk options lower the company registration in Dubai free zone cost, while private offices increase total expenses.
3. Visa Quotas
More visas mean higher licensing and establishment card fees.
4. Free Zone Location
Premium zones like DAFZA cost more than budget-friendly zones like IFZA.
Office Anywhere Hybrid Solution: Standard Free Zones only allow an office within their designated zone. We can structure your setup so you get the financial benefits of a Free Zone company (100% ownership) but have the flexibility to operate your physical office anywhere in Dubai, just like a Mainland company. We know which zones allow this dual setup.
5. License Type
Commercial, industrial, and service licenses have different pricing structures.
6. Compliance Needs
The effort and structure required to maintain QFZP status and Audit compliance impact consultancy costs.
TAP Fiscal evaluates all these factors to help investors understand the true Dubai free zone company formation cost.
How to Minimise Costs When Setting Up in a Dubai Free Zone?
Investors can significantly reduce the cost of setting up a company in the Dubai Free Zone with a strategic approach:
1. Choose Cost-Effective Free Zones
Some free zones offer budget-friendly packages ideal for startups.
2. Opt for Flexi-Desk Solutions
Instead of large offices, choose shared or virtual office options.
3. Select the Right Number of Activities
Avoid unnecessary activities that increase the free zone license cost in Dubai.
4. Bundle Services
TAP Fiscal offers combined packages that lower the overall free zone company in Dubai cost.
5. Avoid Penalties
Stay compliant to avoid fines for late renewals.
Final Words
Choosing the right free zone can reduce overall Dubai free zone company formation cost while maximizing business benefits. TAP Fiscal analyzes industry needs, budget constraints, visa requirements, operational goals and critically, your Corporate Tax compliance needs, to recommend the perfect free zone for your business. to recommend the perfect free zone for your business.
Whether you’re comparing Dubai free zone license cost, visa quotas, office options, or long-term operational fees, TAP Fiscal ensures you receive expert guidance tailored to your business model. With full cost transparency and professional support, TAP Fiscal helps you make the most affordable and strategic decision for your Dubai free zone establishment.
Frequently Asked Questions (FAQ)
What is a Free Zone Company in Dubai?
A Free Zone Company in Dubai is a business entity registered within a designated economic zone offering benefits such as 100% foreign ownership, tax exemptions, simplified regulations, and full profit repatriation. Free Zones cater to specific industries and provide business-friendly environments with streamlined licensing and visa procedures.
What are the typical costs for setting up in a Dubai Free Zone?
Typical Free Zone setup costs range from AED 12,000 to AED 50,000, depending on the Free Zone, license type, visa eligibility, and office facilities. Packages vary widely, with some offering entry-level options for startups and others requiring higher fees for larger visa quotas or specialized activities.
What does the Free Zone company setup cost include?
Free Zone setup costs typically cover the trade license, registration fees, establishment card, basic immigration services, and workspace options such as flexi-desk or shared office. Some packages also include visa quotas, document processing, and corporate support, depending on the Free Zone’s offerings and the package selected.
Which are the most affordable Free Zones in Dubai?
Some of Dubai’s most affordable Free Zones include IFZA, Meydan Free Zone & Dubai CommerCity (for digital businesses), for specific packages. Costs depend on license type and visa requirements, but these Free Zones often offer budget-friendly options ideal for small businesses and first-time entrepreneurs.
How much does it cost to renew a Free Zone company license annually?
Annual renewal costs typically range from AED 8,000 to AED 20,000, covering the license fee, establishment card, and workspace contract renewal.
How long is the Free Zone setup cost valid?
Free Zone setup costs are typically valid for a limited period, usually until the end of the promotional cycle or the financial year. Prices may change due to updated regulations, new packages, or Free Zone policies, so it’s advisable to confirm and secure quotes promptly.
What is the difference in cost between a trading and a service license?
Trading licenses often cost slightly more because they may involve additional approvals, product categories, and logistics-related requirements. Service licenses focus on professional activities and usually have simpler approval processes. The exact difference varies by Free Zone, but trading licenses typically incur higher setup and renewal fees.
Do I need to hire a business setup consultant for Free Zone setup?
Hiring a business setup consultant is optional but highly beneficial. Consultants simplify the process by handling paperwork, approvals, and compliance. They help select the right Free Zone, ensure cost transparency, and prevent delays. For first-time investors, expert guidance saves time and minimizes costly mistakes.
How many visas are included in the Free Zone setup package?
Most packages include between zero and six visa allocations, with flexi-desk options offering one to three. Limits are determined by the size of your leased workspace.
10. What if my business is growing fast and I need to hire 50 people quickly?
The Standard Problem: You would be forced to rent a huge, multi-million-dirham office.
TAP Fiscal Solution: We utilize our special partner status to secure a 50+ visa quota linked to a low-cost virtual office, saving you massive rental costs so you can spend capital on hiring talent.
Can a Free Zone company rent a fancy office in Downtown Dubai?
Usually No, you must stay in your zone.
TAP Fiscal Solution: (The “Office Anywhere” Hybrid): We structure your setup using specific rules that grant you the financial benefits of the Free Zone while legally allowing you to rent your main physical office anywhere prestigious in Dubai.
Is a physical office mandatory, and how does it affect cost?
Many Free Zones offer flexible office options like flexi-desks or shared workspaces, which reduce costs significantly. While a physical office isn’t always mandatory, choosing a larger dedicated office increases visa quotas but raises the overall setup and renewal expenses compared to minimal workspace packages.
TAP Fiscal Solution: With our setup, a physical office is not mandatory even for large visa quotas(up to 100). This eliminates the biggest scaling constraint in the UAE market, freeing up substantial capital that you can reinvest directly into your core business operations.
Are Free Zone companies completely exempt from Corporate Tax?
No. To qualify for the 0% Corporate Tax rate on Qualifying Income requires meeting strict conditions, including demonstrating Adequate Substance and ensuring income is classified as Qualifying Income. We choose the specific Free Zone, license type, and setup that maximizes your chances of securing the 0% rate from day one.
What is “Economic Substance,” and is it still mandatory for my Free Zone company?
Yes, substance is critical. The rules are embedded in the Corporate Tax Law. To maintain the 0% rate, a Free Zone must prove real economic activity in the UAE with adequate staff and assets.
How do I ensure my Free Zone company qualifies for the 0% Corporate Tax rate?
Qualification requires meeting strict conditions: Adequate Substance and deriving Qualifying Income. We ensure your chosen Free Zone and structure satisfy these requirements from the outset.
Is an external financial audit mandatory for my Free Zone company?
Audit requirements varied widely by Free Zone, with some small companies being exempt. However, the introduction of Corporate Tax has made audits mandatory for almost all Free Zone companies seeking the 0% preferential rate.
I want to buy a property in Dubai. Can my Free Zone company own the apartment?
Yes, but it’s tricky. Your company must be registered in a specific Free Zone that has an approved agreement with the Dubai Land Department (DLD). If you pick the wrong zone, you can’t buy. We make sure you choose the right legal entity from the start.
Why is it better to buy property using my company name instead of my personal name?
The Main Benefits: 1. Protection: It shields the property from personal lawsuits. 2. Inheritance: Transferring the property later is easier (you just transfer the company shares instead of dealing with complex property inheritance laws)
What documents do I need to prepare to buy property under my company name?
Besides the company license, you’ll need a formal Board Resolution approving the purchase and an NOC (No Objection Certificate) from the Free Zone.
TAP Fiscal Solution: We handle this multi-step regulatory maze, ensuring that all necessary corporate authorizations are compliant, translated, and correctly attested. We manage the complex DLD registration process, securing the Company Reference Number and executing the entire transfer to ensure the purchase is legally watertight and compliant across all UAE government and financial layers.
Why is TAP Fiscal’s “Channel Partner” status important to my business?
Our status provides unbiased expertise. We can access the most competitive, exclusive partner packages and recommend the optimal Free Zone or Mainland setup based purely on your operational and financial needs.
