Key takeaways
- A single-visa Dubai free zone licence typically lands between AED 12,500 and AED 25,000 in year one once the establishment card and visa costs are added to the headline licence fee.
- Zones such as IFZA, SHAMS, RAKEZ and Dubai South quote different headline prices, but the establishment card (AED 2,000-3,500) and per-visa costs (AED 3,500-7,000 each) close much of the gap between them.
- Some free zones require you to register through an authorised channel partner rather than the zone directly, which can add 10-20% to the quoted price without changing what you get.
- Renewal in year two is rarely the same as year one: office/flexi-desk fees, visa renewal and medical tests recur annually even though the licence itself may show a lower renewal rate.
- Founders setting up remotely can complete the entire process without visiting the UAE for the licence itself, though visa stamping still needs one in-country entry.
What actually makes up a Dubai free zone license cost in 2026
The number a free zone advertises is never the number you pay. A Dubai free zone license cost is built from four separate charges, and most listicles quote only the first one. Once you add the rest, a headline of AED 12,900 can become a real bill of AED 20,000 or more before you've hired anyone.
The licence fee itself
This is the fee for the trade licence document — the piece of paper that lets your company legally operate under a chosen set of activities. Starting prices vary sharply: Meydan and IFZA advertise packages from roughly AED 12,500-12,900, while DMCC starts near AED 20,000 and DIFC sits above AED 50,000 for its premium positioning (BCL). The activities you select and the number you're allowed under one licence both affect this figure.
Registration and name reservation charges
Before the licence issues, you pay for trade name reservation, initial approval and the registration itself. These are usually bundled into the "package" price a zone quotes, but not always — check whether the number you've been given is the full registration cost or just the licence line.
Office, flexi-desk or warehouse requirement
Most free zones require some form of registered address, from a shared flexi-desk to a dedicated office or warehouse. Zones like IFZA and SHAMS include a flexi-desk in the base package; DMCC requires a mandatory physical office, which is one reason its all-in first-year cost climbs closer to AED 35,000-45,000 once the office and mandatory annual audit are added (myhqspaces).
Visa quota and its knock-on costs
Every licence comes with a visa allocation, but the licence fee rarely covers the cost of actually using those visas. Each visa carries its own entry permit, status change, medical test and Emirates ID fees, on top of the establishment card that opens your company's immigration file. This is the part that turns a cheap-looking licence into a AED 20,000+ first-year bill, and it's also where remote founders get caught out — for a fuller sense of what the process looks like week by week, see how a remote project with a Dubai studio actually runs.
Line-by-line cost table: the main Dubai free zones compared
IFZA, SHAMS and other low-cost zones
IFZA and SHAMS compete on headline price, and both can genuinely be cheap for a single-visa, multi-activity company. A realistic IFZA first-year total with one visa runs roughly AED 20,700-22,200 once the establishment card (AED 2,000-2,500) and visa components (AED 3,800-4,800) are added to the base licence (Emirae).
DMCC, Dubai South and sector-specific zones
DMCC and similar sector zones (fintech, media, logistics) charge more but come with sector credibility and, in DMCC's case, a mandatory audit that adds AED 5,000-25,000+ depending on company size (BCL). Dubai South and RAKEZ sit in the middle, with package prices that scale by activity count and visa quota rather than by sector prestige.
What each price actually includes
| Free zone | Headline licence fee (AED) | Includes flexi-desk/office | Mandatory audit | Realistic year-one, 1 visa (AED) |
|---|---|---|---|---|
| Meydan | ~12,500 | Flexi-desk included | No | ~18,000-20,000 |
| IFZA | ~12,900 | Flexi-desk included | No | ~20,700-22,200 |
| SHAMS | ~12,500-14,000 | Flexi-desk included | No | ~19,000-21,000 |
| RAKEZ | ~13,000-16,000 | Flexi-desk or office | No | ~20,000-24,000 |
| Dubai South | ~15,000-18,000 | Office often required | No | ~23,000-27,000 |
| DMCC | ~20,265 | Office mandatory | Yes | ~35,000-45,000 |
| DIFC | 50,000+ | Office mandatory | Yes | 60,000+ |
Figures are indicative ranges drawn from published packages and typical add-ons; always confirm the current fee schedule with the zone before committing.
The visa and establishment card costs most guides leave out
Establishment card fee
The establishment card is what opens your company's file with immigration, separate from the trade licence itself. Immigration's own fee lines show roughly AED 2,300 to issue a new card and AED 1,300 to renew it, because an electronic system subscription sits alongside the card fee (UAE Expert Hub); some free zone packages quote it lower, around AED 1,500-2,500, depending on what's bundled.
Per-visa cost: entry permit, status change, medical, Emirates ID
Each visa you sponsor costs roughly AED 3,800-5,000 once you total the entry permit, in-country status change, medical fitness test and Emirates ID issuance (BCL; Emirae). This is per person, so a founder plus two staff visas adds AED 11,000-15,000 to whatever the licence itself cost.
How many visas a licence actually allows
Visa quota is tied to your office size or package tier, not to the licence category. A flexi-desk package might allow one or two visas; a dedicated office can unlock six or more. If your hiring plan needs five visas in year one, price the office tier that supports that quota rather than the cheapest headline package, because upgrading later often costs more than starting correctly.
Channel partner fees: when you can't register direct
Which zones require a channel partner
Some free zones don't let you register directly with the authority. Instead, you go through an appointed channel partner — a private company licensed to process applications on the zone's behalf. This is common with several of the newer or smaller zones, and it's rarely flagged upfront in marketing material.
What the mark-up typically adds
Channel partners charge a service fee on top of the zone's own price, and that mark-up commonly runs 10-20% above what the zone itself lists. You get the same licence, the same establishment card, the same visa quota — just a higher total, because the partner's margin sits between you and the authority.
How to check before you commit
Ask directly: "Is this zone's registration done through you as a channel partner, or can I register with the authority myself?" If a partner is mandatory, ask for the zone's published fee schedule separately and compare it against the quote you've been given. A legitimate difference of a few hundred dirhams for service is normal; a difference of several thousand is the mark-up you should be negotiating on.
Free zone versus mainland: which costs less over three years
Year one setup cost side by side
Free zone licences start lower on paper — as low as AED 5,750 for the most stripped-back IFZA or Meydan packages — while mainland licensing through Dubai's Department of Economy and Tourism typically starts around AED 28,000 (Dubai Setup Now; Zetup). Premium free zones like DMCC and DIFC can match or exceed that mainland figure once office and audit costs are included.
Renewal cost differences
| Factor | Free zone (typical) | Mainland |
|---|---|---|
| Year one setup | AED 18,000-25,000 (low-cost zones) | AED 28,000+ |
| Office requirement | Flexi-desk often sufficient | Physical office usually required |
| Visa renewal cycle | Every 2-3 years, ~AED 2,500-3,500 each | Similar cycle and cost |
| Trade with mainland clients | May need a distributor or dual licence | Direct, no restriction |
| Foreign ownership | 100% as standard | 100% in 1,000+ activities post-2021 reform |
When mainland wins despite a higher first-year price
Mainland licensing, governed by the UAE Commercial Companies Law, has allowed 100% foreign ownership across more than 1,000 commercial and industrial activities since the 2021 reform (PlanX). If most of your revenue will come from mainland UAE clients rather than exports, a mainland licence avoids the cost of a distributor arrangement or dual licence that a free zone company would otherwise need — and that avoided cost can outweigh the lower free zone entry price within two to three years.
How we set this up alongside the brand and the launch
Why founders bundle licensing with the launch
Most founders coming to us from London, Athens, Riyadh, Lagos or Singapore don't want to solve licensing, the website and the go-to-market plan as three separate problems handled by three separate parties. Splitting them means the entity gets formed in month one, the site gets built in month three once someone else finally answers a brief, and the launch marketing starts a quarter after that. Handling UAE market entry and licensing for founders expanding into Dubai alongside the brand work means the entity, the site and the first campaign land in the same window, not three quarters apart.
What we quote fixed price for
Licensing and setup, like everything else we do, is quoted as a fixed price after a free call — no hourly billing, no percentage cut, no surprise invoice halfway through. You'll know the zone, the package, the visa count and the total before anything is signed. If you want the reasoning behind which zone fits your activity and visa plan, book the free 30-minute call and we'll walk through it against your specific numbers.
If you're setting up in Dubai and want the licence, the website and the launch handled by one team, book the free 30-minute call.
Frequently asked questions
Can I get a Dubai free zone license without visiting the UAE?
Yes, the licence and company registration can be completed entirely remotely for most free zones, with documents signed digitally and submitted online. Visa stamping is the exception: at least one visit to the UAE is required to complete the in-country status change, medical test and Emirates ID biometrics for each visa holder.
How long does Dubai free zone company registration take in 2026?
For most low-cost zones like IFZA or SHAMS, licence issuance typically takes three to seven working days once documents are submitted and initial approval is granted. Adding visa processing extends the full timeline to two to four weeks, depending on medical test scheduling and Emirates ID appointment availability.
Can a free zone company trade directly with mainland UAE clients?
Not directly in most cases. A free zone company generally needs a local distributor, a dual licence, or a mainland branch to sell goods or services directly inside the UAE mainland, which adds cost and complexity that a mainland licence avoids from the start.
What's the cheapest Dubai free zone for a one-person company?
IFZA and Meydan currently offer the lowest entry points, with base packages advertised from roughly AED 12,500-12,900. Once the establishment card and a single visa are added, a realistic one-person total lands closer to AED 20,000-22,000.
Do I need a physical office for a free zone license?
It depends on the zone. IFZA, SHAMS and similar zones allow a flexi-desk to satisfy the address requirement, while DMCC and several sector-specific zones require a dedicated physical office as a condition of the licence.
Can I add more visas to my free zone quota later?
Yes, but it usually means upgrading your office or flexi-desk package to a tier that supports a higher quota, which carries its own cost. It's cheaper to estimate your hiring plan for the first 12-18 months upfront and choose the right package tier from the start than to upgrade twice in year one.
