How to set up a free zone company

Free zone company registration runs in the same order in every zone: activity, package, documents, approval, licence, establishment card, visas, bank, tax. The licence is often the fastest part.

Two business owners reviewing papers at a meeting table in a Dubai office

Last updated

Free zone company registration follows the same order in almost every UAE zone. You choose the activities, the zone and the package, send documents, get approval and the licence, then the establishment card, visas, a bank account and tax registrations. The licence itself is often the fastest step. Zones quote anything from under 60 minutes to 2 to 3 weeks for it. The visa and bank stages usually take longer. Never set up a company before? Our guide for first-time founders covers what to decide before step 1.

How long does free zone company setup take?

The licence itself takes from under 60 minutes at Meydan with Fawri, Shams and SAIF Zone to 2 to 3 weeks at DMCC, once the file is complete and paid. u.ae says a free zone licence is usually issued within 14 working days after approval. Initial approval comes first: DIFC says 3 to 5 working days and Dubai Healthcare City 3 to 10. After the licence, add the establishment card (Ajman Free Zone says within three working days), visa stamping and Emirates ID (Shams says the card arrives 7 to 10 working days after biometrics) and the bank account, which is often the slowest step. The table under step 6 gives each zone's published licence time.

How much does free zone company setup cost?

On official prices, a Dubai free zone licence starts at AED 12,500 a year at Meydan and Expo City for a licence with no visa, and DMCC's Basic Biz Package is AED 35,484 with eligibility for one visa. Across the UAE, SRTIP and a Creative City offer in Fujairah start at AED 3,999 with no visa, and KEZAD at AED 9,450 with one visa. Visas, the establishment card, medical tests and Emirates ID come on top, and corporate tax and VAT registration through EmaraTax are free. See free zone license cost and cheapest free zone in UAE for the full tables.

Step 1: write down your activities

Everything else depends on this list. The zone checks it against its activity catalogue, and the activities decide the licence type, the price and whether another authority must approve.

  • Count them. Meydan's package covers up to 3 activity groups, Shams up to 5 activities, Dubai CommerCity up to 20 from four groups.
  • Check for outside approvals. Education at Academic City needs KHDA approval, some media work at Dubai Media City needs NMC registration, and financial services in DIFC need the DFSA.

Pick a zone that licenses your activities, then the legal form: FZE, FZCO, FZ-LLC or branch. Our company formation page explains the forms. Then pick the package or office. This sets your visa quota, so think one year ahead. A DMCC flexi desk allows up to 3 visas. In Dubai Internet City the quota is 1 visa per 60 sq ft of leased space.

Step 3: reserve a company name

Most zones ask for the name at application. UAQ Free Trade Zone asks for three proposed names. At Shams the name must end in "LLC". SPC Free Zone charges a separate name reservation fee.

Step 4: send the documents

Each zone sets its own list. IFZA's is typical: an application form with the beneficial owner details, a passport copy and digital photo, plus Emirates ID and visa copies for UAE residents. Shams asks for a signed passport copy for each shareholder. If a company will own shares, ask the zone for its corporate document list. See MOA and board resolution.

Step 5: initial approval

The zone checks the activities, name and people. Published times:

  • DIFC: typically 3 to 5 working days.
  • Dubai Healthcare City: 3 to 10 working days, depending on the activity.
  • TECOM parks: 4 working days on the zone FAQs. The DDA service page says 10 working days for provisional approval, so the two official sources differ.

Many low-cost zones fold this into the licence step and do not quote it separately.

Step 6: sign, pay and receive the licence

You sign the lease or desk agreement and the company documents, then pay. The licence follows.

Zone Licence time once documents and payment are in
Meydan Free Zone Within 24 hours; under 60 minutes with Fawri
Shams Under 60 minutes
SAIF Zone Licences and permits within 1 hour
Fujairah Free Zone Within 1 hour after terms are agreed
Ajman Nuventures Licence in 2 hours
UAQ Free Trade Zone 1 working day
RAKEZ 1 to 3 business days; Biz Starter in 24 hours
Jafza 3 to 14 business days
Innovation City (RAK) 5 to 10 working days
TECOM parks 7 working days per the zone FAQs
SRTIP 7 to 10 working days from application
twofour54 14 working days (estimate)
DMCC 2 to 3 weeks

Source: each zone's FAQ, setup or package page, checked .

Read these as best cases. They start only when the file is complete and the money has arrived. u.ae says a free zone licence is usually issued within 14 working days after approval.

With the licence you normally receive the certificate of incorporation, the Memorandum and Articles of Association and a share certificate. Dubai Internet City also issues a Register of Directors.

Step 7: establishment card and e-channel

The establishment card registers the company with immigration so it can sponsor visas. Many zones also need an e-channel account. Ajman Free Zone says the card is issued within three working days. At Shams the company needs a valid e-channel, immigration card and visa allocation before the first visa application. See establishment card.

Step 8: residence visas

This is the step that brings you to the UAE.

  1. The company applies for an entry permit, or a change of status if you are already in the country.
  2. You do the medical fitness test.
  3. You give Emirates ID biometrics.
  4. The visa is stamped or issued electronically.

Published times: Ajman Free Zone says visa stamping takes up to 4 days, or 2 days urgent. Ajman Nuventures says 24 to 48 hours for the visa. Shams says the Emirates ID arrives 7 to 10 working days after biometrics. SPC's own pages give 3, 5 and 5 to 10 working days for residency, so ask for a current estimate. For fees, see free zone visa cost.

Step 9: open a bank account

Banks decide on their own terms, and this step often takes longer than the licence. Some zones offer help: SPC Free Zone's bank assistance takes about 3 working days, and Meydan says it offers 26 or more banking partners. Ajman Free Zone issues a bank letter with the licence. See corporate bank account.

Step 10: tax and compliance registrations

  • Corporate tax. Register within 3 months of incorporation through EmaraTax. It is free and takes about 20 business days. Late registration costs AED 10,000.
  • VAT. Register within 30 days of passing the AED 375,000 mandatory threshold. Also free, about 20 business days.
  • UBO register. Commercial free zone companies must record their beneficial owners. See UBO register.

Why do free zone setups get delayed?

  • An activity that needs outside approval, found late.
  • A visa quota too small for the people you plan to hire.
  • A package bought before checking that it covers all your activities.

Sources

Good to know

Questions people ask

How long does free zone company registration take?

The licence step ranges from under 60 minutes at Meydan with Fawri, Shams and SAIF Zone to 2 to 3 weeks at DMCC. u.ae says a free zone licence is usually issued within 14 working days after approval. Visas and the bank account add more time.

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

Usually a passport copy and photo for each shareholder, the application form with beneficial owner details, and your UAE visa and Emirates ID if you live here. Each zone publishes its own list, so check it before you start.

Can I register a free zone company without visiting the UAE?

The licence, yes, in many zones. UAQ Free Trade Zone says no physical presence is needed for formation, and Meydan and RAKEZ run setup online. You come to the UAE for the residence visa medical test and Emirates ID biometrics.

What is initial approval?

A first check of your activities, name and shareholders before the licence is issued. DIFC says it typically takes 3 to 5 working days, Dubai Healthcare City 3 to 10. The TECOM park FAQs say 4 working days.

When do I register for corporate tax?

Within 3 months of incorporation for a new company, including a free zone company. Registration through EmaraTax is free and takes about 20 business days. Late registration costs AED 10,000.

Get free zone quotes

Send your activity and visa count and we pass it to zones that fit.