100% ownership · 0% personal income tax

Free zone company formation in the UAE

A free zone licence is the fast, low-cost way to own 100% of a UAE company, keep your profits and trade with the world. Kinzaad sets it up end to end across 45+ zones — with a fixed price and your renewal cost told to you before you sign.

What is a free zone?

A free zone, in plain English

A free zone is a designated economic area with its own registration authority, its own rules and its own incentives. The UAE has more than 45 of them — IFZA, Meydan, DMCC, RAKEZ, SHAMS and Dubai South among the best known. Each was built to attract a particular kind of business: general trading, media, commodities, tech, e-commerce and so on.

The appeal is simple. You own 100% of your company with no local partner, there's 0% personal income tax, setup is fast and cheap, and you can repatriate your profits in full. It's the route most international founders take into the UAE.

When a free zone is the right fit

A free zone company suits you if you plan to:

  • Trade internationally — import, export and re-export outside the local UAE market.
  • Consult or provide services to clients abroad or within your zone.
  • Run an e-commerce or online business selling across borders.
  • Launch a startup that needs a credible UAE base, a bank account and a residence visa without the cost of a mainland office.

A word of honesty. If most of your customers are UAE-based — a shop, clinic or a firm bidding for local and government contracts — a mainland company is usually the better fit, because a free zone can't sell directly to the local market. We'll tell you which one genuinely suits you, even when it's the pricier option.

What's included in a Kinzaad free zone setup

One provider for the whole thing, so you're not chasing the zone, a PRO and a bank separately:

  • Zone and package selection matched to your activity and budget
  • Business-activity selection and trade-name reservation
  • Licence issuance with the free zone authority
  • Flexi-desk or office solution to satisfy the workspace requirement
  • Establishment card and residence visas (owner + staff)
  • Corporate bank account introduction and application support
  • Corporate tax and VAT registration where required

The process, step by step

1

Free consultation

We confirm your activity, visa needs and budget, then pick the zone that gives you the most for your money.

2

Fixed-fee proposal

An itemised quote — our fee and zone fees shown separately, plus the Year-2 renewal cost. No surprises later.

3

Licence issuance

Name reservation, activity approval and licence issuance with the free zone authority. We handle the paperwork.

4

Visa & bank

Establishment card, your residence visa and staff visas, then your corporate bank account application.

Popular zones

Where founders set up — and roughly what it costs

The right zone depends on your activity, your visa plans and whether your clients care about a prestige address. A quick, honest guide to the ones we're asked about most.

Free zoneKnown forTypical starting price
SHAMS (Sharjah)Media, services, budget-friendly startupsFrom ~AED 5,750
Ajman Free ZoneTrading and low-cost setupsFrom ~AED 6,000
RAKEZ (Ras Al Khaimah)Industrial, trading, SMEsFrom ~AED 6,000
Dubai SouthLogistics, aviation, e-commerceFrom ~AED 7,000
Meydan (Dubai)Prestige Dubai address, all-roundFrom ~AED 12,500
IFZA (Dubai)Flexible activities, popular all-rounderFrom ~AED 12,900
DMCC (Dubai)Commodities, gold, crypto — premium tierHigher — quoted per case

Prices are indicative starting points and move with your activity, visa count and workspace. DMCC is a premium zone and sits well above the others. We give you the exact, fixed figure before you commit.

Free Zone vs Mainland

How free zone compares

The honest short version — the full breakdown is in our comparison guide.

 Free ZoneMainland
Trade in the local UAE marketVia distributor / branchDirectly, anywhere
100% foreign ownershipYesYes (most activities)
Typical starting costFrom AED 12,500 (zero-visa from ~AED 6,000)From AED 15,000
Office requirementFlexi-desk often enoughTenancy (Ejari) needed
Visa allocationCapped by packageScalable
Government contractsGenerally noYes
Answers

Free zone setup — common questions

How much does a free zone company cost in the UAE?
A free zone company typically starts from around AED 12,500 all-in in popular zones like IFZA and Meydan — one activity, a flexi-desk and one visa allocation. Low-cost zones such as SHAMS and Ajman start from about AED 5,750 to 6,000 if you don't need a visa. You get a fixed, itemised quote with government fees shown separately and the renewal cost told to you up front.
How long does free zone company formation take?
Most free zone licences are issued within 3 to 7 working days once your documents are in order. Your residence visa and corporate bank account follow after the licence and are processed separately.
Can a free zone company trade inside the UAE?
Not directly to the local market. A free zone company trades freely within its own zone and internationally, and can sell onshore through a mainland distributor or by opening a mainland branch. If most of your customers are UAE-based businesses or the public, mainland is usually the better fit — and we'll tell you so.
How many visas can I get with a free zone company?
Your visa allocation is set by the package and the size of your flexi-desk or office. Entry packages usually include one to three visas, and you can scale up by taking a larger workspace. Each residence visa costs roughly AED 3,000 to 5,000 including medical and Emirates ID.
Do I pay tax on a free zone company?
There's 0% personal income tax in the UAE. A qualifying free zone company can also get 0% corporate tax on qualifying income, while non-qualifying income is taxed at the standard 9% above the AED 375,000 threshold. VAT of 5% applies once your turnover crosses the registration threshold. We register you correctly and keep you compliant — see corporate tax & VAT.

Start your UAE free zone company

Book a free consultation and we'll pick the right zone for your activity and budget, then hand you a fixed-fee quote the same day — renewal cost included, no surprises.

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