Free Zone Company Setup in Dubai – Your Quick Guide

Thinking about starting a business in Dubai? A free zone company might be the easiest route. You get 100% ownership, no corporate tax and a simple licensing process. Let’s break down what you need to know to get your company off the ground without the headache.

Choosing the Right Free Zone

Dubai has more than 30 free zones, each built around a specific industry. If you’re into tech, look at Dubai Internet City. If you need warehouse space, Jebel Ali Free Zone (JAFZA) is a solid pick. Check the free zone’s reputation, location, and any extra services they offer – many provide visa sponsorship, office space and help with bank accounts.

Pick a free zone that matches your business activity. The UAE government classifies activities into allowed (you can do it) and restricted (you need extra approval). Staying in the allowed list keeps the paperwork minimal.

Step‑by‑Step Setup Process

1. Reserve Your Company Name: Choose a name that follows UAE naming rules – no offensive words, no references to religion, and it must include “LLC” or “Free Zone Company”. The reservation fee is usually under AED 1,000.

2. Submit an Application: Fill out the free zone’s online form. You’ll need to list your activities, shareholders and capital. Most free zones let you start with as little as AED 10,000 of share capital.

3. Prepare Documents: Gather passport copies of shareholders, a brief business plan, and a No‑Objection Certificate (NOC) if you’re a resident of another UAE emirate. If you’re a foreign investor, you’ll also need a bank reference letter.

4. Pay Fees: Licensing fees vary from AED 12,000 to AED 25,000 depending on the zone and office type (flexi‑desk, serviced office, or warehouse). The fee includes the trade license, registration and the initial visa quota.

5. Get Your License: Once the free zone authority approves everything, they’ll issue your business license. You’ll receive an electronic copy immediately, and a hard copy within a few days.

6. Open a Bank Account: With your license, lease agreement and passport copies, you can open a corporate account. Most banks in Dubai ask for a minimum balance of AED 10,000 to AED 30,000.

7. Apply for Visas: The free zone gives you a quota of up to three investor visas per AED 10,000 of capital. Apply through the free zone’s immigration desk – they’ll handle medical tests, Emirates ID and stamping.

That’s the entire flow. It can be done in 2‑4 weeks if you keep the paperwork clean.

Here are a few practical tips: work with a local sponsor only if the free zone forces you to – many don’t. Use a flexible desk if you’re testing the market; you can upgrade later. Finally, keep a copy of all approvals in a cloud folder – you’ll need them for renewals every year.

Setting up a free zone company in Dubai is straightforward once you know the steps. Choose the right zone, gather the right docs, and you’ll be trading in the UAE in no time.