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UAE Free Zone License Costs 2024: Fees & Setup Guide

2025-12-15 16:44

free zone license cost

Here’s the lowdown on UAE free‑zone fees.
Free‑zone licenses are the gateway to 100 % ownership, zero corporate tax, and instant market access.
Think of it as the price tag on a passport to zero corporate tax and instant market access.
Curious how the numbers stack up? Let’s break it down.

Free Zone Setup Fee (incl. Visa, Registration) Annual License Fee Minimum Office Space Hidden Charges
Dubai Multi Commodities Centre (DMCC) AED 12,000 – 18,000 AED 10,000 – 15,000 Virtual Office AED 2,000 – 3,000
Jebel Ali Free Zone (JAFZA) AED 15,000 – 20,000 AED 12,000 – 18,000 10 m² flexi‑desk AED 3,000 – 5,000
Dubai Internet City (DIC) AED 13,000 – 17,000 AED 11,000 – 16,000 15 m² flexi‑desk AED 2,500 – 4,000
Abu Dhabi Global Market (ADGM) AED 18,000 – 25,000 AED 15,000 – 22,000 20 m² flexi‑desk AED 3,500 – 6,000
Khalifa Industrial Zone Abu Dhabi (KIZAD) AED 10,000 – 14,000 AED 8,000 – 12,000 12 m² flexi‑desk AED 1,500 – 2,500
Ajman Free Zone (AFZ) AED 8,000 – 12,000 AED 6,000 – 9,000 10 m² flexi‑desk AED 1,000 – 1,500
Ajman Knowledge Village (AKV) AED 9,000 – 13,000 AED 7,000 – 10,000 12 m² flexi‑desk AED 1,200 – 1,800

Key takeaways
- The cheapest free zone UAE for a flexi‑desk setup is Ajman Free Zone, with a first‑year total around AED 14,000.
- DMCC offers the lowest annual license fee in Dubai but a higher setup cost.
- KIZAD and ADGM suit industrial and financial services, respectively, with moderate costs but higher compliance overhead.

Step‑by‑Step Company Setup Guide

  1. Choose the right free zone – Match your industry, market, and budget.
  2. Reserve a company name – Pay AED 300–500 for 3–5 options.
  3. Submit the application form – Online, with shareholder details.
  4. Provide required documents – Passports, proof of residence, bank reference, MOA.
  5. Pay the setup fee – Via the portal’s secure gateway.
  6. Receive an approval letter – Provisional license issued.
  7. Arrange office space – Virtual or physical desk, sign lease if needed.
  8. Apply for visas – 3–5 resident visas per free zone.
  9. Collect the final license – Physical or PDF.
  10. Activate banking services – Open a corporate account.

Decision‑Making Tips

  • Industry – DMCC for commodities, DIC for tech, ADGM for finance.
  • Target Market – JAFZA for regional trade, DMCC for global commodity.
  • Budget Constraints – AFZ or KIZAD for lowest fees.
  • Office Space Needs – >20 m² → ADGM or DMCC.
  • Compliance Requirements – Low‑risk → KIZAD or AFZ.

Document Checklist for Registration

  • Passport copies (original & copy) – all shareholders.
  • Proof of residence (utility bill) – valid within 90 days.
  • Bank reference letter – minimum AED 5,000 balance.
  • Memorandum of Association – signed by all shareholders.
  • Initial business plan – activities, revenue forecast.
  • Office lease agreement – if physical.
  • Visa application forms – shareholders & employees.
  • Health insurance proof – each employee.

FAQ

Question Answer
What is the total cost for a single‑shareholder company in DMCC? Setup AED 15,000 + annual license AED 12,000 = AED 27,000 first year.
Do I need a physical office in Dubai to obtain a license? No; virtual office packages are available.
Are there hidden fees for visa processing? Yes; AED 3,000–5,000 per person, depending on the free zone.
Can I renew my license online? Yes, most portals offer an online renewal portal.
What is the cheapest free zone in the UAE? Ajman Free Zone (AFZ) offers the lowest combined costs.
Do I need a UAE bank account to pay fees? Not always; many portals accept credit cards or wire transfers.
Is there a minimum capital requirement? Varies; most allow a nominal paid‑up capital of AED 5,000–10,000.

Actionable takeaway – Grab the free zone license cost data, pick the hub that fits your budget and industry, and start the paperwork today. Your next big move awaits.