Dubai continues to be a powerhouse for international business, attracting entrepreneurs with its tax benefits, ease of doing business, and world-class infrastructure. Among the most appealing options for foreign investors is freezone company formation in Dubai. Designed to offer streamlined regulations and full ownership rights, Dubai’s free zones serve as ideal gateways for global businesses to set up and grow.
In this guide, we break down everything you need to know to form your company in a Dubai free zone successfully.
Why Choose a Freezone in Dubai?
Free zones are designated areas in Dubai that allow businesses to operate under unique legal and tax frameworks. Here are some top advantages:
- 100% foreign ownership
- Zero personal and corporate taxes (in most zones)
- Full repatriation of profits and capital
- Quick registration and licensing process
- State-of-the-art office spaces and infrastructure
- Strategic location for global trade
Whether you’re a tech startup, logistics company, or media firm, Dubai offers over 30 free zones tailored to different industries.
Types of Dubai Free Zones
- Dubai Multi Commodities Centre (DMCC) – Ideal for trading and commodities businesses.
- Dubai Silicon Oasis (DSO) – Focused on tech and innovation.
- Dubai Internet City (DIC) – Perfect for IT and media companies.
- Dubai Airport Free Zone (DAFZA) – Strategic for logistics and import/export.
- Jebel Ali Free Zone (JAFZA) – Popular for industrial and manufacturing.
Each zone has its own licensing authority, regulations, and fee structure.
Cost Breakdown: Freezone Company Formation in Dubai
Understanding the cost is crucial before you register your company. Here are the main components:
1. Business License Fees
- Vary depending on activity type (trading, service, industrial).
- Range: AED 10,000 – AED 20,000 annually.
2. Office or Workspace Rental
- Options include flexi-desks, shared offices, and private spaces.
- Cost Range: AED 5,000 – AED 50,000 depending on space and location.
3. Registration & Documentation
- One-time fee paid to the free zone authority.
- Cost Range: AED 5,000 – AED 10,000.
4. Visa Costs
- Employee and investor visas typically cost AED 3,000 – AED 7,000 per visa.
5. Other Add-ons
- PRO services, legal translations, notarizations, audit and VAT registration.
- Budget: AED 2,000 – AED 8,000
Freezone vs. Mainland: Cost & Ownership
| Feature | Freezone | Mainland |
| Ownership | 100% Foreign | Requires Local Sponsor (51%) |
| Licensing Authority | Free Zone Authority | DED (Dubai Economic Department) |
| Office Requirement | Optional/Virtual Allowed | Physical Office Required |
| Cost Flexibility | Highly Scalable | Generally Higher |
| Visa Quota | Depends on Office Space | More Flexible |
Ongoing Costs to Consider
- License Renewal Fees
- Employee Visa Renewals
- Office Space Maintenance
- Audit and Accounting Fees (if applicable)
- VAT Filing & Compliance (if registered)
Hidden or Unexpected Costs
- Legal translations and notarizations
- Document attestation (for foreign nationals)
- PRO services for government documentation
- Courier charges, Emirates ID issuance
Tips to Reduce Company Setup Costs
- Start with a flexi-desk package
- Bundle services (license + visa + office)
- Choose a free zone that waives registration fees
- Use virtual offices to reduce rental fees
- Hire an experienced consultant to avoid missteps
Why Work with Hallmark Auditors?
At Hallmark Auditors, we simplify the freezone company formation process in Dubai. Our team handles:
- License and visa documentation
- PRO services and bank account opening
- Audit and accounting setup
- VAT advisory and registration
With over 15 years of experience and a deep understanding of Dubai’s regulatory landscape, we ensure your business gets the best start with minimal costs and zero hassle.
Get Started Today
Thinking about starting your dream business in Dubai? Contact Hallmark Auditors today for a free consultation. Let’s get your company up and running—fast, legally, and affordably.
