How to Open a Free Zone Company in Dubai? | Flyingcolour
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How to Open a Free Zone Company in Dubai?


Establishing a new company in the Dubai free zone is one of the best investments. It is because the free zone offers the most effective costs in terms of customs and tax exemptions. Free zones in Dubai also offer other advantages and numerous facilities to business owners. Investors and businessmen from different parts of the world consider Dubai’s free zone as a haven for expanding and establishing their projects and companies. 

But the most vital question is where to establish the business in the free zones. Despite its effectiveness, only some free zones are apt for investment activities. Thus, picking up the most suitable free zone according to your business nature will pay off well in the long term. You can also find the necessary facilities and services related to your business growth in these areas. In this article, we will know about the ways to open a company in the free zone in Dubai.

Different Free Zone types in Dubai 

Dubai consists of 40+ different types of free zones and many more are coming up. The basic difference between these types of free zones lies in their legal status and the shareholder’s number. Every free zone has different laws and regulations for the investment procedure. It is mostly governed by the Free Zone Authority also known as FZA. As an entrepreneur or an investor, you should make sure your company is aligning with all the necessary laws and protocols of the Dubai-free zone where you will be working. 

Jebel Ali, Airport Free Zone, Design District, Media City, Internet City, Knowledge Park,  Silicon Oasis, Studio City, and Commodities Center are some of the most popular free zones in  Dubai.

Ways to open a free zone company in Dubai 

Every free zone in Dubai comes with exclusive laws and rules. From the beginning, you have to be clear about which industrial sector you want to establish and the most appropriate free zone related to it. In this way, you can be well aware of all the rules and protocols of that particular free zone. 

In order to establish a company in the free zone in Dubai, you have to go through several legal documents and procedures. You can set up a new company in the Dubai free zone in the following ways. 

➡️Selecting the correct free zone 

In Dubai, there are nearly 40+ free zones. How about deciding which one is most appropriate for setting up a company in the Dubai free zone? Cost is the primary aspect of making such decisions. If you are a small business owner who needs more money for full-time office space,  there are other licensing alternatives to access the business canters.

Different free zones like Media City, DMCC, and many more are offering numerous visa and trade licensing packages for boutique consulting and small start-up companies. Another free zone deciding factor is the legal aspects. For banking or financial companies, the license type necessary for operations is available only from the Dubai International Financial Center. 

If you are a logistical or importing company, you can set up your business in Dubai South or  JAFZA. Both Internet City and Media City only demand a few legal necessities from the free zone company in Dubai and offer an industrial cluster to find the necessary staff, suppliers, and targeted customers near you. 

➡️Determine the business activities

First, decide all the activities that you want to engage in. The free zones present in Dubai include numerous commercial, service, tourism, and industrial activities. Select anyone according to your business nature. 

➡️Name the company 

Give a trading name to your company. Consider different conditions of the Laws of the  Department of Economic Development in Dubai before naming your brainchild. After setting the company name, visit the competent authorities to register it. You can select the company trade  name based on the following: 

  1. Intuitively and accurately indicating the activities of the company 
  2. The fact that the name should never include any political or governmental symbols,  making this fully obsolete 
  3. Distinctive and unique name, not similar or matching with any other company in Dubai
  4. Appending the trade name of the company according to the legal abbreviation form of the  company
➡️Legal Form 

After precisely determining the company activity, it is now time to decide the legal form of the company if you want to establish a business in the Dubai free zone. You have to deal with a lot of matters and complications with the help of this legal form in the future. 

➡️Initial Approval 

You should pay complete attention to the initial approval of the company by the proficient authorities. Some particular activities in the free zones need special permission from the concerned authority. 

➡️Selecting the office space

Always select an office space according to your working mode and activities. For establishing a free zone company in Dubai, you have to submit a notarized contract by the Real Estate  Regulatory Authority. 

➡️Acquiring a trade license 

To completely establish a company in the free zone, you will need a trade license to work. You can receive a valid trade license from the service centre in Dubai after paying for all the license-related fees. Your company should also be registered with the UAE Chamber of Commerce. 

How to find the best consultant for setting up a company in the Dubai free zone? 

Setting up a business in the free zone in Dubai has become more streamlined recently. Thus, it needs a high degree of knowledge to get all the paperwork done and how to begin the long process. Entrepreneurs and business owners can even apply for the necessary permissions on their official website and upload the vital documents required for the permissions.

However, we at Flying Colour business setup can help you ease up these processes and free up your precious time. Thus, you can concentrate on other more important aspects. Always go for a company with years of experience and knowledge about setting up companies like Flying Colour business setup services.


The concept of a free zone is instrumental in the ongoing success and diversification of Dubai and will continue to evolve in the future. More than 20,000 companies are already established in different Dubai-free zones. These statistics show that more foreign investors and business owners are interested in entering the Dubai market space, knowing their businesses are ideally secure and safe places for growth in the long term.

To learn more about how to open a free zone company in Dubai, book a free consultation with one of Flyingcolour team advisors, call +971 50 5585305 or send WhatsApp messages to +971 4 4542366. you can also drop an email to info (at) flyingcolour (dot) com.

Please note that this article has been published on 18/10/2023 in accordance with the federal policies and updates at the time of writing. For the latest info please talk to our consultant.

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