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Complete guide to Freezone Business Setup in Dubai

Overview of Business Setup In Dubai Free Zone

Dubai Free Zone are unique economic areas where foreign investors can tap into business opportunities in Dubai. Moreover, these areas provide foreigners with the power to establish a company in the UAE.

Apart from Business Setup in Dubai Free Zone, there are countless advantages, like 100% ownership, tax incentives, customs privileges, and simplified administrative procedures. that you may obtain by setting up a business in Dubai, UAE: Because, these Free zones in Dubai cater to a wide range of industries, from eCommerce and logistics to technology and manufacturing,

Types of Free Zones in Dubai

When it comes to setting up a company in the Dubai free zone, there are more than 30 free zones where you can start your business in Dubai, UAE. So below is the list of the most popular and best Dubai Free Zones:

  • Jebel Ali Free Zone: This free zone is a free economic zone that is located in the Jebel Area area at the far western end of Dubai, United Arab Emirates, near Abu Dhabi. The zone is the flagship free zone of DP World. In addition, this zone is an integral part of DP World UAE’s integrated business hub.
  • Dubai Multi Commodity Center (DMCC): Dubai Multi Commodities Centre is the UAE’s largest free zone that is situated in the Jumeirah Lake Towers district of Dubai. Created in 2002, it is a commodities exchange that deals in four main industries: precious commodities; energy; steel, and metals, along with agricultural commodities.
  • Dubai Airport Free Zone: This free zone, additionally popular as the DAFZ free zone, is a designated free economic zone in Dubai, United Arab Emirates. Additionally, the free zones provide foreigners with company formation and business setup services in Dubai. Remember, Dubai Airport Free Zone is a hub of over 2,000 registered businesses from 20+ sectors and uncountable industries, with 20,000+ professionals.
  • Dubai International Finance Center (DIFC): Dubai International Finance Centre serves as a unique economic zone in Dubai and covers 272 acres of land in Dubai. In 2004, Dubai created the free zone as a financial hub to cater to companies operating in the Middle East, Africa, and South Asia (MEASA) markets. Moreover, the free zone houses financial institutions, wealth funds, and retail and hotel space dedicated to the free zone.

Advantages of setting up your company in a Dubai free zone

  • Easy set up for business – The set process for Free Zone Company Formation In Dubai because it requires minimum effort and paperwork. So the benefit of these zones makes it straightforward and attractive for startups and business people.
  • Access to the global market: Dubai’s strategic location provides companies easy access to regional and international markets due to the well-connected ports, logistics facilities, and airports.
  • Diverse Industries – Dubai has introduced Free Zones tailored to various industries, including Dubai Internet City (IT), Dubai Media City (media), Dubai Healthcare City (healthcare), Dubai International Financial Centre (finance), and many more.
  • Complete foreign ownership: foreign investors may fully own their companies in the UAE, which is one of the significant advantages of the Freezone Business Setup in UAE. Above all, you might not obtain this advantage in other parts of the world.
  • Networking Opportunities: Being part of a Free Zone often indicates proximity to like-minded businesses and industries. Moreover, it can boost collaboration and networking opportunities.
  • Customs Benefits: Businesses in Free Zones may enjoy customs benefits, making it straightforward to trade internationally.

Types of Free Zone Company Set Up License

1. Trading license

This license is for those businesses purchasing and selling products within the Dubai free zone and abroad. Moreover, the license lets you import, export, distribute, and store goods specified in the license.

2. Industrial license

Companies that are involved in manufacturing, processing, and other industrial activities are eligible for this license. Because it allows the production of goods within the Free Zone and their distribution within the United Arab Emirates and abroad.

3. Consultancy licenses

Consultancy licenses cover many professional consulting services, including legal, financial, and management consulting. So with the help of this license, you can run a consultancy within Dubai.

4. Commercial license

The license is suitable for businesses involved in numerous commercial activities, like retail, consultancy, and general services. Additionally, it lets you engage in non-industrial and non-trading activities.

5. Freelancer license

Some free zones provide licenses specifically for freelancers or sole practitioners in fields like consulting, design, writing, or digital marketing.

6. E-commerce license

E-commerce licenses are introduced for online businesses engaged in buying and selling products or services via online platforms.

7. Healthcare license

This license allows you to conduct healthcare and medical services in Dubai.

8. Education license

A few free zones provide foreigners with an Education license for institutes and training centers.

9. Tech License

Tech licenses are provided in technology-focused Free Zones.  Additionally, this license is suitable for tech startups and IT companies.

10. Real estate license

Businesses involved in activities such as property management, real estate brokerage, and related activities are given this license.

11. Logistic and freight license

This license is suitable for those businesses involved in logistics, shipping, and freight forwarding services in Free Zones like Jebel Ali Free Zone (JAFZA).

12. Event management license

The license is tailored for event planning and business management companies operating in the Dubai free zone.

13. Service license

Service licenses are ideal for companies that provide professional or specialised services, like consulting, IT, marketing, and more.

14. Media license

A media license is appropriate for businesses involved in media activities, like publishing, broadcasting, content creation, and more. In addition to this media license, the Dubai Free Zone allows businesses with the legal authority to conduct business without any restrictions. 

15. Manufacturing license

The license is tailored for companies involved in the production and assembly of goods within the Dubai free zone. Moreover, the companies that get the manufacturing license may get an extra benefit from the company formation in Dubai that allows them proximity to global markets. 



Steps for Free Zone Company Formation In Dubai

  1. Select the right free zone with Flyingcolour.
  2. Determine the type of your business.
  3. Select the business name.
  4. Apply with the required documents.
  5. Determine the legal structure of your company (and meet the minimum share capital requirements, if needed.
  6. Submit the initial approval application.
  7. Sign the lease agreement for your office or warehouse space under the free zone.
  8. So once you submit your application, you will obtain the license to a company setup in Dubai in the Dubai free zone.

Why choose us?

Flyingcolour Business Setup provides you with excellent business setup services. In addition to this, experts can help you choose the right Free Zone in Dubai. Because we can help you at every stage of setting up a business in any free zone in Dubai.

Free Zones Located in Dubai

There are so many Dubai free zone, but the following are widely used and very popular free zones.

business setup in dubai free zone | Jebel Ali Free Zone

Jebel Ali Free Zone

business setup in dubai free zone | Dubai Multi Commodity Center (DMCC)

Dubai Multi Commodity Center (DMCC)

business setup in dubai free zone | Dubai airport freezone

Dubai Airport Free Zone

business setup in dubai free zone | Dubai international Finance center

Dubai International Finance Center (DIFC)

Flyingcolour® assists in all types of company registrations in United Arab Emirates. We assist in Mainland, Free Zone,or Offshore company registrations in all Emirates of UAE and also assist in opening bank accounts with all local leading banks.

Ans. Free trade zones in Dubai are specified economic zones that strive to offer expatriates special concessions and customs duties. Moreover, a free zone company in Dubai allows companies full ownership without forming a partnership between registered agents and sponsors.

Some of the recognized free zones you may consider while setting up a Dubai-free zone company include Jebel Ali Free Zone (JAFZA), Dubai International Financial Centre ( DIFC), Dubai Internet City, and DMCC.

These free zones in Dubai attract favourable investment opportunities for foreigners while offering better infrastructure, regulation, and support that increase the smoothness of business transactions.

Ans: Financial credibility for your business solely depends on Free Zone’s reputation with the local bank. Because if you are planning to set up a business that is well established and has a good relationship with banks, you will certainly have a good reputation. So for considering this fact, you must consider adequate guidance from a consulting firm that will take you through free zone experience with financing and relations with local banks.

Ans: Free zone trades provide abundant opportunities that unravel the plethora of opportunities for setting up business operations. That includes:

  • Gives the benefit of 100% ownership to the foreigner
  • Simplified tax concessions on corporate and personal income
  • Better infrastructure that facilitates smoother business operations
  • There are no restrictions on currency exchange
  • Provides easy regulations and legal framework that promotes entrepreneurial mindset amongst the new business owner
  • Provides labor forces skilled in various fields

Ans: The cost of setting up a business in the Dubai free zone differs because it involves several factors in the company formation process. That includes the cost of the license, office rental space, registration fees, visas for employees, and other miscellaneous expenses that include permits or approval fees. In addition to this, all costs are defined based on the type of business, size of business, and specific location of the business you have chosen to operate.

Ans: Yes, this is possibly the greatest advantage that inclines many new business owners to form their free zone companies in Dubai. Because it allows entrepreneurs the leverage of having full ownership of their company. This further implies that they can enjoy full autonomy in their business activities, which include business operations and decision-making.

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