Best Free Zones for Business Setup in Dubai

Establishing a business in a free zone in the United Arab Emirates has several benefits (UAE). The majority of free zones, for instance, permit full foreign ownership of businesses as well as the complete repatriation of both capital and earnings.

free zone in dubai

In addition, you will be entitled to a number of important financial advantages, such as exemption from company tax, as well as a range of assistance and networking possibilities. Access to seaports, airports, and warehouses are a few of the benefits of doing business in a free zone.

When a foreign investor in the UAE has more than 40 Free Zones from which to select, it may be tough to determine which is the best choice for their business. Before beginning the process of establishing a company in one of the UAE Free Zones, you must do considerable research and weigh your options thoroughly. Keep in mind that each Free Zone has its own set of expenses, distinct lists of lawful firm activities, varying site and facility alternatives, and varying share capital requirements.

You must pay a one-time charge to get authorization for the name you desire to use for your company or trade. For a company to be considered legal in Dubai, it must have a physical location. A local agent charge, a bank guarantee, and registration fees are additional expenses that a Free Zone business must bear.

If you’re looking to start a business in the UAE, here are some of the best free zones for startup businesses.

1 – Dubai World Trade Central Free Zone (DWTC)

The formation of a DWTC free zone company is a must for the vast majority of businesses. The DWTC free zone is a strategic initiative of the Dubai government that aims to become the world’s largest and most influential commercial, aviation, and economic hub.

The DWTC free zone enhances Dubai’s historical importance as a crossroads between East and West. The Jebel Ali Sea Port will encompass an area of around 140 square kilometers and is recognized as one of the most innovative and audacious projects of its type in the world.

The Dubai World Trade Central (DWTC) is a multimodal hub with unparalleled connection, speed, and competence. Licensed businesses operating inside the DWTC free zone are excluded from paying taxes and other tax-related fees or expenses. Since you are the only owner of your company, it is not required to pay corporation taxes. If you are a member of DWTC, you have simple access to the resources necessary to expand your company for the benefit of the organization with which you are affiliated.

2 – Dubai Silicon Oasis Free Zone (DSOA)

The Dubai Silicon Oasis Free Zone Authority offers incentives and advantages to companies located in the Silicon Oasis technological park. Non-profit Dubai Silicon Oasis Authority encourages contemporary technology-based firms in an urban master-planned community with cutting-edge infrastructure and in-house corporate services in the city of Dubai. DSOA is easily accessible from a number of airports and seaports, and it’s just twenty minutes from Downtown Dubai.

A number of startup incubators and support services are located in the DSOA, including those that provide venture capital help. Expats may control the whole firm and return all revenues back to their home countries if they so want. DSOA’s online e-business system is connected with a variety of support services.

DSOA provides a wide range of commercial space, from undeveloped land to fully-equipped office spaces. Because of its abundance of reasonably priced apartments, DSO has been ranked well in Bayut’s 2020 Annual Rental Report.

If you’re looking for a place to call home where the focus is on community and well-being, consider moving to Dubai Silicon Oasis. There is a range of housing alternatives for individuals and families inside DSO’s residential complexes and gated subdivisions.

3 – Dubai Internet City Free Zone (DIC)

The Dubai Internet City Free Zone is an integrated technology park that enables businesses to interface with new technologies and expands their operations. Real estate and office space at Dubai Internet City are available to both local and international companies looking for cutting-edge infrastructure as well as cutting-edge information technology services.

There are about 600 buildings and more than 200 of the world’s leading technological businesses in Dubai Internet City, a free zone. As well as a huge number of small and medium-sized companies and entrepreneurial projects, the Digital Innovation Cluster (DIC) is home to several of the world’s most prominent information and communications technology (ICT) giants, such as Microsoft, Oracle, and HP.

Downtown Dubai, Palm Jumeirah, and Dubai Marina are the three most sought-after areas in which to find a rental property in Dubai. From studio flats to fully-equipped villas with private swimming pools, there is a wide variety of housing options available.You won’t go hungry in this city since there are so many alternatives to choose from, regardless of your price range or kind of culinary preferences.

Dubai Internet City is home to Dubai Mall, the city’s biggest and most popular retail center. Consider visiting the Dubai Opera, which is located in Dubai Internet City, if you’re searching for something new to do in Dubai. In addition to opera, ballet, concerts, and other events, the Dubai Opera presents a broad variety of productions. Additionally, Emirates Golf Club Dubai and The Address Montgomerie Dubai are two of the world’s top golf courses.

4 – Dubai production city free zone (DPC)

The growth of Dubai Production City, a major regional commercial center, might benefit the light industrial enterprises in the area. It started in 2003 and has helped big businesses like publishing, printing, packaging, graphic design, new media, and displays. It provides its business partners with convenient access, modern warehouse space, commercial offices, cutting-edge technology, and intelligent infrastructure.

DPC is also home to the in5 Media Innovation Centre, which fosters the growth of creative businesses and their creators. As well as unique corporate activities, the integrated community offers a wide range of residential, retail, and recreational options.

Additional perks include free zone rights and legislation that make it simpler for businesses to operate in Dubai International Media Production Zone on a day-to-day basis. You may set up a free zone limited liability company or a branch for any international business organization or entity using the International Media Production Zone Business Setup Program (IMPZ BSP).

5 – Jebel Ali Free Zone (JAFZA)

DP World’s main free zone, the Jebel Ali Free Zone, is also known as Jafza, and it is an important part of the integrated business center that DP World administers across the UAE region. There is already a vibrant business community in the free zone, which provides an unparalleled potential for market expansion and access.

The food and beverage manufacturing business employs 529 firms from 67 nations. In addition to Nestle and Mars, other multinational companies operating manufacturing and production facilities in Jebel Ali include Unilever, PepsiCo, Kraft Foods, Heinz, McCormick, Don, and Griffith Foods.

The Jafza Free Trade Zone draws around 23.9% of the nation’s total Foreign Direct Investment (FDI). In the United Arab Emirates, the free zone employs 135,000 people, generating 23.8% of Dubai’s GDP and keeping the city’s economy afloat. In 2019, Jafza was engaged in commercial transactions totaling $99.5 billion US dollars. As many as 150,000 people in the United Arab Emirates are employed because of the free zone, which spans 1.58 million square meters.

6 – International Free Zone Authority Dubai (IFZA)

One of the most sought-after free zones in the United Arab Emirates is the International Free Zone Authority (IFZA). This is due to the fact that, despite its relatively young age, the free zone has attracted a lot of attention because of its status as one of Dubai’s most economically free zones for company formation.

As a result, it is one of the free zones with the greatest potential for economic development. Additionally, IFZA provides a variety of licenses for business owners to choose from. These licenses include the ones needed to provide advice, offer services, do business online, participate in commercial activities, and trade in any kind of product or service.

IFZA’s corporate entity creation process does not need a real office location, which is a major benefit for small businesses. As a consequence, entrepreneurs who wish to create an online company will not be required to have a physical location.

Entrepreneurs will find it easier to launch an online business thanks to this. In exchange for a modest fee, investors may get a complete business setup package. You may choose from a choice of visa options, business packages, and facilities like Flexi-desks and warehouses with this package.

7 – Ras Al Khaimah (RAK) Free Trade Zone

RAKEZ is one of the most often selected free zones when it comes to the formation of a business. The strategic location of the free zone is one of the most important advantages of operating a business there. The judicial district may be situated in close proximity to a port on the ocean and the airport servicing Ras Al Khaimah (RAK). Although RAKEZ is intended to handle almost any kind of business.

It is especially appropriate for organizations involved in manufacturing. This is because it is one of the few free zones in the United Arab Emirates that offers expandable warehouse space and undeveloped industrial land for building.

RAKEZ free zone is one of the largest free zones in the emirates, and the fact that it is permitted to hold a range of activities makes it one of the most popular sites. The activities that take place in the free zone may be classified into several categories, ranging from educational pursuits to commercial, media, and online retail activities.

8 – Sharjah Media City (SHAMS)

It was envisioned that Sharjah Media City (SHAMS) would be the United Arab Emirates’ innovation and new media hub. Situated in the heart of the Silicon Valley tech scene, SHAMS is home to hundreds of startups, micro, small, and medium-sized enterprises (MSEs), and other organizations.

The place is Sharjah. The key selling point of the free zone is the low cost of several licenses in the industries of media, advertising, manufacturing, and design. It also allows you access to a large number of services, guidance, and commercial activities.

The ease and low cost of starting a business in Shams make it an ideal free zone for branch enterprises looking to extend their operations. Additionally, they have the option of forming a limited liability company (LLC) or a branch office. In addition, business owners in the free zone may register their firms without having to provide papers that have been authenticated. Even though it’s called Sharjah Media City.

The area encompasses a broad variety of businesses, not only those in the media sector. Services, industries, freelance, and Ecommerce licenses, as well as a holding license, are all available via Shams.

9 – Ajman Free Zone

The Ajman Media City Free Zone or the Ajman Free Zone is the most recent choice for establishing a free zone corporation in the United Arab Emirates. Ajman Free Zone’s strategic location near the Arabian Gulf’s entrance means it can serve both the eastern and western commercial markets.

The Ajman free zone now has over 256 industrial enterprises, making up around 20% of the total number of industrial units in the United Arab Emirates and placing it third in the UAE. Over 65 nations import products created in Ajman. Ajman Free Zone has become one of the most sought-after regions in the United Arab Emirates as a result of the efforts of more than fifty businesses that were established with the help of the Airzone. Some of the Other Free Zones are JLT Free Zone, Masdar City, DAFZA, and UAQ Free Zone.


Entrepreneurs in the United Arab Emirates who are looking to get their feet wet in the business sector will find free zone company registration to be one of the most favorable alternatives accessible. Business consultants may help new company owners in a number of ways, including the creation of their enterprises, the provision of ongoing support in the areas of accounting and other disciplines, as well as more.