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Starting a Business in a Dubai Free Zone

Starting a Business in a Dubai Free Zone

By O Group UAE 3 min read

Starting a Business in a Dubai Free Zone
If Dubai has been on your radar, there’s never really been a better time to make the move.

Setting up a business here is far more straightforward than most people expect, especially within the free zones. You’re looking at 100% foreign ownership, tax efficiencies, and simple, all-in-one packages that take the complexity out of getting started.

In 2026, a typical individual setup, including an investor visa, ranges from around AED 18,000 to AED 35,000 depending on the free zone and office type .

Where Most People Start
Some of the more cost-effective free zones currently include Meydan Free Zone, IFZA, Dubai South, Dubai Silicon Oasis, and DWTC.
As a guide, estimated setup costs (including license and one visa) are:

  • Meydan Free Zone: AED 18,000 – 22,000
  • IFZA: AED 19,000 – 24,000
  • Dubai South: AED 17,500 – 23,000
  • Dubai Silicon Oasis: AED 20,000 – 26,000
  • DWTC: AED 25,000 – 35,000

Each caters to slightly different industries, from e-commerce and consulting through to tech, logistics and professional services.


What That Cost Actually Covers
These figures are typically packaged, but they’re made up of four core components:

  • Trade License: AED 11,000 – 15,000 (annual renewal)
  • Flexi-desk: AED 5,000 – 8,000 (required for visa eligibility)
  • Establishment Card: Around AED 2,000
  • Investor Visa Package: AED 3,500 – 6,500 (medical, Emirates ID and stamping)

Choosing the Right Free Zone by Industry
Dubai’s free zones are often built around specific industries, so where you base yourself can depend on the type of business you’re running.

  • Tech & Media: Dubai Internet City, Dubai Media City, Dubai Studio City and Dubai Production City
  • Finance & Fintech: DIFC, the most established financial centre, with higher entry points from AED 40,000+
  • Commodities & Trading: DMCC (JLT), one of the most popular options, typically AED 25,000 – 40,000+
  • Healthcare & Science: Dubai Healthcare City, Dubai Science Park
  • Aviation & Logistics: DAFZA, Dubai South
  • Education: Dubai Knowledge Park

It’s not essential to base yourself within your industry hub, but it can add credibility and connect you to the right network from the outset .


Additional Costs to Factor In
There are a few additional costs that are easy to overlook when budgeting:

  • Change of Status: If you’re already in the UAE, switching to an investor visa without exiting the country typically costs around AED 1,100
  • Health Insurance: Mandatory by law, with basic annual plans starting from approximately AED 600
  • Corporate Bank Account: While opening an account is usually free, most banks require a minimum balance of AED 25,000 to AED 50,000

These aren’t always included in setup packages but should be factored into your overall budget.


A Lower-Cost Alternative
For those purely focused on cost efficiency in the early stages, there are alternative setups across the UAE that can reduce entry costs further. If you’re exploring your options, we’d be happy to guide you through it.

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O Group UAE

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