Freezone Company Setup

Freezone company setup in UAE

It is important to understand how business setup in Dubai freezone and Abu Dhabi free zone work to decide whether a company formation in a free zone is the right option for you. Additionally, Free zones in the UAE are special economic trade zones that offer 100% Ownership and most offer Tax Exemptions to foreign & expatriate investors in the country.


There are about 37 free zones in the UAE that an investor can choose from. However, they need to take into consideration their business activity requirements and financial budget for their Abu Dhabi and Dubai freezone company formation.

Business set up Dubai Free zone entitles you to:

  • 100% Ownership.
  • Opening a business bank account in Dubai.
  • 3 years investor visa/partner visa
  • 100% Tax Exemption, with certain exceptions.
  • Engagement in business internationally.
  • Trade freely within their own Free zone and other free zones within the UAE.
  • Lease and purchase property.

freezone business setup / company formation in dubai, Abu Dhabi


Each Free zone has its own requirements for setting up under them. However, the basic processes are:

  1. First, select the right legal structure within the Free zone:
    • Free zone Company Establishment (FZE).
    • Free Zone Limited Liability Company (FZ LLC) or Free zone Company (FZC).
    • Branch Office.
  2. Secondly, determine the type of license required for business activity:
    • Commercial License
    • General Trading License
    • Consultancy License
    • Industrial License
    • Trading License
  3. Then, find an appropriate zone that offers the business activity and license your Abu Dhabi and Dubai freezone company formation requires.
  4. Next, understand the costs and fees involved in the business setup in Dubai Free zone or any other Emirate of your choice.
  5. Then, find office/desk space and other facilities within the Free zone.
  6. Also, submit the application to the concerned Free zone authority.
  7. Next, sign agreements and receive a license for your Free Zone company formation.
  8. Lastly, make payment to Free Zone authority on securing approvals.

You can read more about the pros & cons of Abu Dhabi and Dubai Freezone company setup to help you find out if it is the right option for you.


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