Free zone vs Mainland
The two ways to set up in the UAE — compared, so you can choose with confidence.
| Criterion | Free Zone | Mainland |
|---|---|---|
| Ownership | 100% foreign ownership | 100% in most activities |
| UAE market | Via a distributor/agent | Directly across the UAE and with government |
| Corporate tax | 0% on qualifying income | 9% above AED 375,000 |
| Office | Co-working / flexi-desk | Physical office required |
| Setup cost | Lower (from 6 100 AED) | Usually higher, case by case |
| Best for | Online business, consulting, IT, trading | Retail, local services, government tenders |
For most international entrepreneurs a free zone is optimal (lower cost, 100% ownership, fast start). Mainland is chosen to trade directly on the local UAE market.
Which free zone
RAKEZ (Ras Al Khaimah)
RecommendedBest value for money. Great for startups, online business and trading — including a no-visa freelancer permit from 6 100 AED.
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Meydan (Dubai)
A prestigious Dubai address and digital platform. Great for brand image and working with Dubai partners. License from 12 500 AED.
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