UAE free zone or mainland company: which to choose
Ownership, where you can trade, visas and costs compared.
In short
Free zones offer quick setup and packages with visas but limit trading with the local market. Mainland companies can trade anywhere in the UAE and bid for government work. 100% foreign ownership is allowed in most mainland activities since 2021.
- Free zone setup
- AED 12,000–35,000
- Mainland setup
- AED 15,000–50,000
- Ownership
- Up to 100% both
- Office
- Flexi desk possible
Step by step
Tick each step as you finish it. Open a step to see what to do.
Activities decide which authority you need.
1 day
Documents checklist
Do’s and don’ts
Do
- Check visa quota of the package
Don’t
- Don’t trade in the mainland from a free zone without a distributor
Cost estimator
Untick what doesn't apply to you. These are rough figures and fees change often, so check with the authority.
Watch out
- Banks ask for substance; a flexi-desk with no activity may be rejected.
Common questions
Can I run it while employed?
You need a no-objection from your employer and MOHRE dual-employment rules.
Official links
Background and more detail
Free zones offer quick setup and packages with visas but limit trading with the local market. Mainland companies can trade anywhere in the UAE and bid for government work. 100% foreign ownership is allowed in most mainland activities since 2021.
Key facts
- Free zone setup: AED 12,000–35,000
- Mainland setup: AED 15,000–50,000
- Ownership: Up to 100% both
- Office: Flexi desk possible
Steps
- Choose activity – Activities decide which authority you need.
- Reserve name and get approval – Initial approval online.
- Lease and licence – Ejari or free zone lease, then licence.
- Visas and bank account – Bank accounts take the longest.
Watch out
- Banks ask for substance; a flexi-desk with no activity may be rejected.
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