Dubai's Freezone areas are renowned for their business-friendly policies, flexible office solutions, and a host of incentives that make them an attractive option for entrepreneurs. Starting a business in a Freezone offers numerous advantages, but understanding the associated costs is crucial for planning effectively. This blog provides an overview of the costs involved in setting up a business in a Dubai based Freezone. For a detailed, customized breakdown tailored to your specific needs, Instacorp offers an intuitive online platform where you can explore all your options and receive a complete proposal.

Upfront Costs

Business License Fee

The business license fee in a Freezone varies based on the type of license required (commercial, professional, or industrial) and the specific Freezone chosen. Typically, license fees range from AED 12,900 to AED 20,900 annually. The license fee includes, the trade license, Certificate of incorporation, Shareholder Resolution, MOA and AOA and the Virtual Office lease agreement.

Establishment Card

The Establishment Card, also referred to as the immigration card, is issued after registering the company with UAE immigration. It is a prerequisite for issuing visas under the company. The fee is around AED 2,000 annually.

Initial Approval

Obtaining initial approval, which signifies that the Freezone authority has no objections to your business setup, this fee is covered in the license fee.

Office Space and Location Costs

Virtual Office

A Virtual office provides businesses with a physical address and various administrative support services without the need for a dedicated physical office space. When you choose a license package, the free zone provides this service at no cost.

Flexi-Desk Options

Flexi-desks are a cost-effective solution for small businesses and startups. Costs typically range from AED 6,900 to AED 10,000 annually, providing a flexible workspace with essential amenities.

Dedicated Office Space

For businesses requiring dedicated office space, costs can vary significantly based on the size and location. Annual rents typically range from AED 25,000 and above depending on the office sqm.

Administrative and Miscellaneous Costs

Visa Fees

Freezones offer streamlined visa processes. The cost of obtaining a visa for yourself and your employees generally starts from AED 3,750 per visa.

Medical and Emirate ID Fees

Medical tests and Emirates ID issuance are mandatory for all visa holders. The combined cost for these procedures typically totals around AED 750 per person.

Change Status

It enables individuals within the UAE to switch from a Tourist visa to a Resident visa by paying a mandatory change status fee if the visa application is submitted while they are in the country. However, this fee can be avoided by applying for the visa while outside the UAE. In that scenario, the individual will enter the UAE with a residence entry permit and complete the remaining visa procedures upon arrival. The fee varies between Free zone, however typically around AED 1,600.

Optional Services

​Bank Account Setup

Opening a corporate bank account is essential for your business operations. Assistance with this service typically costs between AED 1,500 and AED 5,000.

PO Box Registration

Registering for a PO Box can facilitate your business communications, and increases your businesses credibility, costing around AED 900 to AED 1,400 annually depending on your requirements.

Company Stamp and Corporate Tax Registration

These additional services are essential for business operations. Typical costs range from AED 150 to AED 300.

Specialized Services

Additional specialized services offered by Instacorp include MOFA Attestation, Legal Translation, Liquidation Reports, goAML Registration, and Medical Insurance. These services ensure compliance with all regulatory requirements and their costs vary based on your specific needs.

How to Get a Detailed Breakdown

This overview provides a general idea of the costs involved in setting up a business in a Dubai Freezone. However, the actual expenses can vary depending on the Freezone, the nature of your business, the number of employees, and several other factors.

For a precise, customized breakdown of all your costs and requirements, we encourage you to sign up with Instacorp. By selecting the "Create a New Company" option on our user-friendly portal, you can go through a tailored setup flow designed to capture all your specific needs. This process will culminate in a detailed proposal that includes a comprehensive breakdown of all costs, ensuring you have a clear understanding of your investment.

Ready to get started? Click here to sign up with Instacorp, use our "Create a New Company" option, and receive your detailed, customized proposal today. Leverage our expertise and streamlined portal to make your Freezone business setup in Dubai smooth and efficient.