Dubai has over 30 free zones offering 100% foreign ownership, tax benefits, and simplified setup. This guide compares the best free zones for small businesses in 2026.
What Is a Dubai Free Zone?
A free zone is a designated area where businesses operate under special regulations including 100% foreign ownership, 0% corporate tax on qualifying income, and full repatriation of profits.
Top 10 Best Free Zones in Dubai 2026
1. IFZA
Best for: General trading, consulting. Cost: AED 5,750. One of the most affordable free zones with flexible packages for startups.
2. DMCC
Best for: Commodities, trading, crypto. Cost: AED 15,000. World’s largest free zone located in JLT.
3. Dubai Silicon Oasis
Best for: Technology, IT. Cost: AED 12,000. Tech-focused with incubator programs.
4. JAFZA
Best for: Import/export, logistics. Cost: AED 10,000. Near Jebel Ali Port. JAFZA Offshore Guide
5. Dubai South
Best for: E-commerce, logistics. Cost: AED 8,500. Near Al Maktoum Airport.
6. Ajman Free Zone
Best for: Budget setup. Cost: AED 5,500. Lowest setup costs in UAE. Ajman Free Zone Guide
7. RAK Free Zone
Best for: Consulting, services. Cost: AED 5,500. Most affordable option. RAK Free Zone Guide
8. Sharjah Free Zone
Best for: Manufacturing, industrial. Cost: AED 7,000. Sharjah Free Zone Guide
9. Dubai Internet City
Best for: IT, digital marketing. Cost: AED 15,000. Home to Google, Microsoft.
10. Dubai Media City
Best for: Media, publishing. Cost: AED 15,000.
Free Zone Cost Comparison 2026
| Free Zone | Cost (AED) | Visa | Best For |
|---|---|---|---|
| Ajman | 5,500 | Yes | Budget |
| RAK | 5,500 | Yes | Consulting |
| IFZA | 5,750 | Yes | Trading |
| Sharjah | 7,000 | Yes | Industrial |
| Dubai South | 8,500 | Yes | E-commerce |
| JAFZA | 10,000 | Optional | Import/export |
| DSO | 12,000 | Yes | Technology |
| DMCC | 15,000 | Yes | Commodities |
How to Choose the Right Free Zone
- Budget — Ajman, RAK, IFZA from AED 5,500
- Industry — Choose a zone specializing in your activity
- Location — Proximity to clients and airport
- Visa needs — How many visas do you need?
- Office — Physical office or flexi-desk?
Free Zone Company Formation Guide
Free Zone vs Mainland
| Feature | Free Zone | Mainland |
|---|---|---|
| Foreign ownership | 100% | 100% |
| Trade in UAE | Restricted | Unrestricted |
| Starting cost | AED 5,500 | AED 15,000+ |
| Setup time | 1-3 days | 3-5 days |
Mainland vs Free Zone Comparison
Start Your Free Zone Business with YABS
YABS helps entrepreneurs set up free zone companies across all UAE free zones. 12+ years experience, 800+ businesses served.
Free zone setup from AED 5,500.
Phone: +971 58 829 3781 | Email: [email protected]
FAQs
Which is the cheapest free zone in Dubai?
Ajman and RAK Free Zones from AED 5,500 including license and visa.
Can I trade in Dubai mainland with a free zone license?
Not directly. You need a local distributor or dual license.
How many visas can I get?
Most free zones offer 1-6 visas per license depending on office space.
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Need help? Call YABS: +971 58 829 3781 | yabs.ae