How Much Does It Cost to Set Up a Company in the UAE? (2026)

The UAE company setup market has never been more competitive. Freezone packages have dropped significantly over the past three years, and mainland licence costs vary widely between emirates. But the headline prices almost never tell the full story.

This guide breaks down the real cost of setting up a UAE company in 2026, including the fees most providers leave out of their marketing materials.

---

What You Are Actually Paying For

UAE company formation costs fall into four buckets:

1. Licence fees — the annual cost of holding a trade licence
2. Visa fees — government fees for each residence visa you need
3. Office costs — physical space or flexi-desk requirement (varies enormously)
4. One-time setup fees — registration, notarisation, company stamp, bank account

Some providers bundle these. Most quote only the licence. Understanding what is and isn’t included is the most important step before comparing prices.

---

Freezone Company Costs (2026)

Freezones are the most popular option for foreign founders and solo operators. You get 100% ownership, no local partner requirement, and predictable annual costs.

Budget Freezones (Under AED 15,000/year)

Ajman Free Zone

• Licence fee: AED 8,500-12,000/year depending on activity
• Visa allocation: 2-6 visas per package
• Office: virtual office included at most tiers
• Setup fee: AED 2,000-3,000 (first year)
• Realistic year-one cost (1 visa): AED 22,000-28,000

Shams (Sharjah Media City)

• Licence fee: AED 11,500/year (base package, 1 visa)
• Office: flexi-desk included
• Setup fee: approximately AED 1,500
• Realistic year-one cost (1 visa): AED 25,000-30,000

RAKEZ (Ras Al Khaimah)

• Licence fee: AED 13,000-18,000/year depending on activity
• Office: shared desk or virtual options available
• Setup fee: AED 2,000-3,500
• Realistic year-one cost (1 visa): AED 27,000-33,000

Mid-Tier Freezones (AED 12,000-20,000/year)

IFZA (Dubai)

• Licence fee: AED 12,500/year (1 activity) or AED 14,500 (3 activities)
• Location: Dubai Silicon Oasis area
• Office: flexi-desk AED 5,000-8,000/year (optional at most packages)
• Setup fee: AED 2,500 (approx)
• Realistic year-one cost (1 visa): AED 28,000-35,000
• Note: IFZA has become one of the most popular options for consultants and digital businesses

Meydan Free Zone (Dubai)

• Licence fee: AED 12,500/year
• Office: virtual office included at base level
• Setup fee: AED 2,000
• Realistic year-one cost (1 visa): AED 27,000-32,000

Dubai Silicon Oasis (DSO)

• Licence fee: AED 15,000-22,000/year
• Physical office often required for certain activities
• Realistic year-one cost (1 visa, no physical office): AED 30,000-38,000

DAFZA (Dubai Airport Freezone)

• Licence fee: AED 18,000-28,000/year depending on activity and visa count
• Office: physical space often required
• Realistic year-one cost (1 visa): AED 35,000-50,000

JAFZA (Jebel Ali)

• Licence fee: AED 15,000-25,000/year
• Strong for trading and manufacturing activities
• Realistic year-one cost (1 visa): AED 32,000-45,000

Premium Freezones (AED 20,000+/year)

DMCC (Dubai)

• Licence fee: AED 18,000-25,000/year
• DMCC is the world’s largest free zone; strong brand for commodities, finance, fintech
• Office: flexi-desk or physical options; flexi-desk starts at AED 15,000-18,000/year
• Realistic year-one cost (1 visa, flexi-desk): AED 50,000-65,000

DIFC (Dubai International Financial Centre)

• Licence fee: AED 30,000-50,000+/year depending on category
• Required for regulated financial services
• Office: physical requirement for most categories
• Total year-one: AED 80,000-150,000+

ADGM (Abu Dhabi Global Market)

• Licence fee: AED 25,000-40,000+/year
• Required for regulated financial services in Abu Dhabi
• Total year-one: AED 70,000-130,000+

---

Mainland Company Costs (2026)

Mainland licences allow you to trade directly with UAE government contracts and retail markets without restrictions, but costs are higher and more variable.

Dubai Mainland (DED)

Trade Licence:

• Professional licence: AED 10,000-15,000/year
• Commercial licence: AED 12,000-20,000/year
• Industrial licence: AED 15,000-25,000/year

Office Requirement: Every mainland company needs a physical office registered with Ejari. Minimum costs:

• Shared office (business centre): AED 15,000-25,000/year
• Small private office: AED 30,000-80,000/year depending on location

The office requirement is the biggest hidden cost in mainland setups. See our guide to UAE commercial lease agreements for what to look out for.

PRO Services: A PRO (Public Relations Officer) handles government paperwork — MOHRE registrations, visa processing, renewals. Budget AED 3,000-6,000/year for outsourced PRO services.

Total Mainland Dubai Year-One Estimate:

Profile	Estimated Cost
Professional licence, shared office, 1 visa	AED 40,000-55,000
Commercial licence, small office, 1 visa	AED 55,000-80,000
Commercial licence, private office, 3 visas	AED 80,000-130,000

Abu Dhabi Mainland (ADDED)

Abu Dhabi trade licence costs are broadly similar to Dubai but office rental prices can be slightly lower outside the central business district.

Professional licence: AED 9,000-14,000/year Commercial licence: AED 11,000-18,000/year Office (business centre): AED 12,000-22,000/year

Sharjah, Ajman, and Other Emirates

Mainland licences in the Northern Emirates are cheaper, but the market is smaller. Sharjah, Ajman, Fujairah, and RAK all have their own DED equivalents.

Rough cost for Sharjah or Ajman mainland professional licence with shared office: AED 20,000-35,000/year including visa.

---

UAE Visa Costs Per Person (2026)

Every visa — whether freezone, mainland, or investor — carries the same underlying government fees:

Fee	Amount (AED)
Entry permit (if applying from outside UAE)	505
Status change (if already in UAE on tourist/visit visa)	640
Medical examination	320
Emirates ID (biometrics)	370
Residence visa stamping	230
Total government fees per visa	~AED 2,065

With a typing centre or PRO handling the application, add AED 500-1,000 service fee.

Realistic total cost per visa: AED 2,500-3,500

This applies to every visa — the company founder, employees, and dependents (spouse, children). If you plan to bring family, budget AED 2,500-3,500 per family member.

---

Bank Account Costs

Opening a UAE business bank account is free, but most traditional banks require a minimum average balance:

Bank	Minimum Monthly Balance
Emirates NBD Business	AED 50,000
FAB (First Abu Dhabi Bank)	AED 25,000-50,000
RAKBank Business	AED 10,000
Mashreq Business	AED 25,000

Digital banks (Wio, YAP Business) have no minimum balance requirement for basic accounts and are significantly faster to set up. For new founders without large cash reserves, starting with a digital business account is a practical option.

See our UAE business bank account guide for how to choose the right account for your situation.

---

Year-One Total Cost: Side by Side

This table shows realistic all-in costs for a solo founder in year one:

Setup Type	Licence Fee	Visa	Office	One-time	Total Year 1
Budget freezone (Ajman, 1 visa)	AED 10,000	AED 3,000	Included	AED 2,500	~AED 22,000
IFZA Dubai (1 visa, no desk)	AED 12,500	AED 3,000	Included	AED 2,500	~AED 28,000
Shams Sharjah (1 visa)	AED 11,500	AED 3,000	Included	AED 1,500	~AED 25,000
DMCC (1 visa, flexi-desk)	AED 22,000	AED 3,000	AED 16,000	AED 3,000	~AED 56,000
Dubai Mainland (professional, shared office)	AED 12,000	AED 3,000	AED 20,000	AED 5,000	~AED 48,000

---

Year-Two Costs: What Changes

Renewal is cheaper than setup because you don’t pay the one-time registration fees again. Most founders see renewal costs run at 60-70% of year-one costs.

Key renewal fees:

• Licence renewal: same as annual fee
• Visa renewal (every 2-3 years): AED 1,500-2,500 government fees
• Emirates ID renewal: AED 370
• Office lease renewal: typically at the same or slightly increased rate

Budget approximately AED 15,000-25,000/year for ongoing running costs of a solo freezone company with one visa (mid-tier freezone, no physical office).

---

Hidden Costs to Watch Out For

Flexi-desk requirement. Some freezones advertise low headline prices but require a flexi-desk lease as a separate cost. DMCC and DAFZA commonly have this requirement. Always ask whether the advertised price includes a physical presence.

Activity restrictions. Many budget freezones limit you to 1-3 business activities per licence. If you need more, you pay extra. Check the activity list before signing.

Visa quota limits. The number of visas your licence allows depends on your office size (mainland) or package tier (freezone). If you plan to hire, check the visa quota before you commit to a package.

Ejari registration (mainland). If you take a physical office, you must register the tenancy with Ejari. The registration itself costs around AED 220. See our Ejari registration guide for the full process.

NOC and local service agent (mainland for certain nationalities). Mainland companies no longer require a local partner for most activities since 2021, but some regulated sectors still do. Check whether your specific activity needs a local service agent (typically AED 5,000-15,000/year).

Company stamp and stationery. A minor cost but often forgotten: a company rubber stamp costs AED 100-200 and is required for many official documents.

---

What Is Included vs. What Is Not

Most freezone package prices include:

• Trade licence (1 year)
• Virtual office address
• Certificate of Incorporation
• Memorandum and Articles of Association
• 1-3 visa allocations (depending on tier)

Most freezone package prices do NOT include:

• Visa processing (you pay government fees separately)
• Physical desk space (usually optional upgrade)
• Bank account assistance (usually a separate service fee)
• PRO services for visa stamping

Always request an itemised quote before paying any deposit.

---

Choosing the Right Setup

For a solo consultant or freelancer planning to live in the UAE and work remotely or with UAE clients:

• Best value: IFZA, Shams, or Meydan (Dubai address, reasonable costs, 1 visa)
• Budget option: Ajman Free Zone or RAKEZ

For a small trading company importing goods into the UAE:

• Best fit: JAFZA or a mainland commercial licence (mainland required for retail distribution)

For a regulated financial services firm:

• Required: DIFC or ADGM (no choice on this)

For a company hiring staff and bidding for UAE government contracts:

• Required: Mainland licence

For more detail on how freezone and mainland companies compare on restrictions and benefits, read our mainland vs freezone comparison.

---

Quick Reference: Free Zone Cost Comparison (2026)

Free Zone	Annual Licence	Visas Included	Office Type	Best For
Ajman Free Zone	AED 8,500-12,000	2-6	Virtual	Budget setup
Shams	AED 11,500	1	Flexi-desk	Consultants, media
Meydan	AED 12,500	1	Virtual	Digital, e-commerce
IFZA	AED 12,500+	1	Flexi-desk optional	Consultants, tech
RAKEZ	AED 13,000-18,000	2-6	Various	Manufacturing, trading
DMCC	AED 18,000-25,000	1+	Flexi-desk required	Commodities, finance
DIFC	AED 30,000+	1+	Physical required	Financial services

UAE company setup is not cheap, but it is transparent once you know what to ask for. Get itemised quotes from at least three providers before committing, and factor in visas, office, and year-two renewal costs before deciding where to incorporate.