Imagine you’re setting up your business at the very heart of innovation expecting zero tax, 100% foreign ownership and global accessibility to achieve entrepreneurship opportunities. And for this, if you are opting one right freezone today, you definitely get an expansion tomorrow.
Reportedly, most popular free zones in UAE are Ras Al Khaimah Economic Zone (RAKEZ), International Free Zone Authority (IFZA) and the most popular one non-other than Dubai Multi Commodities Centre (DMCC).
Each of these freezones holds unique strength for determining investors, SMEs and entrepreneurs.
- RAKEZ is popular for being the powerhouse for investors and manufacturers that provide affordability, global accessibility and industrial health from scenic North in the UAE.
- IFZA is the most entrepreneurial friendly and flexible free zone that empowers SMEs and startups with quick setup at very low-cost licences.
- DMCC stands unique and different from each freezone ranking 1st in terms of innovation and trade. DMCC provides global business connection, expansion and thriving opportunities at the very heart of Dubai in the UAE.
Understanding their difference will clearly assist in understanding the structure best fitting in terms of budget, growth plan and industrial alignment in 2025 – 2026.
Visit the official website for starting business at the free zone in the UAE.
Cost And Licensing Comparison: DMCC Vs IFZA Vs RAKEZ Freezone Business License Fees 2025
Freezone that fits your business budget and ambition clearly gets tested in terms of cost package and license. Here you can understand the initial setup cost and license fees offered at these famous free zones in the UAE 2025.
| Freezone | License type and fees (AED) | Setup span | Pain points |
| DMCC | Trading or service license AED 30,000 to 50,000 | 5 to 10 working days | Suitable for multinational businesses with premium option |
| IFZA | Basic licence package AED 12900 to 18000 | 2 to 3 working days | Budget friendly and fastest set up but with optional adds on for shared office and visas. |
| RAKEZ | Startup package AED 14800 to 24000 | 7 to 12 working days | Suitable for trading and industrial businesses comes with extra cost required for land plots and warehouses. |
Your licence strength is responsible for deciding the initial business footprint.
Pro tips: Do not pick any freezone solely based on the price factor. Go through a cost review focusing on fees for office space, renewals, visas and licence work before committing to any free zone.
Infrastructure And Office Setup: Which Freezone Provides the Best Facilities in the UAE?
Think of your office infrastructure that impacts your cost positively. Now you must focus on business scale, recruitment and credibility that your infrastructure will bring to you.
- DMCC: DMCC is located at Jumeirah Lake Tower (JLT), Dubai. This freezone provides premium business infrastructure decorated with high end office towers. Explore DMCC and its benefits.
- IFZA: IFZA is situated at Dubai Silicon Oasis offering flexible workstations and virtual offices which is ideal for low-cost startups. Visit IFZA official page.
- RAKEZ: RAKEZ is expanded across Ras Al Khaimah with land plots, warehouses and industrial zones supporting logistics and manufacturing work. Take a look at RAKEZ and its industrial benefits.
Painpoints: Often entrepreneurs commit the mistake of choosing zones that are unsuitable but pocket friendly that leads to hidden expense and bottleneck disrupting business performance in future.
Pro tips: Focus on your business model whether it’s trading, warehouse or tech-desk and then select one right freezone infrastructure to scale up your business.
Visa Options and Residential Benefits: Freezone Visa Rules in the UAE 2025 – 2026
If you are smart enough then you will never buy a car without wheels. Am I right? Then you should know that getting a licence without a UAE freezone visa is a similar condition. Well, to gain a visa for the free zone in the UAE, it is better to get the comparison first.
- DMCC: At DMCC visas up to 6 employees depending on office size, alongside investor or partner visa is available. Check details at DMCC official website.
- IFZA: There are variations of visa packages at IFZA. However, it is good enough for small teams and digital entrepreneurs. Visit IFZA banking & services.
- RAKEZ: Visa quotas for 9 or more candidates supporting residential + SME visa is available at RAKEZ. Check details at RAKEZ free zone company setup.
Pro tips: Selecting one freezone without understanding visa quota adequacy can limit your business expansion or lead to unexpected cost drainage. Therefore, it is better to get an estimation of visa requirements before choosing freezone and visa quota reliability.
Pros And Cons Analysis: Which Freezone Among DMCC vs IFZA vs RAKEZ Suits More with Your Business Goal?
Being a smarter entrepreneur, you will definitely admire getting one analysis in terms of strength and limitations to avoid facing shocking surprises.
| Freezone | Best for | PROS | CONS |
| DMCC | Larger budgets and long-term global trade. | 100% foreign ownership, strong networking and premier reputation. | Premium office and higher cost are a major requirement. |
| IFZA | SME and startups with a lean budget. | Flexibility in licensing, fast setup and low cost. | Cost required for scaling to other zones in future and comes with less prestige in the competitive market. |
| RAKEZ | Logistics, trading and manufacturing. | Warehouse facilities, low cost and industrial land. | Low premium business service and situated at longer distance from Dubai Centre. |
Pain points: Often, entrepreneurs jump into zones that provide now but not the future benefits that are necessary for scaling the business in the long run.
Pro tips: Visit the official website of the free zone list to clearly highlight your business horizon and suitably choose one freezone that totally aligns with your growth path.
UAE is becoming not only global but a competitive professional hub and your business idea doesn’t wait, neither should your freezone decision. Here you learned about license to visa compliance and its suitability at your expected best free zones in UAE 2025 – 2026.
Now stop reading and think – Are you expecting a global prestige?
Then you should move for DMCC. Or if you have a lean startup cost then look into IFZA. Or you can move for RAKEZ if you want to start with industrial scaling.
You might be interested in knowing Common Mistakes to Avoid When Setting Up a Freezone Company in UAE
If still there is any query, then better Contact Us for Freezone Company Setup.
Most Frequently Asked Questions
Which freezone is the cheapest for business setup in UAE in 2025?
For the cheapest business setup, you can visit IFZA as they provide an affordable license package starting at only AED 12,900.
Is it true that I will get 100% ownership of my company in the UAE free zone?
Yes, all the freezones whether it is DMCC, IFZA or RAKEZ provide 100% foreign ownership of business establishments in the UAE.
If I have a UAE freezone company license, can I trade in the mainland area?
Freezone like DMCC provide dual license in terms of branch development that allow business activities in mainland but it depends clearly in terms of license and zone clearance.
Which freezone is best for warehousing or manufacturing business?
RAKEZ is suitable for warehousing and manufacturing businesses as it focuses on scalable facilities and plot development for industrial land activity.
Do I need to pay corporate taxes for establishing a company in the freezone area?
A. Based on Federal Decree Law No. 47 of 2022 qualifying for freezone business benefits will support 0% corporate tax in the UAE.
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