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Dubai is one of the most popular business destinations in the world, and it is no surprise that setting up a company in a Dubai Free Zone is one of the first decisions entrepreneurs and business owners make when setting up a business in the Middle East. This article delivers an overview of setting up a company in a Dubai Free Zone.

What Does a Business in the Dubai Free Zone Do?

A business in the Dubai Free Zone is a business that is located in one of the many free trade zones in Dubai, United Arab Emirates (UAE). These free trade zones offer a range of benefits to businesses, including reduced tax rates, access to a wide range of infrastructure, and a relaxed regulatory environment.

The Dubai Free Zone is one of the most popular business locations in the UAE due to its attractive benefits for businesses. It is made up of several different zones, each with its advantages and features. Businesses in the Dubai Free Zone enjoy a wide range of advantages, such as:

  • Enjoy low or zero corporate tax rates.
  • Get a large pool of local and international talent.
  • Expand to a large consumer base within the Dubai Free Zone.
  • Connect to a large number of investors and venture capital firms.
  • Work in a relaxed regulatory environment with fewer restrictions on business activities.
  • Access to a wide range of infrastructure, including banking, communication, and transportation facilities.

The main types of businesses in the Dubai Free Zone are trading companies, professional services, industrial and manufacturing companies, and technology and research companies. These businesses can benefit from the advantages offered by the Dubai Free Zone, such as the tax and regulatory environment, infrastructure access, and talent and resources.

The Dubai Free Zone, or DFZ, is a great place for a business in the UAE to take advantage of its benefits. Businesses can enjoy reduced costs, a large consumer base, and access to various resources and services.

Steps to Start a Business in the Dubai Free Zone

Launching a business in the Dubai Free Zone (DFZ) involves several steps. Here is an overview of what you need to do:

Choose a Legal Entity

The first step in launching a business in the DFZ is to choose a legal entity. The Dubai Free Zone Authority has many options for entrepreneurs, including sole proprietorship, limited liability company, branch office, and professional company. Each of these legal entities has its unique requirements and benefits. 

Select a Free Zone 

The next step is to select a free zone that best suits your business. The DFZ is divided into various zones, each with benefits and features. Different zones will offer different types of support and infrastructure. 

Choose a Business Activity

After selecting a free zone, you need to select a business activity. The DFZ offers various business activities depending on the business type you want to establish. 

Submit the Required Documents

Once you have chosen a business activity, you must submit the necessary documents to the DFZ. These documents include the company’s formation documents, the company’s articles of association, a copy of the business plan, a copy of the registration certificate, and other documents as required.

Register with the DFZ

Once all the documents have been submitted, you must register the business with the DFZ. This will involve paying a registration fee and completing the registration process. 

Obtain the Necessary Licenses

After registering your business with the DFZ, you must obtain the necessary licenses. Depending on the business you are setting up, you will need to obtain different types of licenses, such as a trade license, an industrial license, a professional license, and others.

Open a Bank Account

After obtaining the necessary licenses, you must open a bank account in the DFZ. This will allow you to deposit, withdraw, and make payments in the currency of your choice.


Starting a Dubai Free Zone company can be a lucrative option for entrepreneurs due to the multitude of benefits on offer. The UAE’s strategic location and world-class infrastructure make it an ideal hub for international businesses. Moreover, the country offers competitive taxation rates, no restrictions on foreign ownership, and a supportive business environment that facilitates the ease of doing business. 

Furthermore, the government of the UAE is committed to providing a reliable and transparent regulatory framework and has implemented several policies and initiatives to attract more foreign investment. These advantages make the Dubai Free Zone an attractive option for potential investors.

How Can Startup Zone Help? 

At Startup Zone, we are committed to assisting United Arab Emirates (UAE) business owners and entrepreneurs to achieve success. Our team of qualified experts has a wealth of local market expertise and a thorough awareness of the opportunities and difficulties businesses face in the UAE. Set up a Dubai Free Zone company with us!