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Free Zones

How UAE Free Zones Work

A free zone is a one-stop hub: its authority registers the company, issues the licence, leases the office or warehouse and processes residence visas. After approval, a licence is usually issued within 14 working days.

Updated October 2026 · Figures checked 21 October 2026

Working days to a licence after approval, in most cases
14 days1
Working days to a licence after approval, in most cases
Customs duty on goods imported into the zone
0%3
Customs duty on goods imported into the zone
Corporate tax on qualifying income
0%5
Corporate tax on qualifying income

How UAE Free Zones Work

Step by step

  • Choose the sector, then the zone. Many zones specialise: media, technology, logistics, commodities, finance.
  • Choose the legal form: LLC, FZCO, FZE, public company or branch. Not every zone registers every form.
  • Register the trade name and apply online with the zone; upload the documents.
  • Get the licence, usually within 14 working days of approval.

Source: UAE Government Portal: Starting a business in a free zone1

Office, visas and staff

  • Zones lease flexible offices, co-working desks and warehouses.
  • The zone applies for work permits and residence visas; the number of visas depends on the package and the premises.
  • Staff are covered by the zone’s employment rules and the federal Labour Law (Federal Decree-Law No. 33 of 2021); DIFC and ADGM have their own employment laws.

Source: UAE Government Portal: Accessing services for free zone companies; UAE Government Portal: Recruiting in free zones2,4

Customs and the mainland

Goods imported into a free zone, and goods stored there for re-export, pay no customs duty. Goods that move into the UAE mainland are cleared through customs and pay duty. A free zone company sells on the mainland through a licensed distributor, a mainland branch or company, or with the required mainland licences.3

Sources

  1. UAE Government Portal: Starting a business in a free zone
  2. UAE Government Portal: Accessing services for free zone companies
  3. UAE Government Portal: Running a business in a free zone
  4. UAE Government Portal: Recruiting in free zones
  5. Federal Tax Authority: What are the UAE CT rates?

Figures checked 21 October 2026. Prepared by Invest-Emirates.ae for general information. It is not investment, tax or legal advice; please confirm details with a qualified adviser before acting.

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