How to start a free zone company in Dubai?

Do you want to start a Dubai free zone business setup? If yes then it is a good start for your Dubai business as it is very easy to set up the business. Another thing is that you only need fewer papers and time to start the business.

Steps on how to start a free zone business in Dubai

How to start a free zone company in Dubai?

There are mainly five steps on how to get started with your free zone company. Understand these procedures better for a smooth set-up process.

Selecting the type of legal entity


The first and foremost step is to select the type of legal entity you want in your business. For a free zone area, you can set up two types of companies which are Free Zone Company (FZ Co) or Free Zone Limited Liability Company (FZ LLC) and Free Zone Establishment (FZE).

We can make out the difference between them with the difference in the number of the shareholders and from whether the shareholder is a natural or a legal person. It is not required for all the free zones to register for the two types of companies and also you should check with the free zone authorities for more information. They can get you information like what type of company you can register for and so on.


Selecting a name for the trade


The next important thing for you to do for Dubai free zone company formation is to select a trading name and you need to do so while selecting the type of legal entity you are after. When selecting a name it is always advised to check up with the respective free zone authority or even with the Department of Economic Development about the names that are available for trade. You can also ask them to know whether the name is already registered by any other company or not.

There are some strict rules and regulations that you must follow while selecting the name. Only then DED can issue you with the trade name approval. One of the main rules is to not use any vulgar language as the name to protect and respect the morality of the people in the country.  The name should not be already under registration and should avoid the usage of any kind of names related to religion, or authority that governs. You cannot also use the names and logos of any other companies. Please note that the name is followed by the legal form of the company like LLC, FZE, DMCC and so on. The name that you are deciding on should hold the qualities that show the type of activity and legal status.

Getting business license


You will need to carefully conclude with business activities and it helps in choosing before actually applying and getting access to a business license. Some of the business activities you can go for includes content production, advertising, animation, corporate film production, corporate print material, film production, digital content production, educational content material and so on.

There are more than 600 business activities that cover 20 different sectors in DMCC for you to choose from. The sectors are energy, commodities, gold and diamonds, media, shipping, education, financial, personal, community services and so on.

Do you know that you can conduct financial and non-financial business in DIFC? Yes, if you want financial business then you can include banks, insurance, wealth management and capital markets. Retail shops, five-star hotels, restaurants, art galleries come under non-financial business. For all these business types you also require a certain type of business license. This includes licenses like commercial, consultancy, industrial, educational, media, warehousing, manufacturing, eCommerce, freelancer and offshore.

Choose an office space


Now it’s time for you to get an office space to start the business. For this, you can either buy or take in an office space for rent in a free zone area. Office space and other requirements that come with it all depend upon the number of employees and with the business activity you choose for your company.

Get pre-approvals


To go on further with the business setup in uae freezone you need to get initial approvals. For the approvals you need to submit:-

  • Complete application form
  •  A business plan
  • Trade license copy  of registration certificate from already existing company
  • Colour passports of manager and company shareholders
  • Signature from company shareholders and manager
  • You need NOC from current sponsors
  • Next, you should have a letter of intent
  • Keep a document until the title deed
  • Then the manager or director need Registry Identification Code Form 
  • Finally, individual  shareholders  need a certificate of reference  from the personal bank 

On the other hand, freelancers are required to submit only other documents which are:-

  • You need an application for the registration
  • Next, you need a CV
  • After that, you should have a bank reference letter
  • Last but not least you need the Registry Identification Code Form 

Registration process


Now you have got your initial approvals! It’s time for you to move on with the further registration process. You need to pay for registration and the license. The fees may vary according to your business interest and the type of license you require. For that, you need to submit some documents they are the following:-

  • Firstly, you need a complete application document of registration
  • Next, you need board resolution which appointed to manager or director
  • You will require a power of attorney that is given to the manager or director
  • Yet another important document is memorandum and articles of association
  • Next, you need is a specimen signature of the manager or director
  • You will need a passport size photo of the respective manager or director but be careful to take it against a white background
  • Finally, you need to share capital information

Licensing and visa process


Now is the important part of setting up a business in a free zone area which is to proceed with the licensing procedures and visa process. You need some documents you need to submit for getting it. You should prepare documents prepared by the authority on the lease agreements. Only after that, the trade license is issued and then the visa processing is started.



Yes, the procedures are simple but may be tedious for you to do it alone. You can always consult the best business setup consultants in Dubai to do the work for you. They will provide you with whatever help you require to start a company and especially help you with the registration and licensing process. All you have to do is to go out to seek knowledge and help. Setting up a business is not an easy process but with the right budget, skills and infrastructure it’s just an easy and quick process. You only need the right guidance and advice from experts so that you won’t mess up. 




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