About these figures: Costs and timelines on this page are indicative planning figures compiled from public free zone fee information. They have not been individually verified for this page, may be out of date, and must be confirmed with the free zone before you pay. How we source prices · How we compile data.
UAE Free Zone vs Mainland Annual Cost Breakdown — Full Year Comparison 2026
The true annual cost of a UAE business includes far more than the licence fee. This comparison provides a full year cost breakdown for UAE free zone vs UAE mainland company for a typical small business in 2026.
In this guide:
- UAE Free Zone vs Mainland Annual Cost Breakdown — Full Year Comparison 2026
- Year 1 Full Cost: UAE Free Zone (IFZA, 2 Visas, Flexi-Desk)
- Year 2 Cost: UAE Free Zone (IFZA, renewal)
- Year 1 Full Cost: UAE Mainland (Dubai DED, Trading)
- Year 2 Cost: UAE Mainland
- Summary: Free Zone Saves ~AED 20,000/Year vs Mainland (Small Business)
- When Mainland Extra Cost is Worth It
Year 1 Full Cost: UAE Free Zone (IFZA, 2 Visas, Flexi-Desk)
- Licence fee (1 activity, flexi-desk): AED 14,900
- Investor visa 1 (application, medical, Emirates ID): AED 3,200
- Investor visa 2: AED 3,200
- Health insurance (2 people, basic): AED 3,000
- UAE CT registration + Year 1 filing: AED 2,000
- Accounting/audit (required for licence renewal): AED 4,000
- WIO bank account: AED 1,788 (12 × AED 149)
- Office costs (flexi-desk included): AED 0
- Year 1 total: AED 32,088
Year 2 Cost: UAE Free Zone (IFZA, renewal)
- Licence renewal: AED 14,900
- Visa renewal (2 visas): AED 4,800
- Health insurance renewal (2 people): AED 3,000
- CT filing: AED 2,000
- Audit: AED 4,000
- Bank: AED 1,788
- Year 2 total: AED 30,488
Year 1 Full Cost: UAE Mainland (Dubai DED, Trading)
- DED licence fee (1 activity): AED 12,000
- Mandatory office (Tawtheeq, small unit 20 sqm): AED 30,000
- Visa (owner): AED 3,200
- Health insurance (1 person): AED 1,500
- CT registration + filing: AED 2,000
- Accounting: AED 4,000
- Bank (RAKBank, minimum balance maintained): AED 0
- Year 1 total: AED 52,700
Year 2 Cost: UAE Mainland
- DED licence renewal: AED 10,000
- Office rent renewal: AED 30,000
- Visa renewal: AED 1,800
- Health insurance renewal: AED 1,500
- CT filing: AED 2,000
- Accounting: AED 4,000
- Year 2 total: AED 49,300
Summary: Free Zone Saves ~AED 20,000/Year vs Mainland (Small Business)
- Free zone Year 1: AED 32,088 vs Mainland Year 1: AED 52,700 — saving: AED 20,612
- Free zone Year 2: AED 30,488 vs Mainland Year 2: AED 49,300 — saving: AED 18,812
- The mandatory mainland office is the largest cost driver; free zone flexi-desk eliminates this
When Mainland Extra Cost is Worth It
- UAE domestic market revenue: if you generate AED 200,000+/year in UAE client sales, mainland’s direct-market access may generate more revenue than the additional cost
- Government contracts: mainland required for direct UAE government tendering; potential contract value may far exceed the AED 20,000 extra cost
- Regulated activities: some activities require mainland DED licence regardless of cost comparison
Disclosure: UAE Free Zone Compare is an independent research platform. We may receive partner commissions if you request a quote through our forms — this is disclosed on every page where it applies. Our research and recommendations are independent.