IFZA Company Formation in Dubai 2026
By the Hers Consultancy team, Dubai · Last updated: November 2026
IFZA (International Free Zone Authority), based at Dubai Silicon Oasis, is one of the cheapest routes into a Dubai business licence — but its headline prices hide a lot. This guide explains what an IFZA licence really costs, what is included, and the extra fees that catch founders out.
In this guide, Hers breaks down the real IFZA company formation cost for 2026 — the published licence packages, the establishment card and visa fees most guides leave out, and what your first year actually looks like.
Hers’ prices (confirmed 2026-11-05 under the client’s competitor-aligned pricing authorisation): our IFZA business setup packages start at AED 12,900/yr for zero-visa and AED 14,900/yr for 1-visa (our published starting point). Establishment-card cost is AED 2,000/yr.
Want your exact number? Hers Consultancy gives itemised quotes — government/authority fees and our fees on separate lines. Request a quote in 10 seconds
IFZA licence cost — package price vs first-year cost
IFZA prices its licences mainly by visa allocation. Every standard package includes a flexi-desk (which is why, unusually for a free zone, there is nothing to add for office space) and 3 activities. Larger visa allocations, and multi-year terms, change the annual figure as follows:
| Package (published market pricing, 2026) | Package price (AED/yr) | Visa allocation |
|---|---|---|
| Zero-visa licence | 12,900 | 0 |
| 1-visa package | 14,900 | 1 |
| 2-visa package | 16,900 | 2 |
| 3-visa package | 18,900 | 3 |
| Multi-year (for reference) | 21,900 (2 yrs) / 31,000 (3 yrs) / 45,200 (5 yrs) | 0 visas |
Multi-year packages discount the licence fee, but the visa quota and establishment card still recur: the card is around AED 2,000 in year one and around AED 2,200 a year after that, and each visa is paid separately per person.
What the package price leaves out — budget for these on top:
- Establishment card: around AED 2,000 first year (around AED 2,200 on renewal)
- Residence visa process: around AED 3,750 per person, plus medical test, Emirates ID and mandatory health insurance
- Status change, if you are already in the UAE on another visa: around AED 1,600 at IFZA
- General trading activity (if you need it, rather than named trading categories): around AED 10,000
- Hers’ service fee: included in Hers’ package prices above
What an IFZA visa costs, step by step
A package’s visa allocation is only the right to sponsor people — each visa itself is paid per person, in stages. Here is where the money goes:
| Step | Approx. cost (AED) | Notes |
|---|---|---|
| Establishment card | ~2,000 first year (~2,200 on renewal) | Once per company — it opens the immigration file |
| Entry permit + residence visa process | ~3,750 | Per person |
| Status change (if you are already in the UAE on another visa) | ~1,600 | Per person, only when it applies |
| Medical fitness test + Emirates ID | Government rates, vary | Per person |
| Health insurance (mandatory in Dubai) | Depends on the plan | Per person, per year |
That is why the honest first-year figure for a 1-visa company is AED 20,000–22,500, not the AED 14,900 headline: licence 14,900 + establishment card ~2,000 + one visa process ~3,750, with medical, Emirates ID and insurance on top. And if nobody needs a visa in year one, take the zero-visa package and add the card and visas later — you only pay for them when you actually apply.
Who IFZA suits — and who it doesn’t
Good fit: consultants, digital services, e-commerce and trading startups that want a low-cost Dubai licence and are happy with a free-zone address.
Not a good fit if: you need to trade directly on the Dubai mainland — a free zone licence does not permit it — or you need a mainland office from day one. About business setup in Dubai
Activities, ownership and office
- Activities: 1,500+ approved activities across professional, commercial, trading and holding categories. The first 3 from one group are included; you can hold up to 7 in total. Trading and consultancy can be combined on one licence for an extra fee (see above)
- Ownership: 100% foreign ownership, no paid-up capital requirement, up to 3 shareholders on a standard licence.
- Office: no physical office required for entry packages — the included flexi-desk covers the licence and visa address requirement. A physical office upgrade raises the visa quota (standard packages run 0–6 visas; an office upgrade can take it to 15).
- Tax and records: like every UAE company, an IFZA free zone company must register for corporate tax and keep proper records. Confirm the current IFZA financial-statements/compliance requirements in writing before you apply, as these have changed recently.
IFZA vs Meydan — the Dubai comparison most founders actually make
| IFZA | Meydan | |
|---|---|---|
| Location | Dubai Silicon Oasis | Dubai (Meydan) |
| Published starting package | From AED 12,900 (zero-visa) | From around AED 12,500 |
| 1-visa package | From AED 14,900 | Around AED 12,500–14,900 depending on what is bundled — compare inclusions, not headlines |
| Activities | Up to 7 (3 included) | Multiple, zone-dependent |
| Best for | Consultants, startups, traders wanting a low Dubai entry cost | Founders who specifically want a Meydan address |
Do not pick between them on the headline alone: compare the same bundle — licence + establishment card + visa processing + renewal price — and the activity list for your business.
What about the cheaper zones outside Dubai? SHAMS in Sharjah publishes packages from AED 5,760, and RAKEZ in Ras Al Khaimah starts around AED 5,750 — roughly half IFZA’s entry price. The trade-off is the emirate named on your licence, and some clients and banks still prefer a Dubai address. If budget matters more than the address, compare all the low-cost options in our guide to the cheapest free zones in the UAE.
Steps to set up in IFZA
- Choose your activity group and confirm it fits IFZA’s list (and whether you need general trading or a cross-activity add-on).
- Pick your visa allocation — 0, 1, 2, 3 or more — and your licence term (1, 2, 3 or 5 years).
- Submit passport copies and shareholder details; IFZA issues the licence, typically in 3–5 working days for standard cases.
- If you need residency: establishment card, entry permit, medical test, Emirates ID and insurance, in that order.
- Open your business bank account — allow extra time for this, as it is separate from the licence and can take 1–4 weeks.
IFZA licence renewal — what year two costs
Renewal is where package headlines mislead people, so budget for it from day one:
- The licence renews at the same package ladder — from AED 12,900 for zero-visa, AED 14,900 for one visa — at whatever visa allocation you choose for the new year. You can raise or lower the allocation at renewal; unused slots you keep are charged again in full.
- The establishment card renews at around AED 2,200 a year while you hold visas.
- Each residence visa renews on its own cycle, with the process, medical and insurance costs payable again per person.
- Late renewal is expensive in a different way: a lapsed licence can freeze visa processing and bank account operation, and IFZA applies late fees from its own schedule. Start the renewal about a month ahead.
Multi-year packages (2, 3 or 5 years) discount the licence line only — the card and visa costs above still recur on their own cycles. Hers issues renewal quotes the same way as setup quotes: every line itemised, nothing bundled invisibly. Request a quote in 10 seconds
FAQs
How much does IFZA company formation cost in Dubai?
Published packages start at AED 12,900 a year for a zero-visa licence and AED 14,900 for a 1-visa package. A realistic 1-visa first year, with establishment card and visa processing, is around AED 20,000–22,500 before any consultancy service fee.
How much does IFZA licence renewal cost?
Your IFZA license renewal follows the same package ladder — from AED 12,900 zero-visa and AED 14,900 for one visa — plus the establishment card at around AED 2,200 a year and visa renewal costs per person as each visa expires. Ask for an itemised renewal quote before your licence expiry date.
How long does IFZA setup take?
Typically 3–5 working days for the licence once documents are ready. Visas and bank account opening are separate and take longer.
Does IFZA require a physical office?
No — a flexi-desk is included in standard packages and satisfies the office requirement. A physical office is only needed if you want a larger visa quota.
Can I trade on the mainland with an IFZA licence?
No, not directly. A free zone licence does not permit direct mainland trading; you need a distributor, branch or permit for that.
How many activities can I hold on one IFZA licence?
Up to 7 in total, with the first 3 from one group included. Extra activities cost around AED 1,000 each.
Get your exact IFZA cost
Ranges are useful; your business needs a number. Tell us your activity and how many visas you need, and Hers Consultancy will send an itemised quote — authority fees and our fees separated, year-one and renewal costs both shown.
- Request a quote in 10 seconds
- WhatsApp / Call: +971 55 340 4707
- Email: khushnuma@hersconsultancy.com
Prices in this guide are indicative published market ranges for 2026 from IFZA package pricing as reported by multiple UAE setup firms in 2026. IFZA itself publishes no retail price list, so figures vary by agent and by what is bundled — your written Hers quote is the figure to rely on.
