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cheapest freezones in uae

Cheapest Free Zone in UAE

For every businessman and entrepreneur, the UAE holds great importance as it is considered the most suitable place for business activities. Also, it is a land of opportunities and the preferred choice of investors and travelers. If you are going to invest in the UAE, having information related to location and laws is important. 

Location matters significantly in setting up a business as it impacts various factors such as the cost of setting up the business, customers, taxes, and infrastructure. Suppose you have a low budget and are worried about it. We have good news; you can choose the cheapest free zone in UAE to afford all the facilities on a minimum budget.

 If you are unfamiliar with the term ‘free zone’ and wondering what exactly it means, take a moment and read this article to discover more about the cheapest free zone in UAE and the importance, benefits, facilities, and activities associated with these zones.

What Is A Free Zone And What Is Free Zone Company?

Free zones are specific zones in the UAE and Dubai that offer favorable conditions to investors. Any company established in a free zone is called a free zone company.

Compared to other areas, investors prefer free zones as they provide more opportunities and perks. It includes tax exemption, easy processing, better services, more flexibility, an appealing environment, and strong infrastructure. All these conditions make it the center of attraction for businesses.

Almost 40 plus free zones are available for startup businesses. Each zone has different rules and regulations that should be followed in any case. You are free to choose any zone according to your preferences, business type, and available budget. There are different categories of free zones based on affordability, benefits and business activities. These factors also decide the cost of setting up a business.  

Cheapest Free Zone In UAE

The cost of a trade license decides which zone is the cheapest free zone in UAE. According to the fee of trade license, The Sharjah Media City (SHAMS) and The Sharjah Research Technology and Innovation Park (SRTIP) are considered the cheapest free zones among all. The fee for a trade license is AED 5800 and AED 5500, respectively. 

However, according to the data for 2023, the International Free Zone Authority, Ras Al Khaimah Economic Zone, and Meydan Free Zone were also included in the cheapest zones. While selecting a free zone, it is important to consider every factor in detail. This will help make decisions easier and increase the likelihood of choosing the most affordable and advantageous zone. Here is the overview of each free zone in detail. We will compare fees of various free zones in UAE.

International Free Zone Authority (IFZA)

This zone is the cheapest as it allows license at the cost of AED 12,900 without the need for a visa. It is a suitable zone for entrepreneurs as it offers startup packages that are affordable and cheaper than those in other zones. Seasonal businessmen interested in trading and manufacturing activities can also start business here as it is considered the most appropriate zone for these business activities. 

The factors that make IFZA a preferred choice include

  • Lowest cost
  • Cheapest license 
  • Startup packages 
  • Multiple business activities 
  • Ideal location 

Dubai Meydan Free Zone 

It also falls in the category of the cheapest free zones in UAE and offers an office setup at an affordable price. The factor that makes it a hot choice is its No Objection Certificate (NOC). NOC is like a green signal from the government authorities to set up an office anywhere in Dubai. This approval attracts entrepreneurs and businessmen from all over the world. 

The factors that make it ideal for business include

  • NOC
  • Cheapest office spaces
  • Prime location
  • Increased Profitability
  • Easy Process

DUQE Free Trade Zone

It is a recently introduced zone near Quarter Deck. Establishing a business in DUQE can be beneficial for a number of different reasons. For a startup company, the package offered by DUQE includes a license fee, desk space of up to 6 months, three different business activities, one visa, and a lease agreement of AED 19,500. 

Along with the benefits mentioned above, it also provides services to its investors. These services are 

  • Accounting 
  • Registration 
  • Health Insurance
  • Business Center 

Sharja Media City (SHAMS)

With AED 5,800, investors can get a media license in Sharjah Media City, located in UAE. The amount you have to pay otherwise is 8050. You can run up to three different businesses with its amazing feature flexi desk feature. The Flexi desk feature makes it cost-effective as investors pay on a daily basis.

SHAMS is a great option if you are a freelancer or entrepreneur and have a small business. With the flexi desk feature, investors do not have to stick to one type of business, but they have the flexibility to do up to 3 business activities. 

After investing in SHAMS, you can get 

  • Inexpensive Visa 
  • Affordable License 
  • Quickest growth in no time 

Sharjah Research Technology and Innovation Park (SRTIP)

Discussion about cheapest free zone in UAE is incomplete without mentioning SRTIP. It was recently introduced in UAE for entrepreneurs who are keen to set up a business but have a low budget. Anyone can speed up their business by establishing a business in this zone. It is a land of opportunities and a popular choice for young business enthusiasts. 

It offers licenses in different categories and multiple business activities, including Energy Management, Information Technologies, consultancy, water treatment and many more. All of the activities that are offered by STRIP are in demand, and that’s the reason for choosing it among others. 

The perks of establishing a company in this zone are 

  • Cheapest 
  • License in AED 5500 
  • Visa Company 
  • Perfect solution for entrepreneurs 
  • Wide range of business activities 

Businessmen are moving their companies to free zones of UAE. Free zones are more promising and provide favorable conditions. 

Benefits of Cheapest Free Zones in UAE

Free zones offer unlimited benefits to investors and make the UAE a hub of commerce and investments. 


If you establish a business in the free zone, you have 100% ownership. It means there is no need for a local partner. This is the most attractive benefit for entrepreneurs. However, in other areas, a local partner who holds 51% of your company is mandatory. 

Tax Exemption 

The tax-free system is another advantageous feature of the free zone. On establishing a company in the free zone, you don’t have to pay any kind of tax, whether it is corporate or personal tax. 

Easy Processing 

The system in a free zone is efficient and offers convenient and easy processing. Within weeks, you can register your company and apply for a license. The easy process and hassle-free system contribute to enhancing earnings. 


For entrepreneurs, the cheapest free zones are no less than a blessing. Free zones offer notable features that are not available in any other area. Investors can choose any zone in the UAE based on their business activity and interests. The favorable environment offered in free zones is the key factor that attracts everyone. However, each free zone has different rules, laws and regulations.


It means any company located and operating within UAE’s free zones. These zones are the preferred choice of every businessman because of tons of benefits and strong infrastructure.

With time, the cheapest zone varies. However, according to the data of the 2023 International Free Zone Authority, the Ras Al Khaimah economic zone and Meydan Free Zone were the cheapest zones. Now, The Sharjah Media City (SHAMS) and The Sharjah Research Technology and Innovation Park (SRTIP) are the cheapest. You can compare fees of various free zones in UAE to find which zone is the cheapest.

Yes, everyone is allowed to establish business in the free zone. There is no restriction whether you are a local, foreign, seasonal businessman, or entrepreneur. The rules and regulations are the same for everyone and must be followed to enhance earnings.

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