IFZA Free Zone License Cost: Everything You Need to Know Before Starting Your Business

The International Free Zone Authority (IFZA) is a government‑regulated free zone located in Dubai Silicon Oasis (DSO). It offers a business-friendly environment with tax exemptions for company formation in the UAE. IFZA provides companies with the flexibility to operate internationally while benefiting from Dubai’s strategic location and world-class infrastructure.

Key advantages that make business setup in IFZA an attractive option for local and international entrepreneurs are:

• Tax Benefits: Eligible companies in IFZA can enjoy 0% corporate tax by complying with free zone regulations and UAE Economic Substance requirements.
• Quick Setup: Standard licenses in this free zone are approved in 2–3 days, though specialized activities may take longer.
• Multiple Activities: Businesses can add multiple activities under a single license, saving costs and increasing flexibility.
• Easy Visa Packages: Flexible visa options cater to investors, founders, and employees, making team expansion straightforward.
• Supportive Business Environment: The free zone offers streamlined processes, professional services, and ongoing support, helping entrepreneurs focus on growth.

Types of IFZA Licenses

IFZA issues licenses tailored to different business activities and models. Each license type aligns with specific business goals and regulatory requirements under IFZA’s framework. Here are the key license categories:

1. Trading License: Ideal for businesses involved in importing, exporting, or selling goods. Trade license suits retailers, traders, and distributors.
2. Service License: Designed for businesses offering professional or consulting services, such as IT, finance, marketing, and HR.
3. Industrial License: The Industrial trade license is ideal for businesses involved in light manufacturing, assembly, and production activities, such as production or logistics firms.
4. Holding License: Perfect for businesses focused on managing investments and assets, such as investment firms or groups.

Each license comes with specific requirements, costs, and operational conditions.

IFZA offers a budget-friendly route for entrepreneurs aiming to start a business in Dubai. The estimated cost for the first year typically ranges between AED 25,000 and AED 30,000, including one visa. This makes it an attractive option for anyone considering a business setup in the UAE, as it combines affordability with flexibility.

Here’s a look at the key components involved in obtaining an IFZA trade license:

Note: Costs may vary based on your business requirements, number of visas, office selection, and any changes in regulations. Moreover, optional add-ons like private offices, additional visas, and PRO services can increase your total first-year investment.

If you’re looking to explore other affordable free zones, read our detailed guide on Sharjah Free Zone License Cost  to see how it measures up against IFZA.

IFZA Visa Packages: Options and Pricing

The IFZA free zone offers flexible visa packages based on the number of visas required by your company. Each package is designed to suit different business needs while keeping costs predictable.

Here’s a breakdown of the available packages:

• Zero Visa Package: Ideal for investors or holding companies that do not require residence visas. The cost is approximately AED 12,900 for the license only.
• 1 Visa Package: Suitable for solo founders, consultants, and small businesses that need a single investor visa. The package costs around AED 15,000.
• 2 Visa Package: Perfect for small teams or startups and costs about AED 17,500.
• 3 Visa Package: Designed for growing teams that require office space and additional visas, costing around AED 20,000.
• 6 Visa Package: Suitable for expanding companies needing up to six visas, priced at AED 25,000. It typically requires a dedicated desk or private office to accommodate the higher visa quota.

Each IFZA residence visa is valid for 2 years and can be renewed easily.

Note: Visa processing costs, including medical tests, Emirates ID, and status change fees, are charged separately and are not included in the license package.

Choosing the right visa package can significantly affect your setup plan and budget. SafeLedger provides expert guidance to help you select the ideal visa package for your company and ensures a smooth, efficient setup process from start to finish.

If you’re considering other free zones (apart from IFZA), explore our Ajman Free Zone License Cost blog for easy comparison.

A registered office address is a mandatory requirement for IFZA residence visa applications, even if your business operates remotely. The choice of office also determines the maximum number of visas your company can apply for under IFZA regulations.

The free zone offers a range of different office space options to suit different business needs:

• Flexi Desk: A shared or virtual office option ideal for startups. This option is the most affordable and costs between AED 5,000 and AED 7,000 per year.
• Dedicated Desk: For businesses that need a fixed workstation within a shared office environment. Ideal for businesses that need a consistent physical presence, its annual cost starts from  AED 8,000.
• Private Office: This fully enclosed office space is perfect for businesses needing privacy. The cost starts from AED 15,000 per year.

Tip: Startups often choose a Flexi Desk to minimize costs. Meanwhile, growing businesses or those requiring multiple visas may prefer a Dedicated Desk or Private Office for better flexibility and compliance.

Renewing your IFZA license is a straightforward process, with costs remaining relatively low. Here’s a breakdown of the key components of the IFZA license renewal costs:

• License Renewal: The annual cost for renewing your trade license is approximately AED 12,900.
• Establishment Card Renewal: The cost for renewing the establishment card is around AED 1,500.
• Office Lease Renewal: If you have a physical office space, renewal costs start at AED 5,000 annually, depending on the office type. Dedicated desks or private offices may incur higher costs.
• Visa Renewal: Each visa renewal costs between AED 3,000 and AED 4,000 per person, covering medical tests and Emirates ID renewal.

Note: Renewal costs may vary depending on your business size, office type, and visa count. As your company evolves, it’s important to budget for these recurring expenses to ensure smooth operations.

When planning a business setup in Dubai, the license cost is a key factor. While IFZA stands out for its affordability and flexibility, other free zones like DMCC, Dubai Silicon Oasis, or RAKEZ offer their own advantages. Here’s a detailed comparison:

Entrepreneurs often compare the free zone license cost in Dubai when evaluating their options. While IFZA offers an affordable and flexible setup, other free zones like DMCC or Dubai Silicon Oasis may have different pricing structures and services.

For a more detailed breakdown of the RAK license costs, visit our blog, which offers an in-depth look at pricing, setup options, and other key factors.

If you’re ready to set up your business in IFZA, SafeLedger brings years of experience and expertise to guide you through the entire process. Let us help you with a smooth and easy business setup in the UAE Freezone, ensuring your success from day one. Contact us today!