IFZA free zone company setup

What is IFZA, and where is it?

IFZA stands for International Free Zone Authority, and its headquarters are at IFZA Business Park, Building A2, Dubai Silicon Oasis, Dubai. It brands itself IFZA Dubai.

On 21 October 2020, Dubai Silicon Oasis Authority signed an agreement with IFZA under which new and existing IFZA companies can work from Dubai Silicon Oasis.

IFZA states that its registered companies are incorporated as FZCO companies.

Which IFZA license do you need?

It depends on whether you sell services or goods. IFZA lists three license routes, and also markets General Trading as a type of commercial license.

Can a foreigner own 100% of an IFZA company, and is there a minimum capital?

Yes to full ownership, and IFZA states that no paid-up capital is required. Its professional license page states 100% ownership for foreign investors, with no requirement for a local sponsor or local service agent.

The statement on paid-up capital comes from an IFZA article dated 21 November 2022. We confirm the current position with the authority before you apply.

How much does an IFZA license cost?

IFZA does not publish license or visa prices. We checked its home, setup, commercial license, professional license and company formation guide pages in September 2026 and found none.

The Links IFZA free zone package is AED 14,900. We tell you the full cost in writing before you commit.

The UAE government portal states that the number of visas a free zone business can get depends on factors such as the package it has signed up for.

Can you set up an IFZA company without visiting Dubai?

IFZA states that the business owner does not need to be physically present during incorporation. The Memorandum and Articles of Association are signed digitally, and the license is issued as a soft copy by email.

That statement covers incorporation. We tell you in writing which later steps, if any, need you in the UAE.

Can an IFZA company sell to customers on the mainland?

Not directly, as a rule. The UAE government portal states that a free zone company must work through a licensed mainland distributor or establish a mainland branch or company, and that direct mainland sales are generally not permitted without the required mainland licenses or approvals. We confirm the position for your case before you apply.

In Dubai, Dubai Executive Council Resolution No. 11 of 2025 lets a free zone company apply to the Department of Economy and Tourism for a branch license or a permit. The Free Zone Mainland Operating Permit is valid for six months and costs AED 5,000 per six month period. Its first phase covers non-regulated activities such as technology, consultancy, design, professional services and trading.

The permit is open to free zone companies holding a Dubai Unified License. We confirm whether your IFZA company is eligible before you apply.

• Dubai only: the Resolution covers activity within the Emirate of Dubai.
• It does not apply to financial establishments licensed in the DIFC.
• Separate financial records are required for the mainland activity.
• 9% corporate tax applies to the mainland revenue earned under the permit, according to the Dubai Media Office.

Does an IFZA company pay corporate tax?

Yes, an IFZA company is within the scope of UAE corporate tax, like every free zone company, under Federal Decree-Law No. 47 of 2022. It must register and file a return even where the rate on its income is 0%.

IFZA's professional license covers consultancy and services. Consultancy is not on the list of Qualifying Activities in Ministerial Decision No. 229 of 2025, and transactions with natural persons are an Excluded Activity, with limited exceptions. A Qualifying Free Zone Person pays 9% on taxable income that is not Qualifying Income.

Income from a customer that is itself a Free Zone Person can qualify, unless it comes from an Excluded Activity.

• A Qualifying Free Zone Person pays 0% on Qualifying Income and 9% on taxable income that is not Qualifying Income (Article 3(2)).
• A Qualifying Free Zone Person does not get the 0% band on the first AED 375,000 of taxable income.
• Every Free Zone Person, qualifying or not, must register for corporate tax, file a return within 9 months of the end of the tax period and keep records for 7 years.
• To qualify, a company must, among other conditions, maintain adequate substance in the UAE, derive Qualifying Income, not elect into standard corporate tax, meet the arm's length and transfer pricing documentation rules, and prepare audited financial statements.
• A company that fails any condition loses the status from the start of that tax period and for the following four tax periods.

Good to knowThis page states what the official sources say. It is not tax advice.