By Faizan — Free Zone Guides Lead, FreezonEra
Ten years setting up UAE companies, application to licence. I write the walkthroughs I wish clients had read before they paid a deposit.
IFZA (the International Free Zone Authority, based in Dubai) issues a licence from AED 12,900 with no visa, and up to three business activities are built into that base price. But the headline is not your budget: once you add a flexi-desk, an Establishment Card, and a single residence visa, a realistic first-year all-in lands around AED 25,000–31,500. Here is the honest version, line by line. For a full breakdown of UAE free zone office and desk options, see our free zone office space guide 2026.
I price and process IFZA setups more than almost any other Dubai free zone, because it sits at the affordable end of the market and the marketing leans hard on that AED 12,900 number. That number is real — but it is a starting point, not an all-in cost, and the difference between the two is where founders get caught out. This guide is the walkthrough I’d give a paying client: what IFZA actually is, every fee in 2026, the licence types and activities, the full step-by-step from name reservation to bank account, and a blunt “who it’s really for” at the end so you can decide on the facts rather than on a banner ad.
The 60-second answer
IFZA is a Dubai-based free zone authority that issues a trade licence with 100% foreign ownership, no paid-up capital requirement, and no mandatory private office for most activities. In 2026, packages run roughly AED 12,900 (zero-visa) to AED 20,000+ (3–5 visas), with each visa adding around AED 3,000–5,000 and an Establishment Card around AED 2,000–2,500. Most licences issue in 3–5 working days if your documents are clean. It suits consultants, traders, freelancers, and small teams who want a fast, low-barrier Dubai entity — provided you budget the real all-in, not the entry fee.
I’ll give you the numbers first, then the process, then the verdict by business type.
What IFZA actually is (and why people misread it)
IFZA stands for the International Free Zone Authority. It operates out of Dubai — currently anchored at IFZA Properties in Dubai Silicon Oasis (DSO) — and it is one of the larger free zone authorities in the emirate by registered companies. (radiantbiz.com; arnifi.com)
Indian founders make up a significant proportion of IFZA applications. For a nationality-specific cost and documentation breakdown, see our UAE free zone guide for Indian entrepreneurs 2026.
The thing to understand up front: IFZA sells almost exclusively through registered agents and partners rather than a walk-in counter. That model is why you’ll see the same licence quoted at a dozen different “from” prices across consultant websites — they’re packaging the same underlying IFZA fee with their own service charges on top. The underlying authority fee is what you want to anchor on, and that’s what I’ll separate out below.
What IFZA gives you, structurally, is a free zone company (an FZ LLC or a branch) with full foreign ownership, no requirement to deposit share capital, and a setup you can largely complete remotely — you only have to be in the UAE in person for the medical test and biometrics if you’re taking a residence visa. (shuraa.in; arnifi.com setup guide)
If you’re still deciding whether a free zone entity is even the right structure for you, our guide to what an FZE is and how UAE free zone establishments work covers the entity basics before you commit to a specific zone.
IFZA licence cost in 2026, by visa quota
Here’s the side-by-side as I’d lay it out for a client. Every figure is a 2026 advertised or indicative range — your real number depends on activity, visa count, and office type. I’ve flagged the ones you must reconfirm against a live IFZA quote.
| Package (2026, indicative) | Advertised licence fee | Best suited to |
|---|---|---|
| Zero-visa licence | from ~AED 12,900 [verify] | Founders already on a spouse/golden/employment visa who need only the company |
| 1-visa licence | ~AED 14,900 [verify] | Solo entrepreneurs taking their own residence visa |
| 2-visa package | ~AED 16,900–18,500 [verify] | Owner plus one employee or a partner |
| 3–5 visa package | ~AED 20,000+ [verify] | Startups and small teams hiring from day one |
Sources for the bands above: arnifi.com IFZA cost, jsb.ae IFZA package comparison, and radiantbiz.com. The base AED 12,900 licence typically includes registration of up to three business activities. (shuraa.in)
The number that actually matters: true first-year all-in
This is where I slow clients down. A licence advertised at AED 12,900 does not mean AED 12,900 leaves your account. Once you add the pieces a working business needs — a flexi-desk address, the Establishment Card, one residence visa with its medical and Emirates ID, and basic insurance — a common IFZA setup lands at a realistic AED 25,000–31,500 in true first-year cost. (maya-ai.ae IFZA cost; arnifi.com) [verify against a live IFZA quote for your exact activity + visa count]
Here’s how that builds up for a typical one-visa consultant or trader:
| Line item (2026, indicative) | Typical AED |
|---|---|
| Licence (1-visa package) | ~14,900 [verify] |
| Flexi-desk / registered address | ~5,760 [verify] |
| Establishment Card | ~2,000–2,500 [verify] |
| Residence visa (medical, Emirates ID, stamping) | ~3,000–5,000 [verify] |
| Medical insurance (mandatory for visa) | ~800–2,000 [verify] |
| Realistic year-one total | ~26,000–30,000 |
The flexi-desk runs around AED 5,760 per year and gives you a registered business address plus shared workspace access — far cheaper than leasing a private office, and acceptable at the licensing stage. (ifza.com flexi desk) A flexi-desk generally supports one to two visas; higher quotas need a larger office. (vazone.ae IFZA office)
For a wider cross-zone view of what setup actually costs, our UAE free zone company setup cost budgeting guide and the free zone visa cost breakdown are the companion reads to this section.
Licence types at IFZA
IFZA groups its activities under a handful of licence categories. Pick the one that matches what you’ll actually invoice for — the licence type drives which activities you can list and, in some cases, what the bank and your clients expect to see.
Commercial / Trading licence. For buying, selling, importing, exporting, and distributing physical goods. Common activities: general trading, electronics, foodstuff, apparel, building materials. A General Trading licence widens the range of goods you can trade under one licence. (radiantbiz.com; filings.ae)
Professional / Consultancy / Service licence. For service businesses — consulting, marketing, HR advisory, IT services, design. This is the most common IFZA licence for solo founders because it carries no inventory and the activity list is broad. (starstormuae.com)
Industrial licence. For light manufacturing and the import of raw materials for production. This one usually does require real physical space, so the flexi-desk economics above won’t apply. (dubaifreezonecompany.com)
E-commerce licence. For online stores and digital selling — a distinct, popular category as more founders launch storefronts rather than physical shops. (starstormuae.com)
Media licence. For creative and content businesses — production, content, advertising services. (starstormuae.com)
Holding licence. For holding assets, shares, and ownership stakes rather than trading. Useful for structuring rather than day-to-day operations. (filings.ae)
Activities: how many you can list
IFZA draws from a list of 2,000+ approved activities, and you can place up to seven activities under a single licence — with the first three commonly included in the base fee. (shuraa.in business activities; safeledger.ae IFZA activity list) That headroom is genuinely useful: a founder who’ll sell consulting today and add a trading line next year can structure for both now, rather than buying a second licence later.
A word of caution from experience: don’t stack unrelated activities just because you can. Banks read your activity list as a signal of what you actually do, and a licence that claims consulting, general trading, and media all at once can read as unfocused at the compliance stage. List what you’ll genuinely operate, plus a sensible adjacency or two.
If you’re unsure which activities map to your plan, Areef’s work on matching business activities to the right zone is the deeper read — but for IFZA specifically, the rule of thumb is: keep the list coherent and relevant to your revenue.
The step-by-step: name reservation to bank account
This is the part clients most want straight, so here’s the full sequence with realistic timing.
Step 1 — Choose your legal structure
For most founders this is a free zone LLC (an FZ LLC), single- or multi-shareholder. A branch of an existing company is also possible if you’re extending a parent entity into the UAE. (arnifi.com setup guide)
Step 2 — Select your activities
Pick from the 2,000+ list, within one licence type, up to seven activities. Decide your visa count here too, because it sets your package and your office requirement.
Step 3 — Reserve your trade name
Choose a company name that meets UAE naming rules (no offensive terms, no unexplained abbreviations, religious/political names disallowed). Your agent reserves it through the IFZA portal.
Step 4 — Prepare and submit documents
The standard set: passport copies of shareholder(s), passport-style photo, and — depending on activity and nationality — a business plan or a No Objection Certificate (NOC) if you’re currently on a UAE employment visa. Submit via the IFZA app/portal or through your authorised agent. (arnifi.com setup guide)
Step 5 — Pay and receive your e-licence
Once fees are paid, IFZA issues the trade licence — typically finalised in 3–5 working days when documents are clean and no special approvals are needed. (arnifi.com setup guide) You’ll receive the licence and your Memorandum digitally.
Step 6 — Establishment Card
The Establishment Card (around AED 2,000–2,500) registers your company with immigration and is the prerequisite for issuing any residence visas. (consultycs.com establishment card)
Step 7 — Residence visa (if you’re taking one)
This is the only stage that requires you in the UAE: medical fitness test, Emirates ID biometrics, and visa stamping. Budget AED 3,000–5,000 per visa and a few extra days. (radiantbiz.com)
Step 8 — Open a corporate bank account
The longest, least predictable step. With the licence, Establishment Card, and (often) your residence visa in hand, you approach UAE banks. Expect KYC scrutiny on your activity, your substance, and your expected transaction flows. See the next section — this is where flexi-desk setups can stall.
Our step-by-step guide to starting a company in Dubai in 2026 walks the broader roadmap if IFZA is one of several zones you’re weighing.
Banking on an IFZA licence
I flag this because it’s the step that surprises people. The licence is the easy part; the bank account is the test.
UAE banks have tightened compliance considerably, and they assess free zone companies on substance — where you actually operate, who your clients are, and whether your money flows match your stated activity. A flexi-desk address, perfectly valid for IFZA, can read as thin to a bank’s compliance team. (ifza.com flexi desk)
What helps, in my experience: a coherent activity list, a clear description of your clients and revenue, local invoices or contracts if you have them, and realistic projected turnover. What hurts: a sprawling unrelated activity list, no demonstrable local presence, and vague answers about where the money comes from.
For the full account-opening checklist, our corporate bank account requirements guide for 2026 is the companion read — go through it before you pick your bank, not after.
Renewals: the year-two number
Renewal is where the “cheapest” story gets tested. Your IFZA licence renews annually, and for most businesses the renewal lands between ~AED 10,000 and ~AED 18,000, depending on licence type, activity, and visa count. (arnifi.com renewal cost; nowconsultant.com)
The good news: renewal is usually a little lower than year one, because one-time setup fees — name reservation, the initial Establishment Card issuance — don’t recur. (arnifi.com renewal cost) The catch worth knowing: every visa quota you hold carries an annual cost, so a 3-visa licence renews meaningfully higher than a 1-visa one, year after year. (fastlanecareer.com IFZA renewal) Don’t buy visa slots you won’t use — they’re a recurring line, not a one-off.
Who IFZA is really for
After hundreds of these, here’s how I’d actually advise, by shape of business:
If after this you suspect a different zone fits your budget better, our cheapest free zone licence comparison for entrepreneurs puts the affordable options side by side on their own merits.
A note on choosing well
A free zone licence is a multi-year commitment, not a one-time purchase, so the right question isn’t “what’s the lowest sticker price?” It’s “what does this cost me, fully loaded, in year one and every year after, for the way I actually plan to operate?” IFZA answers that well for a large slice of founders — service businesses and lean traders especially — provided you go in with the real all-in number, a coherent activity list, and a banking plan ready before you file. Get a written quote that itemises the licence fee, the activities included, the office type assumed, the Establishment Card, the per-visa cost, the insurance, and the year-two renewal — all on one page — and the decision makes itself.
When you’re ready to move, get a tailored IFZA quote and setup plan from FreezonEra with your exact activity list and visa count — the only version of these numbers that matters is the one built around your business.
FAQ
How much does an IFZA licence cost in 2026?
The advertised licence starts from about AED 12,900 for a zero-visa package with up to three activities included. A one-visa package is around AED 14,900, and 3–5 visa packages run from about AED 20,000. But the realistic first-year all-in — once you add a flexi-desk, Establishment Card, a residence visa, and insurance — is closer to AED 25,000–31,500. (arnifi.com; maya-ai.ae)
How long does IFZA company setup take?
The trade licence itself is typically issued in 3–5 working days when your documents are clean and no special approvals are needed. The full journey — including the Establishment Card, a residence visa (which needs you in the UAE for a medical test and biometrics), and bank account opening — runs closer to 2–6 weeks. (arnifi.com setup guide)
Do I need a physical office for an IFZA licence?
No. IFZA does not require a dedicated private office to issue most trade licences. Most new companies use a flexi-desk (around AED 5,760/year), which provides a registered address and shared workspace and generally supports one to two visas. Higher visa quotas and industrial activities need a larger office. Note that a flexi-desk acceptable to IFZA is not always sufficient for a bank’s compliance review. (ifza.com; vazone.ae)
How many business activities can I list under one IFZA licence?
IFZA allows up to seven activities under a single licence, drawn from a list of 2,000+ approved activities, with the first three commonly included in the base fee. Keep the list coherent and relevant to your revenue — banks read an unfocused activity list as a compliance flag. (shuraa.in; safeledger.ae)
What does an IFZA visa cost?
Each residence visa adds roughly AED 3,000–5,000, covering the medical fitness test, Emirates ID, and stamping, on top of the Establishment Card (around AED 2,000–2,500) that must be in place first. (radiantbiz.com; consultycs.com)
What does IFZA cost to renew each year?
For most businesses, IFZA renewal runs between about AED 10,000 and AED 18,000, usually a little lower than year one because one-time setup fees don’t recur. Each visa quota you hold carries an annual cost, so higher-visa licences renew higher every year — don’t buy slots you won’t use. (arnifi.com renewal; fastlanecareer.com)
Can I set up an IFZA company remotely?
Yes for the licence — name reservation, documents, and the licence itself can be done remotely through the IFZA portal or an authorised agent. You only need to be physically in the UAE for the medical test and biometrics if you’re taking a residence visa. (shuraa.in)