List of Cheapest Free Trade License in UAE for 2025

Setting up a company in the United Arab Emirates has never been more accessible, especially for small business owners, startups, and solo entrepreneurs. Thanks to the UAE’s free zone system, entrepreneurs can enjoy low-cost business licenses, fewer entry barriers, and a wide range of benefits. But the question most investors ask is: Where can I get the cheapest free trade license in UAE?

If you’re planning to start your venture in 2025, this guide is for you. We’ll break down the most affordable free zones, what they offer, and what you should consider before making a decision. Our primary focus is on the cheapest free zones in Dubai, but we’ll also highlight a few affordable options in other Emirates to give you a full picture.

What Is a Free Trade License in the UAE?

A free trade license is a business license issued by a free zone authority in the UAE. It allows you to operate legally within the UAE’s free economic zones, conduct business internationally, and in some cases, even do limited business within the mainland.

Why Choose a Free Zone in Dubai or the UAE?

Here’s what you get when you start your business in a UAE free zone:

• 100% foreign ownership

• No corporate or personal income tax

• Full repatriation of capital and profits

• No import or export duties within the zone

• Simple and fast registration process

• No local sponsor required

These benefits make free zones extremely popular with freelancers, tech companies, import/export traders, consultants, and e-commerce businesses.

Top Cheapest Free Zones in UAE for 2025

Below is a chart showing some of the most affordable free zones in the UAE along with their estimated starting license cost and key features.

Cheapest Free Zones in Dubai

Now, let’s highlight the cheapest freezone in Dubai options. These zones offer an excellent combination of low-cost packages and premium Dubai address branding:

IFZA (International Free Zone Authority)

• Starting at AED 11,900

• Flexible licensing options

• No requirement for office space

• Access to professional and commercial activities

• Located in Dubai Silicon Oasis

Dubai South

• Starting at AED 10,000

• Perfect for logistics and transport-related businesses

• Business-friendly environment

• Close to Al Maktoum International Airport

Meydan Free Zone

• Starting from AED 12,500

• Offers smart digital business setup

• Integrated with Meydan Pay (business banking)

• Ideal for service, media, and online businesses

These are considered among the cheapest freezone in Dubai and are ideal for freelancers, solo entrepreneurs, and companies that don’t need a physical office at the beginning.

What Makes a Free Zone “Cheap” or “Affordable”?

It’s not just about the license cost. Here’s what you should consider when calculating the total investment:

• License fee

• Name reservation and registration

• Visa allocation (if needed)

• Office/desk rental (if required)

• Medical and Emirates ID (for visa)

So, a zone offering a license for AED 6,000 may become AED 12,000 after adding visa and office requirements—while another zone at AED 10,000 may include everything you need. Always calculate the total cost of setup before choosing.

Who Should Go for a Low-Cost Free Zone?

Affordable free zones are ideal for:

• Freelancers and consultants

• E-commerce sellers

• Tech startups

• Digital marketing agencies

• Small trading firms

• Import/export businesses

• Solo entrepreneurs

If you’re testing a new market or working with a limited budget, a cheap free trade license in the UAE is the best place to begin.

Steps to Get a Free Zone License in UAE

Here’s a simplified process of getting your UAE free zone trade license:

Step 1: Choose the Free Zone

Decide which free zone best matches your business type and budget.

Step 2: Select Your Business Activity

Whether it’s trading, services, consultancy, or e-commerce—your activity must be approved.

Step 3: Submit Documents

Typically includes passport copies, application forms, passport-sized photos, and a business plan (optional for some zones).

Step 4: Pay License Fees

Make the payment as per your package and request any optional services like visa or office space.

Step 5: Get Your License

Once approved, you’ll receive your trade license and can officially operate.

Free Zones with Virtual Office or No Office Requirement

Some of the lowest-cost zones offer virtual office packages or allow you to register without needing physical office space.

• IFZA

• Meydan

• SHAMS

• SPC Free Zone

These are excellent options if you want to keep costs down, especially in your first year.

Things to Consider Before Choosing a Free Zone

Before you commit, think about:

• Visa needs: Some zones offer packages without visas. If you need one, check how many visas are included.

• Location relevance: If you’ll be dealing with Dubai-based clients or government entities, being registered in Dubai may be better for your business credibility.

• Activity flexibility: Ensure your chosen zone supports your desired activities (e.g. trading, consultancy, media, etc.)

• Renewal cost: Make sure the second-year fees are affordable as well.

• Banking support: Choose zones that offer help with opening business bank accounts.

Conclusion

Finding the cheapest free trade license in UAE is about more than just price—it’s about value, flexibility, and long-term ease of operation. Whether you’re launching your very first business or expanding into a new market, Dubai and other Emirates offer a wide range of cost-effective free zones tailored to every kind of entrepreneur.

If you’re looking for the best blend of affordability, ease of setup, and strategic location, starting with a cheapest freezone in Dubai might be the ideal way forward.

Need help figuring out the best setup for your business? Reach out to experts in Business Setup in Dubai who can guide you through the process with clear, hands-on support.

Frequently Asked Questions (FAQs)

What is the cheapest free zone in UAE in 2025?

The SPC Free Zone and UAQ Free Trade Zone are among the most affordable, with license costs starting from AED 6,000–7,000.

Can I get a Dubai free zone license without an office?

Yes, zones like IFZA and Meydan offer licenses without a physical office requirement.

Can I operate across the UAE with a free zone license?

Your operations are legally limited to your zone and international clients. For full UAE access, partner with a distributor or set up a mainland branch.

Are free zone businesses allowed to hire employees?

Yes. You can sponsor employees under your license, based on your visa quota.

How long does it take to get a free trade license in UAE?

On average, it takes 3 to 7 business days if all documents are in order.