IFZA vs Dubai South: which free zone fits you?
A neutral comparison — no single free zone pays us more than another.
In short
IFZA (licences from about AED 12,900) and Dubai South (from about AED 12,500) are both UAE free zones — Dubai South has the lower entry price. IFZA best suits: Consultants, freelancers, service firms, marketing/IT agencies, holding companies and traders who want an affordable Dubai free zone with flexible visa numbers and a wide activity list. Dubai South best suits: Logistics, freight and e-commerce fulfilment operations, aviation and aerospace businesses, and traders who want airport-side operations in the corridor Dubai is building around Al Maktoum International. No single zone pays us more, so the recommendation depends only on your activity, visa count and budget.
IFZA and Dubai South side by side
Approximate budgeting figures — your final quote is confirmed in writing. Government fees are passed through at cost, never marked up.
| Criteria | IFZA | Dubai South |
|---|---|---|
| Licence from | AED 12,900 | AED 12,500 |
| Emirate | Dubai | Dubai |
| Location | Dubai Silicon Oasis / Dubai Digital Park | Dubai World Central / Al Maktoum Airport |
| Visas | IFZA uses a package-based visa quota. | The Business Hub package is sold with the option to add visas, and the zone's own Free Zone Management issues visas and work permits on site. |
| Activities | IFZA offers more than 2,000 business activities across professional, commercial, consulting, trading, media, IT and general-trading categories. | Three registration routes: the Business Hub free-zone package, DWC LLC companies and branches, and freelancer professional permits. |
Lower entry price: Dubai South.
Which one should you pick?
Choose IFZA if
Consultants, freelancers, service firms, marketing/IT agencies, holding companies and traders who want an affordable Dubai free zone with flexible visa numbers and a wide activity list. Ideal for solo founders and small teams who do not need a physical mainland storefront.
Think twice if
Businesses that must sell directly to the UAE mainland (retail shops, restaurants, clinics), need a large physical office or warehouse, or require a prestige financial-district address (DIFC/ADGM). Companies needing many visas may find dedicated-office requirements push costs above the headline figure.
Choose Dubai South if
Logistics, freight and e-commerce fulfilment operations, aviation and aerospace businesses, and traders who want airport-side operations in the corridor Dubai is building around Al Maktoum International. Also a practical government-run package option (Business Hub) for SMEs and startups that want a published-price Dubai licence with same-day issuance.
Think twice if
Regulated financial-services firms (DIFC or ADGM fit better), businesses that need a prime central-Dubai address or walk-in mainland retail, and founders hunting the absolute cheapest paper licence — Shams and RAKEZ start lower. The district is still building out, so day-to-day city amenities are thinner than central Dubai.
Cost breakdowns
IFZA
from AED 12,900
Trade licence (zero-visa, base package)
Two-year package including flexi-desk access (best value); one-visa packages from ~AED 15,000
AED 12,900 (from)
Establishment / immigration (e-channel) card
Required once you take any visa
AED 2,000 (approx)
Residence visa processing (per visa)
Inside-country processing; varies by visa type
AED 3,500–4,500
Flexi-desk / office
Flexi-desk access included; dedicated office AED 5,000–20,000+/yr
Included (base)
Company name reservation & initial approval
Typically bundled in the licence package
Included
Medical test + Emirates ID (per visa)
Medical ~AED 350–400, Emirates ID ~AED 370; health insurance extra (AED 600+)
AED 700–800
UAE corporate tax registration
Federal Tax Authority registration is free; 9% tax applies on profit above AED 375,000. Advisor/filing fees separate
Government fee: AED 0
Realistic first-year total (1 visa)
Approx — licence, card, one visa, medical, Emirates ID and insurance combined
AED 21,000–26,000
Dubai South
from AED 12,500
Business Hub free-zone package
Same-day issuance, flexi-desk access, option to add visas; a promotional AED 11,375 was displayed at the time of checking (2026-08)
AED 12,500 (published)
DWC LLC company or branch
Registered through the Dubai South customer portal; fees confirmed per activity and facility
Quote-based
Freelancer professional licence
Individual professional permit within Dubai South
Quote-based
Office, warehouse or plot
Options across the Business Park and Logistics District; built-to-suit available
Quote-based
UAE corporate tax registration
Registration with the Federal Tax Authority is free of charge
Government fee: AED 0
Strengths and trade-offs
IFZA
- Among the lowest-cost Dubai free-zone licences, with a true zero-visa entry point.
- Very flexible — scale visas and activities up or down without changing free zone.
- Fast, paperwork-light setup with remote (no-visit) formation possible.
- 100% foreign ownership and full repatriation of capital and profits.
- Wide activity list (2,000+) and up to 7 activities bundled on one licence.
- Multi-year licences reduce the effective annual cost.
- The headline AED 12,900 is licence-only; real first-year cost with one visa, cards, medical and insurance is typically AED 21,000–26,000.
- No direct mainland trade — selling to the UAE mainland needs a distributor, dual licence or extra approvals.
- Higher visa counts can trigger dedicated-office requirements that raise cost.
- Not a prestige financial-district address — DIFC/ADGM carry more weight for regulated finance.
- Some activities (e.g. regulated or specialised ones) need extra external approvals and fees.
Dubai South
- Published-price government package (AED 12,500) with same-day licence issuance — rare clarity among Dubai zones.
- The strategic bet: Dubai is building its future aviation capacity at Al Maktoum, and Dubai South is the city around it.
- Sea-air-rail logistics corridor: 30 km to Jebel Ali Port plus Etihad Rail — built for freight and fulfilment.
- On-site regulator (DACC Free Zone Management) for visas, permits and NOCs — no cross-town government runs.
- Dedicated aerospace cluster (MBR Aerospace Hub) and an employment dispute mediation service for licensees.
- DWC LLC, branch and freelancer fees are not published — those routes are quote-based through the portal.
- The district is still developing: fewer offices, restaurants and services on the ground than central Dubai today.
- Distance: roughly 45–60 minutes from Downtown and DIFC — a real commute if your clients sit in central Dubai.
- Like any free zone, direct mainland UAE retail requires additional licensing or arrangements.
- Cheapest-licence hunters can start lower at Shams (AED 5,750) or RAKEZ (AED 6,000).
Frequently asked questions
Which is cheaper, IFZA or Dubai South?+
IFZA licences start from about AED 12,900 (from / approx — zero-visa, two-year package with flexi-desk access; government and visa fees added on top). Dubai South starts from about AED 12,500 (from / published — Business Hub free-zone package (AED 12,500 list; a promotional AED 11,375 was displayed when checked, 2026-08) with flexi-desk access, same-day issuance and the option to add visas. DWC LLC / branch and freelancer routes are quoted via the Dubai South portal; visas and government fees are separate). Dubai South has the lower headline price, but your real total depends on visa count and office needs — always compare a written, itemised quote.
Who is IFZA best for?+
Consultants, freelancers, service firms, marketing/IT agencies, holding companies and traders who want an affordable Dubai free zone with flexible visa numbers and a wide activity list. Ideal for solo founders and small teams who do not need a physical mainland storefront.
Who is Dubai South best for?+
Logistics, freight and e-commerce fulfilment operations, aviation and aerospace businesses, and traders who want airport-side operations in the corridor Dubai is building around Al Maktoum International. Also a practical government-run package option (Business Hub) for SMEs and startups that want a published-price Dubai licence with same-day issuance.
How do I decide between IFZA and Dubai South?+
Compare licence cost, visa allocation and activity fit. IFZA: IFZA uses a package-based visa quota. Dubai South: The Business Hub package is sold with the option to add visas, and the zone's own Free Zone Management issues visas and work permits on site. If you are still unsure, our free zone selector or a free 30-minute PRO Health Check will confirm the better fit for your case.
Still torn between IFZA and Dubai South?
Tell us your activity and how many visas you need, and we'll confirm the better-fit zone and its real cost — in writing, line by line.