Company Formation in RAKEZ (Ras Al Khaimah Economic Zone)
One of the UAE's lowest-cost free zones for SMEs
In short
RAKEZ is the Ras Al Khaimah Economic Zone, one of the UAE's most affordable free zones. Zero-visa licences start from about AED 6,000 per year, and an all-inclusive licence with one visa runs from roughly AED 14,000. Visa quota is tied to your workspace: a flexi-desk supports up to 2 visas, offices more. Best for cost-conscious SMEs, traders, freelancers, and industrial or manufacturing setups.
Licence from
AED 6,000
zero-visa licence, flexi-desk, approx — visa packages cost more
Emirate
Ras Al Khaimah
Al Hamra Industrial Zone & Al Nakheel, Ras Al Khaimah
Visas
Package-based
Visa allocation is tied to your workspace, not bought freely. A flexi-desk (shared workstation) typically supports up to 2 residence visas — enough for a founder and one team member. Larger private offices and warehouses increase the quota with floor area, commonly up to around 6–8 visas. Zero-visa licences exist for owners who don't need UAE residence (popular with remote operators and e-commerce).
Activities
Wide range
RAKEZ maintains a comprehensive activity list across manufacturing, trading, services, media, education, IT, logistics and more. You can hold up to 7 activities within the same category, or combine across categories — the all-inclusive licence allows roughly up to 10 mixed activities under one licence. Licence types include Commercial, Service/Professional, Industrial, Media, Educational, E-Commerce, General Trading, Individual/Professional and the Freelancer Permit.
Why RAKEZ?
- Among the lowest licence prices in the UAE — zero-visa packages from about AED 6,000 per year
- Strong for industrial and manufacturing: large warehouse and land plots available at competitive rates
- Up to 7 activities within one category, or up to ~10 mixed activities on an all-inclusive licence
- Instant Licence option can issue a trade licence in as little as 24 hours
- Affordable freelancer permit for media, education, IT and consultancy professionals
- 100% foreign ownership, full profit repatriation, and 0% corporate tax on qualifying free zone income
Best for
Cost-conscious SMEs, traders, freelancers and consultants, e-commerce sellers, and especially industrial or manufacturing businesses needing warehouses or land. A common pick for Dubai-based founders who want a cheaper free zone licence and don't need a Dubai address on the trade licence.
Less ideal for
Businesses that need to sell directly to the UAE mainland or take government contracts (a free zone licence alone doesn't allow that — you'd need a mainland licence or local distributor). Also not ideal for founders who want a prestigious Dubai address, or those needing many employee visas on a small flexi-desk.
RAKEZ setup cost
Approximate budgeting figures — your final quote is confirmed in writing. Government fees are passed through at cost, never marked up.
Trade licence (zero-visa, with flexi-desk)
Starter/zero-visa packages; varies by licence type and activities
AED 6,000–9,000/yr
All-inclusive licence with 1 visa (incl. flexi-desk)
Bundled trade licence + 1 visa quota + coworking access
from AED 14,000/yr
Establishment card (immigration registration)
Required once before processing any residence visa
from AED 1,000
Investor / partner residence visa
Approx, excludes medical and Emirates ID below
from AED 4,500
Medical test + Emirates ID
Per person, paid to government / typing centres
approx AED 700
Name reservation + initial approval
Usually bundled in the package; standalone fees are nominal
often included
Flexi-desk / coworking workspace
Included in most starter packages; private offices cost extra
usually included
UAE corporate tax registration
Registration is mandatory; 0% on qualifying free zone income, 9% above AED 375k otherwise
no government fee
How we set you up
- 1
Pick licence type, activities and workspace
Decide whether you need 0, 1 or more visas — this sets whether a flexi-desk or larger office is required.
- 2
Reserve company name & get initial approval
Submit proposed names and shareholder passports; RAKEZ confirms the name and pre-approves the activity.
- 3
Sign incorporation documents
Sign the application, MOA/share documents and lease for the flexi-desk or office (remote signing is possible).
- 4
Receive the trade licence
RAKEZ issues the licence and incorporation certificate — the Instant Licence option can be as fast as 24 hours.
- 5
Open the immigration file (establishment card)
Required before any visa. This registers the company with immigration so it can sponsor residence visas.
- 6
Process residence visas
Entry permit, status change, medical test and Emirates ID for each person — typically three to four weeks.
- 7
Open the bank account & register for corporate tax
Use the licence, Emirates ID and a clear activity description to open a UAE business account, then register with the FTA.
Pros
- Genuinely low cost — among the cheapest credible UAE free zones to start and renew
- Excellent for industrial, manufacturing and logistics thanks to warehouses and land plots
- Flexible activity mixing — up to 7 in a category or ~10 mixed on one licence
- Fast issuance, 100% foreign ownership, and full profit repatriation
- Dual-licence option lets a single entity hold both free zone and mainland activities
Things to weigh
- It's in Ras Al Khaimah, not Dubai — the trade licence and registered address are RAK, which some clients or banks prefer to see as Dubai
- Like any free zone, you can't sell directly to the UAE mainland without a mainland licence or distributor
- Visa quota is capped by workspace — a cheap flexi-desk limits you to a small number of visas
- Some bank branches and processing happen from RAK, which can mean extra travel or coordination
RAKEZ or mainland?
Pick RAKEZ when you want the lowest setup cost, 100% ownership and your customers are international, other businesses, or online — you'll save meaningfully versus a Dubai mainland licence. Pick a Dubai mainland licence when you need to sell directly to UAE consumers and companies, bid for government work, open a shop or office to the public, or want a Dubai address on the licence. RAKEZ's dual-licence option can bridge the two, but for true mainland trading a mainland licence is usually cleaner.
Frequently asked questions
How much does a RAKEZ licence cost in 2026?+
Zero-visa starter packages begin around AED 6,000 per year. An all-inclusive licence with one visa and coworking access starts from roughly AED 14,000. Final cost depends on licence type, number of activities, workspace and how many visas you need.
How many visas can I get with a RAKEZ licence?+
It depends on your workspace. A flexi-desk usually allows up to 2 residence visas; larger private offices and warehouses increase the quota with floor area, commonly up to around 6–8. Zero-visa licences are available if you don't need UAE residence.
Can I do business on the Dubai mainland with a RAKEZ licence?+
Not directly. A free zone licence lets you trade internationally, within free zones and online, but to sell to mainland customers you need a mainland licence, a local distributor, or RAKEZ's dual-licence arrangement. We'll tell you honestly which route fits your business.
How long does RAKEZ company setup take?+
The trade licence itself can be issued quickly — the Instant Licence option can be ready in as little as 24 hours once documents are in order. Residence visas add roughly three to four weeks for entry permit, medical and Emirates ID.
Do I need a physical office in RAKEZ?+
You don't need a full private office. A flexi-desk (shared workstation) is the minimum required if you want residence visas, and it's included in most starter packages. Zero-visa licences can run on a flexi-desk too. You scale up to a private office only when you need more visas or space.
How many business activities can one RAKEZ licence hold?+
You can hold up to 7 activities within the same category, or combine across categories. The all-inclusive licence allows roughly up to 10 mixed activities under one licence — useful if you trade and provide services together.
Is RAKEZ good for freelancers?+
Yes — RAKEZ offers an affordable freelancer permit for professionals in media, education, IT, consultancy and similar fields, typically from around AED 6,000–10,000 depending on activity and whether you add a visa. It's a low-cost way to invoice legally and, with a visa package, get UAE residence.
Does a RAKEZ company pay corporate tax?+
UAE corporate tax applies nationwide: 9% on taxable profit above AED 375,000. A RAKEZ company that qualifies as a Qualifying Free Zone Person can get 0% on its qualifying income, but registration with the Federal Tax Authority is mandatory regardless. We help structure activities so you stay compliant.
Why set up with ZETUP PRO
ZETUP is an independent advisor — we are not paid by RAKEZ or any free zone, so we recommend it only when it's genuinely the best fit for your budget and customers, and we'll point you to Dubai or another zone when that's the smarter call. We give you a transparent, all-in cost (licence, visas, establishment card, medical and Emirates ID) with no surprises, and we handle the whole chain: licence, visas, bank account introduction and corporate-tax registration. Message us on WhatsApp for a free PRO health check and an honest cost estimate.
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