UAQ Free Trade Zone Company Setup
The government-run budget zone — packages from AED 5,500
In short
UAQ FTZ (Umm Al Quwain Free Trade Zone) is a government licensing authority operated directly by the Emirate of Umm Al Quwain, about 30 minutes from Dubai on the E311, and a designated free zone under Cabinet Decision No. 54 of 2023. Its published UAQ LYTE package starts from AED 5,500 for a zero-visa e-commerce licence with up to three activities and a flexi-desk, and the all-inclusive UAQ START package is AED 12,500 including a licence, one UAE residence visa, Emirates ID, medical, insurance, establishment card and coworking lease. With 1,500+ business options, 11,000+ registered businesses, warehouses and industrial land on 25-year leases, it is one of the cheapest credible routes into the UAE.
Licence from
AED 5,500
from / published — UAQ LYTE package (zero-visa e-commerce licence, up to 3 activities, flexi-desk) at AED 5,500; the all-inclusive one-visa UAQ START package is a published AED 12,500; other licence types and facilities are quoted, and government and visa fees are added where applicable
Emirate
Umm Al Quwain
Umm Al Quwain, on the E311 (~30 min from Dubai)
Visas
Package-based
Packages define the visa count: UAQ LYTE is a zero-visa package, and UAQ START includes one UAE residence visa with medical, Emirates ID and insurance covered. Larger allocations follow your facility and are confirmed at quote stage — the zone's residency service handles UAE and foreign hires.
Activities
Wide range
1,500+ business options across five licence families: commercial, general trading, service/consultancy, freelance permits (technology, media and film roles) and industrial (physical facility mandatory). E-commerce licences can combine up to three activities on one licence.
Why UAQ FTZ?
- UAQ LYTE from a published AED 5,500: zero-visa e-commerce licence with up to three business activities and a flexi-desk — one of the lowest published entry prices in the UAE.
- UAQ START all-inclusive at a published AED 12,500: licence (commercial and consultancy/service), one UAE residence visa, medical test, Emirates ID, medical insurance, e-channel registration, establishment card and coworking space with official lease agreement.
- A government Business Licensing Authority operated directly by the Emirate of Umm Al Quwain — home to 11,000+ businesses across 150+ nationalities.
- A designated free zone under Cabinet Decision No. 54 of 2023 — eligible for the specific corporate-tax reliefs available to designated zones.
- 1,500+ business options across commercial, general trading, service, freelance and industrial licences — freelance permit with visa advertised from AED 1,818/month on instalments.
- Real logistics infrastructure: ready-to-occupy warehouses (including pay-per-day terms), industrial land on leases up to 25 years, direct E311 access and UAQ Port — about 30 minutes from Dubai.
Best for
Online sellers, dropshippers and solo founders who want the cheapest credible published package in the UAE (UAQ LYTE at AED 5,500); founders who need licence-plus-visa in one transparent bundle (UAQ START at AED 12,500); and light-industrial, trading and logistics businesses using its warehouses, land and UAQ Port.
Less ideal for
Businesses that need a Dubai or Abu Dhabi prestige address, regulated financial-services firms (DIFC or ADGM fit better), and B2C sellers who want to deliver directly to UAE mainland consumers — mainland deliveries from a UAQ FTZ licence are B2B only or run through licensed logistics partners.
UAQ FTZ setup cost
Approximate budgeting figures — your final quote is confirmed in writing. Government fees are passed through at cost, never marked up.
UAQ LYTE package (zero visa)
E-commerce licence, up to 3 activities, flexi-desk; monthly instalment options advertised
From AED 5,500 (published)
UAQ START all-inclusive (1 visa)
Licence + residence visa, medical, Emirates ID, medical insurance, e-channel, establishment card, coworking lease, bank-account assistance
AED 12,500 (published)
Freelance permit + visa
Instalment pricing for technology, media and film roles
From AED 1,818/month (advertised)
Warehouse or industrial land
Ready-to-occupy warehouses (incl. pay-per-day) and land leases up to 25 years
Quote-based
UAE corporate tax registration
Registration with the Federal Tax Authority is free of charge
Government fee: AED 0
How we set you up
- 1
Pick the package or licence type
UAQ LYTE (zero-visa, from AED 5,500) for online sellers, UAQ START (AED 12,500, one visa, all-inclusive) for founders relocating, or a commercial, general trading, service, freelance or industrial licence priced to your needs.
- 2
Match the activity precisely
Choose from 1,500+ options — e-commerce licences can combine up to three activities (for example e-commerce plus garments e-trading plus household goods). Getting the activity right first avoids paid amendments later.
- 3
Choose the entity
FZE (single shareholder), FZC (multiple shareholders) or a branch of an existing local or foreign company.
- 4
Submit and pay
Application with passport copies and shareholder details; packages can be paid on monthly instalment plans (all-inclusive advertised at AED 2,266/month).
- 5
Visa processing (if included)
With UAQ START, the e-channel registration, establishment card, medical test, Emirates ID and medical insurance are part of the package; the zone's residency service also handles hires.
- 6
Bank account and corporate tax
UAQ FTZ partners with banks (recent MoUs with Ruya Bank and National Bank of Fujairah) and offers free bank-account opening assistance in UAQ START; register for corporate tax with the Federal Tax Authority (registration is free).
Pros
- The lowest published package on this list: UAQ LYTE from AED 5,500 with three activities and a flexi-desk included.
- Genuinely all-inclusive one-visa bundle at a fixed published AED 12,500 — licence, visa, Emirates ID, medical, insurance, establishment card and lease in one price.
- Government stability: operated directly by the Emirate of Umm Al Quwain, with designated-zone status under Cabinet Decision 54/2023.
- Instalment plans advertised on packages — from AED 1,818/month for a freelance permit with visa.
- Industrial depth unusual at this price point: warehouses (pay-per-day available), land leases to 25 years, E311 access and UAQ Port.
Things to weigh
- Mainland reach is limited: deliveries into the UAE mainland are B2B only or must run through licensed logistics partners (Amazon FBA, Noon fulfilment, couriers) — direct B2C mainland delivery on your own is not part of the licence.
- Umm Al Quwain is a small emirate: fewer banks, amenities and networking on the ground than Dubai or Sharjah, even at 30 minutes' drive.
- The AED 5,500 LYTE package is zero-visa — the moment you need residency, you are into the AED 12,500 START bundle or a quoted package.
- An Umm Al Quwain address carries less brand weight with some clients and counterparties than a Dubai licence.
UAQ FTZ or mainland?
UAQ FTZ is a free zone, so the standard trade-off applies: 100% ownership and the UAE's cheapest published packages inside the zone, versus a mainland licence's unrestricted access to UAE consumers and government contracts. The zone itself is explicit that mainland deliveries are B2B only or via licensed logistics partners — so if your model is selling to UAE mainland consumers directly, go mainland; if you sell online through marketplaces and fulfilment partners, internationally, or B2B, UAQ's pricing is hard to argue with.
Frequently asked questions
How much does a UAQ free zone licence cost in 2026?+
UAQ FTZ publishes two package prices: UAQ LYTE from AED 5,500 (zero-visa e-commerce licence, up to three activities, flexi-desk) and the all-inclusive UAQ START at AED 12,500 (licence plus one UAE residence visa, medical, Emirates ID, medical insurance, e-channel registration, establishment card and coworking lease). Commercial, general trading, service, freelance and industrial licences outside these packages are quoted — always compare a written, itemised quote.
Is UAQ FTZ the cheapest free zone in the UAE?+
At AED 5,500, UAQ LYTE is the lowest published package price among the zones we track — level with DIFC's subsidised Innovation Licence (~USD 1,500/yr, tech startups only), Shams and SPC (both AED 5,750) and RAKEZ (AED 6,000). Watch what the number includes: UAQ's price covers a zero-visa e-commerce licence with flexi-desk, so a like-for-like comparison depends on your visa and activity needs.
What does 'designated free zone' status mean for corporate tax?+
UAQ FTZ states it is one of the UAE's designated free zones under Cabinet Decision No. 54 of 2023. Designated zones benefit from specific corporate-tax reliefs and incentives — particularly relevant for goods transactions — that non-designated free zones do not get. Whether your income qualifies depends on your activities and substance, so have the tax position assessed before you rely on it.
Can a UAQ FTZ company sell to customers in Dubai and the rest of the UAE?+
You can source globally and sell worldwide, and you can serve the UAE market — but the zone is explicit that deliveries into the UAE mainland are B2B only or must be fulfilled through licensed logistics partners such as Amazon FBA, Noon and courier companies, who handle storage, customs and last-mile delivery. For most online sellers that fulfilment route is exactly how they operate anyway.
UAQ FTZ or RAKEZ — which northern-emirates zone should I pick?+
Both are government-backed budget zones about an hour or less from Dubai. UAQ FTZ publishes the lower entry price (AED 5,500 vs RAKEZ's AED 6,000) and a fixed all-inclusive one-visa bundle at AED 12,500; RAKEZ counters with a bigger ecosystem and broader industrial park network. If your priority is the lowest transparent cost for an online or service business, UAQ wins on the published numbers; for larger industrial operations, compare itemised quotes for the specific facility you need.
Why set up with ZETUP PRO
ZETUP PRO is an independent advisor — no zone pays us more than another. We will tell you straight whether UAQ's rock-bottom packages actually fit your visa, banking and delivery model or whether a Dubai or Sharjah zone earns its premium for your case, and we put the full cost in writing, line by line, before you commit. Government and authority fees are always passed through at cost.
Compare with other free zones
UAQ FTZ vs IFZA
from AED 12,900
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.
UAQ FTZ vs Meydan
from AED 12,500
E-commerce sellers, freelancers, consultants, agencies, small service businesses and holding companies that want a credible Dubai address, a low starting cost and a quick online setup, while keeping their visa needs modest (up to three on a flexi-desk).
UAQ FTZ vs DMCC
from AED 35,484
Commodities and trading houses (gold, diamonds, metals, energy, agri), crypto/Web3 and blockchain founders, fintech, established SMEs and serious entrepreneurs who want a prestige Dubai address, a credible ecosystem and smoother banking. Ideal when reputation, sector clustering and a physical presence in central Dubai matter more than the lowest possible licence price.
UAQ FTZ vs RAKEZ
from AED 6,000
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.
UAQ FTZ vs Shams
from AED 5,750
Budget-conscious founders, freelancers, media and creative professionals, consultants, and online or service businesses who want a cheap, credible UAE licence and don't need a Dubai address or to trade directly on the mainland.
UAQ FTZ vs DAFZA
from AED 15,020
Aviation, freight forwarding, logistics, electronics, pharma, luxury goods and trading companies that need physical airport proximity, a prestige Dubai address, and an office or warehouse on-site. Suits funded businesses that value reputation over the lowest possible cost.
UAQ FTZ vs JAFZA
from AED 15,000
Import-export and trading houses, distribution and re-export businesses, logistics and freight-forwarding firms, manufacturers and light-industrial operations, and regional headquarters serving Asia, Africa and Europe. Ideal for companies that physically move, store or process goods and want to sit on top of Jebel Ali Port with bonded warehousing and on-site customs.
UAQ FTZ vs DIFC
from AED 5,500
Financial-services firms, fintech and Web3 startups, investment managers, funds, family offices, holding companies, and international law, advisory and insurance firms that need a credible common-law jurisdiction, DFSA standing and access to capital. The DIFC Innovation Hub specifically suits early-stage, non-regulated tech and fintech founders who want the DIFC address and ecosystem at a subsidised price.
UAQ FTZ vs ADGM
from AED 5,509
Financial-services firms, asset and fund managers, VCs and fintechs regulated by the FSRA; holding companies, SPVs, family offices and foundations; and Hub71-eligible tech start-ups. The right pick when a common-law jurisdiction, a credible financial-centre address and Abu Dhabi's capital ecosystem matter more than the lowest possible licence price.
UAQ FTZ vs Dubai South
from AED 12,500
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.
UAQ FTZ vs SPC
from AED 5,750
Startups, solo founders and consultants who want one of the cheapest published entry prices in the UAE with fast, fully online licensing; e-commerce and trading businesses choosing from the 2,000+ activity list; and publishers and media businesses, given the zone's publishing heritage and Publishers Hub.
UAQ FTZ vs Innovation City
from AED 6,600
AI, Web3/blockchain, gaming, robotics and healthtech founders who want a specialist tech free zone with published package pricing; DAOs and token projects needing the UAE's dedicated DAO Association Regulations; and digital-asset businesses that value an ecosystem with crypto-experienced banking and infrastructure partners.