Quick answer: IFZA (International Free Zone Authority), with headquarters located in Dubai Silicon Oasis under the umbrella of the Dubai Integrated Economic Zones Authority (DIEZ) provides more than 2,000 licensed business activities in five sectors (commercial, consultancy, industrial, media, and general trading activities), which can be combined up to three per license. The cost of the package starts from AED 12,900 for the visa-free structure and with 100% foreign ownership and a 0% corporate tax rate in case of qualified free zone person requirements.
Table of Contents
- What is IFZA and where is it based?
- Why choose IFZA UAE for business setup?
- Exploring IFZA Free Zone Activities
- How much does an IFZA licence cost in 2026?
- What are the tax obligations for an IFZA company?
- How can Smart Zone help with IFZA business setup?
- Conclusion
- Frequently asked questions
Entrepreneurs looking to establish their businesses in the UAE have a powerful ally in IFZA UAE. Known for its business-friendly environment, cost-effective setup options, and a diverse range of business activities, IFZA (International Free Zone Authority) has emerged as a top choice for startups and established enterprises alike. With its strategic location in Dubai Silicon Oasis (DSOA) and a broad selection of IFZA free zone activities, this free zone provides the perfect foundation for business success.
What is IFZA and where is it based?
IFZA (International Free Zone Authority) is a Dubai’s free zone based in the Dubai Silicon Oasis (DSOA) and regulated by the Dubai Integrated Economic Zones Authority (DIEZ). This free zone has evolved from an initial start-up in Fujairah to becoming one of the most popular free zones in the United Arab Emirates for international founders thanks to its competitive prices, quick procedures, and extensive range of permissible operations.
Why choose IFZA UAE for business setup?
There are various reasons why one should set up their business at IFZA UAE:
- 100% foreign ownership without the need for a local sponsor
- IFZA entity located in Dubai, an essential consideration for those founders whose banks or customers require a Dubai location instead of any other emirate
- More than 2,000 activities in various sectors, where the maximum number of activities allowed is three in a license
- Licenses issued after 3-5 business days once the paperwork is done, while the entire process takes around 2 to 4 weeks
- Zero personal income tax in the UAE and zero corporate tax on qualifying income for businesses that meet Qualifying Free Zone Person criteria
Exploring IFZA Free Zone Activities
One of the strongest advantages of an IFZA licence is the range of activities it supports under one registration. The free zone caters to a wide range of industries, letting businesses combine complementary activities rather than applying for separate licences.
Commercial activities
Entrepreneurs trading goods and services can obtain a commercial licence under IFZA. This category covers:
- Import and export businesses
- Wholesale and retail trading
- E-commerce and online stores
Consultancy and professional services
For individuals and firms offering professional expertise, IFZA activities include:
- Business consultancy services
- Marketing and advertising agencies
- IT and software development firms
Industrial and manufacturing activities
Businesses involved in manufacturing, production, and industrial operations can register under IFZA’s industrial category, which includes:
- Light manufacturing units
- Assembly and packaging industries
- Food and beverage production
Media and creative businesses
IFZA is also a common choice for media professionals and creative entrepreneurs. The media-related activity scope covers:
- Content creation and publishing
- Graphic design and advertising
- Film production and digital media
General trading licence
For businesses that want the flexibility to trade multiple product categories under one registration, IFZA DSOA offers a general trading licence, allowing companies to engage in a broad range of commercial activities without applying for separate approvals for each product line.
How much does an IFZA licence cost in 2026?
IFZA packages in 2026 generally run as follows:
- Zero-visa licence: from approximately AED 12,900 per year
- One-visa package: approximately AED 14,900
- Three-visa package: approximately AED 19,900
- Establishment card: an additional AED 2,000 to 2,500
- Per-visa costs (medical test, Emirates ID, entry permit): approximately AED 3,800 to 4,800 per person
A realistic first-year total for a solo founder taking one visa, once the establishment card and visa costs are added to the licence fee, typically lands between AED 20,700 and 22,200. These figures are indicative and vary by activity, office type, and current promotions, so requesting an itemised quote before committing is worthwhile.
What are the tax obligations for an IFZA company?
It’s worth being precise here, since free zone marketing sometimes overstates this point. IFZA companies are not automatically tax-exempt. Every IFZA entity must register with the Federal Tax Authority for corporate tax, and a 0% rate applies only to qualifying income for businesses that meet Qualifying Free Zone Person conditions — genuine substance in the zone, income within defined qualifying activities, and audited financial statements where required. Companies with turnover of AED 3 million or less and fewer than nine staff can generally file a simplified financial statement; larger companies need a full audit. Personal income tax remains at 0% across the UAE regardless of company structure, which is a separate and more straightforward benefit than the corporate tax position.
How can Smart Zone help with IFZA business setup?
Setting up a company in IFZA is straightforward, but having the right guidance can make the process smoother and avoid costly missteps on activity selection or tax structuring. Smart Zone is a business setup partner that helps entrepreneurs navigate IFZA UAE registration from activity selection through to compliance.
How Smart Zone can assist:
- Business consultation – helping you choose the right IFZA business activities and licence combination for your venture
- Company registration – managing paperwork, approvals, and licensing to ensure a smooth setup
- Visa and office solutions – assisting with visas, virtual office options, and workspace solutions in IFZA DSOA
- Ongoing business support – corporate tax registration guidance, Qualifying Free Zone Person compliance, and operational support for long-term growth
Conclusion
IFZA UAE offers a world of opportunities for entrepreneurs looking for a flexible, cost-effective, and strategically located free zone in Dubai. With a diverse range of IFZA free zone activities, tax benefits, and a seamless setup process, it is an ideal choice for startups and established businesses alike. Partnering with Smart Zone ensures that your IFZA business setup is smooth, efficient, and meets your business needs.
