Company formation in JAFZA.
JAFZA sits next to Jebel Ali Port, the largest man-made harbour in the world, and exists for businesses that move physical goods. Over 10,000 companies operate here, including a substantial share of the Fortune 500 presence in the region. If your business involves import, export, warehousing or manufacturing at scale, the location is the product.
What it actually costs
| Item | AED |
|---|---|
| Licence, per year | 25,000+ |
| Desk or office | office or warehouse required |
| Establishment card | ~1,500 |
| Immigration card | ~1,500 |
| Each visa (permit, medical, Emirates ID, stamping) | 4,000–5,000 |
| Basic health insurance, per person per year | ~1,500 |
| Realistic first year | 60,000–125,000 |
Year two is the number nobody quotes: licence renewal, office renewal, card renewals, visa renewals, insurance, accounting, audit where required, and corporate tax filing. Budget from AED 20,000 for a single-shareholder service company.
Timeline
| Stage | Duration |
|---|---|
| Name and activity approval | 1–2 days |
| Licence issue | up to 9 working days |
| Establishment and immigration cards | 3–5 days |
| Residency for the shareholder | 3–6 weeks |
| Corporate bank account | Good |
Who this zone suits
Import and export, logistics, warehousing, light manufacturing, regional distribution.
What to watch
JAFZA requires real premises — there is no meaningful flexi-desk route. If the business is service-based and does not touch cargo, this is the wrong zone at four times the price.
The broader point holds for every zone: choosing on licence price alone is the most expensive mistake in this market. Banking reception varies enormously between zones and appears in no price comparison. Saving AED 7,000 on the licence regularly costs two months without a working account.
What I do
- Establish whether JAFZA is genuinely the right zone before anything is registered
- Draft the activity list so it matches the transactions the company will actually run
- Design the shareholding for tax treatment, succession and bank acceptance
- Coordinate registration, cards and visas through licensed providers
- Prepare the banking file so it answers compliance questions before they are asked
- Hand over a company that is ready for a bank, not one that merely exists on paper
I do not execute the paperwork — licensed specialists do. What I sell is that one person designs the whole thing, chooses who does what, and answers for the outcome.
From AED 15,000
Jurisdiction selection, activity structuring and coordination of registration in JAFZA. Zone fees, government charges and third-party costs are separate and paid directly by the client.
Common questions
How much does it cost to set up a company in JAFZA?
The licence itself starts at around AED 25,000+ per year. A realistic first year — including the desk or office, establishment and immigration cards, one visa and basic insurance — runs AED 60,000–125,000. Coordination and structuring from my side starts at AED 15,000; government and zone fees are paid by you directly.
How long does a JAFZA licence take to issue?
Up to 9 working days for the licence itself, plus three to five days for the establishment and immigration cards. The company exists within one to two weeks. The bank account is the longer part.
Will a bank open an account for a JAFZA company?
Good — JAFZA entities are established and well understood. The deciding factors are whether the activity wording matches the actual business, how the ownership is structured, and whether the source of funds can be evidenced. An estimated 30–40% of new corporate account applications in the UAE were rejected or stalled in 2025.
How many visas does a JAFZA package include?
2–4 and up, depending on the package selected. This is worth establishing before registration: founders who plan to bring family and staff regularly discover the ceiling afterwards.
Is JAFZA the right zone for my business?
It fits: Import and export, logistics, warehousing, light manufacturing, regional distribution. If your requirements differ — particularly on banking speed, visa quota or physical premises — another zone may serve you better, and that comparison should happen before anything is registered.
Can a free zone company invoice clients on the UAE mainland?
Not directly. A free zone entity generally needs a distributor, branch, service agent or dual licence to serve mainland customers. If most revenue will come from UAE corporate clients, retail or government tenders, mainland may be the correct structure despite the higher cost.
Reviewed by Denis Chernikov, Private Client Advisor, nine years in the UAE private client sector.
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