fbpx
Phone
Mail

Jebel Ali Free Zone (JAFZA) Company Setup in Dubai

Jebel Ali Free Zone is the largest and most established free zone in the UAE, home to over 11,000 companies from 140+ countries. Strategically positioned between Jebel Ali Port — the world’s sixth-largest container port — and Al Maktoum International Airport, JAFZA offers unmatched logistics connectivity for businesses targeting global markets. Whether you are launching a trading company, setting up a manufacturing operation, or establishing a regional services hub, a JAFZA company setup gives you 100% foreign ownership, full profit repatriation, and access to more than 3.5 billion consumers across the Middle East, Africa, and South Asia.

JAFZA contributes 21% of Dubai’s GDP and accounts for 32% of total foreign direct investment flowing into the UAE. With over 1,500 approved business activities and a fully digital licensing process, Jebel Ali Free Zone company formation remains the preferred choice for international investors, SMEs, and Fortune 500 companies alike in 2026.

Why Choose Jebel Ali Free Zone for Your Business

JAFZA has attracted global businesses for nearly four decades because of a combination of infrastructure, fiscal incentives, and geographic advantage that few free zones can match. Here is what makes it stand out:

100% Foreign Ownership

Full ownership with no local sponsor or partner required. You retain complete control over your business operations and decision-making.

Tax Benefits and QFZP Qualification

Companies qualifying as a Qualifying Free Zone Person (QFZP) benefit from 0% corporate tax on qualifying income under the UAE Corporate Tax Law.

World-Class Logistics Hub

Direct access to Jebel Ali Port (connected to 150+ global ports) and Al Maktoum Airport. The only free zone in the world between a major seaport and international airport.

Full Profit and Capital Repatriation

No restrictions on transferring profits or capital back to your home country. Zero currency controls and complete financial flexibility.

Customs Duty Exemption

100% exemption on import and export duties within the free zone. Goods transiting through Jebel Ali Port benefit from simplified customs clearance.

No Minimum Capital Requirement

Unlike many jurisdictions, JAFZA does not impose a minimum share capital for company registration, lowering the entry barrier for startups and SMEs.

If you are deciding between a free zone and mainland structure, our guide on the differences between mainland and free zone companies can help you compare the options.

JAFZA Company Types

JAFZA offers four main entity structures, each suited to different business needs and ownership arrangements:

Entity Type Shareholders Best For Legal Status
FZE (Free Zone Establishment) 1 shareholder (individual or corporate) Solo entrepreneurs, single-owner businesses Separate legal entity
FZCO (Free Zone Company) 2 to 50 shareholders Partnerships, joint ventures, multi-investor projects Separate legal entity
Branch Office Extension of parent company Existing UAE or foreign companies expanding to JAFZA Not a separate legal entity
Offshore Company 1 or more shareholders International holding, asset protection, invoicing Separate legal entity (no physical office required)

An FZE is the most common choice for entrepreneurs starting a new business in Jebel Ali Free Zone, while an FZCO works well when multiple investors or partners are involved. If your existing company outside the UAE wants a presence in JAFZA without creating a new entity, a branch office provides a streamlined option.

JAFZA License Types and Business Activities

JAFZA supports over 1,500 business activities across seven license categories. Choosing the right license depends on your business model, industry, and operational scope:

Trading License

Import, export, and re-export of specific product categories within JAFZA.

General Trading License

Trade in a broad range of products without restriction to a single category. Ideal for diversified traders.

Industrial License

Manufacturing, processing, and assembly operations with access to industrial plots and warehousing.

Service / Professional License

Consulting, advisory, IT services, and knowledge-based businesses operating from JAFZA.

Logistics License

Distribution, storage, inventory management, and transportation services leveraging JAFZA’s port connectivity.

E-Commerce License

Online retail and digital commerce operations with fulfillment infrastructure support.

National Industrial License

Manufacturing with a higher percentage of local raw materials. Benefits include enhanced government incentives.

For a broader understanding of licensing across Dubai, see our overview of trade licenses in Dubai.

JAFZA Company Setup Cost (2026 Updated)

One of the most common questions about Jebel Ali Free Zone company setup is the total investment required. Below is a realistic cost breakdown based on current 2026 fee structures. Actual costs depend on your license type, business activities, and facility choice.

Fee Component Cost Range (AED) Notes
JAFZA License Fee (annual) AED 5,000 – 15,000 Depends on license type and number of activities
Registration Fee (one-time) AED 5,000 – 10,000 Company incorporation and registration
Flexi Desk (annual) AED 12,000 – 20,000 Supports 1-4 visa allocations
Executive Office (annual) AED 35,000 – 70,000+ Supports 5-12+ visa allocations
Visa Cost (per person) AED 4,600 – 7,000+ Includes entry permit, medical, Emirates ID, stamping
Health Insurance (per person/year) AED 600 – 800 Mandatory for all visa holders

Realistic First-Year Budget Estimates:

Solo entrepreneur with flexi desk + 1 visa: AED 40,000 – 60,000

Trading company with office + 3 visas: AED 80,000 – 120,000

Manufacturing setup with warehouse: AED 150,000+

These figures reflect government and JAFZA fees only. EBS provides a detailed cost proposal specific to your business activity and requirements — contact us for a personalized JAFZA license cost estimate.

How to Set Up a Company in Jebel Ali Free Zone

The JAFZA company formation process is fully digital and typically completed within 7 to 14 business days. Here is how it works:

1

Choose Your Entity and License Type

Select between FZE, FZCO, branch, or offshore. Pick the license category that matches your business activity.

2

Reserve a Trade Name

Submit your preferred company name for approval through the JAFZA portal. Names must comply with UAE naming conventions.

3

Submit Documents and Application

Upload required documents (passport copies, business plan, shareholder details) through the digital application system.

4

Lease a Facility

Select from flexi desks, executive offices, warehouses, or industrial plots. Your facility type determines your visa allocation quota.

5

Pay Fees and Sign the MOA

Complete fee payment and sign the Memorandum of Association. For FZCOs, the shareholders’ agreement is also executed at this stage.

6

Receive Your E-License

JAFZA issues your electronic trade license, establishment card, and immigration card — all processed digitally.

7

Open a Corporate Bank Account and Process Visas

With your license active, proceed to open a corporate bank account and apply for residence visas for yourself and your team.

EBS handles the entire process from initial consultation through license issuance, ensuring your application is complete and avoiding delays from missing documents or incorrect filings.

Documents Required for JAFZA Company Formation

The documentation requirements vary slightly depending on whether shareholders are individuals or corporate entities:

Individual Shareholders

  • Valid passport copy (minimum 6 months validity)
  • Passport-size photographs
  • Proof of residential address
  • Updated CV or professional resume
  • Business plan (for certain activities)
  • No Objection Certificate (if UAE resident)

Corporate Shareholders

  • Certificate of incorporation (attested)
  • Memorandum and Articles of Association
  • Board resolution authorizing JAFZA setup
  • Power of Attorney for authorized signatory
  • Latest audited financial statements
  • Passport copy of authorized signatory

All foreign documents must be attested by the relevant UAE embassy and the UAE Ministry of Foreign Affairs. Our PRO services team handles the full attestation process so you do not have to manage government procedures directly.

JAFZA Visa Allocation and Employee Visas

Your visa quota in Jebel Ali Free Zone is directly linked to your facility type and size. This is an important factor when planning your JAFZA setup:

Facility Type Visa Allocation
Flexi Desk 1 – 4 visas
Executive Office 5 – 12+ visas (based on office size)
Warehouse / Industrial Unit Based on facility size (typically 1 visa per 9 sqm of office space)
Land Plot Determined by JAFZA based on project scope

Each JAFZA employee visa costs approximately AED 4,600 to AED 7,000 in total, covering the entry permit (AED 1,200), medical examination (AED 320), Emirates ID (AED 370), residence visa stamping (AED 1,010 – 1,630), and labor card (AED 600). Health insurance is mandatory for all visa holders.

Business owners investing in a JAFZA company may also qualify for the UAE Golden Visa, granting 10-year residency. For more information on visa categories, see our guide on visa and labor laws for businesses in Dubai.

Corporate Tax and Compliance in JAFZA (2026)

A common misconception is that all free zone companies are tax-free. Under the UAE Corporate Tax Law effective since June 2023, JAFZA companies must actively qualify for preferential tax treatment:

Qualifying Free Zone Person (QFZP) Requirements

To benefit from the 0% corporate tax rate on qualifying income, your JAFZA company must:

  • Derive qualifying income from designated activities (manufacturing, processing, distribution, logistics, among others)
  • Maintain adequate substance in the free zone (employees, assets, expenditure)
  • Meet the de minimis revenue test — non-qualifying revenue must not exceed 5% of total revenue or AED 5 million, whichever is lower
  • Prepare audited financial statements
  • Not elect to be subject to the standard 9% rate

Non-qualifying income is taxed at the standard 9% corporate tax rate on profits exceeding AED 375,000. All JAFZA companies must register for corporate tax with the Federal Tax Authority (FTA), file annual returns within nine months of their financial year end, and maintain transfer pricing documentation for related-party transactions.

Additionally, the UAE e-invoicing mandate begins its phased rollout in July 2026. Businesses with annual revenue exceeding AED 50 million must adopt FTA-certified e-invoicing software for all B2B and B2G transactions through the national Peppol-based network. Smaller businesses will follow in subsequent phases.

JAFZA also requires companies to undergo an annual financial audit by an approved auditor, submit annual returns, and renew their license before expiry to avoid a penalty of AED 1,000 per month for late renewal. Our VAT and accounting services ensure you stay fully compliant from day one.

JAFZA vs Other Dubai Free Zones

If you are comparing Jebel Ali Free Zone with other popular options, here is how they stack up on the factors that matter most:

Factor JAFZA DMCC DAFZA
Best For Trading, manufacturing, logistics Commodities, crypto, consulting Aviation, logistics, tech
Port Access Direct (Jebel Ali Port) No direct port access Adjacent to DXB Airport
Warehousing Extensive options Limited Limited
License From AED 5,000/year AED 15,000/year AED 12,000/year
Number of Companies 11,000+ 24,000+ 1,900+
Offshore Company Available Not available Not available

JAFZA is the strongest choice for businesses that depend on physical trade, manufacturing, or supply chain operations. For a complete overview of all free zone options, visit our Dubai free zone company setup page.

Why Choose EBS for Your Jebel Ali Free Zone Company Setup

EBS is not just a company formation agent — we are recognized JAFZA-approved consultants with deep expertise in Jebel Ali Free Zone regulations, licensing, and compliance. This means your setup is handled by a team that understands JAFZA’s internal processes, documentation standards, and approval requirements firsthand.

End-to-End Setup

From initial consultation and activity selection through license issuance, bank account opening, and visa processing — one team handles everything.

Ongoing Compliance Support

We do not disappear after setup. Annual audits, license renewals, corporate tax filing, and regulatory changes — we keep your JAFZA company compliant year after year.

QFZP Tax Optimization

Our tax advisory team helps structure your JAFZA operations to meet Qualifying Free Zone Person requirements and maximize your 0% tax benefit.

Transparent Pricing

No hidden fees. We provide a clear, itemized cost breakdown before you commit so you know exactly what your JAFZA company setup will cost.

Frequently Asked Questions About JAFZA Company Setup

How much does it cost to set up a company in JAFZA?

The total first-year cost for a JAFZA company typically ranges from AED 40,000 for a basic flexi desk setup with one visa to AED 150,000+ for a full office or warehouse setup with multiple visas. License fees alone start from AED 5,000 per year depending on the license type and number of business activities.

What is the difference between a JAFZA FZE and FZCO?

An FZE (Free Zone Establishment) has a single shareholder — either an individual or a corporate entity. An FZCO (Free Zone Company) has two to fifty shareholders. Both are separate legal entities with the same benefits. Choose FZE if you are a sole owner, and FZCO if you have partners or co-investors.

How long does JAFZA company formation take?

The standard processing time is 7 to 14 business days from submission of complete documents to license issuance. With EBS handling your application, we ensure all documentation is properly prepared to avoid delays.

Is JAFZA tax-free in 2026?

Not automatically. JAFZA companies that qualify as a Qualifying Free Zone Person (QFZP) pay 0% corporate tax on qualifying income. Non-qualifying income is subject to the standard 9% corporate tax rate on profits exceeding AED 375,000. VAT at 5% also applies if your annual turnover exceeds AED 375,000.

How many visas can I get with a JAFZA license?

Your visa quota depends on your facility type. A flexi desk supports 1 to 4 visas, an executive office supports 5 to 12+ visas depending on size, and warehouses or industrial units provide allocations based on square footage — typically 1 visa per 9 sqm of office space within the facility.

Can I do business outside JAFZA with a free zone license?

JAFZA companies can trade internationally without restrictions. For selling directly to the UAE mainland market, you can now access mainland business through the Mainland Permit for Free Zone Companies framework introduced under the new regulations, or by appointing a local distributor.

What are the JAFZA license renewal requirements?

Licenses must be renewed annually before the expiry date. JAFZA imposes a late renewal penalty of AED 1,000 per month. Renewal requires submission of audited financial statements, a valid lease agreement, and clearance of any outstanding fees. Companies that fail to renew within six months may face deregistration.

Can I set up an offshore company in JAFZA?

Yes. JAFZA offers offshore company registration starting from approximately AED 10,100 with annual renewal around AED 2,500. Offshore companies do not require a physical office, do not receive visa allocation, and are commonly used for holding assets, international invoicing, and investment structuring.

Do I need an auditor for my JAFZA company?

Yes. JAFZA requires all registered companies to submit audited financial statements annually as part of the license renewal process. The audit must be conducted by a JAFZA-approved auditor. Additionally, corporate tax filing requires audited financials for QFZP status qualification.

What business activities are allowed in JAFZA?

JAFZA supports over 1,500 business activities across trading, industrial, service, logistics, and e-commerce sectors. These include general trading, food manufacturing, IT consulting, warehousing, automotive distribution, pharmaceutical storage, and many more. EBS can help you identify the right activities for your business model.


Disclaimer: The information on this page reflects current JAFZA regulations and fee structures as of early 2026. Government fees, visa costs, and regulatory requirements are subject to change without notice. Specific costs and timelines may vary based on your business activity, nationality, and individual circumstances. This content is for informational purposes only and does not constitute legal, tax, or financial advice. Contact EBS at +971 55 378 8000 for personalized guidance tailored to your situation.

How to Set Up a Business in JAFZA?

for more details call +971 55 378 8000 or e-mail us in info@ebsuae.com

Send us a quick enquiry
Drop in your details and we will call you back

Get a Quote