IFZA vs Meydan vs RAKEZ: Which Free Zone is Best for Your Business Setup in Dubai?
When it comes to setting up a company in a UAE free zone, choosing the right jurisdiction is one of the most important decisions you’ll make. With over 40+ free zones across the Emirates—each offering unique benefits, cost structures, and sector-specific incentives—the choice can feel overwhelming.
Among the most popular options are IFZA (International Free Zone Authority), Meydan Free Zone, and RAKEZ (Ras Al Khaimah Economic Zone). All three are known for their flexible licensing packages, investor-friendly policies, and ease of business setup.
Whether you are a freelancer, startup founder, or a growing company looking to expand in the UAE, understanding the key differences between these free zones is crucial. From license costs and visa quotas to location advantages and business activity approvals, this guide will help you make an informed decision.
Why Choose a Free Zone in the UAE?
The UAE’s free zones are internationally recognized for offering 100% foreign ownership, tax benefits, and streamlined company registration. They are particularly attractive for entrepreneurs who want full control of their business, industry-focused support, and simplified processes compared to Mainland setups.
Let’s compare IFZA, Meydan, and RAKEZ to see which one best fits your goals.
IFZA Free Zone – Dubai Silicon Oasis
The International Free Zone Authority (IFZA) is one of Dubai’s most cost-effective and flexible free zones. Located in Dubai Silicon Oasis, it gives businesses a strategic address while keeping setup costs relatively low.
Key Benefits of IFZA
Affordable Packages – License costs start from AED 14,900*, making it one of the best-value options in Dubai.
Fast Registration – Business setup is possible in just 2–3 working days.
Flexible Licensing – Combine multiple activities under a single license.
Prestigious Location – Based in Dubai, with access to global markets and advanced infrastructure.
100% Ownership – Full rights over profits and capital.
Best for: Startups, SMEs, freelancers, and digital businesses looking for a Dubai presence at affordable rates.
Meydan Free Zone – Central Dubai
Situated near the iconic Meydan Hotel and Racecourse, Meydan Free Zone is perfect for entrepreneurs seeking a central Dubai address without heavy compliance requirements.
Key Benefits of Meydan Free Zone
Prime Location – Adds credibility and prestige to your business.
Flexible Licensing Options – Affordable and upgradeable packages.
No Audit Requirement – Saves time and reduces annual costs.
100% Foreign Ownership – No local partner required.
Mix of Activities – Run multiple services or product lines under one license.
Best for: Consultants, e-commerce businesses, influencers, and digital service providers who value a premium Dubai image.
RAKEZ Free Zone – Ras Al Khaimah
The Ras Al Khaimah Economic Zone (RAKEZ) is one of the UAE’s most affordable and versatile free zones. It attracts everyone from solo entrepreneurs to large industrial companies.
Key Benefits of RAKEZ
Ultra-Low Setup Cost – License packages start from just AED 12,000*.
Industrial & Warehousing Facilities – Ready-to-use warehouses and land plots for manufacturing.
Excellent Connectivity – Easy access to ports, airports, and highways.
Wide Range of Activities – From freelancers to full-scale factories.
Custom Solutions – Packages tailored for trading, logistics, or production businesses.
Best for: Manufacturing, logistics, trading, and cost-conscious entrepreneurs.
Cost Comparison – IFZA vs Meydan vs RAKEZ
| Free Zone | Starting License Cost | Location | Best For |
|---|---|---|---|
| IFZA | AED 14,900* | Dubai Silicon Oasis | SMEs, consultants, tech startups |
| Meydan | AED 16,500* | Central Dubai | Freelancers, digital businesses, e-commerce |
| RAKEZ | AED 12,000* | Ras Al Khaimah | Budget startups, industrial businesses |
Note: Prices may vary depending on business activity and package selection.
How to Choose the Right Free Zone
When selecting between IFZA, Meydan, and RAKEZ, consider the following:
Business Activity – Tech startups fit well in IFZA, digital/e-commerce companies in Meydan, and industrial or trading businesses in RAKEZ.
Budget – RAKEZ offers the lowest entry cost, IFZA provides a balance of affordability and location, while Meydan offers prestige at a slightly higher price.
Location Preference – IFZA and Meydan provide a Dubai address, while RAKEZ offers cost savings outside Dubai.
Growth Plans – Look for zones that allow easy upgrades, additional visas, or expansion.
Facilities Needed – If you need warehouses or industrial space, RAKEZ is the top choice.
Final Word – Which Free Zone Should You Choose?
Choose IFZA if you want a fast, flexible, and affordable Dubai setup.
Choose Meydan if you need a prestigious Dubai location with minimal compliance requirements.
Choose RAKEZ if you’re looking for a low-cost setup with industrial or logistics support.
Why Partner with Legallands?
Navigating free zone options can be complex, but Legallands makes the process seamless. From identifying the right free zone to handling documentation, licensing, and compliance, our experts ensure your business is set up quickly and cost-effectively.
Whether you choose IFZA, Meydan, or RAKEZ, Legallands helps you make the right decision based on your business activity, budget, and future growth plans.
Your vision, our expertise — Legallands helps you unlock Dubai’s business potential.
FAQs – Best Location for Business Setup in Dubai
Q1. Which free zone is the cheapest: IFZA, Meydan, or RAKEZ?
RAKEZ is generally the most cost-effective option, with business license packages starting around AED 12,000. IFZA is also affordable, while Meydan is slightly higher due to its central Dubai location.
Q2. Which free zone is best for startups and freelancers?
IFZA and Meydan are both excellent for startups, consultants, and freelancers due to their flexibility, quick setup, and ability to combine multiple business activities under one license.
Q3. Which free zone should I choose for trading or manufacturing?
RAKEZ is ideal for trading, logistics, and manufacturing businesses because it offers industrial facilities, warehouses, and land plots at competitive rates.
Q4. Can I get 100% ownership in these free zones?
Yes. IFZA, Meydan, and RAKEZ all offer 100% foreign ownership, repatriation of profits, and no requirement for a local sponsor.
Q5. How long does it take to set up a company in these free zones?
Company registration in IFZA or Meydan can be completed in 2–3 working days. RAKEZ may take slightly longer depending on the type of business and required approvals.
Q6. Which free zone gives me a Dubai address?
Both IFZA (Dubai Silicon Oasis) and Meydan (central Dubai) provide Dubai addresses. RAKEZ, however, is located in Ras Al Khaimah.
Q7. Do I need an office space to set up in these free zones?
Not necessarily. All three zones offer flexible options including virtual offices, shared desks, and physical office facilities depending on your package and business needs.
Q8. Can I upgrade my license or add more visas later?
Yes, IFZA, Meydan, and RAKEZ all allow businesses to expand their licenses, add new activities, or increase visa quotas as they grow.
Sanjay Mishra is a seasoned legal professional and content contributor at LEGALLANDS LLP, bringing deep expertise in corporate business consultant, taxation, and regulatory compliance. With years of experience advising businesses on legal structuring and operational governance, he provides pragmatic insights that blend statutory knowledge with business strategy.
At Legallands.com, Sanjay writes analytical articles on company formation, financial regulation, dispute resolution, and policy reforms, helping readers understand complex legal frameworks in a simplified, practical manner.
His work reflects a strong commitment to clarity, precision, and integrity in legal communication, empowering enterprises to make informed, compliant, and growth-oriented decisions.
