RAKEZ Free Zone: 2026 Costs and the Trade-Offs
RAKEZ (Ras Al Khaimah Economic Zone) offers some of the cheapest company formation in the UAE: 2026 packages start at AED 5,750 to 12,000, with annual license fees of AED 5,000 to 15,000 depending on activity. With one visa and an establishment card, a realistic RAKEZ first year lands near AED 11,000 to 14,000: well below a Dubai-zone equivalent, from about 25-40% under Dubai South and Meydan to roughly half of IFZA and a quarter of DMCC.
RAKEZ Cost Table (2026)
RAKEZ pricing in 2026 starts at AED 5,750 to 12,000 for entry formation packages, with annual licenses of AED 5,000 to 15,000 and a realistic one-visa first year of about AED 11,000 to 14,000; the table lists the three figures.
| Item | 2026 range (AED) |
|---|---|
| Entry formation package | 5,750–12,000 |
| Annual license (by activity) | 5,000–15,000 |
| Realistic first year, 1 visa | ~11,000–14,000 |
Ranges per 2026 guides by SafeLedger, UAE Freezone Compare, and Dahhan Biz (cheapest-zones comparison). RAKEZ runs promotions through the year; confirm the live package sheet before payment.
What the Low Price Buys, and What It Does Not
The RAKEZ license is a full UAE free zone company: 100% foreign ownership, profit repatriation, UAE residence visa eligibility, and access to the 0% qualifying-income corporate tax rate on the same QFZP terms as any Dubai zone. What the price does not buy is Dubai: the company address is Ras Al Khaimah (about an hour from Dubai), some customers and suppliers read RAK addresses as less established, and UAE bank compliance teams screen budget-zone applications more slowly than DMCC or JAFZA files. For a remote consultancy or a holding entity these trade-offs often cost nothing; for a customer-facing Dubai brand they can matter more than the savings, which run from a few thousand dirhams against Dubai South to AED 14,000+ against IFZA in year one.
RAKEZ Setup Steps and Visas
A RAKEZ company forms in four steps, with visas reported at about 5 business days and priced at roughly AED 3,000 to 5,000 all-in per person.
- Pick the package (business-center desk, flexi, office, or an industrial-park facility) and activities.
- Submit passports and the application; RAKEZ processes clean files in days, with visas reported at about 5 business days.
- Pay the invoice, receive the license, then the establishment card.
- Add residence visas at roughly AED 3,000 to 5,000 all-in per person (permit, medical, Emirates ID, stamping).
RAKEZ vs the Other Budget Zones
Four options compete at the budget end of the UAE license market: SHAMS from AED 5,750, RAKEZ from about AED 5,750 to 6,100, Ajman Free Zone from about AED 6,000, and Dubai South from AED 8,500 as the cheapest Dubai address; the table compares them.
| Zone | Entry price (AED/yr) | Note |
|---|---|---|
| SHAMS (Sharjah Media City) | from 5,750 | Cheapest zero-visa permits; media/creative slant, broad in practice |
| RAKEZ | from ~5,750–6,100 | Widest activity list among budget zones; industrial parks available |
| Ajman Free Zone | from ~6,000 | Comparable pricing; smaller ecosystem |
| Dubai South | from 8,500 | The cheapest zone with a Dubai address |
The decision rule: if the address on the invoice does not matter to your customers, the budget zones are the rational choice; if it does, the premium for Meydan, IFZA, or DMCC is a marketing cost, not a licensing cost. The full cross-zone table is on the comparison page, and the cheapest-zones guide covers the traps in detail.