By Adil Ahmad | Business Setup Consultant, UAE Free Zones
Summary
IFZA, DMCC and RAKEZ cover three price tiers. RAKEZ is the budget choice, with official packages from AED 6,000 and AED 14,000 including one visa. IFZA is the mid-range Dubai option, with partner quotes from about AED 12,900. DMCC is the premium JLT address, with packages from about AED 35,000. Choose by budget, address, activities and whether you need commodity or industrial space.
These three free zones come up in almost every first consultation I run. A founder with a tight budget hears about RAKEZ. A consultant wants a Dubai address and hears about IFZA. A trader with bigger plans hears about DMCC. Very often, all three are on the table at once.
They are not really competitors. Each serves a different tier of business, with different costs, addresses and strengths. This three-way comparison uses each free zone’s own published figures where they exist, and ends with a decision guide and first-year cost table for three common business profiles.
IFZA vs DMCC vs RAKEZ: The Three-Tier Decision
| Factor | RAKEZ | IFZA | DMCC |
|---|---|---|---|
| Tier | Budget | Mid-range Dubai | Premium Dubai |
| Emirate | Ras Al Khaimah | Dubai | Dubai |
| Location | Business and industrial zones across RAK | IFZA Business Park, Dubai Silicon Oasis | Jumeirah Lake Towers (JLT) and Uptown Dubai |
| Entry price | From AED 6,000 (official) | About AED 12,900 zero-visa (partner quotes) | From about AED 35,000 with 1 visa (official) |
| Activities per licence | Up to 10 on main packages | Up to 3 | 900+ approved activities across 20 sectors |
| Company base | 50,000+ (RAKEZ figure) | Not officially published | 26,000+ (DMCC figure) |
| Stand-out strength | Industrial land, warehouses, low cost | Dubai address at sensible cost | Commodity ecosystems, prestige, Tradeflow |
Quick verdict:
- Lowest cost or physical space: RAKEZ
- Dubai address on a budget: IFZA
- Commodity trading, premium address or specialist ecosystem: DMCC
Cost: IFZA vs DMCC vs RAKEZ Package Prices
Here are the prices each free zone publishes. They change often, so always ask for a written quote.
RAKEZ (RAKEZ packages, Biz Starter, Instant Licence):
- Biz Starter: AED 6,000, up to 10 activities and 50 shareholders, co-working membership, aimed at UAE-based entrepreneurs
- Instant Licence Basic: AED 6,000 (1 activity); Lite: AED 12,000 (5 activities, 1 visa)
- All-Inclusive: AED 14,000 a year with 1 residence visa, 10 activities and a shared workstation; extra visas at AED 4,000 each, up to 3 more
IFZA: IFZA does not publish a fixed price list. Packages are grouped by visa allocation, and partners commonly quote zero-visa licences from about AED 12,900.
DMCC (DMCC packages):
- Basic Biz: AED 35,484 with 1 visa, for individual shareholders
- Jump Start: AED 43,780 with flexi desk or AED 49,941 with co-working, 1 visa included
- Prime Plus: AED 40,145 for 1 year, no visa or office, for medium and large companies
- Crypto, Gaming and AI Centre packages: AED 31,000 each
- JLT Resident: AED 29,205
The honest takeaway: many guides quote “DMCC from AED 50,000+” and “RAKEZ from AED 7,500”. Official prices are lower on both: DMCC from about AED 35,000 with a visa, and RAKEZ from AED 6,000.
Corporate tax is the same in all three. Free zone companies may pay 0% on qualifying income only if they meet the Qualifying Free Zone Person conditions in the Federal Tax Authority guide. Other taxable income is taxed at 9%.
Location and Address Prestige Compared
DMCC sits in Jumeirah Lake Towers and Uptown Dubai. DMCC reports 26,000+ member companies and describes itself as a nine-time Global Free Zone of the Year winner. A JLT address carries weight with banks, commodity buyers and international partners.
IFZA sits at IFZA Business Park in Dubai Silicon Oasis, under the Dubai Integrated Economic Zones Authority created by Dubai Law No. 16 of 2021. It gives you a genuine Dubai address without premium rent.
RAKEZ is in Ras Al Khaimah, with business zones (Al Nakheel and Al Hamra) and industrial zones (Al Ghail, Al Hamra and Al Hulaila), according to RAKEZ. It is roughly an hour or more by road from Dubai, depending on traffic.
Does prestige matter for you? If your clients are Dubai corporates, banks or commodity buyers, the address matters. If you sell online or overseas, cost and activities matter more.
Activities, Sectors and License Scope
RAKEZ lists 3,000+ activities across 50+ sectors and lets you mix and match up to 10 activities on its main packages. It also offers industrial licences, warehouses and land, which suits manufacturing, logistics and trading businesses.
IFZA issues Commercial and Professional licences. IFZA states that a licence can hold up to three activities chosen by the shareholders. That covers most consultants, agencies, IT firms and online sellers.
DMCC offers Service, Trading, Commercial and Industrial licences, according to its licence guide. Its specialist ecosystems include gold, diamonds, tea, coffee, energy, crypto, AI and gaming. DMCC’s Tradeflow platform lets commodity traders register and pledge title to stored goods for trade finance.
Rule of thumb:
- Need many unrelated activities? RAKEZ.
- Need up to three service activities with a Dubai address? IFZA.
- Need commodity, crypto, AI or gaming ecosystems? DMCC.
Visa Packages and Office Options
RAKEZ: the All-Inclusive package includes 1 residence visa and a shared workstation, with up to 3 extra visas at AED 4,000 each and 20% off dependent visas. Larger quotas come with bigger offices, warehouses or land.
IFZA: packages start at zero visas and scale by visa count, with upgrades later. IFZA’s flexi desk guide describes a Flexi Desk with 10 hours of access a week, a Flexi Desk+ with unlimited dedicated desk access, and private offices.
DMCC: Basic Biz and Jump Start each include 1 visa with a flexi desk or co-working space. More visas usually mean moving to a larger office in the JLT towers or Uptown Dubai.
Remember: each visa also carries medical, Emirates ID and insurance costs. For staff budgeting, see our guide on the 2-year Dubai employment visa price.
Which Is Right for You? Decision by Business Profile
Here is how I match the three zones to common profiles. The first-year figures use official package prices where published; IFZA is a partner quote.
| Profile | Best fit | Official first-year package signal | Why |
|---|---|---|---|
| A: Solo startup or consultant, 1 visa | RAKEZ or IFZA | RAKEZ All-Inclusive AED 14,000 with 1 visa; IFZA quote-based with visa | Low cost; IFZA adds a Dubai address |
| A2: Consultant, no visa yet | RAKEZ or IFZA | RAKEZ Instant Basic AED 6,000; IFZA about AED 12,900 | Cheapest legal licence |
| B: Commodity trader | DMCC | Jump Start AED 43,780 with 1 visa and flexi desk | Commodity ecosystems and Tradeflow |
| C: Manufacturer or warehouse-based trader | RAKEZ | Package plus warehouse or land lease (quote-based) | Industrial zones and land |
| D: Crypto, AI or gaming startup | DMCC | Centre package AED 31,000 | Specialist community |
Budget tier: RAKEZ and IFZA. Mid tier: IFZA visa packages. Premium: DMCC.
Need help deciding? Our team prepares like-for-like quotes for all three as part of your business setup in Dubai. You can also read our DMCC free zone guide and our breakdown of the cost of a trade license in Dubai.
FAQs
Which is cheapest: IFZA, DMCC or RAKEZ?
RAKEZ is the cheapest on published prices, with packages from AED 6,000 and AED 14,000 including one visa. IFZA is mid-range, with partner quotes from about AED 12,900 without a visa. DMCC is the most expensive, with packages from about AED 35,000.
Is DMCC worth the extra cost?
DMCC is worth it if you trade commodities, need its crypto, AI or gaming ecosystems, or rely on a premium JLT address. For most consultants and small service businesses, IFZA or RAKEZ offer better value.
Which is better for a startup: IFZA or RAKEZ?
Choose IFZA if you want a Dubai address and need up to three activities. Choose RAKEZ if cost is your priority, you need more activities, or you are comfortable being based in Ras Al Khaimah.
How many activities can I have in IFZA, DMCC and RAKEZ?
IFZA allows up to three activities per licence. RAKEZ’s main packages allow up to 10. DMCC offers 900+ approved activities across four licence types; check how many your package includes.
Can I live in Dubai with a RAKEZ visa?
A UAE residence visa from a RAKEZ company generally lets you live anywhere in the UAE, including Dubai. Your company’s licensed premises stay in Ras Al Khaimah.
Which free zone is best for manufacturing?
RAKEZ is the strongest of the three for manufacturing, with industrial zones, warehouses and land. DMCC offers industrial licences too, but at a higher cost.
Do IFZA, DMCC and RAKEZ companies pay corporate tax?
All three fall under UAE corporate tax. The 0% rate applies only to qualifying income for companies meeting the Qualifying Free Zone Person conditions. Other taxable income is taxed at 9%.
