Rules as of 29 October 2026. Checked against Dubai Executive Council Resolution No. 11 of 2025 (Dubai Legislation Portal), the Dubai Media Office and the Department of Economy and Tourism (DET).
The short answer: yes, a Dubai Free Zone company can now work directly with clients on the Dubai mainland, with the right permit or licence from Dubai's Department of Economy and Tourism (DET). The rules come from Executive Council Resolution No. 11 of 2025. Since October 2025, DET issues a Free Zone Mainland Operating Permit, valid for six months and renewable, through the Invest in Dubai platform. Revenue from mainland work is subject to 9% corporate tax.
What changed
A Free Zone company could always sell to mainland companies, for example by invoicing a mainland client for services delivered from the Free Zone. What it couldn't do was operate on the mainland: run a shop, work from a client's site as a local business, or take on mainland projects in its own name without a mainland licence. Resolution No. 11 of 2025 creates a regulated route to do that inside the Emirate of Dubai.
The three options under the resolution
| Option | What it is |
|---|---|
| Mainland Operating Permit | A temporary permit for specific activities, valid for up to six months and renewable |
| Branch licence for a branch operating out of the Free Zone | A DET licence for the Free Zone company's mainland operations |
| Branch licence in the emirate | A separate mainland branch of the Free Zone company |
The resolution applies to companies licensed by Dubai Free Zone authorities. Companies licensed in the Dubai International Financial Centre (DIFC) are excluded.
The Free Zone Mainland Operating Permit
- Who: Free Zone companies holding a Dubai Unified Licence (DUL)
- Where to apply: digitally, through the Invest in Dubai platform
- Validity: six months, renewable every six months
- Activities in the first phase: non-regulated activities such as technology, consultancy, design, professional services and trading. Regulated sectors are planned for later.
- Staff: permit holders can use their existing staff for mainland work
Corporate tax: 9% on mainland revenue
DET's announcement says Free Zone companies doing mainland work are subject to 9% corporate tax on the related revenue. For a Qualifying Free Zone Person, this matters: revenue from mainland customers is generally not qualifying income, and too much non-qualifying income (more than 5% of total revenue or AED 5 million, whichever is lower) can cost the company its 0% status for all its income. Keep mainland revenue tracked separately in your books. See corporate tax in the UAE.
Permit or mainland company?
| Your situation | Likely best route |
|---|---|
| A few mainland projects a year, non-regulated activity | Mainland Operating Permit |
| Mainland clients are a large share of your business | Branch licence, or a separate mainland company |
| Shop, restaurant or walk-in customers | Mainland company |
| You only invoice mainland clients from the Free Zone | Often no permit needed; check your activity and your zone's rules |
Not sure which applies? Tell us your activity and clients on a free call. See also Free Zone company setup.
Questions
Can a Dubai Free Zone company work on the mainland?
Yes, with a permit or licence from Dubai's Department of Economy and Tourism under Executive Council Resolution No. 11 of 2025. DIFC companies are excluded.
How long is the Free Zone Mainland Operating Permit valid?
Six months, renewable for further six-month periods.
Which activities are covered?
In the first phase, non-regulated activities such as technology, consultancy, design, professional services and trading. Regulated sectors are planned for later phases.
Do I pay corporate tax on mainland work?
Yes. DET says Free Zone companies doing mainland work are subject to 9% corporate tax on the related revenue.
Can a Free Zone company sell to mainland companies without a permit?
A Free Zone company can trade with mainland companies. Operating on the mainland (working there as a local business) is what needs the DET permit or licence.
Sources
- Executive Council Resolution No. 11 of 2025 (Dubai Legislation Portal)
- Dubai Media Office: Dubai launches Free Zone Mainland Operating Permit (8 October 2025)
- Department of Economy and Tourism press release
- UAE government portal: running a business in a Free Zone
Next step: Compare Free Zones
