Free zone rules checked on 12 November 2026
The short answer
IFZA and Meydan are both solid choices for a small company, and the main difference is how they handle visas. At IFZA, you pick your number of visas when you buy the licence. At Meydan, you start with the licence and add visas one at a time when you need them. Meydan is quicker to start. IFZA rewards you more for paying 3 or 5 years ahead.
Both are Dubai free zones. Both give you 100% foreign ownership, a flexi-desk and the same UAE tax rules. So the right choice depends on your activity, your partners and how many visas you need over the next few years. Year-one cost is close enough that it rarely decides it: get your own figure for both zones with our free cost calculator.
IFZA vs Meydan at a glance
| IFZA | Meydan Free Zone | |
|---|---|---|
| Where | IFZA Business Park, Dubai Silicon Oasis | The Meydan Hotel area, Dubai |
| How visas work | Chosen upfront: the licence package is priced by the number of visas | Pay as you go: add each visa when you need it |
| Residence visa | 2-year visa for owners and employees | 2-year investor and employee visas |
| Activities included | 3, then up to 7 more at extra cost (10 in total) | Up to 3 activity groups, extra cost from the 4th |
| Mixing service and trading activities | Separate cross-activity fee (sometimes waived in offers) | No separate fee listed |
| Shareholders included | 3 individuals; extra fee for more, or for a company shareholder | Up to 6; extra fee for more |
| Setup speed (zone's own claim) | No timeline published | Within 24 hours; "Fawri" licence in under 60 minutes for eligible activities |
| Paying several years ahead | Discount grows with each extra year (2, 3 or 5 years) | One flat discount on the licence for 2+ years |
| Process | Fully online, e-signature | Fully online, including payment |
Sources and dates are at the end of this article.
What it costs you
Costs in both zones change with the same things: how many visas you need, how many partners and activities you have, whether you are already in the UAE, and how many years you pay for. Fees and offers change often, so a figure printed here could be out of date by the time you read it.
To see the cost for your own case, use our free cost calculator, or book a call and we'll work it out with you for both zones.
Want your exact numbers for both zones? In a free 30-minute Zoom call we check that your activity is allowed in each zone and show you what each one costs you over three years. Book my free 30-minute call · WhatsApp us
How visas work in each zone
This is the biggest difference between the two.
At IFZA, you choose your visa number when you buy the licence. The package price rises with each visa you include, up to four or more. Each visa is then issued separately. Adding visas later means upgrading the package, and IFZA charges an amendment fee for that.
At Meydan, the licence stays the same and you add visas one by one. Each visa carries a yearly allocation fee plus the visa itself. You pay for a visa when you need it, not upfront.
So if you know you want two or three visas from day one, IFZA's packages are easy to plan. If you start alone and may hire later, Meydan's pay-as-you-go model means you don't pay for visas you are not using yet.
In both zones, every visa holder also needs a medical test and Emirates ID biometrics in the UAE. If you are already in the UAE when the visa is issued, both zones add a change-of-status step.
Activities: what your licence can cover
Both zones include three activities or groups in the base licence, which is enough for most consultants and online businesses.
- IFZA includes 3 activities. You can add up to 7 more, each for an extra fee. Putting service (professional) and trading (commercial) activities on one licence normally costs extra, and general trading has its own higher fee. IFZA has run offers that waive both, so check what applies on the day you buy.
- Meydan lets you choose from more than 2,500 activities and combine up to 3 activity groups. From the 4th group, each activity costs extra.
A "group" at Meydan can hold several related activities, so you may fit more on one Meydan licence before paying extra. Check your exact activities in each zone's list before comparing. Some activities need a separate approval from a government body (for example, health, education or media), and that can take longer in either zone.
Partners and shareholders
- IFZA includes 3 individual shareholders. Each extra person, or a company as shareholder, adds a fee.
- Meydan includes up to 6 shareholders. Each extra one adds a yearly fee.
For a solo founder or two partners, this makes no difference. With four to six partners, Meydan's package covers everyone with no extra shareholder fee.
Setup speed and paperwork
Meydan says a standard licence is usually issued within 24 hours, and its "Fawri" licence in under 60 minutes for eligible activities. The whole process, including payment, runs online, and non-residents can set up remotely.
IFZA doesn't publish a timeline. Its process is also online: you upload documents, sign the e-forms, approve the articles of association by e-signature and receive the licence by email.
In both zones, the licence is fast. The visa takes longer, because every visa holder must do a medical test and Emirates ID biometrics in person in the UAE. Plan your trip around that, not around the licence.
Paying for several years
Both zones reward you for paying ahead, in different ways.
- IFZA offers 2-, 3- and 5-year licences, and the discount gets bigger the longer you commit. A multi-year licence is still issued for one year at a time, with a multi-year letter and automatic renewal.
- Meydan gives one discount on the licence when you pay for 2 years or more.
Over five years, IFZA's deal is the bigger saving. If you are not sure the business will run that long, a one-year start keeps you flexible in either zone.
Without a multi-year deal, plan for the licence to renew at about the same price as the first year in both zones, plus the establishment card renewal and your visa renewals every two years.
Which one fits you?
Meydan may fit you if:
- you want the licence fast and want to do everything online;
- you start without a visa or with one, and may add visas later;
- you have four to six partners;
- your activities fit inside three groups.
IFZA may fit you if:
- you know how many visas you need from the start;
- you want to pay for 3 or 5 years and get the bigger multi-year saving;
- you need more than three separate activities (up to 10 in total);
- you want an office base in Dubai Silicon Oasis.
Both work well for consultants, agencies, IT and online businesses. Both can invoice mainland UAE companies and clients abroad for services. If you plan to open a shop, a restaurant or sell directly to consumers from a UAE location, you need a mainland licence instead. See mainland company formation.
What about DMCC? DMCC is a large, premium Dubai zone built around commodities and trading. For most small service companies it isn't a low-cost option, and other zones allow similar activities for less.
Tax is the same in both
Tax rules in the UAE are federal, so the zone doesn't change your tax. Every free zone company registers for corporate tax: 0% on taxable profit up to AED 375,000 and 9% above it. A Qualifying Free Zone Person can pay 0% on qualifying income if it meets every condition, including audited accounts. VAT is 5%, and registration is mandatory once your taxable sales pass AED 375,000 a year. See UAE corporate tax.
So choose between IFZA and Meydan on activities, visas, partners and the multi-year deal, never on tax.
Other zones to compare
IFZA and Meydan are two of the most popular Dubai zones, but they aren't the only options. Zones in Sharjah and Ras Al Khaimah are often cheaper to start, and a free zone visa lets you live in Dubai wherever your company is registered. See the cheapest free zone in the UAE and the full list of UAE free zones. For each zone in detail: IFZA · Meydan.
Frequently asked questions
Is IFZA or Meydan cheaper?
For one founder with one visa, year one is close in both zones, so cost alone rarely decides it. Meydan can work out cheaper if you start without visas and add them later. IFZA can work out cheaper over 3 to 5 years thanks to its bigger multi-year discount. Our free cost calculator at /calculate-cost/ or a free 30-minute call gives you the figure for your own case.
Which is faster to set up, IFZA or Meydan?
Meydan says its standard licence is issued within 24 hours and its Fawri licence in under 60 minutes. IFZA doesn't publish a timeline. In both zones, the residence visa takes longer than the licence, because the medical test and biometrics are done in person in the UAE.
Can I get a residence visa with an IFZA or Meydan licence?
Yes. Both zones issue 2-year UAE residence visas to owners and employees. At IFZA, you choose the number of visas in your licence package. At Meydan, you add visas one by one, each with a yearly allocation fee.
Can an IFZA or Meydan company work with mainland UAE clients?
Yes, both can invoice mainland companies and clients abroad for services. A shop, restaurant or other premises that sells directly to the public in the UAE needs a mainland licence.
Do IFZA and Meydan companies pay the same tax?
Yes. Corporate tax and VAT are federal: 0% corporate tax up to AED 375,000 of taxable profit and 9% above, with 0% possible on qualifying income for a Qualifying Free Zone Person. VAT is 5%. The zone you pick doesn't change this.
Does the licence cost the same when I renew?
In both zones, the licence renews at about the same price as the first year. Add the establishment card renewal, any yearly visa allocation fees at Meydan, and visa renewals every two years. Paying for several years upfront lowers the yearly cost.
Zone rules are taken from each free zone's own published documents on 12 November 2026. They change often, and offers come and go. Always check the zone's current terms before you decide.
Get your three-year cost for both zones
In a free 30-minute Zoom call we check that your activity is allowed in IFZA and Meydan, and show you what each costs over three years with your visas and partners. Our multilingual team works with founders from all over the world. You can also start with our free cost calculator.
Book my free 30-minute call · WhatsApp +971 52 713 7661
Sources
Checked on 12 November 2026.
- IFZA, 2026 Price List for New Licenses (October 2026 edition): licence packages priced by number of visas; 2-, 3- and 5-year licences with rising discounts; multi-year licences issued for one year with a multi-year letter. IFZA doesn't publish this list on ifza.com.
- IFZA, Schedule of Fees (revision 0906): 3 activities included, up to 7 extra; cross-activity and general trading fees; 3 individual shareholders included; establishment card and renewal; 2-year residence visa; change of status; investor or partner visa add-on.
- IFZA, Set up your business: online process, e-signed articles of association, licence sent by email; headquarters at IFZA Business Park, Dubai Silicon Oasis.
- Meydan Free Zone, meydanfz.ae: flexi-desk and up to 3 activity groups in the base licence; more than 2,500 activities; Fawri licence; investor and employee visas; medical and Emirates ID assistance; multi-year savings.
- Meydan Free Zone, base trade licence page on meydanfz.ae: what the base licence includes and excludes; issued within 24 hours; visas pay as you go.
- Meydan Free Zone, Cost calculator: yearly allocation fee per visa; extra fee per activity from the 4th group; up to 6 shareholders included; change of status (calculator rules read on 30 October 2026).
- Federal Tax Authority, tax.gov.ae: corporate tax 0% up to AED 375,000 and 9% above; Qualifying Free Zone Person; VAT 5%, mandatory registration above AED 375,000.
- u.ae, Running a business in a free zone
Next step: Business setup in Dubai
