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Umm Al Quwain Free Zone Licence Cost: The Authority Publishes Two Packages

UAQ FTZ publishes its own packages: LYTE at AED 5,500 and START at AED 12,500. See what each bundles, the DED fork, and costs outside the headline.

umm al quwain free zone licence cost

Umm Al Quwain Free Trade Zone is a rare exception to the free zone pricing fog: the authority itself publishes two all-inclusive packages on its own website. UAQ LYTE, its no-visa package, is AED 5,500, and UAQ START, which bundles one residence visa with the licence, is AED 12,500 — both as published by UAQ FTZ. Your real choice is therefore not the headline; it is LYTE versus START, and free zone versus a UAQ mainland licence.

Basis: Umm Al Quwain Free Trade Zone Authority

UAQ LYTE package — as published by the authority
AED 5,500 for the no-visa package: registration and licence, co-working space with lease agreement, bank account opening assistance

Umm Al Quwain Free Trade Zone Authority, uaqftz.gov.ae

UAQ START package — as published by the authority
AED 12,500 including one residence visa, medical test, Emirates ID, medical insurance, establishment card and E-Channel

Umm Al Quwain Free Trade Zone Authority, uaqftz.gov.ae

Legal forms available
Free Zone Establishment, Free Zone Company or branch, with an upgrade path from a no-visa package to a visa package

Umm Al Quwain Free Trade Zone Authority

Corporate tax registration
Free with the Federal Tax Authority through EmaraTax — the same in UAQ as in every emirate

Federal Tax Authority

VAT registration thresholds
Mandatory at AED 375,000 of taxable supplies; voluntary from AED 187,500

Federal Tax Authority

# UAQ FTZ Publishes Two Packages — Read What Each One Bundles

Most UAE free zones publish packages and hide prices, so resellers fill the gap with their own numbers. UAQ Free Trade Zone does the opposite on its own website. The authority names two all-inclusive entry packages, states what each one contains and attaches a published price to both. That makes UAQ FTZ one of the few zones where a cost page can quote the authority instead of warning you about everyone else.

Hold on to the limits of that transparency, though. The published figures cover the two entry packages; other licence categories, extra visas and facilities are priced by the authority against your requirements, not from a public tariff.

And one layer never appears in any zone package, in UAQ or anywhere else. Federal Tax Authority registration is free and federal fees are identical in every emirate; what you are choosing here is a licensing authority and a package structure, not a different tax system.

# LYTE or START: The Visa Question Is the Price Question

LYTE is the lean entry point the authority designs for remote owners and digital businesses testing the UAE market. As published, it carries business registration and the licence, co-working space with a lease agreement, and bank account opening assistance — and no visa. You can run it without UAE residence, and upgrade to a visa package later by paying the applicable fees.

START is the same licensing logic with residency built in. As published, it bundles one UAE residence visa with the medical test, Emirates ID and status change, medical insurance, the establishment card and E-Channel, co-working space with a lease agreement, bank account opening assistance and legal documentation.

So the price question in UAQ is really a residency question. If you do not need to live in the UAE, LYTE's published figure is your entry cost. If you do, price START — and never compare one seller's LYTE headline against another's START headline as if they were the same product.

UAQ FTZ entry packages as published by the authority on its own website
PackagePublished price (AED)What the authority lists as included
UAQ LYTE — no visa5,500Business registration and licence, co-working space with lease agreement, bank account opening assistance
UAQ START — one visa12,500Licence plus residence visa, medical test, Emirates ID and status change, medical insurance, establishment card and E-Channel, co-working and lease, bank assistance, legal documentation

# The UAQ Fork: Free Trade Zone or UAQ DED Mainland

Every UAQ founder faces the same fork, and the package price should not decide it alone. The free zone route suits micro and small traders who sell online, export, or serve clients remotely: a packaged licence, a co-working lease and a visa if you need one, with trading into the mainland handled through a distributor, an agent or a branch.

The mainland route runs through the Umm Al Quwain Department of Economic Development. A DED licence trades directly anywhere in the UAE, supports a shop or office that local customers can walk into, and follows the mainland licensing process rather than a zone package. Its fees are set inside that process, not published as an all-inclusive bundle, so a mainland quote must be itemised line by line before it can be compared with START or LYTE.

Decide where your customers are first, then price the structure that actually reaches them. The cheapest package in the wrong jurisdiction is not a saving.

# Packages for Micro and Small Traders: Categories Beyond the Headlines

Beyond the two entry packages, UAQ FTZ licenses by category — commercial, general trading, consultancy and service, industrial and a freelance permit among them. A commercial licence built for a narrow product set, a general trading licence built for breadth, and a consultancy licence built for services are different products with different scopes, and the authority prices category-specific requirements against your application.

Physical ambition changes the budget faster than any licence line. A trader who needs warehousing or an industrial user who needs land leaves the co-working world behind, and facility costs then follow the space, not the package.

The honest method in UAQ is simple: use the authority's published packages where they fit, and get the authority's own written quote for everything they do not cover.

# Costs Outside the Two Headline Packages

Even an all-inclusive package has edges. Additional visas beyond the one START carries, family sponsorship steps, and any upgrade in workspace from co-working to dedicated space or warehousing all sit outside the published headlines.

Banking sits outside in a different way. Both packages list bank account opening assistance, and assistance is what it says: the bank still runs its own due diligence and makes its own decision. Treat the account as a separate workstream with its own documents and timeline, and keep the business setup and tax cost picture whole by pricing setup, banking effort and compliance together rather than admiring the package alone.

Renewal needs the same discipline. The published page prices entry; confirm your renewal treatment for your exact package and category with the authority in writing before you pay.

# After Setup: Federal Tax, Records and Ownership Filings

Setup ends, but federal duties start immediately. Corporate tax registration with the Federal Tax Authority is free, and your UAQ FTZ company registers through EmaraTax whether it expects taxable income or not. Free zone companies can access the 0% corporate tax rate on qualifying income only when they meet the Qualifying Free Zone Person conditions, which include adequate substance, qualifying activities and audited financial statements where required. Non-qualifying income faces 0% up to AED 375,000 of taxable income and 9% above that threshold.

VAT registration is also free, mandatory once taxable supplies pass AED 375,000 and voluntary from AED 187,500. Ownership compliance runs in parallel: keep your ultimate beneficial owner filing for UAQ FTZ current — the guide to filing UBO in Umm Al Quwain explains the mechanics. Late corporate tax registration carries an AED 10,000 penalty, so the free registrations are the cheapest lines in your setup when filed on time. If you want the registration handled for you, a corporate tax registration service exists for exactly that step.

Ongoing compliance is then a running professional cost. Our bookkeeping starts from AED 499/month, corporate tax filing starts from AED 299/year, and VAT return filing starts from AED 599/quarter. Those are starting prices, they exclude VAT, and they never include government fees.

# How to Compare UAQ FTZ Quotes Honestly

Compare UAQ quotes against the authority's own published packages first. If a seller's LYTE or START figure differs from the authority's published price, make the seller explain the difference line by line — what they added, what they removed and what margin sits inside it.

Then compare the full first year, not the package: entry package, extra visas, workspace beyond co-working if you need it, banking effort and running compliance. Use our setup cost estimator to model that structure before you let anyone price it.

# Next step

Next step: Umm Al Quwain Free Zone Licence Cost: The Authority Publishes Two Packages. Send your trade licence and your last return, and we will confirm the fixed fee on the call. Book a free 15-minute fit check

Sources and legal basis

Authorities, systems and registers3

  • Federal Tax Authority
  • EmaraTax
  • UAE Ministry of Finance

Terms used2

  • Umm Al Quwain Free Trade Zone Authority
  • Umm Al Quwain Department of Economic Development
  1. UAQ START & LYTE all-inclusive packages explained — packages and inclusions as published by the authorityUmm Al Quwain Free Trade Zone Authority
  2. Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and BusinessesUAE Ministry of Finance

Rates, thresholds and deadlines change. Every figure above is linked to the authority that publishes it — if the two ever disagree, the authority is right and this page is out of date. Tell us and we will fix it.

FAQAnswers to the questions people actually ask

Frequently asked questions

How much does a UAQ Free Trade Zone licence cost?

The authority itself publishes two packages on its own website. UAQ LYTE, the no-visa package, is AED 5,500 and includes business registration and licence, co-working space with a lease agreement and bank account opening assistance. UAQ START is AED 12,500 and adds a full residence visa package. Those are the authority's published package prices — other licence categories and extra visas are quoted by the authority against your requirements.

What does the UAQ START package include that LYTE does not?

START bundles the licence with one UAE residence visa, co-working space and lease agreement, the medical test, Emirates ID and status change, medical insurance, the establishment card and E-Channel, bank account opening assistance and legal documentation. LYTE carries the licence, co-working and lease, and bank assistance, but no visa at all. The difference between the packages is residency, not licensing quality.

Can a LYTE company open a UAE bank account?

It gives you bank account opening assistance, but no package can promise you an account. The bank runs its own due diligence on the owners, the activity and the expected transactions, and a founder with no UAE residence often faces harder questions. Budget for the account as a separate workstream with its own document demands, whatever package you buy.

Should I choose UAQ FTZ or a UAQ DED mainland licence?

A UAQ FTZ company is licensed inside the free zone and reaches mainland customers through a distributor, an agent or a mainland branch. A UAQ DED mainland licence trades directly anywhere in the UAE, opens premises and deals with local customers face to face. If your customers are in the emirate and expect a local shop or office, the mainland route is usually the honest structure.

What will my UAQ FTZ renewal cost?

The authority's published material prices the two entry packages but does not set out a full renewal tariff for every licence category on that page. Ask UAQ FTZ to confirm the renewal treatment for your exact package and licence category in writing before you pay, while you still hold the leverage.

What tax registrations does a new UAQ FTZ company need?

Your company registers for corporate tax with the Federal Tax Authority through EmaraTax, and that registration is free — late registration carries an AED 10,000 penalty. VAT registration is also free, becomes mandatory past AED 375,000 of taxable supplies and opens voluntarily from AED 187,500. Keep your ownership filings current as well, because free zone status does not exempt you from federal registration duties.

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