Hi Nurain, I'm Ethan from Australia. I have a Free Zone company in Dubai, but most of my potential customers are on the mainland. Can my company legally do business in Dubai, or am I restricted to operating only within the Free Zone?
Hi Ethan,
This is a question many entrepreneurs ask once they start expanding their business.
The good news is yes, a UAE Free Zone company can do business in Dubai, but the way you do it depends on the type of activity you're carrying out.
A Free Zone company can freely:
- Trade internationally by importing, exporting, and re-exporting goods.
- Conduct business with companies located inside its own Free Zone.
- Provide services to clients in many cases, subject to the applicable regulations.
If you want to operate directly in mainland Dubai, there are now more flexible options available. Under Dubai Executive Council Resolution No. 11 of 2025, eligible Free Zone companies can apply for:
- A mainland branch licence, or
- A temporary permit for specific mainland business activities.
These applications are submitted through the Invest in Dubai platform, allowing qualifying businesses to expand into the mainland without giving up 100% foreign ownership of their Free Zone company.
If obtaining a mainland licence isn't the right fit for your business, another option is to work through a licensed mainland distributor or commercial agent, depending on your business model.
One important point to remember is that these provisions do not apply to financial Free Zones such as DIFC, which operate under their own regulatory framework.
Before applying, it's worth checking whether your business activity qualifies for mainland operations, as the licensing requirements and government fees can vary depending on the nature of your business.
