Hi Chris,

I'm Hemant, and Ras Al Khaimah Economic Zone (RAKEZ) is one of the most cost-effective free zones for startups, freelancers, e-commerce businesses, and SMEs.

In 2026, a basic RAKEZ freezone company setup starts from around AED 6500–AED 7,000 for a zero-visa or freelancer package. If you need a residence visa, workspace, and a standard commercial license, your first-year setup cost will usually fall between AED 14,000 and AED 35,000, depending on your business requirements.

You can check the RAKEZ Company Formation Cost Breakdown below

What Affects the Total Cost?

The final amount depends on several factors, including:

• Business activity: Freelancer, service, trading, or industrial licenses have different pricing.
• Visa requirements: Every additional investor or employee visa increases the overall setup cost.
• Office space: Entry-level packages often include a flexi-desk, while private offices or warehouses involve higher annual rental costs.
• Additional government fees: Medical fitness tests, Emirates ID, and establishment card charges should also be included in your first-year budget.

Is RAKEZ a Good Choice for Startups?

For businesses like your e-commerce company, RAKEZ can be a practical option because it offers lower entry costs, flexible licensing packages, and scalable office solutions. Many startups begin with a flexi-desk package and upgrade their office space as the business grows.

My advice is to look beyond the advertised license price. Always ask for a complete first-year cost breakdown that includes the license, registration, visas, workspace, establishment card, and any government or renewal fees. That gives you a much more accurate picture of your investment.