Dubai’s Allows Free Zone Businesses to Expand into Mainland

Dubai continues to set global benchmarks in business innovation. With the introduction of the Dubai Executive Council Resolution No. 11 of 2025, the city has unlocked a new era: allowing free zone companies to operate in the mainland. This game-changing decision not only boosts investor confidence but also reshapes how global businesses expand in the UAE.

Whether you're considering a business setup in the Dubai free zone, or already running a free zone business in Dubai, this move has opened the door to wider opportunities and Dubai mainland access for free zone companies.

Key Developments in Dubai Free Zone Expansion

Dubai’s free zones have long been a magnet for foreign investors due to their 100% foreign ownership, tax-free structure, and streamlined processes. However, operating beyond the designated free zone was previously restricted. The new legislation allows you to expand a free zone business to the mainland without establishing a separate mainland entity.

Expansion of Free Zones: Strategic Locations Added

In a landmark move, Dubai has also expanded its free zone map:

• Al Wasl, Meydan, and Dubai South have been designated as new free zones, enabling 100% ownership for foreigners.
• Sheikh Zayed Road and Al Jaddaf (two of Dubai’s most strategic areas) have also joined the list.

If you're wondering how many free zones are there in Dubai, the number is constantly expanding, reflecting the emirate’s commitment to adaptability and global trade.

For those asking, what is the best free zone in Dubai? That now depends on your industry, but the inclusion of central districts makes the choice broader and more strategic than ever.

Dubai Executive Council Resolution No. 11 of 2025

This resolution lays the groundwork for free zone business setup in Dubai to include:

• Dual licensing: allowing businesses to legally operate in both free zones and the mainland
• Unified procedures across jurisdictions
• Clear guidelines on taxation, staffing, and legal responsibilities

This simplifies business setup in the Dubai free zone while granting mainland access and encouraging foreign investment in Dubai.

UAE Future Free Zones: Tech, Trade & Transformation

Dubai’s evolving free zones are no longer just about trade. Today, they attract:

• Tech companies in Dubai free zones
• E-commerce businesses
• Logistics businesses
• Healthcare and AI startups

With Dubai free zone to mainland integration, these sectors can now sell directly in the UAE market, enter local partnerships, and scale without complex restructuring.

Legal & Compliance: What You Need to Know

According to Al Kabban & Associates, companies expanding from free zones must:

• Obtain a No Objection Certificate (NOC)
• Register with the Department of Economy and Tourism (DET)
• Align with Dubai business laws, including tax and labor regulations

For a smooth Dubai free zone business setup, legal support is highly advised.

Dubai Free Zone License Cost & Visa Benefits

Setting up in a free zone typically involves lower startup costs. While the Dubai free zone license cost varies by sector and location, it remains one of the most cost-effective ways to enter the UAE market.

Additionally, Dubai free zone visa benefits for employees make it attractive for hiring skilled talent. The advantages of a free zone visa in Dubai include easy residency processing, multi-year validity, and the ability to sponsor family members.

Who Should Consider Expanding?

This transition is especially attractive to:

• Foreign investors seeking access to domestic markets
• Real estate investment firms leveraging Dubai South or Meydan zones
• SMEs and entrepreneurs looking for scalability
• Companies in free zone Dubai that want to diversify revenue

If you’re wondering, can a free zone company do business in Dubai? The answer is now a clear yes, thanks to the 2025 resolution.

Q&A about Dubai’s New Resolution Allows Free Zone Businesses to Expand into Mainland

Why did Dubai decide to allow free zones to expand into the mainland now?
To enhance competitiveness, unify market access, and boost foreign investment.

How will this resolution change the competitive landscape for local businesses?
It brings more competition but also increases innovation, collaboration, and sectoral growth.

What are the key compliance requirements for free zone companies expanding in Dubai?
Dual licensing, DET registration, free zone NOC, and adherence to UAE labor and tax laws.

How will free zone expansion impact Dubai’s overall economic growth?
It will drive investment, employment, and reinforce Dubai’s role as a global business center.

What industries stand to benefit most from free zone mainland access?
Technology, logistics, e-commerce, real estate, and manufacturing.

Dubai’s decision to allow free zone businesses to operate on the mainland—alongside the expansion of new free zones like Al Wasl, Meydan, Dubai South, Sheikh Zayed Road, and Al Jaddaf—represents a giant step forward in creating a borderless business environment.

Whether you're exploring business setup Dubai free zone, or ready to scale up, this is the time to act. TEKCE is here to help you navigate the landscape, from choosing the best free zone in Dubai, to securing your license, visa, and local market entry.

Start your journey today with TEKCE, the trusted name in Dubai real estate and investment consulting.

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