Ras Al Khaimah free zone company setup

Which free zones are in Ras Al Khaimah?

The UAE government portal lists two Ras Al Khaimah free zones: Ras Al Khaimah Economic Zone (RAKEZ) and Innovation City.

RAK International Corporate Centre (RAK ICC) is a separate government registry for International Business Companies, not a free zone authority, and is covered on our Ras Al Khaimah offshore page.

What is RAKEZ, and what premises does it offer?

RAKEZ, Ras Al Khaimah Economic Zone, was established by the Government of Ras Al Khaimah and forms free zone companies, non free zone companies and branches. It states that it hosts over 50,000 businesses across more than 50 industries.

Its facilities include flexi desks, standard and executive offices, shell and core offices, warehouses and industrial land.

RAKEZ describes its registration and renewal process as fully digital, with online submissions through its Portal 360.

How much does a RAKEZ license cost?

RAKEZ publishes a Biz Starter package at AED 6,000 and an All-Inclusive Business Setup package at AED 14,000 per year.

The Biz Starter package allows up to 50 shareholders and up to 10 activities, and includes a coworking membership. RAKEZ states setup within 24 hours for this package, with terms that apply. The page does not say whether the package allows a visa.

The All-Inclusive package includes a trade license, one UAE residence visa, 10 activities, up to 50 shareholders and coworking access. Additional visas are AED 4,000 each, up to 3.

The Links RAKEZ free zone package is AED 11,000. It does not include office space or visa costs. We tell you the full cost in writing before you commit.

Good to knowThese are RAKEZ's published figures, checked in September 2026. They can change, so we confirm the current price with the authority before you commit.

What is Innovation City, and what happened to RAK DAO?

Innovation City is the new name of RAK Digital Assets Oasis (RAK DAO), which was rebranded and relaunched on 18 September 2025. The old rakdao.com address now redirects to innovationcity.com, which describes Innovation City as a tech free zone in Ras Al Khaimah.

Its stated focus sectors at launch were Web3 and digital assets, AI, gaming, robotics and healthtech.

Innovation City publishes annual packages: Idea at AED 6,600 with no visas, Seed at AED 13,200, Startup at AED 15,400 and Growth at AED 22,550.

Good to knowThe launch announcement does not say which regulator approvals a virtual asset business needs. We confirm that for your activity before you apply. The prices are Innovation City's published figures, checked in September 2026, and can change.

Can a Ras Al Khaimah free zone company sell on the mainland?

Not directly, as a rule. The UAE government portal states that a free zone company must work through a licensed mainland distributor or establish a mainland branch or company, and that direct mainland sales are generally not permitted without the required mainland licenses or approvals.

RAKEZ also forms non free zone companies. We compare both routes for your activity.

Dubai Executive Council Resolution No. 11 of 2025 is a Dubai measure. It lets a Dubai free zone establishment work in Dubai outside its free zone, and does not apply to financial establishments licensed in the DIFC.

Do Ras Al Khaimah free zone companies pay corporate tax?

Yes, Ras Al Khaimah free zone companies are within the scope of UAE corporate tax under Federal Decree-Law No. 47 of 2022. The 0% rate applies only to a Qualifying Free Zone Person, and only on its Qualifying Income.

Ministerial Decision No. 229 of 2025 lists the Qualifying Activities. They include manufacturing, processing, logistics services and distribution of goods in or from a Designated Zone.

Consultancy services are not on the list, and transactions with natural persons are an Excluded Activity, with limited exceptions. A Qualifying Free Zone Person pays 9% on taxable income that is not Qualifying Income.

• A Qualifying Free Zone Person pays 0% on Qualifying Income and 9% on taxable income that is not Qualifying Income (Article 3(2)).
• A Qualifying Free Zone Person does not get the 0% band on the first AED 375,000 of taxable income.
• Every Free Zone Person, qualifying or not, must register for corporate tax, file a return within 9 months of the end of the tax period and keep records for 7 years.
• To qualify, a company must, among other conditions, maintain adequate substance in the UAE, derive Qualifying Income, not elect into standard corporate tax, meet the arm's length and transfer pricing documentation rules, and prepare audited financial statements.
• A company that fails any condition loses the status from the start of that tax period and for the following four tax periods.

Good to knowThis page states what the official sources say. It is not tax advice.