Dubai Free Zone Mainland Permit: Costs & Requirements

What is the Dubai free zone mainland permit?

Dubai's Executive Council Resolution No. 11 of 2025 establishes a framework for free zone establishments to conduct authorised activities outside their free zone in Dubai. Mainland access remains subject to the relevant licence or permit and applicable conditions.

DET's October 2025 launch announcement describes the Free Zone Mainland Operating Permit as a digital route for eligible companies holding a Dubai Unified Licence (DUL), through the Invest in Dubai platform.

Start with the operation you want to deliver

Explain where work will take place, what staff will do and whether the business needs premises or stock. A customer with a mainland address and a company running a physical mainland operation present different licensing questions. Assess the delivery model rather than assuming every invoice requires the same arrangement.

If you are still deciding where to incorporate, first compare Dubai free zone business setup and mainland business setup . This guide focuses on expansion through an existing free zone business.

Permit, branch licence or a new mainland company?

The resolution provides three instruments: a branch licence within Dubai, a branch licence operating out of the free zone, and a permit for specified activities. The two branch licences are annual; the temporary permit lasts no more than six months.

The right choice should support your contracts and planned operations. Ask how the entity will be identified on customer agreements, invoices, procurement registrations and bank records. Do not treat the word “dual licence” as a complete explanation of your legal structure.

Eligibility and business activities

DET's launch announcement included non-regulated technology, consultancy, design, professional services and trading activities in the initial phase. It is therefore inaccurate to describe the framework as universally limited to services. Current activity-level eligibility still needs confirmation.

The resolution concerns Dubai free zone establishments and excludes financial establishments licensed in DIFC. A company incorporated in another emirate should obtain a separate route assessment.

Questions to resolve before applying

• Which authority issued your existing company licence?
• What exact activity will the company conduct outside the free zone?
• Where will the work, storage or customer-facing operation take place?
• Does the activity need a specialist regulator's approval?
• Will customers require particular supplier registrations or insurance?

For goods, map the supply chain: import, customs clearance, storage, invoicing and delivery. Do not assume an operating permit replaces product registrations, customs procedures or premises approvals.

For services, describe on-site work and staff deployment clearly. Use the exact approved scope in proposals. Our business activity selection guide explains the broader planning process.

Dubai free zone mainland permit costs and validity

Use the published authority fee for the correct instrument. These references were reviewed on 7 October 2026 and do not represent an all-inclusive B&B quotation.

Sources: DET operating-permit announcement and Resolution No. 11 of 2025 . Confirm current charges before payment.

Budget beyond the permit fee

Two six-month permit periods at the published rate total AED 10,000 in permit fees. This calculation excludes the underlying free zone licence, professional assistance and other costs applicable to your operation.

• Confirm any free zone approval or administrative charges.
• Budget for sector permissions, premises and facilities where needed.
• Allow for accounting, tax advice, insurance and contract updates.
• Separate mandatory fees from optional professional support.
• Request first-year, renewal and cancellation terms in writing.

Compare the same activity and operating model across quotations. A lower headline fee can be misleading if essential services or recurring charges are missing.

Documents to prepare

Article 7 lists the memorandum of association and free zone trade licence for the temporary permit, while allowing DET to request further information. The branch-out-of-free-zone route also lists the manager's passport and Emirates ID. Free zone approval and sector approvals apply as required.

As practical preparation, gather your DUL details, ownership information, authorised signatory records and a clear description of the proposed mainland operation. Obtain the current route-specific checklist before arranging translations or other document services.

Keep the application consistent

• Use the same legal name across licences, contracts and identity documents.
• Explain where work will take place and how revenue will be earned.
• Identify who will sign and manage the application.
• Prepare premises or project information if requested.

Do not upload an unrelated activity description merely because it sounds broad. Resolve scope questions before submitting the file.

How to prepare and apply

01. Define your expansion plan

Describe the first project or trading flow in plain language. Identify the work location, customers, staff and goods involved. Document what your existing licence covers and where you need clarification.

02. Confirm the correct instrument

Ask DET and the issuing free zone which route fits the proposed operation. Request confirmation of the activity code and any premises or sector conditions. Avoid committing to a long-term lease before resolving those questions.

03. Assemble the application file

Use the current checklist and prepare approvals in the sequence the authorities require. Check document validity, names and signing authority. Keep a copy of the final submission and accepted fee breakdown.

04. Complete the authorised application

Follow the confirmed submission process and respond to information requests. Ask for a processing estimate based on your complete file. A generic two-to-six-week promise is not a reliable substitute for route-specific guidance.

05. Prepare contracts and records

Review the issued document before commencing the authorised operation. Check the permitted scope, dates and conditions. Align customer agreements, invoicing, insurance and bookkeeping with the approved arrangement.

06. Track renewal and changes

Record expiry dates and assign someone to monitor them. Review changes in the activity, premises or operating model before implementation. Ask how amendments, suspension or cancellation affect your commitments.

Staff, premises and customer onboarding

Article 8 permits an authorised establishment to use its existing workforce registered on the free zone portal, with the applicable free zone employment privileges retained. Assess any activity-specific deployment conditions instead of assuming every employee needs a new mainland application.

For premises, separate the licence question from the facility question. Tell the authorities whether you plan to work at client sites, open an office, operate a shop or store goods. Confirm the permissions needed for that location and use.

A permit also does not guarantee a government contract or customer approval. Procurement teams can have their own registration, qualification and insurance requirements. Check these before forecasting revenue from an opportunity.

Corporate Tax, VAT and financial records

Review the tax effect before expanding

Do not assume free zone tax treatment remains identical after mainland expansion. The FTA explains that profits attributable to a UAE Domestic Permanent Establishment of a Qualifying Free Zone Person are subject to 9% Corporate Tax. Tax is assessed on the relevant profits or taxable income, not simply by multiplying every sales invoice by 9%.

Assess the actual arrangement, including whether it creates a Domestic Permanent Establishment and how income is classified. The 0% rate on Qualifying Income remains conditional. Obtain advice on attribution of revenue, costs and shared expenses before the operation starts.

Keep mainland activity records separately identifiable

The resolution requires separate financial records for activities outside the free zone in Dubai. Discuss how to implement this in your accounting system, with identifiable project income, direct costs and a documented allocation of shared expenses.

Keep the permit, approvals, contracts, invoices and payment evidence together. These records help explain the business to regulators, tax advisers and banks.

VAT is not based only on mainland sales

For a UAE-resident business, mandatory VAT registration generally applies when taxable supplies and imports exceed AED 375,000 in the previous 12 months or are expected to exceed it in the next 30 days. Assess the business's relevant supplies and imports, not just its new mainland revenue. FTA guidance states that company branches are included under the parent's VAT registration rather than registered separately.

Review invoices, tax records and any required registration updates with your adviser. Keep licensing approval and tax compliance as distinct items in the expansion checklist.

Frequently asked questions