Looking to start a business in the UAE? The Ras Al Khaimah Economic Zone, better known as RAKEZ, is quickly becoming one of the most popular choices for entrepreneurs and investors. Located in the northern emirate of Ras Al Khaimah, RAKEZ offers a perfect mix of affordability, flexibility, and business-friendly policies.
RAKEZ is home to thousands of companies from over 100 countries and across different industries, including trading, manufacturing, services, and more. What makes it so attractive? From 100% foreign ownership and zero corporate tax to flexible office options and easy company formation, RAKEZ has everything a growing business needs.
Not sure where to begin? Don’t worry, here we will take you step by step through everything you need to know about RAKEZ Free Zone company formation.
RAKEZ Free Zone Overview
RAKEZ (Ras Al Khaimah Economic Zone) is one of the most prominent and rapidly growing free zones in the UAE, designed to support businesses of all sizes, from startups and freelancers to large industrial enterprises. The government of Ras Al Khaimah established it to provide a world-class business environment with cost-effective setup solutions.
Location:
RAKEZ is strategically located in the emirate of Ras Al Khaimah, just about an hour’s drive from Dubai. Its proximity to major seaports, airports, and key trade routes makes it an ideal hub for import-export businesses, logistics companies, and manufacturers.
Industries and Sectors Supported:
RAKEZ supports a wide variety of business activities across multiple sectors. These include:
- Trading and General Trading
- Manufacturing and Industrial
- Media and Creative Services
- Education and Training
- E-commerce
- Consulting and Professional Services
- Logistics and Warehousing
Types of Facilities Available:
RAKEZ offers a range of business facilities to accommodate different types and sizes of businesses:
- Flexi-desks: Ideal for solo entrepreneurs and freelancers needing a shared workspace
- Standard offices: Fully equipped and private spaces suitable for small to medium businesses
- Warehouses: Ready-to-use industrial units for manufacturing, storage, and logistics
- Industrial land plots: Customizable land space for large-scale industrial operations
- Customizable offices and buildings: For businesses with unique space or branding requirements
What are the Benefits of RAKEZ Free Zone Company Formation?
Here are the key reasons why business setup in the RAKEZ free zone is a smart choice:
Cost-Effective Business Setup
RAKEZ is known for offering some of the most affordable setup packages in the UAE, making it ideal for startups, freelancers, and SMEs.
Wide Range of Business Activities
Whether you’re in trading, services, manufacturing, education, or media, RAKEZ supports a broad list of business activities across different sectors.
Flexible Office and Facility Options
RAKEZ provides various facility options, including flexi-desks, standard offices, warehouses, and industrial land for lease, allowing businesses to scale with ease.
100% Foreign Ownership
Investors enjoy full ownership of their companies without needing a local sponsor.
No Corporate or Personal Income Tax
Businesses in RAKEZ benefit from zero corporate and personal income taxes, boosting profitability.
Fast and Hassle-Free Setup
With a simplified registration process and strong support services, company formation in RAKEZ is quick and efficient.
Types of RAKEZ Licenses
RAKEZ offers a wide range of license types to support different business activities and industries. This includes:
Commercial License
This license allows you to carry out trading activities such as buying, selling, and distributing goods within the UAE and internationally. It’s ideal for general trading, import-export businesses, and retail distribution.
Industrial License
Perfect for manufacturing and industrial businesses, this license covers activities like the production, packaging, processing, and assembling of goods. Companies under this license can also apply for warehouse space and industrial land within RAKEZ.
Professional/Service License
This license is for businesses offering services such as consultancy, accounting, legal advisory, marketing, IT services, and more. It’s suited for professionals looking to set up a service-based business in the UAE.
Freelance Permit (Freelance License)
A cost-effective option for solo professionals, creatives, consultants, and digital nomads. The Freelance Permit allows you to operate under your own name without needing to set up a full company.
E-Commerce License
An e-commerce license is for businesses selling products or services online, whether locally or globally. It supports online stores, drop-shipping, and other digital ventures.
RAKEZ Free Zone Company Formation Process
Here’s the step-by-step process to establish your company in RAKEZ:
Step 1: Determine the Type of Business Activity
Identify the type of business activity you plan to pursue. Your business activity will determine the type of license required (e.g., commercial, industrial, service, or e-commerce).
Step 2: Choose the Company Structure
- FZ-LLC (Free Zone Limited Liability Company): The most common structure for RAKEZ companies, suitable for small to medium-sized businesses.
- Branch of a Foreign Company: If you’re expanding an existing company into the UAE, you can register a branch.
- Freelancer License: Ideal for individual entrepreneurs or consultants who want to operate in RAKEZ.
Step 3: Select the RAKEZ Facility
Choose between office space options, such as flexi-desk, commercial office, or industrial warehouse, depending on the nature of your business. RAKEZ offers customised office solutions with flexible leasing options.
Step 4: Submit Your Application and Documents
Submit your completed application form and documents to RAKEZ. RAKEZ will review your application and verify all details before proceeding with the next steps. If everything is in order, RAKEZ will issue an approval letter.
Step 5: Sign the License Agreement
After receiving approval, sign the RAKEZ license agreement. This officially grants you the right to operate in the free zone. You will also need to pay the necessary fees for the company registration and license issuance.
Step 6: Issuance of License and Other Documents
Once payment is processed, RAKEZ will issue your business license, along with any additional documents such as the tenancy contract for your office space. If required, you will also receive a UAE residence visa and Emirates ID for your employees or business owners.
Step 7: Visa Application (if required)
If your company formation includes employee or investor visas, RAKEZ will assist you in applying for UAE residence visas and work permits. Depending on your business needs, you may also apply for dependent visas.
Step 8: Open a Corporate Bank Account
Finally, open a corporate bank account with a local or international bank in the UAE. You’ll need to provide:
- Your business license.
- Shareholder and manager identification documents.
- Company incorporation documents.
What are the Documents Required for Business Setup in RAKEZ Free Zone?
Here are common documents required for company registration in the RAKEZ free zone:
For individuals:
- Passport copy
- Visa copy (if applicable)
- Passport-size photographs
- Business plan (for certain activities)
For corporate entities:
- Passport copies of shareholders and directors
- Certificate of Incorporation or Memorandum of Association (for existing companies)
- Business plan
- Proof of address (e.g., utility bill)
- Certificate of Good Standing
- Emirates ID (if applicable)
RAKEZ Free Zone Company Formation Cost
The typical cost for business setup in RAKEZ free zone ranges from AED 6,000 to AED 30,000, depending on factors such as the number of shareholders and the type of business. RAKEZ also offers comprehensive all-inclusive packages that generally start from AED 16,500* per year, which includes the license, office space, and other essential services. Business setup consultancies like AE Setup provide you with customised budget-friendly packages for your business needs.
In addition to the license fees, there are other costs to consider during the company setup process. These can include visa fees, which are structured in packages. For example, a 1-visa package may cost around AED 12,000, while a 2-visa package could cost approximately AED 18,000, with prices increasing based on the number of visas required.
To get a quote, get in touch with our business setup experts today.
Start Your Business the Right Way with RAKE
RAKEZ Free Zone offers everything you need to start and grow your business in the UAE. With its great location, affordable options, and flexible services, it’s an ideal choice for both new businesses and those looking to expand.
The process is straightforward, and with the right guidance, it can be even easier. By working with an experienced partner like AE Setup, you can ensure a smooth and quick setup, allowing you to focus on building your business and achieving your goals.
Our business setup services include:
- End-to-end business setup assistance
- Document preparation and submission
- Office and facility solutions
- PRO and visa services
- Post-setup support (bank account opening, VAT registration, etc.)
Get in touch today!
