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First, the honest answer: offshore won't get you a visa
If you're comparing the cheapest ways to get a UAE residence visa through a company, let's clear one thing off the table straight away: an offshore company won't do it. An offshore entity is built for holding assets, owning shares and invoicing clients outside the UAE. It cannot sponsor a residence visa, cannot take a physical office, and cannot trade inside the UAE. So if residency is the goal, offshore is out, no matter how cheap it looks.
That leaves the free zones. And within the free zones there's a real spread, from budget Northern Emirates setups to Dubai-address zones that cost more but open doors your visa can't. The cheapest one that issues a visa isn't automatically the one you should buy, and this piece is about why.
What 'cheapest UAE company for a residence visa' really means
A residence visa needs a sponsor. When you set up a free zone company, the company becomes your sponsor and you get a residence visa allocation as part of the package. The visa itself runs through the ICP process (entry permit, medical, Emirates ID, stamping), each stage with its own timeline set by the authority, not by us. You can see the official process on the Federal Authority for Identity, Citizenship, Customs & Port Security (ICP).
So "cheapest company for a residence visa" really means the lowest-cost free zone licence that comes with at least one visa allocation you can actually use. But price is only half the picture. The other half, the part nobody prices in, is whether the address on that cheap licence will let you open a corporate bank account. Hold that thought.
The two lowest-cost visa-issuing free zones: UAQ FTZ and Ajman
If entry price is your single priority, two Northern Emirates zones lead the field.
UAQ FTZ starts from AED 8,650 (estimate; a consultant confirms the final quote). Setup runs 3 to 5 working days after documents are submitted. The package includes the company licence, up to 5 shareholders, up to 5 segments, a lease agreement, registration, and a visa per your package tier, with medical, Emirates ID, establishment card, E-Channel and bank account opening assistance included. It's genuinely one of the lowest entry points to a real UAE company with a visa.
Ajman Free Zone is priced per application. It's quoted case by case rather than off a fixed floor, and includes the freezone trade licence, registered agent and office address, and company documents. Setup is also 3 to 5 working days after documents are submitted. Because it's priced per application, the honest move is to have a consultant quote it against your activity and visa count.
Both give you a real, valid UAE residence visa. The catch isn't the visa. It's the address.
The Dubai-address option: IFZA and Meydan
Two zones cost more but carry a Dubai registered address and stronger banking relationships.
IFZA starts from AED 16,050 (estimate; a consultant confirms). Setup takes 5 to 10 working days after documents are submitted. It includes the IFZA Dubai licence for one year, up to 3 activities, up to 3 shareholders, and a residence visa allocation per tier, with one complimentary residence visa on any package with a visa.
Meydan starts from AED 15,670 (estimate; a consultant confirms). Also 5 to 10 working days after documents. It includes a corporate licence with 3 activities, a Flexi Desk, an immigration card with visas, and an investor/partner visa per your allocation.
You're paying roughly AED 7,000 to 8,000 more than UAQ FTZ for a Dubai address. Whether that's money well spent depends on one thing: the bank.
Visa-issuing free zones by starting price
UAQ FTZAED 8,650
MeydanAED 15,670
IFZAAED 16,050
Ajman Free Zone is priced per application, so it isn't shown here. A consultant quotes it against your activity and visa count.
Offshore vs free zone for UAE residency: why offshore is off the table
People still ask because offshore is often the cheapest structure on paper. But cost is irrelevant when the structure can't do the job. An offshore company cannot sponsor a residence visa, full stop. If someone quotes you an offshore setup "with residency," be sceptical. The two don't go together.
For UAE residency you need a free zone or mainland company that can sponsor you. The real decision, then, isn't offshore versus free zone. It's which free zone, and that's a decision about banking as much as licence price.
The catch nobody prices in: the licence you save on can cost you the bank account
Here's the part the price comparisons skip. A UAE residence visa is usually a means to an end. You came here to live and operate, which means you need a corporate bank account. And UAE banks apply their own compliance criteria to every application, including where your company is registered.
Some banks' compliance teams treat a Northern Emirates registered address with more caution than a Dubai one. That doesn't make UAQ FTZ or Ajman "bad", plenty of businesses bank perfectly well from those zones. But it means the AED you saved on the licence can quietly resurface as a rejected or delayed account application. And a rejection can make the next application harder.
This is exactly where a track record beats a promise. We've opened 1,000+ corporate bank accounts across 10+ UAE banks, with named account-opening officers and relationship managers at each. So we know, before you commit to a zone, which banks' compliance teams are comfortable with which addresses, and what each will ask for. Nobody can guarantee an account opens; that decision rests solely with the bank. What we can do is stop you choosing an address that makes the account harder than it needed to be.
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If you want the zone chosen around the bank rather than the other way round, that's the whole point of our free zone company formation service. Get your exact price and the right zone for your banking in one free call.
How to choose the lowest-cost UAE visa company setup that still opens an account
Work it in this order, not the reverse:
1Confirm how many visas you actually need. Your visa allocation drives the package tier, and the tier drives the price. One visa costs less than four.
2Decide whether your clients and bank will check your address. If you invoice international clients and rarely get scrutinised, a Northern Emirates zone may be fine. If banks and customers will look you up, a Dubai address usually pays for itself.
3Pick the bank before you pick the zone. This is the step most people do last and regret. The right zone is the one whose address your target bank is comfortable with.
4Then price the licence. Once the bank fit is settled, the cheapest zone that clears it is your answer.
Do it this way and "cheapest" means cheapest all-in, including the account, not just cheapest on the licence line.
What your exact price actually depends on
Every figure above is a starting estimate from the zone's own published fees plus our service fee. Your real number moves with:
Your visa count, the single biggest driver.
Your business activities, how many and which ones.
Your shareholders, since additional shareholders can be chargeable.
Corporate tax registration, a cost in effort rather than licence price, but it applies. Corporate tax is 9% on net profit above AED 375,000 for financial years starting on or after 1 June 2023, per the Federal Tax Authority. A free zone company must still register and file regardless of whether any tax is payable, and 0% on qualifying income is not automatic.
We give you a clear breakdown of the authority fee and our service fee before you engage, and we quote the zone against the bank that actually fits you. Get your exact price and the fastest route, one free call, no obligation. -> Get my quote
FAQs
What is the cheapest UAE free zone company that comes with a residence visa?
UAQ FTZ is one of the lowest entry points, from AED 8,650 as an estimate, including a visa per your package tier. Ajman Free Zone is priced per application and can also be very competitive. Both issue a genuine residence visa, and a consultant confirms the exact figure against your activity and visa count.
Can an offshore UAE company get me a residence visa?
No. An offshore company cannot sponsor a UAE residence visa, cannot take a physical office and cannot trade inside the UAE. For residency you need a free zone or mainland company. Be wary of anyone selling offshore "with residency", the two don't go together.
How many visas does a low-cost free zone company give me?
It depends on the package tier you choose. Entry packages typically include one visa allocation, with more available on higher tiers, and additional visas increase the price. Tell us how many you need and we'll match the tier.
Will a cheap free zone address stop me opening a bank account?
Not necessarily, but some banks' compliance teams treat Northern Emirates addresses with more caution than Dubai ones. Approval rests with the bank, never with us. Because we've opened 1,000+ accounts across 10+ banks with named officers, we know which address each bank is comfortable with, and we'll factor that in before you pick a zone.
How long does it take to get the licence and the visa?
Freezone setups typically complete in 3 to 15 working days after documents are submitted. UAQ FTZ and Ajman run 3 to 5 days, IFZA and Meydan 5 to 10. The visa then moves through the ICP stages (entry permit, medical, Emirates ID, stamping), each with its own timeline set by the authority. We give you a realistic estimate for your case and keep you updated at each stage.
Does a free zone company with a residence visa still have to register for corporate tax?
In most cases, yes. Registration and filing obligations apply regardless of whether tax is ultimately payable. Corporate tax is 9% on net profit above AED 375,000 for financial years starting on or after 1 June 2023, see the Federal Tax Authority. A qualifying free zone business may benefit from a 0% rate on qualifying income, but that has conditions and isn't automatic. We assess your position rather than assume.
Can I upgrade from a low-cost free zone to a Dubai address later?
It's possible, but moving zones later means a fresh setup and often re-doing your banking, which is exactly the cost you were trying to avoid. It's usually cheaper to choose the right address up front, around the bank you'll use. That's the conversation to have before you commit.
Not sure which zone opens the account you need? Book a free 15-minute call and we'll tell you the right zone, the real cost, and the fastest route. -> Get my quote
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