Umm Al Quwain Free Trade Zone (UAQ FTZ) is one of the fastest-growing free zones in the UAE, offering entrepreneurs a simple, affordable, and strategic location for their businesses. Positioned near major ports and airports, UAQ Free Zone is especially attractive for small and medium-sized enterprises (SMEs), startups, and international investors who want a low-cost entry point into the UAE market.
Compared to other Emirates such as Sharjah Free Zones or Dubai, Umm Al Quwain provides more cost-effective solutions without compromising on flexibility or global accessibility.
At Ideas Business Setup Expert, we help you navigate the entire process — from licensing and visas to banking and compliance.
Why Choose Umm Al Quwain Free Zone
UAQ Free Zone is ideal for entrepreneurs who want to operate in a business-friendly environment without high setup costs.
Key reasons investors prefer UAQ Free Zone:
- Affordable company setup packages compared to other Emirates
- 100% foreign ownership without the need for a local sponsor
- No corporate tax, no import/export duties
- Simple licensing process with minimal paperwork
- Strategic location with access to Dubai and Sharjah ports
- Multiple license options – trading, service, industrial, consultancy
- Visa facilities available for investors and employees
Tip: UAQ Free Zone is especially recommended for startups, consultants, freelancers, and SMEs who want a hassle-free entry into the UAE market.
Business Activities Allowed in UAQ Free Zone
The UAQ Free Zone allows a wide range of business activities, including:
- Commercial Trading – import, export, distribution, and warehousing
- Professional & Service – consultancy, IT services, design, marketing
- Industrial & Manufacturing – light and medium industries
- Freelance & Remote Work Licenses – creative and digital services
- E-commerce – online trading and marketplace activities
Compared to other UAE zones such as Shams Free Zone, UAQ offers more flexibility for cost-conscious businesses.
Key Benefits of UAQ FTZ
- 100% foreign ownership.
- No corporate or personal income tax.
- Easy access to international markets.
- Wide range of business activities allowed.
- Cost-effective visa options (up to 3 visas with a small package).
- Flexibility for freelancers and startups.
Step-by-Step Process of Setting Up a Business in UAQ Free Zone
– Trading, services, consultancy, or industrial.
– Commercial, service, freelancer, or industrial.
– Free Zone Establishment (FZE) or Free Zone Company (FZC).
– Submit 3–5 name options for approval.
– Passport, application form, business plan (if applicable).
– Based on activity and visa requirements.
Setting up a company in UAQ Free Zone usually takes 2–5 working days if all documents are in order.
Cost of UAQ Free Zone Business Setup
UAQ Free Zone is one of the most affordable free zones in the UAE. Below is a sample cost table:
| Package Type | Cost (AED) | Includes |
|---|---|---|
| Freelance License | 8,000 | 1 activity, no visa |
| Commercial/Service License | 13,500 | 1 visa quota |
| General Trading License | 17,500 | 2 visa quota |
| Industrial License | 20,000 | 3 visa quota |
Costs may vary depending on activity, number of visas, and office space requirements.
For detailed cost breakdown across all Emirates, check our guide on Free Zone Business Setup Cost in UAE.
Documents Required for UAQ Business Setup
The required documents include:
- Passport copy of shareholders.
- Visa & entry stamp (if applicable).
- Passport-size photographs.
- Application form.
- Business plan (for industrial activities).
For a full checklist across all UAE zones, visit our guide on Documents Required for Free Zone Business Setup.
Visa Options in UAQ Free Zone
UAQ Free Zone provides flexible visa options:
- 0–3 visa packages available.
- Investor visa valid for 2–3 years.
- Family sponsorship allowed.
For more details, read our in-depth guide on Free Zone Visa UAE.
Bank Account Opening for UAQ Free Zone Companies
After obtaining your UAQ Free Zone license, you can open a corporate bank account in the UAE.
Popular banks include:
- Emirates NBD
- RAKBANK
- Mashreq
- ADCB
Learn more in our guide: Bank Account Opening for Free Zone Business.
UAQ Free Zone vs. Other UAE Free Zones
UAQ Free Zone is a cost-friendly option, but how does it compare to others?
- Sharjah Free Zones – Wider business opportunities, check our guide on Free Zone Business Setup in Sharjah.
- Dubai Free Zones – Premium but expensive.
- RAK Free Zone – Popular for industrial setups.
For a detailed comparison, see Free Zone vs Mainland Business Setup and Advantages of Free Zone Business Setup.
- Free Zone Business Setup Cost in UAE
- Documents Required for Free Zone Business Setup
- Free Zone vs Mainland Business Setup
- Advantages of Free Zone Business Setup
- How to Get Free Zone License UAE
- Free Zone Visa UAE
- Bank Account Opening for Free Zone Business
- Free Zone Investor Visa UAE
- Start Business as Foreigner in UAE
Not always. Many packages allow businesses to operate without a physical office, making it cost-effective for startups and freelancers.
Yes, you can apply for dependent visas for your family members once you have an investor visa from UAQ Free Zone.
Typically, the process takes 2–5 working days if all documents are correct. Fast-track services are also available through business setup experts.
