Time: 2026-02-03
Author: Zhuoxin Enterprise
Source: Zhuo Xin
Views: 21Setting up a business in Ras Al Khaimah (RAK) Free Zone is a popular choice for entrepreneurs seeking value. A clear understanding of the total Ras Al Khaimah Free Zone company setup cost is essential for effective budgeting.
This guide provides a detailed look at all fees involved. We cover costs for both RAK FTZ and the RAK International Corporate Centre (RAK ICC). This helps you make a financially sound decision.
The total investment is not a single figure. It is built from several components. Your final Ras Al Khaimah Free Zone company setup cost depends on your business choices.
These choices include the type of license, office requirements, and visa needs. Each factor directly influences the price.
Your business activity determines your license category. RAK FTZ offers several license types with different fee structures.
Commercial License: For trading goods. This often has a standard base fee.
Service License: For consultancy and professional services. This is typically cost-effective.
Industrial License: For manufacturing. May involve additional approvals and costs.
RAK ICC License: A holding or offshore company license with its own fee schedule.
The license fee is the cornerstone of your setup cost. Selecting the correct activity is crucial.
RAK Free Zone offers flexible office solutions. Your choice significantly impacts the total cost.
Virtual Office / Flexi-Desk: The most budget-friendly option. Provides a legal address.
Executive Office: A physical, furnished office space. Cost varies by size and location.
Warehouse or Industrial Space: For storage or manufacturing. Priced per square foot annually.
Many startups begin with a virtual office to manage the initial Ras Al Khaimah Free Zone company setup cost effectively.
Let's examine the specific fees you will encounter. This breakdown covers the primary zones: RAK FTZ and RAK ICC.
Setting up in RAK FTZ involves several mandatory payments. Here is a typical list.
Initial Approval & Application Fee: Covers the initial processing of your business plan.
Trade Name Reservation: A small fee to register your chosen company name.
License Fee: The annual fee for your business license (Commercial, Service, etc.).
Office Rental: Annual fee for your chosen office package (virtual or physical).
Registration Fee: A one-time charge for entering the zone's commercial register.
These fees constitute the core Ras Al Khaimah Free Zone company setup cost for an FTZ entity.
RAK ICC is designed for offshore and holding companies. Its cost structure is different and often simplified.
Incorporation Fee: A one-time fee for company formation.
Annual License Fee: A recurring fee paid every year to maintain the company.
Registered Agent Fee: Covers the provision of a registered office address and agent services.
Government Fees: Includes charges for document processing and filings.
There is usually no requirement for physical office space or employee visas, which can lower ongoing expenses.
If you plan to hire staff or obtain residency for yourself, visa costs must be factored in. These are separate from the license fee.
Each visa involves several government charges.
Entry Permit application fee.
Status Change fee (if applicable).
Medical test and Emirates ID fees.
Visa stamping fee on the passport.
The number of visas you require will add to your initial and annual Ras Al Khaimah Free Zone company setup cost.
Beyond the main fees, some additional costs may apply. Being aware of these helps create a more accurate budget.
Certain processes involve payments to external authorities.
Document attestation and translation fees (if documents are not in English or Arabic).
Chamber of Commerce membership fees (sometimes included, sometimes separate).
Bank account opening service fees (if using a facilitation service).
Many businesses use a consultant to handle the setup process. Their service fee is an additional but optional cost.
This fee can save time and prevent errors. It should be clearly agreed upon in advance.
The setup process follows a sequence, with fees due at each stage.
You submit your application with the required documents. At this stage, you pay the trade name reservation and initial approval fees.
These are relatively small costs that start the process.
After approval, you submit legal documents and pay the main fees. This includes the full license fee, registration fee, and first year's office rental.
This is when the majority of the Ras Al Khaimah Free Zone company setup cost is paid.
Once the company is established, you can apply for visas. Each visa incurs the government fees listed earlier.
These are paid as you process each employee or investor residency.
With strategic planning, you can optimize your expenditure in RAK Free Zone.
Do not overpay for a license with activities you don't need. Start with a virtual office if you don't require daily physical space.
Many zones offer bundled packages that can be more economical than buying services separately.
Apply for visas only for essential personnel in the first year. You can always apply for more later as your business grows.
This helps manage the initial cash outflow significantly.
The Ras Al Khaimah Free Zone offers a competitive and transparent environment for business formation. By understanding each cost component, you can plan your investment with confidence.
Always request a detailed, itemized quotation to see the complete picture of your Ras Al Khaimah Free Zone company setup cost. This ensures there are no surprises and allows you to start your venture on solid financial ground.
A1: For a basic service or trading license with a virtual office package in RAK FTZ, the starting cost can be around AED 10,000 to AED 15,000 for the first year. This excludes visa costs. RAK ICC setups may have different starting points.
A2: The license fee and office rental are annual charges. The initial registration fee is typically a one-time cost. Visa renewals also incur annual government fees.
A3: No, standard company setup packages usually do not include visa fees. Visa costs are separate and are paid per person when you apply for residency permits for employees or investors.
A4: It depends on your business model. RAK ICC (offshore) has a simpler, often lower fee structure with no physical office or visa requirements, ideal for holding assets or international trading. RAK FTZ is for on-the-ground operations and may involve higher costs for offices and visas.
A5: Always ask if the quoted price includes all government fees, chamber of commerce fees, and translation costs. The main potential "hidden" costs are usually document attestation fees or specific activity approval charges.
A6: Yes, RAK FTZ offers executive office suites and smaller spaces. However, the most affordable option remains the virtual office/flexi-desk, which satisfies the legal requirement for an address at a lower Ras Al Khaimah Free Zone company setup cost.
Zhuoxin Consulting relies on its Chinese service network and Dubai executive team to provide professional one-stop business services without communication barriers for Chinese companies to enter the Middle East market. Its business covers company establishment and maintenance, accounting and taxation, bank account opening, PRO services and business services.
Zhuoxin Consulting has high-quality business resources and maintains close cooperation with many free zones, bankers and tax departments in the UAE to escort your expansion in the Middle East market.
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