FZE FAQ: Answers to Common Questions About UAE Free Zone Companies
Setting up a Free Zone Establishment (FZE) in the UAE opens the door to 100% ownership, international trade access, and a simplified tax regime. However, many new entrepreneurs have practical questions before starting their journey — from travel requirements and visa processing to taxation and banking.
At Persona Finance, we assist hundreds of clients every year in registering and maintaining their UAE FZE companies. Below, we have gathered the most frequently asked questions from our clients and provided clear, actionable answers to help you plan your next step confidently.
Travel, Visa, and Residency FAQs
1. Will I need to travel to the UAE and for how long?
Yes. You will need to be in the UAE for approximately 2–3 weeks to complete your biometric registration and Emirates ID process. Once your company is set up, you only need to visit once a year to maintain your residency and ID.
2. Can I live in Dubai if my company is based in another Emirate?
Yes, absolutely. Your residence visa allows you to live and stay in any Emirate, even if your company is registered elsewhere (for example, an Ajman or Sharjah Free Zone company with a Dubai residence).
3. How often do I need to travel to the Emirate where my company is registered?
Only once, for your initial biometric appointment and Emirates ID verification.
4. Do I need to travel immediately after receiving my trade licence?
Not necessarily. You can begin your business remotely, and the visa process can be postponed until you are ready to travel. Persona Finance can manage the timing of your visa and residency to suit your schedule.
Emirates ID, Medical Check, and Stay Requirements
5. Where can I get my medical check?
You can visit any Emirates Health Services (EHS) approved medical centre. These are available in all Emirates, and the cost typically ranges from AED 260 – 320.
6. How long do I need to stay in the UAE each year to keep my Emirates ID active?
You only need to enter the UAE at least once a year. Staying for one day is sufficient to keep your residency and Emirates ID valid.
7. Where can I collect my Emirates ID?
You can either:
Have it delivered to your UAE address or accommodation, or
Collect it from the customer service centre in the Emirate where your company is registered.
Banking, Licensing, and Starting Operations
8. Can I open a personal or corporate bank account without an Emirates ID?
No. The Emirates ID is essential for opening and managing both personal and business bank accounts. It is required for verification, compliance, and smooth banking operations.
9. When can I start using my company and conducting business?
Your company becomes legally active within the first few days of the setup process once the trade licence is issued.
However, in practice, you can start operating fully once your bank account is opened — which requires your Emirates ID.
Taxation, Maintenance, and Compliance
10. Are there any tax liabilities for an FZE company? I thought there was no tax.
While many Free Zones offer corporate tax exemptions, this is subject to accounting and compliance requirements.
Corporate Tax: An FZE can often remain exempt if it meets Free Zone criteria.
VAT: Your company may still have VAT obligations depending on your turnover and type of activity.
Each case is unique, so it is important to discuss your business strategy with professionals. Persona Finance provides tailored tax advisory and accounting services to ensure compliance.
11. What are the yearly costs for company maintenance?
You must renew your trade licence, lease agreement, and corporate documents annually.
Your Emirates ID and visa usually require renewal every two years.
The total cost depends on the Emirate and the Free Zone authority but typically includes:
Licence renewal fee
Office or flexi-desk lease renewal
Visa and Emirates ID renewal fees
12. Will I need accounting and legal support for my UAE company?
Yes. To maintain your tax benefits and stay compliant with UAE laws, you must keep accurate accounting records and file reports when required. Partnering with professionals like Persona Finance ensures your FZE meets all legal and accounting standards, so you can focus on running your business.
Practical Details You Should Know
Medical check: Required once before obtaining your visa and Emirates ID.
Visa validity: Typically two years, renewable.
Minimum stay requirement: One visit per year.
Banking: Emirates ID is mandatory.
Company renewals: Annual (varies by Free Zone).
Tax compliance: Required to maintain exemptions.
How Persona Finance Helps You Set Up and Maintain Your FZE
We understand the unique needs of international entrepreneurs and tailor our services to save you time, cost, and stress — ensuring your FZE remains compliant and successful.