Dubai Launches Mainland Operating Permit for Free Zone Companies
- Publish: September 09, 2025
Source: Dubai Department of Economy and Tourism (DET)
Dubai has introduced a new Free Zone Mainland Operating Permit, allowing free zone companies to legally operate in Dubai’s mainland through a simplified permit system – a major step towards business flexibility and cross-jurisdictional growth.
According to the Dubai Department of Economy and Tourism (DET), the initiative aims to make it easier for free zone companies to engage in domestic trade, local contracts, and government tenders, offering a cost-effective and transparent route for business expansion.
What’s Covered Under the New Permit
In its initial phase, the permit applies to non-regulated business activities, including:
- Technology & IT services
- Consultancy & design
- Professional services
- General trading
Regulated sectors will be added in the next phases.
Permit Duration & Cost
- Validity: 6 months
- Fee: AED 5,000 (renewable every six months for the same fee)
Free zone companies using the permit will be subject to 9% corporate tax on mainland-related revenues and must maintain separate financial records as per Federal Tax Authority (FTA) rules – ensuring transparency and compliance.
Businesses can also use their existing free zone staff for mainland operations without hiring new employees.
Economic Impact
DET projects that the initiative will boost cross-jurisdictional business by 15-20% within the first year, benefiting over 10,000 active free zone firms.
Companies will gain access to billions worth of government contracts, integrate into domestic supply chains, and expand into local trading – opportunities previously limited to mainland-licensed entities.
Application Process
Eligible free zone companies holding a Dubai Unified Licence (DUL) can apply online through the Invest in Dubai (IID) platform.
The entire process is digital – ideal for SMEs, startups, and incorporation agents looking to enter the mainland market seamlessly.
