Dubai Unlocks Mainland Access for Free Zone Businesses

Dubai has once again reshaped its business landscape. With the release of Executive Council Resolution No. (11) of 2025, free zone companies (excluding DIFC) can now directly operate in mainland Dubai under a streamlined licensing regime.

This is more than a legal update—it’s a game-changer. For years, free zone entities were limited to their zones, needing costly branches or subsidiaries to reach the mainland. Now, Dubai has created a clear, compliant, and cost-effective pathway to full integration.

🔑 Three Doors Open for Free Zone Companies

Under the new regime, businesses can choose from three routes to mainland operations:

1️⃣ Branch or Subsidiary Licence → Establish a mainland presence outside the free zone. 2️⃣ Dual Licence → Operate in the mainland while keeping your free zone office. 3️⃣ Temporary Permit → Conduct specific short-term activities (valid up to 6 months).

Approvals will be granted by the Dubai Department of Economy & Tourism (DET), along with relevant free zone authorities.

📅 Countdown to 3 September 2025

By this date, DET will publish an official list of eligible activities—defining which need a licence and which can run on a permit. 👉 Smart businesses should start mapping their operations now to prepare for alignment.

📊 Compliance, Tax & Transparency

• Separate accounts must be kept for mainland activities.
• Audits & inspections will ensure compliance with federal and local laws.
• Corporate tax impact: Mainland revenues could affect free zone tax status—businesses must consult advisors to avoid surprises.

👥 Workforce Wins

Perhaps the most attractive benefit: existing free zone employees can support mainland operations while retaining their free zone contracts. This creates flexibility, continuity, and major cost savings.

💰 Fees & Transition Period

• AED 10,000/year → Branch licence.
• AED 5,000 → Temporary permit.
• Free zone companies already active in mainland Dubai must regularize their status within one year (from March 3, 2025), with a possible one-time extension.

🌍 Why This Matters for Investors

• Simplifies expansion into Dubai’s mainland market.
• Boosts investor confidence with legal clarity and transparent processes.
• Encourages collaboration across free zone and mainland ecosystems.
• Aligns with Dubai’s global vision as a borderless hub for trade, finance, and innovation.

✅ Closing Thought

Dubai has always been bold in rewriting the rules of business. Executive Council Resolution No. (11) of 2025 doesn’t just update licensing—it redefines how free zone and mainland economies collaborate.

For entrepreneurs, investors, and multinational firms, this marks the beginning of a new era where integration fuels growth. The next step? Preparing now, before September 2025, to ensure your business is ready to thrive under this transformative framework.