Al Hamra Free Zone and RAKEZ in Ras Al Khaimah (2026): Costs, Licences and Visas

If you've searched for "Al Hamra free zone" in Ras Al Khaimah, you're looking at the Ras Al Khaimah Economic Zone, RAKEZ. Al Hamra is the name of two RAKEZ zones — an industrial zone and a business zone — near the RAK city centre and the airport. This guide is for founders, traders, consultants and manufacturers comparing northern-emirates free zones in 2026. It explains how RAKEZ and its zones fit together, the licence types, RAKEZ's own published package prices (checked on 9 October 2026), visas, the set-up steps, corporate tax for free zone companies, where RAK ICC fits, and how RAKEZ compares with Ajman, Umm Al Quwain and SHAMS.

Quick answer

Al Hamra Industrial Zone and Al Hamra Business Zone are part of RAKEZ, which licenses companies in six zones across Ras Al Khaimah. On 9 October 2026 RAKEZ published a AED 6,000 no-visa package and a AED 14,000 package with one residence visa, both allowing up to 10 activities and up to 50 shareholders.

• Al Hamra Industrial Zone: warehouses of 150 to 10,000 sq m and land from 5,000 sq m

• Extra visas on the SME package: AED 4,000 each, up to three

• Free zone and non-free zone (RAK mainland) entities are both available through RAKEZ

• Corporate tax applies — 0% only on qualifying income if you meet QFZP conditions

• RAK ICC is a separate offshore registry with no visas

RAKEZ, Al Hamra and RAK ICC: what's what

RAKEZ is the authority Ras Al Khaimah launched in April 2017 to take over and combine its two older zone operators, RAK Free Trade Zone and the RAK Investment Authority's industrial zones. It issues licences, leases facilities and sponsors visas for companies in six zones. That's why you won't find a separate "Al Hamra Free Zone Authority" — you apply to RAKEZ and pick the zone that suits your operation.

The six zones serve different kinds of business:

• Al Hamra Industrial Zone — light and heavier industry close to the city, Dubai and RAK airports, with pre-built warehouses, land plots and staff accommodation. You can choose a free zone or non-free zone entity here.
• Al Hamra Business Zone — flexi-desks and offices in a business centre between the city centre and the neighbouring emirates.
• Al Nakheel Business Zone — business centres aimed at SMEs and freelancers in the city.
• Al Ghail Industrial Zone — RAKEZ's site for large-scale manufacturing, inland.
• Al Hulaila Industrial Zone — heavier industry, close to the bulk port in the north of the emirate.
• RAKEZ Academic Zone — education providers and training institutes.

Most service businesses and traders who only need a licence and a visa end up with a coworking or flexi-desk facility in a business zone. Manufacturers, food processors and logistics firms choose Al Hamra, Al Ghail or Al Hulaila for warehouses and land.

RAK ICC, the RAK International Corporate Centre, is a different thing altogether. It's Ras Al Khaimah's offshore registry for international business companies used to hold shares, property and other assets, or to contract internationally. An RAK ICC company must act through a licensed registered agent, can't carry on business inside the UAE and has no trade licence or office for UAE operations, so it can't sponsor residence visas. If you need to trade, hire or live in the UAE, you need a RAKEZ (or other free zone or mainland) licence, not just an RAK ICC company.

RAKEZ at a glance (2026)

AED 6,000

Biz Starter (no visa)

RAKEZ offer, read 9 Oct 2026

AED 14,000

SME package with 1 visa

Same renewal price guaranteed

AED 4,000

Each extra visa (max 3)

On the SME package

150 to 10,000 sq m

Al Hamra warehouse sizes

Land plots from 5,000 sq m

Licence types and legal entities

RAKEZ issues licences in the usual UAE categories. The one you need depends on your activities, not on the zone:

• Commercial — trading in goods and services, including import and export.
• General trading — trading in multiple unrelated product lines.
• E-commerce — selling goods and services online.
• Service / consultancy — professional services or consultancy in any industry.
• Industrial — manufacturing, assembling, packaging and exporting; this is the usual licence in Al Hamra Industrial Zone.
• Media and educational — media activities and training or education providers, with extra approvals for some activities.
• Individual / professional — one owner with one activity in a specific speciality.
• Freelancer permit — for media, education, IT and analyst professionals working in their own name. RAKEZ's freelancer packages start from AED 6,100; a freelancer can't open a corporate bank account, and no memorandum of association or share certificate is issued.

RAKEZ also offers a dual licence, which combines commercial and professional activities and pairs a free zone licence with a branch licence so the business can operate in both the free zone and RAK's mainland. Ask for written confirmation of exactly where and with whom a dual-licensed company can trade.

Legal entity: free zone or non-free zone

RAKEZ registers several entity types: a Free Zone Limited Liability Company (FZ-LLC), the most common choice for one or more shareholders; an individual establishment for sole owners; a Limited Liability Company (LLC) under the non-free zone route; and branches of UAE or foreign companies.

The key strategic choice is between a free zone entity — full foreign ownership, no customs duty on re-exported goods and freedom to hire — and a non-free zone entity in a RAKEZ zone, which can sell directly into the UAE market and is subject to the federal labour law. RAKEZ's legal-entities page lists the non-free zone route as being set up in association with a UAE partner; since 2021 most activities on the UAE mainland allow full foreign ownership, so ask RAKEZ which ownership rules apply to your activity.

RAKEZ package prices: what RAKEZ publishes

RAKEZ advertises bundled packages rather than a public line-by-line fee schedule. The prices below are copied from RAKEZ's own promotion pages on 9 October 2026. They are promotional offers that can change or end at any time, so get a written quote before you pay.

RAKEZ describes the SME package as all-in, "from your trade licence to a UAE residence visa" with no hidden costs, and also gives a 20% discount on dependent visas. Even so, confirm in writing whether the medical test, Emirates ID, health insurance and establishment card are covered. Those are where most quotes from consultants differ.

Worked example: a two-person trading start-up

Sara and Omar want a general-commerce company with seven activities, two shareholders and residence visas for both. On RAKEZ's published SME offer, the first-year cost is AED 14,000 for the licence and first visa plus AED 4,000 for the second visa — AED 18,000 in total. If they take the premium upgrade for banking help and corporate tax filing, it rises to AED 20,500.

Because RAKEZ guarantees the same renewal price on this package, year two should cost the same before any changes to government visa fees. Put aside separate money for the corporate bank account, accounting and audit, and any VAT registration if taxable supplies pass AED 375,000.

Budget estimate: a company that needs a small warehouse in Al Hamra Industrial Zone instead of a coworking desk pays a lease on top, quoted per square metre and not published as a standard rate. Ask RAKEZ for a facility quote alongside the licence quote.

Visas through RAKEZ

RAKEZ is the visa sponsor for free zone companies. Your company applies through RAKEZ for an establishment (immigration) file, registers on the E-Channel immigration system — mandatory for every company with an immigration file, even if it isn't applying for visas yet — and then requests visas for shareholders, managers and staff.

The usual sequence for each person is:

1. Entry permit — issued so the person can enter, or change status if already in the UAE.
2. Medical fitness test at an approved centre.
3. Emirates ID application and biometrics.
4. Residence visa issued electronically — free zone employment visas are usually valid for two years.

Visa numbers depend on the package and facility. The SME package includes one visa and lets you add up to three more at AED 4,000 each. Larger visa quotas come with bigger offices or warehouses. Once a shareholder holds a residence visa, they can sponsor family members, and RAKEZ advertises a 20% discount on dependent visas within the SME package.

How to set up a company in RAKEZ

Setting up in RAKEZ, step by step

1. 1

   Choose activities and entity

   Pick activities from RAKEZ's business activity list and decide between an FZ-LLC, individual establishment or non-free zone entity. Your activities determine the licence type.

   RAKEZ licence types
2. 2

   Pick a package and facility

   Coworking or flexi-desk for most service and trading businesses; a warehouse or land in Al Hamra, Al Ghail or Al Hulaila for industrial work.

3. 3

   Submit documents online

   Passport copies for every shareholder and manager, UAE visa or Emirates ID for residents, the proposed company names and shareholding. Corporate shareholders need attested incorporation documents.

   Tip: Activities classed as designated non-financial businesses and professions need an extra DNFBP form signed by all shareholders.

4. 4

   Get the licence and company documents

   Simple licences can be issued within minutes of complete submission. Industrial facilities also need an Operation Fitness Certificate before operations start.

5. 5

   Apply for visas and open a bank account

   Register on the E-Channel immigration system, apply for visas, then open a UAE corporate bank account with your licence, memorandum and shareholder documents.

6. 6

   Register for tax

   Register for corporate tax within 3 months of incorporation, and for VAT if your taxable supplies pass the threshold.

Applications and renewals run through RAKEZ's online platform, Portal 360. The licence is valid for one year and must be renewed before expiry to avoid penalties; RAKEZ says renewals are usually completed within a few working days.

Corporate tax and VAT for RAKEZ companies

RAKEZ's own website still describes "zero income and corporate taxation". That's out of date for most businesses. Since UAE corporate tax began for financial years starting on or after 1 June 2023, free zone companies are taxable persons who must register and file.

A RAKEZ company can pay 0% on qualifying income if it's a Qualifying Free Zone Person (QFZP). That needs adequate substance in the zone, qualifying activities and income, audited financial statements, compliance with transfer-pricing rules, and non-qualifying revenue within the de minimis limit — no more than 5% of total revenue or AED 5 million, whichever is lower. Fail a condition and you lose QFZP status for 5 tax periods.

In practice, manufacturing, processing, logistics and trading with other free zone businesses or foreign customers are more likely to qualify. Services to mainland UAE customers, and sales to consumers, generally don't. A business that isn't a QFZP pays 9% on taxable income above AED 375,000. Small businesses with revenue up to AED 3 million may instead elect Small Business Relief, but a QFZP can't use it. Our UAE corporate tax guide covers the calculation.

For VAT, the standard rate is 5%. Al Hamra, Al Ghail and Al Hulaila industrial zones were added to the FTA's list of VAT designated zones from 4 July 2019, according to secondary sources. Designated-zone treatment only affects certain movements of goods; services are taxed like any other UAE supply. Check the current FTA list before you rely on it.

RAKEZ vs Ajman, UAQ and SHAMS

The four northern-emirates authorities compete hard on price for small companies. Comparing them fairly means comparing like with like — published package prices on a stated date, with one visa or none.

Be careful with headline prices in adverts and on consultants' websites. Some quote a licence without the establishment card or immigration file, some include a visa but not the medical test or Emirates ID, and some show a first-year discount that disappears at renewal. The table below uses each authority's own published figure on the date shown. Even then, the inclusions differ, so read each package page before deciding.

One-visa and no-visa entry packages (published prices, October 2026)

Free zone	No-visa entry price	With one visa	Price source and date
RAKEZ (Ras Al Khaimah)	AED 6,000	AED 14,000	RAKEZ offer pages, 9 Oct 2026
Ajman Free Zone	AED 5,555	AED 13,131	AFZ cost calculator, 7 Oct 2026
UAQ Free Trade Zone	No published no-visa package	AED 12,500	UAQ Start offer page, 7 Oct 2026
SHAMS (Sharjah Media City)	AED 6,885	AED 13,935	SHAMS cost calculator, 9 Oct 2026

RAKEZ (Ras Al Khaimah)

No-visa entry price

AED 6,000

With one visa

AED 14,000

Price source and date

RAKEZ offer pages, 9 Oct 2026

Ajman Free Zone

No-visa entry price

AED 5,555

With one visa

AED 13,131

Price source and date

AFZ cost calculator, 7 Oct 2026

UAQ Free Trade Zone

No-visa entry price

No published no-visa package

With one visa

AED 12,500

Price source and date

UAQ Start offer page, 7 Oct 2026

SHAMS (Sharjah Media City)

No-visa entry price

AED 6,885

With one visa

AED 13,935

Price source and date

SHAMS cost calculator, 9 Oct 2026

Price is only part of the picture:

• RAKEZ stands out for industrial space — warehouses and land in three industrial zones, staff accommodation and port access — and for the non-free zone option within the same authority. Its SME package allows up to up to 50 shareholders, which suits partnerships.
• Ajman Free Zone is close to Sharjah and Dubai and offers a wide range of tiered packages; read our Ajman Free Zone guide.
• UAQ FTZ bundles a visa, Emirates ID, medical and insurance in UAQ Start and is popular with traders; see the UAQ free zone guide.
• SHAMS focuses on media and creative activities as well as general business; see the SHAMS guide.

If you need customers in Dubai to see a Dubai address, none of these is a substitute for a Dubai licence. Our Dubai business set-up guide compares Dubai free zones and mainland routes.

After set-up: renewals and ongoing compliance

A RAKEZ company has a few recurring obligations beyond paying the renewal fee. The trade licence, the immigration file and any facility lease all run on an annual cycle, and late renewal brings penalties and can block visa services. Companies leasing warehouses, land or customised facilities must also hold an Operation Fitness Certificate; coworking and business-centre licensees don't need one.

On the tax side, every company must file a corporate tax return within 9 months of its financial year end, even if no tax is due, and a company claiming QFZP status needs audited financial statements. Companies carrying on activities classed as designated non-financial businesses and professions — such as dealing in precious metals or real estate brokerage — have extra anti-money-laundering registration and reporting duties. Keep your shareholder and ultimate beneficial owner records up to date with RAKEZ, and tell it promptly about any change of manager, shareholder or address.

Yearly RAKEZ compliance checklist

0/7

• Trade licence renewed before expiry
• Immigration file and E-Channel registration renewed
• Facility lease renewed (and Operation Fitness Certificate for warehouses or land)
• Corporate tax return filed within 9 months of year end
• Audited financial statements prepared if claiming QFZP status
• VAT returns filed if registered
• Shareholder, manager and beneficial owner details up to date

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Common mistakes when choosing RAKEZ

Treating an offer price as the renewal price. Some packages discount only the first year. RAKEZ's SME package guarantees the same renewal price; other offers may not. Ask for year-two pricing in writing.

Choosing activities too narrowly. Adding activities later costs time and money. List everything you expect to do in the next two years and check it fits within the package's activity limit.

Assuming free zone means mainland access. A free zone company that wants to sell directly to UAE consumers or government buyers may need a mainland licence, a dual licence or a distributor.

Ignoring corporate tax. "Free zone" doesn't mean "tax-free". Keep audited accounts if you want QFZP status, and register for corporate tax within 3 months.

Using an RAK ICC company to trade. An offshore company can't trade inside the UAE or sponsor visas. Use it for holding assets, not running operations.

Official links

• RAKEZ zonesAl Hamra, Al Ghail, Al Hulaila, Al Nakheel, Academic
• RAKEZ SME Business Set-up packageLicence plus one visa
• RAKEZ Biz Starter packageNo-visa package
• RAKEZ licence typesActivities and licence categories
• FTA — corporate tax registrationRegister within the deadline
• u.ae — starting a business in a free zoneFederal overview

What to do next

Write down your activities, how many visas you need in year one and whether you need warehouse space, then ask RAKEZ — and one or two of the other northern free zones — for written quotes covering year one and year two. Estimate your full budget with the startup cost calculator, check your likely tax position with the UAE corporate tax calculator, and read our overview of UAE business licences.

This is general information, not legal or tax advice — confirm on the official source or with a professional.

Frequently asked questions

Is Al Hamra Free Zone the same as RAKEZ?

Yes, in practice. Al Hamra Industrial Zone and Al Hamra Business Zone are two of the six zones run by the Ras Al Khaimah Economic Zone (RAKEZ), alongside Al Ghail, Al Hulaila, Al Nakheel and the Academic Zone. You apply to RAKEZ, which issues the licence and sponsors visas; the zone is where your office, warehouse or land is. RAK ICC is a separate offshore registry.

How much does a RAKEZ licence cost in 2026?

RAKEZ's published offers on 9 October 2026 were AED 6,000 for the Biz Starter package (no visa, up to 10 activities, coworking access) and AED 14,000 for the SME Business Set-up package with one residence visa and guaranteed renewal at the same price. Extra visas on the SME package cost AED 4,000 each, up to three. These are promotional prices and can change — get a written quote.

Can a RAKEZ company trade in Dubai or on the UAE mainland?

A free zone company can trade freely outside the UAE and with other free zone businesses, but selling directly to mainland customers generally needs a mainland presence, a local distributor or agent, or a RAKEZ licence structure that covers it. RAKEZ also offers non-free zone (RAK mainland) entities in its zones, which can deal directly with the local market. Check activity rules before you sign.

Do RAKEZ companies pay corporate tax?

Yes, they're inside the UAE corporate tax system. A RAKEZ company can be a Qualifying Free Zone Person and pay 0% on qualifying income if it meets the conditions, including substance, audited accounts and non-qualifying revenue within 5% of revenue or AED 5 million. Other taxable income is taxed at 9% above AED 375,000. Every company must register for corporate tax.

What is RAK ICC and does it give a visa?

RAK ICC (RAK International Corporate Centre) is Ras Al Khaimah's offshore company registry. Its international companies are used for holding assets, property and international trade, must use a licensed registered agent, and can't carry on business inside the UAE. RAK ICC companies don't have a trade licence or office for UAE operations, so they don't sponsor residence visas.

How long does it take to set up a RAKEZ company?

RAKEZ markets an instant licence that can be issued within minutes of submitting complete documents online, for simple activities without approvals. Industrial licences, warehouses and land take longer because of facility leasing and the Operation Fitness Certificate. The residence visa then follows: entry permit, medical test, Emirates ID biometrics and visa issue usually take a few weeks.

Sources & verification

Figures on this page were checked against the sources below when it was last reviewed on 9 October 2026. Each rate and limit is stored once with its own official source and review date, and official update channels are monitored daily so changes are picked up. How we verify

1. 1.RAKEZ zones (Al Ghail, Al Hamra, Academic, Al Hulaila, Al Nakheel, Al Hamra Business Zone) — Ras Al Khaimah Economic Zone (RAKEZ) · accessed 9 October 2026
2. 2.Al Hamra Industrial Zone — RAKEZ · accessed 9 October 2026
3. 3.Al Hamra Business Zone — RAKEZ · accessed 9 October 2026
4. 4.Biz Starter package — RAKEZ · accessed 9 October 2026
5. 5.SME Business Set-up package — RAKEZ · accessed 9 October 2026
6. 6.Instant licence — RAKEZ · accessed 9 October 2026
7. 7.Business licence types — RAKEZ · accessed 9 October 2026
8. 8.Business types and legal entities — RAKEZ · accessed 9 October 2026
9. 9.Freelancer permit — RAKEZ · accessed 9 October 2026
10. 10.Ministerial Decision No. 229 of 2025 — Qualifying Activities and Excluded Activities — UAE Ministry of Finance · accessed 9 October 2026
11. 11.Corporate Tax Guide — Free Zone Persons (CTGFZP1) — Federal Tax Authority · accessed 9 October 2026
12. 12.Starting a business in a free zone — UAE Government portal · accessed 9 October 2026
13. 13.RAK International Corporate Centre — business companies (law firm overview) — Mondaq · accessed 9 October 2026
14. 14.Three more designated zones added by Federal Tax Authority — MBG Corporate Services · accessed 9 October 2026