Ajman vs. Sharjah vs. RAK: A 2025 Cost Comparison Guide for Strategic Business Setup
Everyone wants a business in the UAE in 2025. Its location is perfect. Its economy is strong. And its rules make life easier for investors.
But, it is not that simple. Many questions, many confusions. First of all, where should you set up?
Ajman, Sharjah, and Ras Al Khaimah (RAK) are three popular options. Each offers low costs, smart policies, and great access to markets. But they’re not the same.
This guide will help you compare them. We’ll break down costs. We’ll look at the pros of each place. And we’ll show you what makes them different.
Why does this matter?
Because choosing the right emirate can save you money. It can also set you up for long-term success. In today’s competitive world, every decision counts.
Let’s find out which emirate works best for your business dream.
Understanding Free Zones and Mainland Setups
When starting a business in the UAE, you’ll often hear two terms—Free Zone and Mainland. These are two different types of business setups.
Free Zones are special areas that offer benefits to foreign investors. You can own 100% of your company. But you’re usually limited to doing business inside the Free Zone or internationally.
Mainland setups let you trade freely across the UAE. You can work with local markets, government contracts, and more.
Ownership and Business Freedom
In Free Zone companies, you get full ownership as a foreigner. No local partner is needed. That’s a big plus for many investors.
In the Mainland, full ownership is also allowed for most activities (as per recent laws). But depending on the business type, some sectors may still require a local service agent.
Mainland businesses can operate anywhere in the UAE, while Free Zone businesses are mostly limited to within their zone or abroad—unless they partner with a local distributor.
Tax Perks and Other Benefits
Free Zones usually offer 0% corporate tax for qualifying businesses, full profit repatriation, and no import/export duties within the zone.
Mainland companies are now under the UAE corporate tax, but small businesses with revenue under AED 3 million can still get tax relief until 2026.
Both setups allow 100% repatriation of profits, and both offer strong legal protections.
Ajman: Affordable Entry with Strategic Access
Ajman Free Zone is one of the most budget-friendly options in the UAE. It’s perfect if you’re thinking about ajman mainland business setup.
Licensing Costs
You can get started from just AED 11,900 per year. That’s one of the lowest rates in the country.
Who It’s For
Ajman mainland business setup is great for SMEs, freelancers, and e-commerce businesses. If you’re testing a new idea or running a lean operation, this zone makes sense.
What You Get
They offer smart offices, warehouses, and co-working spaces. You can scale up as your business grows.
Tax Perks
No VAT when you trade within the zone or between other free zones. That means more savings on operating costs.
Business Boom
There’s been a sharp rise in new setups lately, especially among Indian investors. That’s a strong sign of trust in Ajman’s business environment. Business setup in Ajman mainland is something everyone is thinking about.
Ajman Media City Free Zone
If your work is in media, content, or digital services, this Free Zone was built for you.
Industry Focus
It supports media-related businesses with flexible, affordable licensing options.
Why It’s Popular
You get a fast setup and low-cost packages for ajman free zone companies. Great for creatives, content creators, and agencies.
Sharjah: Cultural Capital with Diverse Opportunities
Sharjah is a strong player in the UAE business scene. Yes, it’s known for its rich heritage too. With multiple Free Zones and Mainland options, it offers something for almost every type of entrepreneur.
Sharjah Airport International Free Zone (SAIF Zone)
SAIF Zone is one of the most established Free Zones in the UAE. It sits right next to Sharjah International Airport. This location makes it a smart choice for international businesses.
Licensing Costs
The rates are competitive, especially considering the range of services and infrastructure. You get good value—modern offices, warehouses, and even labor housing options.
Who It’s For
SAIF Zone is ideal if you’re in aviation, logistics, or manufacturing. Many cargo and trading companies pick this zone for its connectivity and speed.
Hamriyah Free Zone
This zone is known for heavy industries and large-scale manufacturing. Its biggest strength? Access to a deep-water port and its own internal road network.
If your business needs space, shipping routes, and cost control, Hamriyah is a great fit. It also offers land for long-term lease, making it a smart choice for factories and industrial hubs.
Sharjah Media City (Shams)
Shams is a newer Free Zone, but it’s growing fast. Built for the creative and media sectors, it’s ideal for content creators, marketers, designers, and tech startups.
What You’ll Like
Shams offers very affordable packages, including freelance and zero-office license options. You can set up quickly, even without a physical space, and upgrade later when needed. The infrastructure is sleek and digital-friendly—perfect for modern businesses.
Sharjah Mainland Opportunities
Looking beyond Free Zones? Sharjah Mainland is opening up.
- Ownership Made Easy
Thanks to new laws, many business types now allow 100% foreign ownership. That means you can have full control—no local partner needed in many sectors. - Access to Local Markets
Unlike Free Zones, Mainland businesses can serve the entire UAE directly. If your goal is to work with local clients, retail, or government contracts, the Mainland setup gives you that reach.
Ras Al Khaimah (RAK): Industrial Hub with Cost Advantages
RAK is rising fast as a go-to spot for serious business. It’s calm, cost-effective, and packed with potential—especially if you’re in trade, logistics, or manufacturing.
RAK Economic Zone (RAKEZ)
RAKEZ is one of the most affordable Free Zones in the UAE. It offers strong support for all kinds of businesses, from solo entrepreneurs to big factories.
Licensing Costs
You can launch your business for as low as AED 11,440 per year. That’s great value for startups and small businesses.
Industries Covered
RAKEZ welcomes a wide range of sectors. Manufacturing, trading, services, consulting—you name it. The flexibility is a big plus.
Facilities
Need a small office or a big warehouse? RAKEZ gives you both. You can even lease land plots to build your own facility. It grows with your business.
Tax Benefits
Expect corporate tax exemptions and customized packages. The zone is designed to keep your costs low and profits high.
RAK Maritime City Free Zone
If your business touches the sea—shipping, logistics, marine services—this zone is built for you.
Business Focus
RAK Maritime City is perfect for maritime and logistics operations. It offers a full range of port services.
Why Choose It?
It’s in a strategic spot with direct access to shipping lanes. That means smoother trade and faster operations for export-focused businesses.
Comparative Analysis: Ajman vs. Sharjah vs. RAK
So, which emirate should you choose? Let’s break it down.
Cost Comparison
1- Licensing Fees
Ajman and RAK lead the pack on price. Both offer licenses starting under AED 12,000, making them ideal for budget-conscious startups. Sharjah is slightly higher but comes with stronger sector focus.
2- Operational Costs
Rent, utilities, and other expenses tend to be lower in Ajman and RAK. Sharjah offers more premium facilities, which can raise costs depending on your needs.
Industry Suitability
Ajman
Perfect for startups, freelancers, and online businesses. The ajman mainland business setup is quick, simple, and budget-friendly.
Sharjah
Great if you’re in media, education, culture, or light manufacturing. It offers both creative and industrial zones.
RAK
Best for industrial, trading, and export-focused businesses. It’s built for scale and serious growth.
Strategic Advantages
Ajman
Close to Dubai but with much lower costs. A smart pick if you want access without the price tag. Ajman free zone companies can be started with limited budget.
Sharjah
Well-connected to both Dubai and the Northern Emirates. It balances location with sector diversity.
RAK
Offers incentives for industrial development. Plus, it’s excellent for export-heavy businesses with port access and large-scale facilities.
Key Considerations for Business Setup in 2025
Before you make your move, here are a few things to keep in mind. These factors can shape your success—especially in today’s fast-moving business world.
Regulatory Changes
Rules in the UAE are changing. In 2025, more sectors now allow 100% foreign ownership. There are also updates to corporate tax laws that could impact your profits.
Tip: Always check the latest policies before you set up. Staying compliant saves time and money.
Economic Trends
Not all industries grow the same way. Some sectors—like tech, logistics, and green energy—are booming in 2025. Others are slowing down.
Tip: Choose a business that fits current demand. It gives you a better shot at success.
Infrastructure Developments
Big projects are shaping the future. New roads, ports, airports, and business parks are popping up—especially in RAK and Sharjah. These can boost your access to markets and lower transport costs.
Tip: Look at what’s coming next, not just what’s already built.
Talent Acquisition
People matter. Make sure your chosen emirate has access to the skilled workers your business needs. Sharjah and RAK have growing talent pools, and Ajman is catching up too.
Tip: Think about hiring early. It can affect how fast you grow.
How ADEPTS Can Assist You
Setting up a business in the UAE can feel overwhelming. But you don’t have to do it alone.
Expertise You Can Trust
At ADEPTS, our team of seasoned Chartered Accountants knows the ins and outs of the UAE business setup process. We make it easier, faster, and stress-free.
What We Offer
Business Advisory
We help you choose the right emirate, build smart strategies, and plan your market entry based on your goals.
Taxation and Compliance
Worried about taxes or new laws? We make sure your business meets all UAE tax and legal requirements—without the headaches.
Valuation and Mergers
Thinking about growth? We provide accurate business valuations and support for mergers and acquisitions to help you scale safely.
Transfer Pricing
If you’re operating across borders or with multiple entities, we offer full transfer pricing solutions that keep you compliant and efficient.
A Focus on You
ADEPTS puts your success first. Every business is different, and we offer customized services to match your exact needs.
Conclusion
Your choice of emirate can shape your future. So look at your budget, industry, and growth goals before making the call.
- Ajman is ideal if you want low costs and easy entry.
- Sharjah gives access to creative, industrial, and local markets.
- RAK is perfect for larger operations, manufacturing, and exports.
FAQs:
Visa offers are quite a few in these emirates. You can get multiple visas for your business. The number will depend on the type of your business. The system is flexible. But, it’s not restrictive.
Yes. Company switching is as easy as company formation in Ajman.There are quite a few things to do, though. You’ll need to de-register your Free Zone entity and set up a fresh Mainland license. New paperwork, new approvals—but totally doable. Many businesses take this step when they’re ready to expand into the UAE’s local market.
Nope. You can send your profits and capital back home anytime—100%, no limits, no hassles. That’s one of the biggest perks of doing business in UAE Free Zones.
In most Free Zones, it’s fast—usually between 1 to 5 working days if your documents are in order. Mainland setups might take a bit more time due to extra approvals, but overall, UAE is known for efficient processing.
Yes. Certain activities—like finance, insurance, or legal consulting—may require special approvals or may not be allowed in Free Zones. Always double-check with the authority before finalizing your business activity.
Not necessarily. Many Free Zones offer flexi-desk or shared office options that still allow you to get a license and visa. But if you want more visas or plan to store inventory, a physical ajman mainland company office space like a private office or warehouse might be required.
It’s doable, but banks will ask for solid documentation—your license, passport, business plan, invoices, and maybe some client contracts. Free Zone companies can open accounts with both local and international banks, though timelines vary.
