Advantages of Setting Up in Ras Al Khaimah Free Zone

In recent years, the Ras Al Khaimah Free Zone (RAK Free Zone) has emerged as a prime destination for businesses seeking expansion and growth opportunities in the Middle East. Located in the northernmost part of the United Arab Emirates, the RAK Free Zone offers a wealth of advantages that make it an attractive choice for entrepreneurs and investors.

This article explores the key benefits of establishing a business in the RAK Free Zone, highlighting why it has become a favored hub for companies worldwide.

1. Strategic Location

RAK Free Zone is strategically situated, providing easy access to major markets in the Middle East, Africa, Europe, and Asia. This advantageous location facilitates efficient trade and logistics, enabling businesses to connect with a broad network of clients and partners. The proximity to major shipping routes and international airports ensures that goods can be transported swiftly and cost-effectively.

2. Cost-Effective Setup

One of the primary advantages of the RAK Free Zone is the cost-effective setup process. Compared to other free zones in the UAE, RAK Free Zone offers competitive pricing on business licenses, office space, and other associated costs. This affordability makes it an ideal choice for startups and small to medium-sized enterprises (SMEs) looking to minimize initial expenditures while maximizing growth potential.

3. Tax Benefits

RAK Free Zone provides a range of tax benefits designed to attract foreign investment. Businesses operating within the free zone enjoy tax benefits relating to corporate tax, income tax, and import and export duties. Additionally, there are no value-added taxes (VAT) on goods and services. These tax incentives enable companies to reinvest their profits into business development, enhancing their competitiveness in the global market.

4. 100% Foreign Ownership

In the RAK Free Zone, businesses are allowed to have 100% foreign ownership, unlike some jurisdictions that require local sponsorship or partnerships. This complete ownership provides entrepreneurs with full control over their operations, facilitating decision-making processes and strategic planning without external interference.

5. Ease of Business Setup

The process of setting up a business in the RAK Free Zone is streamlined and efficient. With simplified procedures and minimal bureaucracy, companies can be established within a short timeframe. The free zone authority provides comprehensive support services, assisting with the registration, licensing, and visa processes.

Another attractive option in this regard for entrepreneurs is Dubai free zones, as they too, have quite a lot of similar benefits and easy processes for setting up your business.

6. Diverse Business Activities

RAK Free Zone accommodates a wide range of business activities, from manufacturing and industrial operations to services and trading. Companies from various sectors can find suitable facilities and infrastructure to support their specific needs. The flexibility in business activities allows for diversification and expansion, catering to the dynamic requirements of the global market.

7. Offers Global Access to Businesses

RAk Free Zones serve as a springboard for global expansion, establishing a company in RAK grants a prestigious UAE-based address, increasing international credibility and offering greater access to global partnerships and businesses.

8. Skilled Workforce

A skilled and diverse workforce is readily available in the RAK Free Zone, comprising professionals from various industries and backgrounds. The free zone’s attractive living conditions, coupled with its strategic location, draw talent from around the world. Companies benefit from access to a pool of qualified and experienced employees, enhancing their operational capabilities and competitive edge.


Setting up a business in Ras Al Khaimah Free Zone certainly has a lot of advantages, from cost-effective business setup and tax benefits to strategic location and modern infrastructure.

With its supportive environment and comprehensive facilities, RAK Free Zone stands out as a premier choice for entrepreneurs and investors seeking to establish a successful presence in the UAE and beyond.

Scroll to Top