UAE Dual License: What Free Zone Companies Need to Know in 2025

July 2025

For years, free zone companies in Dubai faced a hard boundary: their license allowed them to operate inside the free zone and internationally, but not to trade directly with mainland customers. That rule quietly reshaped in 2025 with Executive Council Resolution No. 11, which introduced the dual license framework — a structured way for free zone entities to legally serve the mainland market without abandoning their existing setup.

What a dual license actually is

A dual license is a supplementary permit issued by the Dubai Department of Economy and Tourism (DET) on top of your existing free zone license. It doesn't replace your free zone status; it adds mainland trading rights alongside it. You keep 100% foreign ownership, keep your free zone office, and gain a legal route to invoice mainland clients, sign mainland contracts, and take part in government tenders.

The three permit options

Resolution No. 11 sets out three ways to structure the dual license, depending on how deep your mainland footprint needs to be:

  • Branch license (AED 10,000/year) — a full mainland branch of your free zone company, with its own DET license and its own physical office in mainland Dubai.
  • Remote branch permit (AED 10,000/year) — mainland trading rights without needing to open a separate mainland office. You operate from your free zone premises but invoice as a mainland entity.
  • Temporary permit (AED 5,000 / 6 months) — a short-term option for specific projects or contracts, ideal for testing a mainland engagement before committing to a full branch.

Who needs one

Any free zone company that trades with mainland UAE customers needs a dual license. If you invoice mainland clients, sign mainland service contracts, or supply goods to mainland buyers, the dual license is the legal route. Selling only to overseas customers or to other free zone companies? You likely don't need one — but if in doubt, check before you invoice.

The grace period ended in March 2026

DET allowed a grace window for free zone companies already trading on the mainland to regularize their status. That window closed in March 2026. Companies operating on the mainland without a dual license now face fines and, in some cases, restrictions on renewal of the underlying free zone license.

How City Time can help

Applying for a dual license involves two moving parts: an NOC from your free zone authority and the DET application itself. We handle both — starting with the free zone NOC, then filing the DET application, tracking approvals, and following up until the permit is issued. Most cases move from kick-off to issued license in 2 to 4 weeks depending on the free zone and permit type.

Get a Free Quote for a Dual License →

Figures sourced from secondary regulatory publications. Confirm exact current fees with DET or your free zone authority before acting.

Related services: Business Setup · License Renewal
Get a Free Quote

Talk to us about your setup

Share your activity and we'll come back with a clear, fixed-fee quote within 24 hours.

Get a Free Quote

Tell us about your plans — we'll respond within 24 hours.

Prefer to chat? Message us on WhatsApp

Ready when you are

Ready to Start Your Business in Dubai?

Send us your activity and we'll come back with a clear, fixed-fee quote within 24 hours.