UAE's Dual-Licensing Rules Let Free Zone Startups Expand to Mainland
Sweeping changes to the UAE Commercial Companies Law let free zone startups expand to the mainland without shutting down.
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DXB Start·January 15, 2026·1 min read·2 months ago
The UAE's updated Commercial Companies Law allows free zone companies to operate on the mainland without liquidating existing entities. Previously, startups had to shut down and lose operating history when expanding.
Abu Dhabi offers a one-year waiver on office-space requirements, RAKEZ offers combined free zone and mainland licence packages, and select free zones allow operation under a single entity in both jurisdictions.
The amendments are projected to increase company registrations by 10-15% in the first year, supporting the UAE's target of two million companies by decade's end.