Dubai Free Zone Companies Can Now Expand to the Mainland – Here's What You Need to Know

If you own a business in one of Dubai's free zones, there's good news.

Dubai has introduced Executive Council Resolution No. 11 of 2025, making it easier for eligible free zone companies to expand into the mainland market—without necessarily setting up a completely separate mainland company.

For many businesses, this means more opportunities, less administrative hassle, and a simpler path to growth.

Let's break it down.

What Has Changed?

Until recently, many businesses operating from a Dubai free zone had limited options when they wanted to serve customers in mainland Dubai.

In many cases, this meant setting up a separate mainland company, which involved additional costs, licences, and ongoing compliance.

With Executive Council Resolution No. 11 of 2025, eligible free zone businesses can now apply to carry out certain business activities in mainland Dubai, subject to approvals from the Dubai Department of Economy and Tourism (DET) and other relevant authorities.

It's part of Dubai's continued effort to make doing business easier while maintaining a strong regulatory framework.

Why Is This Good News for Businesses?

The biggest advantage is flexibility.

Instead of managing two completely separate companies, eligible businesses may be able to expand their operations using their existing free zone company, provided they obtain the required approvals.

That could mean:

• Reaching more customers
• Expanding into new markets
• Reducing administrative work
• Lowering operational costs
• Growing your business more efficiently

It's a welcome change for companies that have been looking to scale their operations across Dubai.

How Can You Expand to the Mainland?

Depending on your business activity and approvals, there are a few ways to expand.

Open a Mainland Branch

If you're planning a long-term presence in mainland Dubai, you may be able to establish a branch of your existing free zone company.

This allows you to serve mainland clients while keeping your existing business structure.

Apply for a Mainland Licence

Eligible businesses can apply for the necessary licence from the Dubai Department of Economy and Tourism (DET) to carry out approved activities on the mainland.

The exact requirements will depend on your business activity and the applicable regulations.

Apply for Temporary Permits

If you're taking on a specific project or short-term assignment, temporary permits may be available for certain activities, depending on the approvals required.

Do You Still Keep Your Free Zone Benefits?

In most cases, yes.

Your free zone company continues to operate within its existing framework.

Depending on your business structure and approvals, you can continue to enjoy many of the benefits that attracted businesses to free zones in the first place, including:

• 100% foreign ownership (where applicable)
• Business-friendly regulations
• Modern infrastructure
• Access to free zone facilities and services

Of course, every business is different, so it's always worth getting professional advice before expanding.

Not Every Business Activity Qualifies

This is an important point.

The new Resolution doesn't automatically allow every free zone company to carry out every activity on the mainland.

Before expanding, you'll need to make sure:

• Your business activity is eligible.
• The activity is approved by the relevant authorities.
• You obtain any licences or approvals required before you start operating.

A little planning at the beginning can save a lot of time later.

Who Will Benefit the Most?

This new framework is especially useful for businesses that want to grow beyond their current customer base.

For example:

Trading companies can reach more customers across Dubai without unnecessarily duplicating their business structure. Businesses looking to formalise this can review our commercial licence options.

Consultancies and professional service firms can explore opportunities to work with both free zone and mainland clients, often under a professional licence.

Logistics and supply chain businesses may benefit from greater flexibility when serving customers across different parts of Dubai.

Growing SMEs can expand more confidently without the complexity that often came with operating in multiple jurisdictions.

The Bottom Line

Dubai continues to introduce business-friendly reforms that make it easier for companies to grow.

Executive Council Resolution No. 11 of 2025 is another positive step towards creating a more connected business environment.

While businesses still need to meet licensing and regulatory requirements, eligible free zone companies now have more flexibility to explore mainland opportunities than ever before.

If you're thinking about expanding your business, now is a great time to review your options and see whether this new framework could work for you.

How Expertz Business Hub Can Help

Understanding the new regulations is one thing—knowing how they apply to your business is another.

At Expertz Business Hub, we help entrepreneurs, startups, SMEs, and international investors choose the right business structure and navigate the latest UAE regulations with confidence.

Whether you're looking to:

• Expand from a free zone to the mainland
• Set up a new company
• Amend your trade licence
• Obtain regulatory approvals
• Review your business structure

our experienced consultants are here to help every step of the way.