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Start Your Automotive Business at Dubai’s – DAZ (Dubai Auto Zone)

Dubai Auto Zone (DAZ) is the UAE’s premier hub for car trading, spare parts, and re-export services — purpose-built for the automotive industry.

Key Facts about setting a company in Dubai Free Zone

Setup from

5,555 AED

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Registration from

5 DAYS

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Bank Account

GUARANTEED

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Residence Visas for

2 YEARS

Dubai Auto Zone is a niche Free Zone tailored for the automotive industry—particularly vehicle trading, import/export, and re-export operations. Situated in Ras Al Khor, DAZ offers specialized infrastructure for vehicle storage, workshops, and customs clearance.

It allows 100% foreign ownership, full profit repatriation, and streamlined access to Dubai’s ports and highways. From used car dealers to spare parts wholesalers and fleet management services, DAZ provides all necessary logistics and licensing support.

Why Set Up in Dubai Auto Zone?

✅ Tailored Free Zone for vehicle trading, import/export, and auto services

✅ Located in Ras Al Khor – close to Dubai Port and major highways

✅ 100% foreign ownership and full profit repatriation

✅ Infrastructure ready for automotive storage, workshops, and re-export

✅ Streamlined customs, port, and transport access

✅ Trusted by traders, wholesalers, and distributors in the automotive space

✅ Suitable for used car dealers, parts importers, and re-exporters

We handle it all – so you don’t have to.

What Business Activities Can You Do in DAZ?

Dubai Auto Zone (DAZ) offers a comprehensive ecosystem for automotive businesses, providing specialized facilities and services that cater to every aspect of the vehicle trade industry.

Vehicle Import & Export DAZ enables businesses to import and export vehicles efficiently, leveraging its proximity to major ports and airports. Companies can handle international trade, including re-exporting vehicles to markets in the Middle East, Africa, and Asia, with streamlined customs procedures.
Used Car Trading Firms can buy, sell, and trade used vehicles within DAZ’s dedicated marketplace. The zone supports large-scale transactions, offering showrooms and retail spaces for dealers targeting both local and international buyers, especially for left- and right-hand drive vehicles.
Spare Parts Wholesale Import and export of automobile spare parts is not allowed in DAZ. Businesses focused on spare parts should consider other zones, as DAZ’s regulations strictly prohibit this activity.
Auto Accessories Trading Companies can trade a wide range of automotive accessories, such as electronics, interior upgrades, and performance parts, catering to both retail and wholesale markets. DAZ’s infrastructure supports storage, display, and distribution of these products.
Vehicle Storage & Logistics DAZ offers secure warehouses and storage facilities for vehicles, supporting logistics operations such as inventory management, pre-delivery inspection, and distribution. Its location ensures efficient movement of vehicles to and from ports and airports.
Automotive Services & Workshop Setup Businesses can establish workshops for vehicle maintenance, repair, and customization. DAZ provides fully-equipped spaces for service centers, enabling high-quality automotive services for both individual and fleet customers.
Re-export Operations DAZ is designed for re-export activities, allowing businesses to import vehicles and re-export them without incurring local customs duties. This is ideal for companies targeting regional and international markets beyond the UAE.
Fleet Management & Auction Services Companies can offer fleet management solutions, including vehicle leasing, maintenance, and logistics coordination. DAZ also supports vehicle auction services, providing a platform for bulk sales and purchases to dealers and fleet operators.

Dubai Auto Zone serves as a strategic hub for automotive businesses across the Middle East and beyond.

With its comprehensive infrastructure, prime location, and business-friendly regulations, DAZ supports diverse operations from individual dealerships to multinational distribution networks. The zone’s re-export capabilities particularly benefit companies targeting emerging markets in Africa and Asia.

Steps to Start a Business in DAZ (Dubai Auto Zone)

1. Choose Your Business Activity

Start by identifying the specific automotive-related activity you intend to conduct. Options include:

Vehicle trading
Spare parts trading
Vehicle repair and maintenance
Auto storage
Car rentals
Logistics and transportation
Automotive manufacturing

The selected activity will determine the license type (trading, service, industrial, or logistics).

2. Select Your Company Structure

Choose the legal form of your company based on your ownership and operational needs:

Free Zone Establishment (FZE) – single shareholder
Free Zone Company (FZC) – multiple shareholders
Branch of a local or foreign company
Joint Venture Decide on the number of shareholders and legal status that suits your business model best.

3. Reserve a Trade Name

Pick a unique company name that aligns with UAE naming regulations and reserve it with the free zone authority (DAZ/JAFZA). The name should reflect the nature of your business and must not duplicate existing trade names.

4. Secure Space in DAZ

Register your interest in available space—this could be a showroom, warehouse, office, or workshop. Space availability is limited, so early registration is advisable. You will typically receive approval to proceed once space has been allocated.

5. Prepare and Submit Documentation

Gather and submit the required documents, which usually include:

Completed application form
Business plan outlining activities and goals
Passport copies of shareholders and directors
Proof of residential address
Bank reference letter or personal bank statement
Draft Memorandum and Articles of Association (MOA/AOA)
No Objection Certificate (NOC) if you are already residing in the UAE

6. Apply for Initial Approval

Submit your application and all documents to DAZ or JAFZA for initial review. Authorities will assess the business scope, activity alignment, and legal compliance before granting preliminary approval.

7. Sign Lease and Sponsorship Agreements

After initial approval, sign the lease agreement for your selected premises. If applicable, sign sponsorship agreementsor service agent contracts required for specific company types or business setups.

8. Pay Fees, Deposit Share Capital & Receive License

Proceed to pay the applicable registration, license, and lease fees. For certain entities (like FZE/FZC), you may be required to deposit a minimum share capital (commonly AED 100,000).

Once payments are confirmed and all conditions are met, you will receive your Certificate of Incorporation and the relevant business license, officially authorizing your company to operate.

9. Open Bank Account & Apply for Visas

With your license in place, open a corporate bank account in the UAE to manage your company’s transactions.

Then apply for residency visas for shareholders, directors, and employees based on your license package and the size of your facility. This involves immigration procedures, medical tests, Emirates ID registration, and visa stamping.

DAZ Licenses

DAFZA offers flexible business licenses including Trade, Service, Industrial, General Trading, E-Commerce, and Dual DED options, allowing companies to select the most suitable setup for their specific operational needs.

Trade License

Authorizes businesses to import, export, re-export, distribute, and store specific products. Ideal for companies engaged in international and local trading within the free zone.

General Trading License

Enables companies to trade multiple product categories under one license, covering import, export, re-export, storage, and distribution of diverse goods and commodities.

Service License

Tailored for businesses providing professional or consultancy services, including IT, management consulting, legal, and other knowledge-based services.

E-Commerce License

Enables businesses to conduct online trading of goods and services, facilitating digital commerce operations from within the free zone.

Dual License with DED

Allows free zone companies to obtain a Dubai Department of Economic Development license, enabling operations in both the free zone and Dubai mainland without requiring a separate physical mainland office.

Consultancy/ Professional License

Specifically for firms offering consulting or professional services, including legal, business, and technical advisory activities.

Industrial License

Authorizes light manufacturing, assembling, packaging, and processing activities within the free zone. Suitable for companies involved in production or industrial operations.

Manufacturing and Storage License

Authorizes the establishment and management of production and storage facilities, supporting logistics and supply chain operations within the free zone.

Logistics Services License

Grants companies authority to provide logistics, warehousing, and distribution services, leveraging the free zone’s strategic location.

Research and Development License

Allows companies to conduct R&D activities within the free zone, fostering innovation and new product development.

Freelancer License

Also known as the “Talent Pass,” this license is for individuals working independently in specific fields, such as media, technology, or consultancy, without forming a full company.

DAZ License Costs and Packages

License/Package Type	Cost (AED)	What’s Included
1-year Trading/Service/Industrial License	15,000	License only
Standard Office Package (27 sq.m., 3 visa quotas)	84,630	License, registration, establishment card, PO box, rent, knowledge & innovation fees, 3 visas
Standard Office Package (54 sq.m., 6 visa quotas)	141,985	Same as above, with larger office and 6 visas
Standard Office Package (100 sq.m., 12 visa quotas)	245,664	Same as above, with larger office and 12 visas
Premium Office Package (27 sq.m., 3 visa quotas)	92,570	Higher-grade office, 3 visas
Premium Plus Office Package (54 sq.m., 6 visa quotas)	160,070	Higher-grade office, 6 visas

Extra Costs

Registration fee: AED 7,000
Establishment card: AED 2,000
PO box: AED 1,010
Visa fee: ~AED 3,000 per visa
Knowledge & innovation fees: AED 30 each
Medical checkup, Emirates ID (per visa) costs extra

Office Requirements

Required Office Lease: Every license needs a physical office or workspace within DAZ. The smallest choice is a “smart desk” (6.65 sq.m.), starting at AED 19,770. Standard office packages start at 27 sq.m. and increase based on visa needs and business size.

No Shared Desk Option: Unlike some other free zones, DAZ does not offer shared desk packages—only dedicated offices are allowed.

Visa Quotas: The office size determines how many visas your company can get.

DAZ provides various pricing options for different business needs. Basic licenses start at AED 15,000, while full office packages range from AED 84,630 to AED 245,664.

Don’t forget to include extra fees like registration and visa costs in your budget. Since every license needs a physical office, costs are higher than virtual setups, but this gives your business a real presence in Dubai. Pick the package that fits your team size and future plans.

DAZ Residency and Visas

Dubai Airport Freezone (DAZ/DAFZA) provides residency through free zone visas, letting business owners, employees, and freelancers live and work in the UAE with major tax and operational benefits.

Employment Visa

Given to employees sponsored by a DAZ-registered company, allowing them to live and work within the free zone. Valid for up to three years and can be renewed.

Investor/Partner Visa

Given to company owners or shareholders in DAZ, letting them manage their business and live in the UAE. Also typically valid for up to three years.

Dependent Visa

llows visa holders (investors or employees) to sponsor their immediate family members, such as spouse and children, provided income and housing requirements are met.

Freelancer/Talent Pass Visa

For individuals working independently in fields like media, consultancy, technology, or arts. The Talent Pass allows freelancers to operate legally within DAZ.

Business Visit Visa

Short-term, non-renewable visa for business visitors, meetings, or negotiations within the free zone.

All visas need a valid passport, medical test, Emirates ID application, and are processed through the General Directorate of Residency and Foreigners Affairs (GDRFA).

Getting a visa through DAZ opens doors to living and working in the UAE with attractive tax benefits. The free zone offers several visa options to match different professional needs, from business owners and employees to freelancers and students.

Understanding the costs and requirements for each visa type helps you plan your move to Dubai effectively.

Visa Type	Cost / Requirements	Notes
Investor/Partner Visa	AED 4,000–7,000 per visa; need company and business license; valid 2–3 years	Allows business ownership; can sponsor family; renewable with active business
Employment Visa	AED 4,000–7,000 per visa; need job offer from DAZ company; valid 2–3 years	Employer-sponsored; tied to job contract; canceled if employee leaves
Freelancer Visa	AED 7,500–15,000 (permit + visa); freelance permit needed; valid 1–2 years	For independent workers; self-sponsored; work with multiple clients; renewable
Dependent Visa	AED 3,000–5,000 per visa; sponsor needs minimum salary and housing	For spouse, children, or parents; renewable; main visa holder must have valid residency
Business Visit Visa	AED 450–1,230; passport copy, photo, company sponsorship; valid 30–90 days	Short-term business visits; non-renewable; max 3 per company at once
Student Visa	AED 450–1,230; enrollment at DAZ institution, passport, medical, university letter	For DAZ students; valid 1 year (university) or 90 days (institution)

Important Notes

Costs are estimates and may change based on DAZ policies, business type, and visa category
All residency visas need medical fitness test, Emirates ID, and health insurance (extra AED 1,000–2,000)
Office lease and a business license are required for company-related visas
Visa periods are typically 1–3 years and renewable if conditions are met

DAZ visa costs range from AED 450 for short business visits to AED 15,000 for freelancer permits. Most residency visas fall between AED 3,000-7,000, making them competitive compared to other UAE options.

Remember to budget for extra expenses like medical tests, Emirates ID, and health insurance. Choose the visa type that matches your professional goals and family situation to make the most of your UAE experience.

Why Choose MenaHerald for Your DAZ Company Formation?

Let MenaHerald handle the complexities of your company setup process.

We provide expert guidance, complete documentation assistance, and streamline your DAZ registration — from selecting the appropriate license to arranging office space and processing visas.

Why Choose MenaHerald?

✓ Complete company formation services

✓ Clear pricing with no hidden costs

✓ Continuous support for renewals and compliance