Short answer: you can reach the UAE mainland without closing your free zone company, but there are two different routes and they are not equally available.
Route 1, re-domiciliation: your company moves its registration from the free zone to a mainland authority and stays the same legal entity. UAE law has allowed this since October 2025 (new Article 15 bis of the Commercial Companies Law), but it only works where both authorities can process the transfer, so get written confirmation before you plan around it.
Route 2, keep the free zone company and add mainland access: under Dubai Executive Council Resolution No. 11 of 2025, a Dubai free zone company can apply to DET for a mainland branch, a branch that operates onshore from the free zone, or a temporary permit. This route has defined licence types and published government fees.
If neither route fits your activity or authority, the fallback is to close and reopen, and this guide covers that too.
Why “without closing” matters
Closing a free zone company means cancelling the licence, the visas and the establishment file, then starting again as a new legal entity with a new incorporation date, new contracts and a new bank relationship. Before the reforms, the Ministry of Economy and Tourism’s legal adviser told Gulf News, moving to the mainland meant cancelling and liquidating the company and starting again as a new entity, however long it had traded. Keeping the same entity preserves its contracts, history and obligations.
Your options at a glance
| Option | Does the free zone company survive? | What you get | Government fee reported | Best when |
|---|---|---|---|---|
| Re-domiciliation (Article 15 bis) | Yes, the same entity moves its registration | A mainland-registered company with its history intact | Set by the authorities involved, not published in the sources we reviewed | You want to leave the free zone completely and both authorities confirm they can process it |
| Mainland branch (Resolution 11/2025) | Yes | A branch physically located in Dubai, licence valid one year and renewable | AED 10,000 per year | You need a physical mainland presence, for example for tenders or walk-in clients |
| Branch operating out of the free zone (sometimes called a dual licence) | Yes | Authority to operate onshore while staying based in the free zone, valid one year and renewable | AED 10,000 per year | You serve mainland clients but do not need a mainland office |
| Temporary permit | Yes | Permission for specific mainland activities for up to six months | AED 5,000 | A one-off project or a trial of the mainland market |
| Close and reopen | No | A new mainland company | Varies by activity, office and visas | Neither route above fits your activity or authority |
Fees are the government fees reported by KPMG and BSA Law for Resolution 11/2025. Free zone consent charges, DET service fees, office costs, visas and adviser fees are extra.
Route 1: Re-domiciliation under Article 15 bis
Federal Decree-Law No. 20 of 2025 amended the UAE Commercial Companies Law (Federal Decree-Law No. 32 of 2021) and added Article 15 bis. It allows a company to transfer its commercial registration from one competent authority to another, including between a free zone and the mainland, while keeping its legal personality. Law firm commentary says the company keeps its contracts, obligations and corporate history, so you do not liquidate and re-incorporate.
According to law firm commentary, the transfer needs:
- A special resolution of the general assembly, or the approval of an absolute majority of the partners.
- Approval from both the authority you are leaving and the authority you are joining.
- Registers that are technically able to process the transfer.
- No recorded restriction on the company that blocks the move.
The catch is implementation. Commentary published in mid-2026 reported that implementing regulations for Article 15 bis were still pending, and some consultancy pages still describe a free zone to mainland move in Dubai as a close-and-reopen process or say there is no one-step conversion. Treat those as signals to verify, not as final answers. The law exists. Whether it works for your free zone and your target authority today is a question only those two authorities can answer.
Ask these three questions in writing
- Your free zone authority: do you currently process an outgoing Article 15 bis transfer to DET (or my target mainland authority)? What are the steps, documents and fees?
- DET or the receiving authority: do you accept an incoming transfer for my licensed activity? Which approvals does it need?
- Both: what happens to my establishment card, employee visas, office or Ejari requirement and trade name, and who files each one?
Keep the written replies. They are the difference between a planned transfer and a surprise liquidation. If the answer is yes, your next stop is a mainland office and Ejari registration where the activity requires one.
Route 2: Keep your free zone company and add mainland access
Dubai Executive Council Resolution No. 11 of 2025 sets out how free zone companies in Dubai can carry out activities on the mainland under DET supervision. BSA Law notes it applies to all Dubai free zone entities except financial institutions licensed in the DIFC. It creates three pathways:
- Mainland branch: a branch of your free zone company physically located in Dubai. One-year licence, renewable.
- Branch operating out of the free zone: you stay based in the free zone and are authorised to operate onshore. One-year licence, renewable.
- Temporary permit: specific mainland activities for up to six months.
What makes this route practical:
- No new legal entity. The branch stays legally connected to the free zone parent. If you are comparing structures, our guide to LLC vs branch office in Dubai explains the difference.
- Staff can stay put. BSA Law reports that free zone establishments can keep employees on their existing free zone sponsorship while deploying them onshore.
- Separate accounts. Mainland income and costs must be recorded separately from free zone activity.
- Regulated activities. Pre-approval from the sector regulator may be needed before DET can issue anything.
- Free zone consent. DET works with your free zone authority, and many free zones ask for a no-objection certificate.
- Already trading onshore? BSA Law reports that companies already carrying out mainland activities had to regularise within one year of the Resolution’s effective date, with a possible one-time extension from DET. If that is you, check your status with DET now.
How the process works
- Check that your licensed activity can be carried out on the mainland, and whether a sector regulator must approve it first.
- Ask your free zone authority about its consent or no-objection certificate process and fees.
- Choose the pathway: branch, branch operating from the free zone, or temporary permit.
- Apply to DET with your free zone documents. Requirements vary by pathway and activity. Expect your valid free zone licence, constitutional documents and owner or manager IDs, plus a mainland office address if you choose the branch.
- Pay the fees and receive the licence or permit. Diarise the renewal: one year for branches, up to six months for the permit.
- Set up separate accounting for mainland income, and brief your bank and tax adviser before you start invoicing.
The tax step many founders miss
A free zone company that qualifies as a Qualifying Free Zone Person (QFZP) pays 0% on qualifying income, but the conditions must be met in every tax period. According to Federal Tax Authority guidance as summarised by KPMG and DLA Piper, a company that fails the conditions stops being a QFZP from the beginning of that tax period and for the four tax periods after it. That is five periods in total.
Two consequences for your plan:
- A full move to the mainland: changing status part-way through a tax period can put that whole period at risk. Ask your tax adviser whether the change should be dated to the start of a new tax period, and how the rules apply to your facts.
- A branch or permit: mainland sales may count as non-qualifying revenue. The de minimis limit commonly cited for non-qualifying revenue is the lower of 5% of total revenue or AED 5 million. Model your expected mainland income before you apply, and keep the separate accounts the Resolution requires.
For the basics, read our explainer on free zone qualifying income and the 0% rate. This is general information, not tax advice.
Which route fits your business?
| Your situation | Likely route | Why |
|---|---|---|
| Most revenue comes from mainland customers, or you must bid for tenders that need a mainland licence | Full move: re-domiciliation if both authorities confirm it, otherwise close and reopen | The free zone setup is no longer doing much for you. Time the move with your tax adviser |
| Mostly international income with some mainland clients | Branch operating out of the free zone | Keeps your free zone base and avoids a second office. Model the tax impact first |
| You need a mainland address for clients or contracts | Mainland branch | A physical Dubai presence without a new legal entity |
| One-off mainland project | Temporary permit | Up to six months and the lowest government fee |
| Your activity is regulated (health, finance, education and similar) | Check the sector regulator first | Pre-approval may be required before DET can issue anything |
| Your activity has no DET equivalent | Stop and re-scope | No route works until the activity matches. See changing business activity on a Dubai trade licence |
If cost is the deciding factor, compare the long-term numbers in our free zone vs mainland cost comparison first.
If you have to close and reopen
This is the fallback, and the order matters more than the paperwork:
- Incorporate and license the new mainland company first, including its establishment file.
- Move employees across in stages so nobody is left without a valid sponsor.
- Tell your bank in writing before you cancel anything, with the new company details ready.
- Transfer or re-sign contracts, trademarks and registrations in the new company’s name. A new legal entity does not inherit them automatically.
- Cancel visas, the establishment card and the free zone licence last.
Our guide to closing a company in Dubai covers the liquidation steps and costs.
Common mistakes
- Planning around Article 15 bis without written confirmation from both authorities.
- Serving mainland customers from a free zone licence without the DET licence or permit the Resolution requires.
- Cancelling the free zone licence before the mainland company is ready to sponsor staff.
- Comparing government fees and ignoring corporate tax, which can outweigh them.
- Skipping the activity check. A free zone activity may have no exact DET equivalent, or may need a regulator’s approval.
Next step
Not sure which route fits? Takween Advisory can review your free zone licence, activity and customer mix, and set out your options before you commit. Talk to our team. If you already know you want a mainland branch, see our branch office setup in Dubai page, and keep your licence current with our trade licence renewal service.