Hamriyah Free Zone Business Setup: Licenses, Process, Costs

If your business is in the production, global trade, or industry, Hamriyah Free Zone (HFZA) might be the best place for you.

Created in 1995, HFZA has grown into one of Sharjah’s most powerful industrial hubs. What makes it stand out isn’t just the tax exemptions or 100% foreign ownership (though those help). It’s the scale — more than 26 million square meters of land, a deep-water port, and direct access to three seaports plus Sharjah International Airport. For companies that live on logistics, that’s hard to beat.

In this guide, we’ll unpack why Hamriyah Free Zone continues to attract global investors, what kinds of businesses thrive here, how the setup process works, what licenses cost, and whether this free zone fits your goals.

Why Choose Hamriyah Free Zone for Business Setup?

If you’ve looked at setting up in the UAE, you already know the choices can feel overwhelming. Some zones market themselves as sleek hubs for startups. Others pitch high-end corporate glamour. Hamriyah Free Zone? It takes a different angle. This is the workhorse zone — built for industries that need land, warehouses, ports, and cost-effective licenses without unnecessary frills.

Located on Sharjah’s western coast, HFZA connects directly to the Arabian Gulf, with a 14-meter-deep port, access to three other seaports, and Sharjah International Airport nearby. It’s no surprise that traders, manufacturers, and logistics firms have made this free zone their base. For anyone whose business depends on moving goods, location is half the battle — and Hamriyah wins that battle convincingly.

Entrepreneurs are also drawn here for the basics: 100% foreign ownership, full repatriation of profits, tax exemptions, and flexible setup options. And yes, you can even register remotely through authorized agents, so international investors don’t need to physically be in the UAE to start.

About Hamriyah Free Zone

HFZA was established in 1995 by decree of the Ruler of Sharjah and has grown into one of the emirate’s largest industrial hubs. With 26 million square meters of land, it’s not just another office-style free zone — it’s a place where you can build factories, lease warehouses, or run large-scale logistics operations.

Government backing gives it stability, and its geographic position makes it a true logistics hub: a gateway linking the Gulf, the Indian Ocean, and emerging markets across Asia and Africa. Over the last two decades, HFZA has become central to Sharjah’s reputation as one of the most business-friendly emirates.

Business Activities Allowed in Hamriyah Free Zone

What sets HFZA apart is the breadth of activities allowed. Practically all types of businesses can be licensed here, with a clear focus on industrial and manufacturing operations — oil and gas, petrochemicals, maritime services, steel, timber, and food processing are especially popular.

At the same time, the zone accommodates consultancies (IT, HR, management, marketing, tourism, health and fitness, etc.), commercial trading, and warehousing/distribution.

Hamriyah Free Zone Corporate Tax, VAT, and Duties

Since June 2023, the UAE has applied a 9% corporate tax on profits above AED 375,000. Companies in Hamriyah Free Zone are not automatically exempt. To benefit from the 0% corporate tax rate, a company must qualify as a “Qualifying Free Zone Person” (QFZP). That means maintaining a real presence inside HFZA, carrying out approved activities, and avoiding excessive non-qualifying dealings with the mainland UAE. If those conditions are not met, the standard 9% corporate tax applies.

There is no personal income tax in the UAE. Salaries, dividends, and similar personal earnings remain untaxed.

VAT applies at the federal rate of 5%, and registration is mandatory once a business exceeds the AED 375,000 annual turnover threshold. Exports are generally zero-rated, while goods and services sold in the UAE are subject to VAT.

Customs duties are waived for goods and raw materials imported into HFZA for re-export or use in licensed activities. Duties only apply if products are moved into the UAE mainland for sale.

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Step-by-Step Hamriyah Free Zone Company Formation and Registration

Start by choosing the legal form. Hamriyah Free Zone offers three: an FZE (Free Zone Establishment) for a single shareholder; an FZC (Free Zone Company) for two or more shareholders; and a Branch of an existing UAE or foreign company if you don’t want a separate legal personality. This choice drives everything that follows—liability, the documents you file, and how the licence is issued.

With the structure decided, reserve the name and file the application with your proposed activities and shareholder/director details. Individuals provide the usual identity and address proofs; corporate shareholders attach their incorporation papers. If you’re forming a new entity (FZE/FZC), you’ll submit constitutional documents (MOA and AOA) and a share register showing ownership; branches add a board resolution from the parent and supporting corporate records.

While the authority reviews the file, line up your facility—flexi-desk, office, warehouse, or land plot. The space you lease later determines your visa quota. Once approvals are cleared, HFZA issues the incorporation documents and licence (or an operating licence for branches). Next comes immigration: open the establishment card and process visas in sequence—entry permit, medicals, Emirates ID, and insurance.

Required Documents and Timeline

To set up in Hamriyah Free Zone, you’ll need both personal and company documents.

On the personal side, shareholders and directors provide:

• Passport copies
• Proof of address (utility bill or tenancy contract)
• Passport-style photos
• Entry permit or visa copy if already in the UAE

On the company side, the authority asks for:

• The official HFZA application form
• Memorandum of Association (MOA) and Articles of Association (AOA)
• Share Register showing ownership structure
• Certificate of Incorporation and a board resolution if the shareholder is a company

In some cases, a Certificate of Good Standing may also be requested.

For sensitive or heavy industries (oil, gas, petrochemicals, etc.), extra approvals or a business plan may be required.

Most straightforward trading or service companies are licensed in five to ten working days. Industrial projects may take longer. If residence visas are included, allow extra time for medical checks and Emirates ID.

Remote Registration Option

Here’s where Hamriyah Free Zone makes life easier for international founders: you don’t even need to fly in. Remote setup is absolutely possible.

You work with an agent on the ground, send your documents by email, and at some point, the authority might ask for a quick video call to confirm your identity. Once cleared, your license is issued. The scanned version hits your inbox, and the originals can be couriered straight to you.

For many business owners, this option is a game-changer. You don’t pause your life, you don’t rack up flight bills — you just get your UAE presence sorted while sitting in your own office chair.

Types of Licenses and Costs in Hamriyah Free Zone

The first question almost every entrepreneur asks is: “Alright, how much is this going to cost me?” Fair enough — because no matter how exciting the location or facilities sound, budgets decide everything. The good news with Hamriyah Free Zone (HFZA) is that it doesn’t play games with endless hidden charges. Costs are laid out clearly, and you’re not forced into renting a massive office if all you need is a desk and a license.

You start by picking your license type:

• A commercial license – if you want to trade, import/export, or use warehousing.
• A service license – if your business is consultancy, IT, HR, marketing, or any professional service.
• An industrial license – if you’re planning manufacturing, assembly, or heavy industry.

That part is straightforward. Where things get interesting is with the visa packages.

Visa Packages and Pricing Breakdown

In Hamriyah Free Zone, visa quotas are tied directly to the type of facility you lease.

• Flexi-desk or virtual office packages start at around AED 11,000 per year and include one visa, which is often the entry point for freelancers or solo consultants.
• A small office unit of about 10 m² typically comes with four to seven visas, depending on whether you choose a standard service, trading, or general trading license. Larger trading packages cost more but provide a broader activity scope and a higher visa quota.
• Warehouses and industrial units are priced according to size. A 200 m² warehouse starts from about AED 56,000, while 400–600 m² options range between AED 135,000 and AED 170,000, with the largest units allowing up to 45 visas.

In addition to the license and facility rent, every visa carries government processing charges for the entry permit, medical exam, Emirates ID, and residence stamping. Companies must also pay a one-time e-channel registration fee to access the UAE immigration system, plus optional extras such as a PO Box service.

The structure makes it easy to begin small with a single visa and expand as the business grows by upgrading to larger offices or warehouses that carry higher visa allowances.

Hamriyah Free Zone Company Formation: Who Should (and Shouldn’t) Choose This Free Zone?

The Hamriyah Free Zone isn’t built for everyone, and that’s okay. Some entrepreneurs thrive here; others are better off in a different jurisdiction. The trick is knowing which side of that line you’re on before spending time and money.

Who HFZA Works Well For

• Freelancers and solo consultants – Yes, you can absolutely set up here with a service license and a flexi-desk package. It’s affordable, gives you a visa, and lets you issue invoices legally.
• Traders – Import/export is in HFZA’s DNA. With a deep-water port on site, plus access to three others and an international airport nearby, trading companies get real logistics advantages.
• Manufacturers – If your business needs warehouses, land plots, or factory space, this zone is one of the few that can actually provide it. From food processing to petrochemicals, it’s designed for industry.
• SMEs and growing firms – The zone lets you start lean and scale. Begin with a small visa package and a flexi-desk, then upgrade to bigger facilities later.

Who Might Struggle Here

• High-risk nationalities – Investors from certain countries may face restrictions or extra approvals. Always confirm eligibility before starting.
• Heavy retail businesses – Free zones, including HFZA, focus on international trade and services. If your plan is to open a shop in Dubai Mall, this isn’t the license you need — a mainland setup fits better.
• Businesses needing instant VAT registration – Hamriyah is a VAT-designated zone, which offers benefits for goods and services inside it, but if you need immediate UAE-wide VAT coverage, you’ll need additional steps outside the zone.
• Lifestyle startups – If your dream is a coworking café startup or influencer hub, Hamriyah’s industrial environment might feel like overkill.

In short, HFZA is perfect for serious players in trade, manufacturing, and consulting who want space, scale, and cost-effective licensing. But if your model leans retail-heavy or falls under restricted categories, another setup will serve you better.

Conclusion

Hamriyah Free Zone has a reputation for being straightforward, affordable, and built for scale. It’s not a “boutique” zone chasing startups with coworking spaces and trendy branding — it’s the place where serious businesses in trade, manufacturing, logistics, and consultancy can put down roots and grow.

The advantages are hard to ignore: 100% foreign ownership, full profit repatriation, exemption from commercial taxes, flexible license types, and facilities that range from flexi-desks to full industrial land plots. Add in its location — a deep-water port on site, three more ports nearby, and Sharjah International Airport just up the road — and it’s clear why HFZA attracts global investors.

The setup process is fast, and yes, you can register remotely — but even with that simplicity, having a consultant guide you through the paperwork saves time and avoids mistakes.

If Hamriyah Free Zone fits your goals, now’s the moment to act.