Company Formation in Hamriyah Free Zone (HFZA) 2026
Hamriyah Free Zone (HFZA) is one of the UAE’s oldest and most established industrial free zones, located on the coast of Sharjah. It is regulated by the Hamriyah Free Zone Authority and covers 30 million sqm of prime industrial land, with direct access to a 14-metre deep water port. Today it is home to more than 6,500 businesses across sectors including oil and gas, manufacturing, maritime, food, and logistics.
Setting up a company in HFZA gives you 100% foreign ownership, no customs duties on import or export, zero corporate and income taxes on qualifying income, and the ability to repatriate all your profits and capital freely. The authority can issue a business licence in less than 60 minutes once all documents are submitted, and more than 300 services are available online.
This guide covers everything you need to know about company formation in Hamriyah Free Zone in 2026: the licence types available, the step-by-step registration process, official government fees in AED, visa quota rules, facility options, and the documents you will need to submit, all sourced directly from HFZA’s official website at hfza.ae.
What is Hamriyah Free Zone and who regulates it?
Hamriyah Free Zone is a federally recognised free zone located in the emirate of Sharjah, UAE. It is administered by the Hamriyah Free Zone Authority (HFZA), a government body that issues licences, manages leases, and provides investor services directly on-site.
Location and strategic position
Sharjah is the only emirate in the UAE with coastline on both the Arabian Gulf and the Gulf of Oman, giving HFZA companies access to both major maritime routes from a single base. The free zone spans 24 sq km and is directly connected by road to all seven emirates, making it ideal for regional distribution.
The zone’s location places it within easy reach of Sharjah International Airport and close to Dubai International Airport, giving businesses practical access to air freight as well as the deep-water port on their doorstep.
HFZA’s four pillars
According to the official HFZA website (hfza.ae), the free zone operates around four core principles. Convenience is built into the setup process: a licence can be issued in under 60 minutes and over 300 services are accessible online. Connectivity means companies benefit from the port’s 14-metre deep channel alongside direct road links to neighbouring GCC countries. Collaboration reflects the authority’s approach of having dedicated on-site personnel who manage investor requirements directly. Commerce underpins the competitive lease rates, flexible packages, and cost-efficient services designed to support investor growth.
How many companies are based in HFZA?
As of the latest available data from HFZA, the free zone is home to more than 6,500 businesses. The free zone has grown to become one of the largest industrial zones in the UAE and is a principal part of Sharjah’s economic diversification strategy.
What types of companies and business activities are allowed in HFZA?
HFZA issues three main types of licences and supports three legal structures. The free zone also operates six dedicated industry sectors, each with specific facilities and infrastructure.
What licence types does HFZA offer?
According to the HFZA FAQ page at hfza.ae, the authority issues three types of licences:
A Commercial Licence covers import, export, distribution, and storage of goods specified in the licence. It includes a Trading sub-type for specific product categories, a General Trading option covering an unlimited number of products, and an E-Commerce option for businesses operating over electronic networks.
A Service Licence permits the holder to provide professional services or consultancy as listed in the licence contract.
An Industrial Licence allows the holder to import raw materials for manufacturing, processing, and assembly of specified products, and to export the finished goods.
Licences for business activities not specifically listed can be issued on a subject-to-approval basis, so it is worth contacting HFZA directly if your activity is niche or specialised.
What legal structures are available?
HFZA offers three legal structures. A Free Zone Establishment (FZE) is a limited liability entity owned by a single natural or juridical person. A Free Zone Company (FZC) is a limited liability company owned by two or more shareholders. Both FZE and FZC have distinct legal entities and independent financial liabilities. Alternatively, a company incorporated outside the UAE or a local UAE company can register a Branch or Subsidiary in HFZA.
Which industry sectors does HFZA cater to?
HFZA operates six primary industry sectors, as listed on the official HFZA website. The Oil and Gas sector benefits from the UAE’s position as the world’s seventh-largest proven crude oil reserve, and HFZA is one of the UAE’s leading petrochemical hubs. The Food Park covers 11 million sq ft and is dedicated to food production, cold storage, and packaging. The Industrial Manufacturing Park spans over 30 million sqm of infrastructure and serves steel, timber, telecommunications, and appliance industries. The Maritime Industry sector supports companies working in a UAE maritime economy valued at USD 60 billion, with plots offering direct seashore access. The Global Logistics Park is supported by HFZA’s multi-modal connectivity, including its deep-water port, road network, and proximity to airports. The Accelerator Hub provides targeted support and expertise for SMEs across key sectors.
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What are the steps to set up a company in Hamriyah Free Zone?
The official HFZA setup process follows four steps, carried out by HFZA’s own business experts within the free zone premises. Once all required documents are submitted, the authority can issue a licence in less than 60 minutes.
Step 1: Choose your licence type
Select from Commercial (Trading, General Trading, or E-Commerce), Service, or Industrial. Your chosen licence determines which activities your company may legally carry out.
Step 2: Choose your legal structure
Decide whether you are forming an FZE (single owner), an FZC (two or more shareholders), or a Branch or Subsidiary of an existing company.
Step 3: Choose your facility
Select the type of space your business needs: an office package, a pre-built warehouse, or a plot of industrial land. HFZA offers a range of packages at different sizes and visa quotas to suit businesses from sole traders to large industrial operators.
Step 4: Commercial Department, document submission, and facility selection
Visit or contact HFZA’s Commercial Department. Choose your facility and submit the required documents. The Commercial Department reviews your application and assigns a facility.
Step 5: Leasing, licensing, and legal affairs
Once the Commercial Department approves your application, the Leasing, Licensing and Legal Affairs team issues your trade licence and lease agreement, followed by physical handover of the facility.
Step 6: Investor Services and immigration
Apply for your security approval and establishment card through the Investor Services Department. Then open your e-channel immigration account, complete your visa application and medical screening, and proceed to Emirates ID processing and visa stamping.
How long does company formation in HFZA take?
According to HFZA’s official FAQ, the authority can issue a licence within one hour of receiving all required documentation. In practice, the complete setup timeline, including facility handover and visa processing, typically runs over a few days to a few weeks depending on the complexity of your application and the speed of document preparation.
What documents are required to register a company in HFZA?
The required documents vary depending on your legal structure. The following table is taken directly from the HFZA FAQ page at hfza.ae.
| Document | FZE | FZC | Branch / Subsidiary |
| Passport copy of Manager | — | Yes | Yes |
| Passport copy of Shareholder(s) | Yes | Yes | — |
| Passport copy of Director(s) | — | — | Yes |
| Visit/Tourist Visa copy of Manager | — | Yes | Yes |
| Visit/Tourist Visa copy of Shareholder(s) | Yes | Yes | Yes |
| Visit/Tourist Visa copy of Director(s) | — | — | Yes |
| NOC from current sponsor (if UAE employment visa holder) | Yes | Yes | Yes |
| Licence copy of parent company | — | — | Yes |
| Certificate of Incorporation of parent company | — | — | Yes |
| Memorandum and Articles of Association of parent company | — | — | Yes |
| Board resolution approving branch/subsidiary formation | — | Yes | Yes |
Note: Documents should be scanned clear copies. If you hold a valid UAE employment visa, your NOC from your current sponsor must be attested by the relevant Chamber of Commerce. Additional documents may be requested by HFZA at its discretion.
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What are the government fees and setup costs for HFZA company formation?
According to HFZA’s official FAQ at hfza.ae, the basic starting cost for an HFZA licence is AED 11,000 (approximately USD 3,000). This is an indicative figure and the actual amount varies depending on your package, facility size, number of shareholders, and visa requirements.
Office package costs
HFZA offers five tiers of office packages, each with multiple sub-packages. The table below reflects the official package structure as listed on hfza.ae/setup-a-business-2. Actual licence and facility fees are available on application; contact HFZA directly for a current price list.
| Package Tier | Office Size | Max Shareholders | Max Activities | Visa Quota |
| Start Up | ||||
| Start Up | No dedicated office | 1 | 3 product categories or 3 service activities | 1 visa |
| Smart Business | ||||
| Smart Business (Package 1) | 10 sqm | 1 | 3 product / 3 service | 4 visas |
| Smart Business (Package 2) | 10 sqm | 1–3 | 3 product / 3 service | 4 visas |
| Smart Business (Package 3) | 10 sqm | 1–5 | 5 product / 5 service | 6 visas |
| Smart Business (Package 4) | 10 sqm | 1–5 | General Trading or Service | 7 visas |
| Deluxe Business | ||||
| Deluxe Business (Package 1) | 12 sqm | 1 | 3 product / 3 service | 2 visas |
| Deluxe Business (Package 2) | 12 sqm | 1–2 | 3 product / 3 service | 3 visas |
| Deluxe Business (Package 3) | 12 sqm | 1–4 | 4 product / 4 service | 4 visas |
| Deluxe Business (Package 4) | 12 sqm | 1–5 | 5 product / 5 service | 6 visas |
| Deluxe Business (Package 5) | 16 sqm | 1–5 | 10 product / 10 service | 6 visas |
| Standard Business | ||||
| Standard Business (Package 1) | 15 sqm | 1–5 | 5 product / General Trading / 5 service | 7 visas |
| Standard Business (Package 2) | 20 sqm | 1–5 | 5 product / General Trading / 5 service | 8 visas |
| Supreme Business | ||||
| Supreme Business (Package 1) | 25 sqm | 1–5 | 5 product / General Trading / 5 service | 8 visas |
| Supreme Business (Package 2) | 32 sqm | 1–5 | 5 product / General Trading / 5 service | 10 visas |
| Supreme Business (Package 3) | 40 sqm | 1–5 | 5 product / General Trading / 5 service | 12 visas |
Source: HFZA official setup page, hfza.ae/setup-a-business-2. All prices and package features are subject to change. Contact HFZA directly for current pricing.
Warehouse setup costs
HFZA offers prefabricated warehouses in three sizes, each fully equipped and ready to use. The additional charges below are taken from the official infrastructure page at hfza.ae/infrastructure-facilities and are described as indicative.
| Warehouse Size | Factory / Storage Space | Office Space Included | Visa Quota | Licence Fee (per year) | Service Fee (per year) | Refundable Deposit (one-time) | Incorporation Fee (one-time) |
| 200 sqm | 174 sqm | 26 sqm Office, 2 toilets, pantry |
25 visas | AED 3,500 | AED 5,000 | AED 5,000 | AED 9,000 |
| 400 sqm | 328 sqm | 88 sqm Reception, 3 offices, 3 toilets, pantry |
40 visas | AED 3,500 | AED 5,000 | AED 5,000 | AED 9,000 |
| 600 sqm | 500 sqm | 114 sqm Reception, 3 offices, 3 toilets, pantry |
50 visas | AED 3,500 | AED 5,000 | AED 5,000 | AED 9,000 |
Note: Visa costs are not included in warehouse package prices. Facility rental charges are separate and payable under your lease agreement. All figures are indicative per official HFZA documentation.
Industrial land costs
Industrial land plots at HFZA are available from 2,500 sqm on a 25-year renewable lease. Land rates are fixed for the first five years, and a rent holiday is available during the construction period. Actual land lease rates are provided on application; contact HFZA at +971 6 526 3333 or [email protected]. Plot sizes are flexible and can be divided or merged to meet your requirements.
What is the minimum share capital requirement for an HFZA company?
According to the Implementing Rules and Regulations for Incorporation of Free Zone Establishments published by HFZA (available at hfza.ae/forms-procedures), the minimum share capital for a Free Zone Establishment (FZE) is AED 150,000. Each share has a value of AED 1,000 or a multiple thereof.
For Free Zone Companies (FZC), the share capital is agreed between shareholders at the time of incorporation, again with each share valued at AED 1,000 or multiples. For Branch or Subsidiary registrations, no separate capitalisation is required as the branch operates under the financial umbrella of the parent company.
Share capital can be reflected in statutory documents without the requirement for an immediate bank transfer of funds, according to the implementing rules. However, it is advisable to confirm the latest capital requirements directly with HFZA before submitting your application, as rules may be updated.
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How many visas can I get with my HFZA licence?
Visa quotas at HFZA are tied to your facility type and package. According to the official infrastructure and setup pages at hfza.ae, the allocation ranges from one visa for the Start Up package up to 50 visas for the largest warehouse option.
Office package visa quotas
The Start Up package allocates one visa. Smart Business packages range from four to seven visas depending on the sub-package selected. Deluxe Business packages provide two to six visas. Standard Business packages provide seven or eight visas, and Supreme Business packages range from eight to 12 visas, making them suitable for businesses that need a larger team based at the free zone.
Warehouse visa quotas
Warehouses attract significantly higher visa quotas, reflecting their industrial and operational nature. A 200 sqm warehouse entitles the company to 25 visas. A 400 sqm warehouse allows up to 40 visas, and the largest option, a 600 sqm warehouse, allows up to 50 visas.
Industrial land visa quotas
According to the official HFZA industrial land page, industrial land plots come with a flexible visa quota. The precise allocation is determined by the size and nature of your plot and operations. HFZA states on its official site that land leases include a flexible visa quota, so investors should confirm their entitlement with HFZA at the time of application.
Visa cost guidance
Visa-related costs are separate from your licence and facility fees. Each visa involves an entry permit, medical screening, Emirates ID issuance, and residency stamping. Contact HFZA or Business Setup HQ for current visa fee schedules, as these are subject to Federal immigration authority fee changes.
What facilities and office options are available in HFZA?
HFZA offers a range of executive offices, pre-built warehouses, and industrial land, as described on its official infrastructure page at hfza.ae/infrastructure-facilities. All requirements are managed on-site by dedicated HFZA personnel.
Office types
HFZA’s office offering spans five tiers. Economical units start from 10 sqm (Smart Business packages), with free car parking and ready telecommunications infrastructure. Deluxe office units provide a dedicated private office from 12 sqm. Executive office units begin at 15 sqm and scale up to 20 sqm. Leased office buildings start from 25 sqm. All offices include ready infrastructure for electricity, water, and telecommunications, with leases renewable annually.
Warehouses
HFZA’s pre-built warehouses are prefabricated, international-standard units available in three sizes: 200 sqm, 400 sqm, and 600 sqm. Each unit is designed for light to medium industrial use and storage, and all include a reception area, offices, toilets, and a pantry. Power load capacities range from 20 kW for the smallest unit up to 150 kW for the largest. All warehouses are nine metres in height, equipped with roller doors and a dedicated loading bay, have a provision for mezzanine floor construction, and are fitted with an integrated fire alarm and sprinkler system.
Industrial land
Industrial plots at HFZA start from 2,500 sqm within 30 million sqm of prime industrial land. Investors can develop up to 60% of their plot. The 25-year renewable lease comes with fixed rates for the first five years and a rent holiday during the construction phase. Plots include a ready road network and access to power, water, and waste management infrastructure. Sea-facing plots are available for maritime and port-related industries, with direct access to the 14-metre deep water port and seven-metre inner harbour.
MBZ Plots, located in Phase 2 of the free zone, are pre-levelled, fenced, and gated and are ready for immediate use with no construction wait time. Investors can combine two or more MBZ plots to create a larger footprint.
On-site community and support facilities
According to HFZA’s official website, the free zone operates as a self-contained community for business and life. On-site facilities include branches of leading banks, restaurants, a gymnasium, a supermarket, Emirates Post, currency exchange counters, and typing centres. A VIP Investors Lounge is available for meetings and business engagements. Sharjah Civil Defence has a presence within the zone, and regular public transport connects the free zone to the wider Sharjah city network. Labour accommodation with fully equipped recreational centres is provided on-site, along with dedicated medical facilities.
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What are the key benefits of setting up a company in Hamriyah Free Zone?
HFZA offers a combination of commercial, operational, and auxiliary benefits that make it one of the most cost-competitive free zones in the UAE for industrial and trading businesses.
Commercial advantages
According to the official HFZA Why HFZA page at hfza.ae/why-hfza, investors benefit from 100% repatriation of capital and profits with no restrictions. There is no customs duty on goods imported, exported, or re-exported through the free zone. HFZA is a VAT designated zone under UAE law, meaning certain transactions within the zone may be treated as outside the UAE for VAT purposes. There are no corporate taxes or personal income taxes applicable within the standard free zone framework, subject to UAE corporate tax rules (see the corporate tax section below).
Seamless operational benefits
HFZA’s business setup process can be completed in less than 60 minutes, making it one of the fastest in the UAE. The authority provides access to more than 300 online services for visa applications, licence renewals, and other administrative tasks. Infrastructure is highly developed, with telecommunications links, power, water, and waste management all built into the free zone. Competitive lease rates apply across office units, warehouses, and industrial plots.
Auxiliary features
On-site labour accommodation with recreation centres reduces your staff housing overheads and keeps your workforce close to operations. On-site medical facilities are available within the free zone. The full range of service licences, commercial licences, and industrial licences is available under one roof, and the authority can issue licences for activities not specifically listed on a subject-to-approval basis.
What is HFZA’s corporate tax position?
HFZA is a designated and qualified free zone for the purposes of the UAE Corporate Tax Law. Under Federal Decree-Law No. (47) of 2022 on the Taxation of Corporations and Businesses, which took effect for financial years starting on or after 1 June 2023, HFZA companies can benefit from a 0% corporate tax rate on their qualifying income.
This means businesses operating in HFZA that meet the qualifying free zone person conditions are not subject to the standard 9% corporate tax rate that applies to taxable profits above AED 375,000 on the UAE mainland. The qualifying conditions include maintaining adequate substance in the free zone, deriving qualifying income as defined by the law, and not electing to be subject to standard corporate tax.
For full guidance, HFZA’s official corporate tax page at hfza.ae/corporate-tax links to the Federal Tax Authority’s guidance documents and HFZA’s own registration guide. All HFZA companies should register with the Federal Tax Authority as required under UAE law, regardless of their tax position.
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How does Hamriyah Free Zone compare to other UAE free zones?
HFZA occupies a distinctive position in the UAE free zone landscape. Its combination of deep-water port access, vast industrial land availability, and competitive cost base makes it particularly well suited for heavy industry, manufacturing, maritime businesses, and large-scale traders. Here is how it broadly compares to other major free zones:
Freezone Comparison: HFZA vs JAFZA vs RAKEZ
| Factor | HFZA (Sharjah) | JAFZA (Dubai) | RAKEZ (RAK) |
| Location | Hamriyah, Sharjah Dual coast
|
Jebel Ali, Dubai | Ras Al Khaimah |
| Licence Cost (from) | AED 11,000 | Higher (Dubai premium) | From AED 8,950 (est.) |
| Industrial Land | From 2,500 sqm 30M sqm total
|
Available; higher rates | Available; competitive rates |
| Port Access | 14m deep water port on-site | Jebel Ali Port nearby | Port of Saqr (RAK) |
| Corporate Tax | 0% qualifying income | 0% qualifying income | 0% qualifying income |
| Foreign Ownership | 100% | 100% | 100% |
| Best For | Manufacturing, maritime, oil and gas, food production | Large-scale trade and logistics | SMEs, light manufacturing, cost-conscious investors |
Note: Fee comparisons are indicative. Always verify current rates directly with the respective authority. HFZA is generally considered one of the more cost-competitive options for industrial and manufacturing businesses due to its large land availability and direct port access.
Tips for HFZA Company Formation
1. Choose your package carefully before applying. Upgrading your office package or moving to a warehouse later involves a fresh lease and potentially additional fees. If you expect your team to grow quickly, it is more cost-efficient to start with a package that gives you the visa headroom you will need within the first 12 months.
2. Take advantage of the Start Up package for a very lean entry. If you are testing a business idea or need only a single visa, the Start Up package is the most affordable way into a licensed UAE free zone entity without committing to a physical office. You can upgrade once operations are established.
3. Confirm your activity list before submitting. HFZA licences specify the activities and product categories permitted. If you plan to trade in multiple unrelated categories, opt for a General Trading licence from the outset rather than amending later, which involves time and administrative fees.
4. Check your NOC requirements early. If you or any of your shareholders hold a valid UAE employment visa, you will need a No Objection Letter from your current sponsor attested by the relevant Chamber of Commerce. Getting this in place early avoids delays at the document submission stage.
5. Contact HFZA directly for industrial land pricing. Land lease rates vary by plot location, size, and the sector your business operates in. HFZA does not publish current land rates online; call +971 6 526 3333 or email [email protected] for a direct quotation before making comparisons with other free zones.
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Frequently Asked Questions About Company Formation in HFZA
According to the official HFZA FAQ at hfza.ae/faq, the authority can issue a licence in one hour once all required documents are submitted. The full process, including facility handover, security approval, and visa processing, typically takes a few days to a few weeks depending on document readiness.
No. HFZA’s official FAQ confirms that a local sponsor or partner is not required. All company types in HFZA, including FZE, FZC, and Branch or Subsidiary, allow 100% foreign ownership.
An HFZA licence authorises you to operate within the free zone and internationally. However, selling goods or services directly into the UAE mainland requires a separate mainland distribution arrangement. HFZA’s FAQ states that it does not provide licences for businesses that maintain their office outside the free zone. If you need to trade on the mainland, you would typically appoint a mainland distributor or set up a separate mainland entity.
Yes. HFZA offers a Branch or Subsidiary Company legal structure specifically for companies incorporated outside the UAE or for local UAE companies wishing to open a presence in the free zone. The required documents include the parent company’s licence, Certificate of Incorporation, Memorandum and Articles of Association, and a Board Resolution.
HFZA is classified as a designated and qualified free zone under Federal Decree-Law No. (47) of 2022. This entitles HFZA companies to a 0% corporate tax rate on qualifying income, provided they meet the conditions set out by the Federal Tax Authority. Non-qualifying income is subject to the standard 9% corporate tax rate. All companies must register with the Federal Tax Authority; see hfza.ae/corporate-tax for links to the official guidance.
According to the official HFZA FAQ, there are no restrictions on importing and exporting goods that are approved under the terms of your licence. HFZA also confirms there are no customs duties on imports, exports, or re-exports, making it a cost-effective base for trading and manufacturing businesses with international supply chains.
No. The official HFZA FAQ confirms that facilities within the free zone can only be leased, not purchased. Office units are leased annually, and industrial land is available on a 25-year renewable lease.
HFZA provides access to more than 300 online services for existing investors, covering visa applications and renewals, licence renewals, document requests, and other administrative processes. These are accessible through the HFZA e-services portal at hfza.ae/e-services.
Yes. HFZA’s official FAQ confirms that it offers both a “Hamriyah Business Centre” (HBC) package and an E-Office package for businesses that need a registered address without a dedicated physical office. The Start Up package represents the entry-level option; contact HFZA for details on the HBC and E-Office offerings.
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