Business Setup January 15, 2025 12 min read First Idea Consultant

2025 Cost Guide: Setting Up Your Business in Sharjah

Complete Cost Breakdown for Mainland & Free Zone Companies
Setup Cost
From AED 6,500
Processing Time
1-10 Business Days
Foreign Ownership
100% Available

Your Complete Guide to Sharjah Business Setup 2025

Sharjah is becoming a hot spot for entrepreneurs looking for affordability without losing access to the UAE market. When compared to Dubai and Abu Dhabi, Sharjah business setup is cheaper, with a very pro-business government and several options for free zones and mainland company setups. Whether you are a UAE national or foreign entrepreneur, Sharjah's developing infrastructure, strategic location and encouraging policies make it the best choice to start a business in 2025.

In this article, you will find everything you need for your business setup in Sharjah, including:

1
Complete cost breakdown for 2025
2
Step-by-step licensing process
3
Comparison of mainland vs free zone companies
4
Renewal procedures and government portals
5
Practical tips to reduce setup costs

Why Choose Sharjah for Your Business Setup?

Sharjah is budget friendly, offering prime location and has strong government support that’s why Sharjah is ideal place to start a business because. Key reasons to consider Sharjah include:

Cheap and cost effective business License, making it best for startups and SMEs
Well-designed business Infrastructure with access to three famous seaports such as Sharjah, Khor Fakkan, Hamriyah and a Sharjah international airport.
Multiple Free Zones and Mainland Options allowing for flexible company structures.
100% Foreign Ownership in many sectors, especially in free zones and under new UAE company laws.
A Pro-Business Government through the Sharjah Economic Department (SEDD), simplifying setup and licensing.

For deeper insights on investment advantages, you can read our full article on Why Invest in Sharjah.

Mainland vs Free Zone: Which is Right for You?

Choosing between a mainland company and a free zone company is the first crucial step in your Sharjah business setup.

Mainland Company (Sharjah DED)

  • Regulated and licensed issued by the Sharjah Economic Department (Sharjah DED).
  • It's allow to run anywhere in the UAE and internationally.
  • May require a local sponsor or service agent for certain activities (though many activities now allow 100% foreign ownership).
  • Access to government contracts and tenders.
  • Requires a physical office space in Sharjah.

Free Zone Company

  • Offers 100% foreign ownership with no need for a local sponsor.
  • Exempt from import and export duties within the free zone.
  • Faster and easy setup (usually 1 to 4 business days).
  • Lower minimum capital requirements.
  • No physical office requirement they ask
  • Flexi-desk or shared office package available

Popular Free Zones in Sharjah:

SAIF Zone

Hamriyah Free Zone

Sharjah Publishing City

For a detailed comparison, see our article: Mainland vs Free Zone Company Setup in UAE.

Step-by-Step Guide about Sharjah Business Licensing

Easy process to create a company in Sharjah, whether mainland or free zone, follows all important steps:

1

Choose Your Business Activity

Use the Sharjah Economic Department license inquiry tool to check if your desired business activity is permitted.

2

Select Business Structure

Options include LLC UAE, sole proprietorship, partnership, or branch office. LLC is the most common for mainland companies.

3

Reserve Trade Name

Reserve your business name through the Sharjah DED or the free zone license portal

4

Obtain Initial Approval

Submit your valid passport copies, visas, and Emirates ID. Approval costs between AED 100–500.

5

Secure and reliable Office Space

Mainland companies require a physical office lease with a valid Ejari contract.
Free zones offer flexi desk or office packages.

6

Draft the Memorandum of Association (MOA)

This is required for LLC companies and costs approximately AED 1,000–2,500.

7

Submit Your Final Required Documents

Include tenancy contract, MOA, passport copies, and trade name approval to Sharjah DED or free zone authorities.

8

Pay Business License Fees

Mainland license fees range between AED 8,000–15,000.
Free zone license fees range between AED 6,500–12,000.

9

Immigration & Visa Processing

Costs for immigration cards and investor visas vary between AED 700–5,000 depending on the visa type.

10

Open a Corporate Bank Account

Choose a bank with startup-friendly services.

For a detailed LLC setup, read our article: How to Set Up an LLC in UAE.

Cost Breakdown for Sharjah Business Setup in 2025

Here's a comprehensive breakdown of all costs involved in setting up your business in Sharjah:

Cost ItemMainland (AED)Free Zone (AED)
Trade Name Reservation350 – 750Included
Initial Approval100 – 500Included
License Fee8,000 – 15,0006,500 – 12,000
Office/Flexi Desk10,000 – 25,0004,500 – 12,000
Immigration Card700 – 1,000Included
Visa (per person)3,500 – 5,0003,500 – 5,000

Costs can vary depending on the business activity, office location, and number of visas.

Sharjah Business License Renewal Process

You can renew your Sharjah trade license through:

Renewal Methods:

Required Documents:

  • Previous trade license copy
  • Valid tenancy contract (Ejari)
  • Payment of renewal fees (AED 6,500–15,000 depending on license type)

For step-by-step renewal details, see our full guide on Trade License Renewal Sharjah.

How to Check Your Sharjah Trade License Online

Several government tools help you verify your trade license status:

Sharjah Trade License Check
Sharjah DED License Enquiry
Sharjah Economic Department License Inquiry

These portals provide information on license validity, activity type, and expiry date.

Other Costs to Consider

Starting a business involves additional costs beyond licensing fees:

Employee Visas: AED 3,500–5,000 per visa
Medical Tests & Emirates ID: Mandatory for all visa holders
Business Insurance: Varies by sector and company size
Marketing & Website: Crucial for brand visibility
PRO Services: Assistance with paperwork and government processes

You can explore our PRO services to streamline your setup.

Best Tips to Save Money on Business Setup

Starting a business in Sharjah doesn't have to break the bank. Here are some cost-saving tips:

Start your business in a free zone with a flexi desk option to reduce office costs.
Bundle license and visa services with one service provider to get discounts.
Arrange your first-year rent carefully, especially for mainland offices.
Select a business activity that requires no any extra regulatory approvals to avoid extra fees.

FAQs About Business Setup in Sharjah

How much does it cost to start a business in Sharjah in 2025?

The cost to start a business in Sharjah in 2025 ranges from AED 6,500 to AED 15,000 for a free zone company and AED 8,000 to AED 25,000+ for a mainland company. Total costs depend on your business activity, office space, and number of visas.

What is the cheapest business license in Sharjah?

The cheapest business license option in Sharjah is in Sharjah Publishing City Free Zone, starting from AED 8,500.

What is the difference between a  Sharjah mainland  and free zone company?

Mainland: Licensed by Sharjah Economic Development Department (SEDD), allows you to operate anywhere in UAE, may require a local sponsor, and needs a physical office.

Free Zone: Offers 100% foreign ownership, lower setup costs, no local sponsor needed, and flexi-desk options.

How long does it take to get a Sharjah business license?

It takes 1 to 4 business days to get a free zone license and 5 to 10 days for a mainland license, depending on approvals.

How do I renew my Sharjah trade license?

You can renew online through the Sharjah Economic Department portal or in person at service centers. You'll need your old license, a valid tenancy contract, and renewal fees of AED 6,500–15,000.

How can I check my Sharjah trade license online?

You can check your license status via the Sharjah Trade License Check portal,
Sharjah DED License Inquiry tool,
or Sharjah Economic Department official website.

Which are the most popular free zones in Sharjah?

The most popular free zones in Sharjah include
SAIF Zone (from AED 12,000, ideal for trading/logistics),
Hamriyah Free Zone (from AED 11,500, manufacturing/industrial),
Sharjah Publishing City (from AED 8,500, media/publishing).

How can I reduce business setup costs in Sharjah?

Choose a free zone with a flexi-desk,
Bundle license and visa services,
Avoid activities requiring extra approvals,
Negotiate first-year office rent.

Subscribe to Our Newsletter

Stay updated with the latest business trends and opportunities in Dubai and UAE

We respect your privacy. Your information is safe and will never be shared.

Follow Us