Innovation City
Innovation City Free Zone Company Setup in Ras Al Khaimah
Innovation City Free Zone company setup offers technology and digital-first founders a different kind of UAE free zone.
Explore Innovation City Setupoverview
What Is Innovation City Free Zone?
Innovation City is a technology and innovation-focused free zone in Ras Al Khaimah, UAE. Its origins are different from most UAE free zones — the authority was previously known as Ras Al Khaimah Digital Assets Oasis (RAK DAO), established with a specialist focus on emerging digital and decentralised businesses.
2023
RAK DAO launches
Specialist free zone for emerging digital and decentralised businesses.
2025
Rebrands to Innovation City
Expands beyond digital assets into a broader technology and innovation ecosystem.
Today, the free zone positions itself around industries including:
AI & Machine Learning
Software & Technology
Robotics & Automation
Gaming & Interactive Tech
HealthTech
Cybersecurity
Education Technology
Creator & Digital Businesses
Other Emerging Tech
It also describes itself as the world's first AI-powered free zone, with artificial intelligence integrated into areas such as registration, compliance and business services. As a result, its proposition is noticeably different from a general-purpose UAE free zone.
who it's for
Built for Technology Businesses, Not Just Licensed to Accept Them
There is an important difference between a free zone that allows a technology activity and one that has positioned its entire ecosystem around technology companies. Innovation City sits in the second category — its activities, packages, infrastructure and wider ecosystem have been developed with innovation-led companies in mind. For MidMac, this makes Innovation City company formation particularly worth considering for:
AI & Machine Learning Companies
Businesses developing AI products, AI-powered software, machine learning applications, automation tools and related technologies can find activities specifically aligned with the sector.
Software & SaaS Businesses
Software developers, SaaS founders, technology platforms and other digital-first businesses may find Innovation City particularly relevant where their activity fits its technology-focused framework.
Robotics & Automation
Innovation City specifically targets businesses working within robotics, automation and emerging physical technologies.
Gaming & Interactive Technology
Game developers, studios and other interactive technology businesses form another part of Innovation City's target ecosystem.
HealthTech
Technology companies developing digital solutions for healthcare may find relevant activities. Where the business moves into regulated healthcare delivery, additional approvals may apply.
Other Innovation-Led Businesses
Cybersecurity, EdTech, digital platforms, creator technology and other emerging business models may also fit within the wider ecosystem.
Which activity best matches the business you're building?
what's different
What Makes Innovation City Different?
Many UAE free zones can license a consultancy, software company or technology business. So why specifically consider Innovation City? In our view, the distinction comes down to more than the licence.
activity selection
Your Business Doesn't Fit a Generic Activity Description?
This is where Innovation City becomes particularly interesting. Emerging businesses don't always fit neatly into activity descriptions created for traditional business models. For example, an AI company might be building a proprietary platform. In a similar way, a software business might combine development, licensing and other technology services. Meanwhile, a robotics startup might sit across software and physical automation.
Innovation City offers standard, custom and premium business activities, including options developed specifically around technology and innovation sectors. As a result, this creates more scope to identify an activity that accurately reflects what the business actually does. However, more choice also makes activity selection more important, not less. Before submitting an application, the correct activity should be determined by:
- What the company actually provides
- How it generates revenue
- Who its customers are
- Whether it provides a product, service or platform
- If external approvals apply
- Whether any part of the activity falls within a regulated sector
Start with how your business will operate. Then choose the activity that supports it.
pricing
Innovation City Free Zone Packages & Costs
Innovation City company setup starts from AED 6,600 per year*, making its entry-level package accessible to founders who don't initially require a UAE residence visa. However, there isn't one Innovation City setup — the free zone currently offers several packages designed around different stages of a company's development.
Idea
For founders who don't require a residence visa through the company.
- 0 visas
- Multiple shareholders permitted
- Up to 10 standard or custom activities
- Innovation HQ facilities & event space
Seed
Designed primarily around solo founders and early-stage businesses.
- 1 visa (up to 4 capacity)
- Multiple shareholders permitted
- 1 custom or premium activity
- Shared desk + Innovation HQ access
Startup
Built for small teams and growing businesses.
- 1 visa (up to 4 capacity)
- Multiple shareholders permitted
- Up to 10 standard or custom activities
- Shared desk + Innovation HQ access
Growth
Suited to businesses requiring a more established physical presence.
- 1 visa (up to 4 capacity)
- Multiple shareholders permitted
- Up to 10 standard or custom activities
- Dedicated desk + Innovation HQ access
Premium activities, additional visas and additional workspace requirements may carry additional costs.
Choosing the Right Package
Which Innovation City package do you actually need? The lowest package isn't automatically the best one — your activities, shareholders, visa requirements, workspace and expected growth should determine the structure.
Request an Innovation City Quote*Prices and package inclusions are subject to the current Innovation City offering and applicable eligibility requirements.
visas & workspace
Innovation City Visa & Workspace Options
Innovation City's package structure allows founders to choose between setups with and without UAE residence visa requirements. For example, an international entrepreneur may initially establish an Innovation City company without a visa. By comparison, a solo founder relocating to the UAE may require one, while a growing software company may need capacity for several team members.
How Workspace Develops Alongside the Business
Workspace develops in a similar way. Depending on the package, Innovation City currently provides access to shared or dedicated workspace arrangements, alongside access to facilities at Innovation HQ. Because of this, the setup can develop with the business rather than treating every company as though it has identical requirements from day one.
ecosystem
More Than a Licence: The Innovation City Ecosystem
For some founders, all they need from a free zone is a company licence. For others, the ecosystem matters. Innovation City has deliberately built its proposition around technology and innovation businesses, with an expanding network of partners and connections across the wider technology ecosystem. In addition, it provides access to facilities including Innovation HQ, event space and a content creator studio, depending on the applicable package.
For an innovation-led startup, those features may have more relevance than they would for a traditional consultancy or trading company.
A feature only matters if your business will actually use it.
digital assets
What About Blockchain & Digital Asset Activities?
Innovation City's history as RAK DAO means blockchain, Web3 and digital-asset businesses remain part of its wider technology ecosystem. However, having a business activity available within a free zone does not remove the need for regulatory approval where an activity falls within the remit of a UAE regulatory authority. For this reason, certain financial, payment, investment, digital-asset and other regulated activities can require separate licensing or approval before the business is permitted to conduct them.
Free zone licensing and regulatory authorisation are not the same thing.
fit check
When Innovation City Makes Sense — and When We'd Look Elsewhere
When Innovation City makes sense
- Technology is the business — not just a tool. You're building software, AI, automation or gaming technology.
- Your activity is unusual or emerging and doesn't fit standard descriptions elsewhere.
- The package structure spans zero-visa entry through growing teams, which suits founders building a startup.
- A technology-focused ecosystem matters to you — partners, events and connections have real relevance.
- Ras Al Khaimah works for the business, rather than requiring a Dubai free zone name.
- Cost still matters too — the AED 6,600 entry point is attractive for founders who don't need visas yet.
When we'd look beyond Innovation City
- You specifically want a Dubai free zone company and that's commercially important
- The business runs a traditional trading operation focused on physical goods
- It's a conventional consultancy without a meaningful technology angle
- The activity requires specialist regulation — a free zone licence alone doesn't replace authorisation
- Operational premises like retail, kitchens or warehouses are required
Innovation City is designed for businesses operating at the forefront of technology and digital innovation.
compare free zones
Innovation City vs Other UAE Free Zones
A conventional consultancy comparing Innovation City vs Meydan is asking a different question from an AI startup comparing jurisdictions for a new technology venture. In practice, MidMac can compare Innovation City with other UAE free zones based on:
Business activities
Can the jurisdiction license what your business actually intends to do?
Sector focus
Does a specialist technology ecosystem add real value, or would a general free zone do the job?
Setup cost
What does the structure cost once visas, activities and workspace are included?
Visa requirements
Does the package structure accommodate your current and future staffing?
Regulatory requirements
Would the activity require approval from a UAE regulator beyond the free zone licence?
Location preference
Is Ras Al Khaimah the right location, or does a Dubai address matter commercially?
The objective is to choose a structure that fits what you're actually building.
how it works
How to Set Up a Company in Innovation City
The exact Innovation City company formation process depends on the business activity, shareholders, package and any additional requirements. A typical setup involves:
Define the business model
We establish what the company actually does, how it generates revenue and which activities need to be covered.
Check the activities
Next, the proposed activities are matched against Innovation City's available standard, custom or premium activity options.
Identify additional requirements
Where external approvals or regulatory requirements apply, these need to be identified before the setup proceeds.
Choose the package
We then determine whether Idea, Seed, Startup, Growth or another applicable setup best reflects the company's requirements.
Prepare the application
The required shareholder and company documentation is collected and submitted.
Company incorporation
Once approved, the company licence and formation documents can be issued as part of the incorporation process.
Complete the wider setup
Finally, MidMac can assist with UAE residence visas, Emirates ID, corporate banking, Corporate Tax and VAT registration, PRO services, compliance and ongoing corporate services.
The licence creates the company. The wider structure makes it operational.
why midmac
Why Set Up Innovation City Through MidMac?
Innovation-led businesses often require more thought at the activity-selection stage than a conventional setup. That's where we start. Before recommending a structure, MidMac looks at:
- What are you actually building?
- How will the company generate revenue?
- Which activities properly describe it?
- Does Innovation City add something meaningful to the setup?
- Are there external approvals to consider?
- Which package fits your visa and workspace requirements?
- What will the company need after incorporation?
From company formation through visas, banking assistance, tax registration, PRO, compliance and ongoing corporate support, MidMac can coordinate the wider setup around the licence. Because of this, if a different UAE jurisdiction makes more sense for the business, we'll tell you. One partner. One connected corporate service.
common questions
Innovation City Free Zone FAQs
Costs & Background
How much does an Innovation City licence cost?
Innovation City company setup currently starts from AED 6,600 per year with the Idea package for founders who don't require a residence visa. However, packages with visa and workspace requirements are available at higher price points.
Where is Innovation City Free Zone?
The free zone is located in Ras Al Khaimah, United Arab Emirates.
Is Innovation City the same as RAK DAO?
The authority evolved from Ras Al Khaimah Digital Assets Oasis (RAK DAO). In 2025, it was rebranded as Innovation City as its strategy expanded into a broader technology and innovation-focused free zone.
Activities & Business Fit
What businesses are suitable for Innovation City?
The free zone is particularly focused on technology and innovation-led businesses, including AI, software, robotics, gaming, HealthTech and other digital and emerging technology sectors.
Is Innovation City good for an AI company?
Innovation City specifically identifies artificial intelligence and machine learning as one of its focus sectors, making it a jurisdiction worth considering for AI businesses establishing in the UAE. However, the exact activities and structure should still be assessed against what the company will actually provide.
Can I set up a software company in Innovation City?
Yes, relevant technology and software activities are available. In practice, the appropriate activities depend on whether the business develops software, provides technology services, operates a platform or carries out another type of technology activity.
Does Innovation City offer custom business activities?
Innovation City provides standard, custom and premium activity options, including activities focused specifically on technology and innovation sectors.
Is Innovation City only for technology companies?
This free zone is explicitly positioned around technology and innovation-led businesses. Other activities may be available, though whether the jurisdiction makes commercial sense should be considered against the company's actual business model.
Visas, Workspace & Working With MidMac
Can I establish an Innovation City company without a visa?
Yes. The entry-level Idea package currently provides a zero-visa company setup option.
Does Innovation City provide office space?
Workspace provisions depend on the selected package. For example, current options include shared-desk and dedicated-desk arrangements, with access to facilities at Innovation HQ also included within applicable packages.
Does an Innovation City licence allow regulated activities?
A commercial free zone licence does not replace any separate regulatory licence or approval required for a regulated activity. For this reason, businesses operating within regulated sectors need to establish the applicable regulatory requirements before conducting those activities.
Can MidMac set up my Innovation City company?
Yes. MidMac can assist with Innovation City company formation and the related corporate services required to establish and operate the company.
Build Your Company in Innovation City
Building something different may require a different kind of free zone. If you're considering Innovation City Free Zone company setup, tell us what you're building, how the business will operate and what you need from your UAE company. We'll assess the activities, package, visa requirements and wider structure to determine whether Innovation City is the right environment for it.
Talk to MidMac