Key takeaways
- SHAMS (Sharjah Media City Free Zone) lists management consultancy among its commonly chosen activities and allows up to 5 activities on one licence, so a consulting company can sit several service lines under a single licence (SHAMS website, checked 03 October 2026).
- A SHAMS licence can be held as an LLC without "FZ" in the company name, with 100% foreign ownership and no employer NOC required, according to SHAMS (checked 03 October 2026).
- SHAMS says a company can hold up to 50 visas per licence, but the number depends on the business activity and the office space allocated; the standard package it publishes comes with a flexi desk and does not include visas.
- A SHAMS consulting company that earns most of its fees from mainland clients is unlikely to keep the 0% free zone corporate tax rate, because the Federal Tax Authority (FTA) caps non-qualifying revenue at the lower of 5% of total revenue or AED 5,000,000 (FTA Free Zone Persons guide, checked 03 October 2026).
- SHAMS publishes package fees only through its online cost calculator, so no verified price is quoted here; get a written quote for your activities, visas and licence term.
Is SHAMS a good free zone for a consulting business?
SHAMS suits consultants who want a low-friction, online setup and whose clients are mostly outside the UAE or inside free zones; it is a weaker fit if your revenue comes mainly from mainland UAE companies. The licence itself is easy to get, but where your clients sit decides your tax position and your day-to-day constraints.
The case for SHAMS is practical. SHAMS says its licence is issued in under 60 minutes, fully online, with no residency requirement for the owner and no local partner. The case against is the same for every free zone: a free zone licence is built for operating inside the zone and abroad, and the UAE tax rules treat income from mainland customers differently. SHAMS does not address mainland trading on the pages we reviewed, so ask it, in writing, what a SHAMS company may do for Sharjah and other mainland clients before you sign.
Can you hold a consulting licence in SHAMS?
Yes: SHAMS shows "Management Consultancy" among the activities customers commonly choose, and you can combine up to 5 activities on one licence. Some activities need an external approval, and SHAMS says those are issued as a "Red Licence" that cannot be used to operate until the relevant authority approves.
SHAMS does not say on the page we checked whether management consultancy itself needs a pre-approval, so check the activity in its directory before you pay. Regulated advice (legal, financial, accounting or audit services, for example) may fall under a different activity with its own approval, so confirm the exact activity wording on your licence.
What does a SHAMS consulting licence cost?
SHAMS does not publish package prices on its package pages; fees are generated by its cost calculator once you select activities, licence term and visas. Its prices are stated to include VAT, and the licence term can be 1, 2, 3, 4, 5 or 10 years (SHAMS website, checked 03 October 2026).
| Item | What SHAMS publishes | Status |
|---|---|---|
| Licence fee | Via cost calculator only | Not published |
| Package types | Standard and Media | Published |
| Activities per licence | Up to 5 | Published |
| Desk | Flexi desk and lease agreement | Published |
| Visas in standard package | Not included | Published |
| Licence terms | 1, 2, 3, 4, 5 or 10 years | Published |
| P.O. Box | Available for an additional annual fee | Published, fee not stated |
| Renewal changes | Package, activities, name, visas, facility and shareholders can be amended at renewal | Published |
Agent websites quote many different totals for SHAMS; we haven't used them because they can't be tied to an official fee schedule. Ask for an itemised quote that separates the licence, the registration, each visa, the establishment card and renewal, then compare like with like.
How many visas and what office space do you get?
SHAMS says you may apply for up to 50 visas per licence, depending on business activity and office space allocation, while the standard package lists a flexi desk and no visas. A flexi desk therefore gets you a licence and a lease agreement; the visa quota that fits your hiring plan is a separate question to put to SHAMS.
Visa services (including dependant visas) are sold separately through SHAMS's add-on services, per the packages page. Before you rely on 50 visas, ask what office space tier unlocks the quota you need, because the quota is tied to the space you take, not only to the licence.
How does corporate tax treat a SHAMS consulting company?
A SHAMS company is a free zone person for corporate tax, which means it only pays 0% on "qualifying income" if it meets every Qualifying Free Zone Person (QFZP) condition; otherwise it falls under the standard regime, with 9% on taxable income above AED 375,000. The law is Federal Decree-Law No. 47 of 2022, and the free zone rules are in Cabinet Decision No. 100 of 2023 and Ministerial Decision No. 265 of 2023.
The FTA guide sets out the conditions: adequate substance in the free zone (core income-generating activity, with qualified full-time employees, assets and operating expenditure), qualifying income, audited financial statements regardless of revenue, transfer pricing compliance, and no election for the standard regime. General consulting is not a listed qualifying activity, so fees from mainland customers are non-qualifying revenue, while services to other free zone persons can qualify if they are not an excluded activity.
| QFZP condition | What the FTA guide says | Where |
|---|---|---|
| Substance | Core activity in the free zone with adequate assets, qualified full-time employees and spend | Section 6.1 |
| Qualifying income | Income must come from qualifying sources | Section 4.5.1 |
| Audited financial statements | Required regardless of revenue | Section 4.5 |
| Transfer pricing | Arm's length principle and documentation | Sections 4.5.2 to 4.5.3 |
| De minimis | Non-qualifying revenue within the lower of 5% of revenue or AED 5,000,000 | Section 4.4.1 |
| Failure | Status lost for that tax period and the four after | Section 4.7 |
Say a SHAMS consultancy bills AED 2,000,000 a year and AED 1,200,000 comes from mainland clients. That is 60% of revenue; 5% of total revenue is AED 100,000, which is lower than AED 5,000,000, so the company exceeds the limit by a wide margin and would lose QFZP status for that tax period and the next four. If you'd rather not track which of these dates and tests apply to you, the UAE compliance calendar is a free calendar of your company's UAE tax and compliance deadlines, personalised from a few questions, as a PDF and calendar file.
AED 5,000,000 or 5%: the lower of the two caps the non-qualifying revenue a Qualifying Free Zone Person may earn without losing the 0% rate. Source: FTA Free Zone Persons Corporate Tax Guide (Ministerial Decision No. 265 of 2023), checked 03 October 2026.
How do you set up a consulting company in SHAMS?
You set it up online through the SHAMS portal in a handful of steps, and the licence is issued in under 60 minutes according to SHAMS. Your own timeline will be longer if the activity needs an external approval or you add visas.
- Use the SHAMS cost calculator to choose package, activities, licence term and visas (shamsfz.ae).
- Check each chosen activity in the SHAMS directory for a Red Licence or external approval.
- Apply and pay through the SHAMS portal (portal.shams.ae).
- Register the beneficial owner information; SHAMS cites Cabinet Decision No. 109 of 2023 and a 60 day window from licensing (SHAMS compliance page).
- Add visas and related services through SHAMS's add-on services when you are ready to hire.
- Register for corporate tax on EmaraTax and confirm with your accountant whether you will qualify for 0%.
What most guides don't tell you
Three points that package comparisons tend to skip.
- The 0% rate is a conditional status, not a feature of the licence. Package comparisons stop at the licence; the FTA guide shows that losing QFZP status costs you the 0% rate for five tax periods, which is a bigger consequence than the licence fee.
- A flexi desk and a QFZP claim pull in different directions. The substance test asks for qualified full-time employees and adequate assets in the free zone. A company with a flexi desk and its staff elsewhere should get advice before assuming it passes; the rules don't decide the point in advance.
- Dubai's mainland route does not carry over to Sharjah. Dubai's free zone mainland operating permit (Executive Council Decision No. 11 of 2025) is for Dubai Unified Licence holders in Dubai. We could not verify an equivalent route for a SHAMS company in Sharjah, so don't assume one.
Which deadlines apply to your company?
A SHAMS licence starts renewal, tax registration, beneficial owner and audit dates that depend on your structure, your visas and your client mix. Get a free calendar of your company's UAE tax and compliance deadlines, personalised from a few questions, as a PDF and calendar file, at the UAE compliance calendar.
Frequently asked questions
How long does company formation take in Dubai? Timelines depend on the route and the authority, so there is no single figure. SHAMS, which is in Sharjah and not Dubai, says its licence is issued in under 60 minutes online; check Dubai Economy and Tourism for the current Dubai standard.
SHAMS vs IFZA vs Meydan free zone, which should I choose? Choose on activity fit, client location, visa needs and total annual cost, not on licence speed. Meydan publishes a solo founder licence from AED 15,000 issued in under 60 minutes, and SHAMS publishes up to 5 activities on one licence; IFZA's terms were not verified for this article.
Is a DMCC license worth the higher cost? It depends on whether you need what DMCC offers and what the extra cost buys you in practice. We haven't verified DMCC's current published fees, so ask for an itemised quote and compare it with SHAMS on licence, visas and renewal.
Should I set up in DIFC or ADGM if I want to raise money from investors? Ask your lead investor and their lawyers which jurisdiction they require before you choose. We haven't verified DIFC or ADGM fees or rules for this article, so confirm both with the authorities.
Can a free zone company do business with mainland clients? It depends on the emirate, the free zone and the activity, and it has tax consequences. For corporate tax, consulting fees from mainland customers are non-qualifying revenue and count against the lower of 5% of revenue or AED 5,000,000.
About Qawi · Qawi is a corporate services firm licensed in the Sharjah Media City (SHAMS) free zone, handling company formation, visas and PRO, bookkeeping, VAT and corporate tax for UAE businesses. Guides are researched from FTA, Ministry of Finance and free zone sources. Qawi on LinkedIn
Sources
- SHAMS Free Zone, home page
- SHAMS Free Zone, FAQs
- SHAMS Free Zone, business packages
- SHAMS Free Zone, business activities
- SHAMS Free Zone, compliance
- SHAMS Free Zone, cost calculator
- FTA, Corporate Tax Guide: Free Zone Persons
- FTA, Federal Decree-Law No. 47 of 2022 on Corporate Tax
- FTA, Cabinet Decision No. 100 of 2023 on Qualifying Income
- Dubai Media Office, free zone mainland operating permit
- Meydan Free Zone, Fawri licence (free zone's own published claim)
Last checked: 03 October 2026
General information, not tax or legal advice for your specific situation.