> For the complete documentation index, see [llms.txt](https://docs.cavenwell.ae/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.cavenwell.ae/what-is-the-difference-between-a-mainland-and-a-freezone-company.md).

# What is the difference between a mainland and a freezone company?

A mainland company can operate anywhere, including with office space on the mainland, while a freezone company is traditionally limited to operating within free zones. So long as your business is service based, you will be able to service the UAE with a freezone company with no issues.

With certain freezones, you can also obtain government permission to open an office in the mainland.

If however you require a physical premises, such as for a Salon or Shop, this would require a mainland company.

Mainland companies are also required for certain industries like real estate and education which require additional government department approval.

Free zone companies can claim exemptions on qualifying income for the 9% corporate tax, paying only on UAE-sourced income.


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