Sharjah, the UAE’s third-largest emirate, has steadily evolved into one of the region’s most diverse and business-friendly economies. It’s strength lies in its well-developed industrial, manufacturing, construction, and real estate sectors.
Supported by advanced infrastructure, multiple free zones, and a robust logistics network, Sharjah presents lucrative opportunities for investors exploring business setup in the UAE.
As the global economy transitions beyond borders, Sharjah is positioning itself as a hub for innovation, sustainable industry, and knowledge-based growth, offering a compelling alternative for entrepreneurs and established enterprises alike.
1. Understanding Sharjah’s Economic Landscape
Sharjah contributes around 17 percent to the UAE’s total GDP, driven primarily by its thriving industrial base, which accounts for more than one-third of all factories in the UAE.
The emirate’s 33 industrial zones underscore its commitment to manufacturing, logistics, and export-oriented industries. With a population exceeding 1.8 million, Sharjah benefits from a young and educated workforce.
The city is only 10 kilometers from Dubai International Airport, which makes it an attractive residential and business destination for companies seeking lower operational costs while maintaining easy access to Dubai’s global networks.
Sharjah’s cost of living and business setup expenses are significantly lower than those in Dubai and Abu Dhabi, making it ideal for startups, SMEs, and manufacturers looking to scale sustainably.
2. Why Global Investors Are Choosing Sharjah?
Investors considering mainland or freezone business setup in the UAE are finding Sharjah increasingly attractive due to its combination of affordability, accessibility, and government support.
Key advantages include:
- Skilled and diverse workforce: The emirate’s universities and vocational institutions produce a steady flow of skilled professionals.
- Business-friendly policies: The Sharjah Department of Economic Development (SEDD) and Sharjah Investors Services Centre (SAEED) streamline licensing and company registration, ensuring efficiency and transparency.
- Strategic location: With direct access to both the Arabian Gulf and the Gulf of Oman, Sharjah’s ports provide a unique advantage for companies in logistics, manufacturing, and export.
- Innovation-driven economy: Through initiatives such as Digital Sharjah and the Sharjah Research Technology and Innovation Park, the emirate encourages research, entrepreneurship, and collaboration between government, academia, and industry.
- Support for SMEs: Sharjah hosts over 60,000 SMEs, supported by incubators, accelerators, and initiatives like the Sharjah Entrepreneurship Festival. In 2022, startups in Sharjah raised US$161 million and generated US$247 million in revenue, according to the Oxford Business Group.
3. Streamlined Business Setup Framework
The business setup process in Sharjah is regulated by the SEDD, ensuring alignment with UAE Commercial Companies Law (CCL). Investors can choose between:
- Sharjah Mainland Setup: Ideal for those seeking access to the UAE market and government contracts.
- Sharjah Free Zone Setup: Designed for export-oriented businesses, providing tax benefits and simplified trade procedures.
Sharjah has introduced several initiatives to facilitate easier and cost-effective setup like:
- A unified digital platform like the Sharjah Industrial Guide, that consolidates licensing services.
- “Renew Your License with Us” – a digital license renewal service.
- A 50 percent discount on license issuance fees for industrial enterprises under the latest economic stimulus package.
4. Free Zones in Sharjah for Business Setup
Sharjah’s appeal lies in its diverse portfolio of specialized free zones and industrial clusters, each catering to specific industries.
1. Hamriyah Free Zone (HFZA)
- The UAE’s second-largest industrial free zone, home to more than 6,500 businesses from 163 countries.
- Convenient multimodal connectivity by sea, air, and land.
2. Sharjah Airport Free Zone (SAIF Zone)
- Hosts over 8,000 companies from 160 nations.
- Offers ready-built warehouses for SMEs and land plots for large manufacturing projects.
3. Sharjah Research Technology and Innovation Park (SRTIP)
- Focused on R&D, sustainability, and high-tech industries.
- Supports pilot projects, product testing, and commercialization initiatives.
4. Sharjah Healthcare City (SHCC)
- Offers long-term leasing and land for hospitals, clinics, and laboratories.
- Positioned near Sharjah International Airport for convenient logistics.
5. Sharjah Publishing City (SPC)
- The world’s first free zone dedicated to publishing, printing, and media distribution.
- Provides end-to-end solutions for content creation, design, printing, storage, and distribution.
6. Sharjah Media City (SHAMS)
- Established in 2017 to empower creative entrepreneurs and media businesses.
- Offers cost-effective licensing packages and state-of-the-art production facilities.
Each of these free zones offers business benefits, such as zero corporate and personal income tax, no customs duties, and full profit repatriation, making them highly lucrative for international investors.
5. Industrial Strength
Sharjah’s 33 industrial areas, complemented by three industrial cities, are strategically distributed to ensure balanced economic growth across the emirate.
- Sharjah City: The main hub with 17 industrial areas and access to Khalid Port.
- Central Region: Hosts five industrial areas, serving as a logistics corridor 40 km from the airport.
- Khor Fakkan and Kalba: Coastal cities on the Gulf of Oman with major ports ranked among the world’s most productive. These regions cater to re-exports and aggregate industries.
- Dibba Al Hisn and Al Dhaid: Focused on agriculture, food processing, and light manufacturing.
6. Why Choose Professional Support for Setup?
- Established in 2017 to empower creative entrepreneurs and media businesses.
- Offers cost-effective licensing packages and state-of-the-art production facilities.
Each of these free zones offers business benefits, such as zero corporate and personal income tax, no customs duties, and full profit repatriation, making them highly lucrative for international investors.
5. Industrial Strength
Sharjah’s 33 industrial areas, complemented by three industrial cities, are strategically distributed to ensure balanced economic growth across the emirate.
- Sharjah City: The main hub with 17 industrial areas and access to Khalid Port.
- Central Region: Hosts five industrial areas, serving as a logistics corridor 40 km from the airport.
- Khor Fakkan and Kalba: Coastal cities on the Gulf of Oman with major ports ranked among the world’s most productive. These regions cater to re-exports and aggregate industries.
- Dibba Al Hisn and Al Dhaid: Focused on agriculture, food processing, and light manufacturing.
6. Why Choose Professional Support for Setup?
While Sharjah’s regulatory landscape is transparent, navigating licensing, structuring, and compliance can still be complex for foreign investors. Partnering with experienced UAE business setup services ensures:
- Selection of the optimal structure (mainland or free zone) aligned with your objectives.
- Guidance on compliance with UAE Commercial Companies Law.
- Assistance with visas, bank accounts, and office leasing.
- Continuous support to maintain compliance and operational efficiency.
Whether your goal is mainland business setup in the UAE, a new manufacturing base, or a service-based industry, Sharjah offers an affordable and globally connected platform for growth.
Business Setup in Sharjah
Sharjah stands out as a strategic gateway for businesses seeking sustainable expansion in the Middle East. Its balance of affordability, infrastructure, and forward-looking governance makes it a prime location for companies exploring business setup in the UAE. With its growing industrial base, innovation parks, and commitment to investor facilitation, Sharjah is redefining the UAE’s investment landscape.