Abu Dhabi is known to be the largest emirate in the United Arab Emirates occupying more than 80% of the total land. It is also the federal capital of the country. Being the largest region in geographical terms, it comprises a fair share of free zones in the region. Additionally, these free zones offer a favorable environment for company formation, especially for foreign investors and entrepreneurs. Moreover, its legal support and strategies aid in bringing out the full potential of the business for its personal growth as well as the growth of the country. Besides, the Abu Dhabi Free Zone companies also get to enjoy all the facilities and incentives provided by the government. However, these companies must gain legal authentication in the UAE land by acquiring an Abu Dhabi free zone license from the concerned authorities.
Thus, this article will give a broad overview of the different features and aspects of the Abu Dhabi Free Zone company formation, Abu Dhabi free zone cost, and other significant areas.
List of free zones in Abu Dhabi
- Abu Dhabi Airport Free Zone
- Twofour54
- Masdar City Free Zone
- Abu Dhabi Ports Company Free Zone (ADPC)
- Industrial City of Abu Dhabi
- Khalifa Industrial Zone Abu Dhabi (KIZAD)
- Abu Dhabi Global Markets Free Zone (ADGMFZ)
- Higher Corporation for Specialized Economic Zones (ZonesCorp)
Business activities permitted under Abu Dhabi Free Zone license
- Content production
- Advertising and film production
- Animation and graphic designing
- Corporate print and film production
- Educational content making
- Illustration
- Gaming development and mobile media
- Music recording and videos production
- Arts and theatre
- Digital and online electronic content production
- Print and radio content production
- Photography and videography
- Scriptwriting
- Software development
- Web design and development
- Songwriting and composition
- Events, exhibitions, and conferences
- Branding
- Information technology services
- Media and marketing communications
- Newspaper, magazine, and book publishing
- Post-production
- Professional training and management
- Broadcasting a satellite/terrestrial TV or radio channel
Types of Abu Dhabi Free Zone licenses
Depending upon the business activities, a company can choose any of the given business licenses –
- Commercial/trade license
- Consultancy/service license
- Industrial license
- Educational license
- Media license
- Freelance license
- E-commerce license
- Warehousing license
- Manufacturing license
- Offshore license
Benefits of acquiring Abu Dhabi Free Zone license
- Ownership of the company
- Freedom to repatriate profits and funds
- Full exemption from taxes(personal, corporate) as well as customs duty(import, export)
- Advanced infrastructure
- Business-friendly environment
- Simplified process of company incorporation
- Business-pro laws and legal framework
- Speedy immigration process
- Easy access to skilled professionals
- Single-window-operation for a wide range of services
- Liberal trade facilities
Types of entities available for Abu Dhabi Free Zone Company Formation
- Free Zone Limited Liability Company – A Limited Liability Company(LLC) is an independent legal entity. Hence, it can be formed with an individual shareholder, a corporate shareholder, or a mix of both. Furthermore, the name itself states that the liability of each shareholder is limited to the extent of their shares in the company.
- Branch of an existing company – A branch, which is a sub-division of an existing establishment, can be set up in Abu Dhabi Free Zone. The established company, also known as the parent company, can be a domestic enterprise or a foreign institution. Therefore, the full control of the branch rests with the parent company. In other words, the parent company is responsible for all the activities and transactions carried out in the branch.
- Freelance business – Freelance business license is issued to those individuals or professionals who wish to start their business as freelancers in Abu Dhabi, UAE. Additionally, the individual would be the sole practitioner of the business and can conduct business under their own name.
Steps to acquire Abu Dhabi free zone license
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Choose a legal company structure
Basically, every business setup procedure starts with determining the type of legal entity one wants to establish in the UAE. There are several options of company structure available for Abu Dhabi Free Zone company formation. Hence, one can choose according to the nature and type of business they want to set up. Besides, for a better selection, it is advisable to check with the respective free zone authority beforehand whether the desired business can be registered in the region.
Also read the post: How to Set Up a Company in Dubai Free Zone?
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Select a trading name
Choosing a trading name is a very complicated task, especially with all the rules and regulations fixed by the government. Hence, to avoid any trouble, it is better to approach the free zone authorities of the DED(Department of Economic Development) to check whether the chosen company name is appropriate and available for registration. In addition, the company owners must make sure that the trade name abides by the following resolutions –
- Does not disrupt the morals or public order of the country.
- Not already registered name or resembling another company name
- Must be followed by the legal form, such as LLC, FZE, etc.
- Matching with the legal structure and preferred business activity
- Does not have references to any government authority, religion, or community.
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Apply for a business license
The business license depends on the type of activity you choose for your business operation. In fact, there are several business activities permitted by the Abu Dhabi Free Zone authorities for the companies in the region. Hence, they can choose whichever activity they want to perform in the zone and also apply for the Abu Dhabi Free Zone license accordingly. When you apply for the license, you also need to submit certain documents along with the application form to secure proper validation of your business.
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Find an office space
An investor can either buy or lease an office space depending on the business activity and employee count of the company. The licensing authority of the Abu Dhabi Free Zone demands a lease agreement in order to proceed with the license issuance procedure. However, if you have considerably large office space, you can also opt for more than one license.
Nevertheless, choosing an office space can be a crucial decision. Hence, ensure to make a careful selection of a space that best suits your business needs as well as represents a professional atmosphere. On the other hand, Freelancers can look for Flexi-desk packages that provide them with all the necessary facilities.
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Secure the approvals and get the business registered
If you want to register your company in the Abu Dhabi Free Zone, you need to get initial approvals from the free zone authorities first. Hence, you might need to submit the required documents to get their approval. The list of required documents may include the following:
- Business plan
- Copy of existing trade license/registration certificate
- NOC from the current sponsor
- Letter of intent
- Audited financial reports for the last two years (for corporate shareholders)
- Original reference letter from the bank (for individual shareholders)
- Notarized original Registry Identification Code Form(RIC)
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Obtain the Abu Dhabi Free zone license
Finally, the authorities will review the application, share their approval for the business registration and issue the license within a short period. Once you get your license in hand, you can further apply for your visas, open a corporate bank account and start your business operations as well.
Documents required for Abu Dhabi Free Zone Company formation
- Company registration application form
- Passport copies of owner/shareholders
- Passport-sized photographs
- At least three trade name suggestions
- List of business activities
- Proof of address
- Original bank reference letter
- Summary of professional history/Updated Curriculum Vitae
Choose Shuraa Business Setup for business establishment in Abu Dhabi Free Zone.
Shuraa’s specialized team of professionals has extensive knowledge of all the business setup rules and regulations in Abu Dhabi free zones. Therefore, they can help you with your company formation task with ease and also ensure huge cost savings in your Abu Dhabi Free Zone license application..
ON the whole, Shuraa strives to fulfill your entrepreneurial dreams with full passion. So, contact us today and embark on your journey to the federal capital of UAE. Call +971 44081900 or communicate via email at [email protected].
