Abu Dhabi

Abu Dhabi Free Zones – Business Setup Guide

Abu Dhabi is the largest of the 7 emirates and the capital of the United Arab Emirates. It comprises more than 80% of the country’s total area. There are a number of free zones in Abu Dhabi that have been pioneers in offering a favorable environment for setting up various kinds of businesses. These free zones provide a gateway for foreign investors to enter the U.A.E. market with full potential.

The free zones in Abu Dhabi are part of the Emirate’s economic diversification initiative, which aims to boost the local economy while promoting foreign investment. Numerous incentives and facilities are offered to shareholders of companies registered in Abu Dhabi free zones.

Free Zones in Abu Dhabi

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Abu Dhabi Airport Free Zone

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Twofour54

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Abu Dhabi Ports Company Free Zone

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Abu Dhabi Global Markets (ADGM)

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Industrial City of Abu Dhabi (ICAD)

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Higher Corporation for Specialized Economic Zones (ZonesCorp)

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Masdar City Free Zone

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Khalifa Industrial Zone Abu Dhabi (KIZAD)

Permitted Legal Entities in Abu Dhabi Free Zones

Free Zone Limited Liability Company (FZLLC)

A Limited Liability Company (LLC) is an independent legal entity that can have individual shareholders, corporate shareholders, or a combination of both. The required minimum capital depends on the type of business activity.

Required Documents

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Copy of entry visa stamp, residence visa, or cancelled visa (whichever is applicable)

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Copy of Entry visa stamp (or) entry visa copy (or) residence visa copy (or) cancelled visa documentation (whichever is applicable).

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10 passport-sized photographs (white background)

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No Objection Letter (NOC) from the sponsor

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A 2 – page business plan (for professional/e-commerce licenses) or a brief business description (for trading licenses)

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Completed application form

Branch of a Foreign Company (BFC)

Licenses under this category are issued to companies registered outside the U.A.E. The company must have 100% foreign ownership, and sales must be conducted through a registered agent or distributor in the U.A.E.

Required Documents

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Passport copy of the company representative (valid for 6+ months)

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Visa copy (entry/residence/cancelled)

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10 passport-sized photographs (white background)

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Original trade license

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Chamber of Commerce membership certificate

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Commercial registration certificate

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Business plan or activity description

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Completed application form

Branch of a UAE Company (BLC)

This license is for companies already holding a valid license from any UAE authority (excluding other Free Zones).

Documents Required:

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A copy of the passport of the representative or manager of the company, valid for at least 6 months.

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Copy of Entry visa stamp (or) entry visa copy (or) residence visa copy (or) cancelled visa documentation (whichever is applicable).

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10 colour passport size photographs of the applicant with white in the background

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The original Trade License

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The original Membership Certificate issued by the Chamber of Commerce

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The original Commercial Registration Certificate

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A 2-page synopsis of the business plan for professional or e-commerce license or 1 paragraph describing the nature of the business it is involved in commercial trading or general trading.

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Application Form

The parent company has to have an active status for at least 1 year prior to opening a branch in the free zone.

Freelance License

Freelancers can obtain a permit to operate under their own name (instead of a company name).

How to Set Up a Business in Abu Dhabi Free Zones?

The government has streamlined business setup in Abu Dhabi free zones to facilitate foreign investment. The process is simple, quick, and free from unnecessary bureaucracy.

Step-by-Step Process:

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Determine Business Activity: Choose the business type (commercial, industrial, professional, etc.).

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Register a Trade Name: Submit proposed names to the Free Zone Authority for approval.

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Obtain Approvals: Secure initial approvals and submit required documents.

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License Issuance: Fulfill final legal requirements to receive the business license.