Business setup in ADGM Free zone
The Abu Dhabi Global Markets Free Zone (ADGM) is one of the preferred places for entrepreneurs in the UAE due to the many benefits it offers. Entrepreneurs from around the world can find in ADGM the perfect place to conduct business since it offers a thriving business community that works along with international best practices.
Major financial centers recognize ADGM as a great location to start a business, for this reason, many business owners and investors consider the Company Formation in Abu Dhabi Global Markets Free Zone,
Forming a company in ADGM
The Business Setup in Abu Dhabi Global Markets Free Zone is a very simple process, you just have to follow a few steps to obtain an excellent result. However, this will depend on the nature of your business and the preferred legal structure, as well as your chosen business activity.
You’ll need to gather the required documentation, and submit your application to the ADGM Authority. Once the Authority has reviewed your documents, which is a process that can take only days, and if your application is correct, you can collect your business license.
The documents that you’ll need to incorporate a company in ADGM are the following:
- Company’s trade name options
- Type of legal structure for your entity
- Statement with company’s proposed officers
- Company’s address and office in ADGM
- Copy of company’s AOA
- Statement of capital and initial shareholdings
- Passport copy of owners
- Application form
- Passport size photo in color with white background
- Proof of share capital
ADGM Business Activities
To start your Business in Abu Dhabi Global Markets Free Zone you should first determine your desired business activity. Companies in ADGM focus on three main sectors, which are Wealth Management, Private Banking and Asset Management.
However, in ADGM every investor and entrepreneur is welcomed, since there are many companies that work in non-financial business sectors. Some of the most popular business activities are the following:
- Business training
- IT Consultancy
- HR firms
- Retail Outlets
- Other Professional Services
Nevertheless, it’s important to know that in ADGM there are three regulating authorities when it comes to businesses. Non-financial activities should apply to the Business Development Team of the Registration Authority, whereas financial activities should get their approval from the FSRA.
Business Licenses for ADGM
The Abu Dhabi Global Markets Free Zone Company Setup is considered as one of the most inclusive business processes in the UAE. This is because the ADGM Authority wants to encourage foreign investment in this place.
Businesses in ADGM are divided into two types: Financial and Non-Financial. In this regard, companies can apply for the following licenses in ADGM:
- Financial Business License: businesses that want to carry out financial activities such as financial advisers, banks, trust service provider and more. Financial Licenses have different categories, so it’s advisable to learn more about it so you can choose the proper one for your business.
- Non-financial Business License: with the Non-Financial Business License, companies can carry out service activities such as telecommunications, electricity supply, water supply, marketing, accounting, waste management, real estate activities and many more according to what’s established in the Law.
- Retail Business License: with the Retail License, businesses can engage in activities such as manufacturing, printing, wholesale and retail trade, transportation and storage, and other retail-related activities according to the ADGM regulations.
Benefits of doing business in ADGM
- 0% corporate and personal income tax
- Total exemption from customs tax
- Complete repatriation of capital and profits
- No currency restrictions
- No foreign exchange controls
- 100% foreign ownership
- Privileged location near the heart of Abu Dhabi
- Access to diverse and multicultural population
- Possibility to conduct business in a leading financial center
- Flourishing business landscape
- Easy and fast business set up process
Business entities in ADGM
In ADGM you can find several types of entities. In this regard, an investor can choose the perfect legal structure that suits its preferred business activity and nature of business. The ADGM Authority allows the following types of legal structures:
- Limited and Unlimited Companies: A Limited Company can be limited by shares or by guarantee, depending on the liability of its member. If the owners decide that there’s not limit on liability, then it will be considered an unlimited company.
- Private Company: the Private Company is the one that’s registered as a restricted scope company or limited by guarantee, i.e. association
- Public Company: a Public Company is a company limited by shares that has stated in its certificate of incorporation that is a public company.
- Limited Partnerships and Limited Liability Partnership
- Investment Company
- Cell Company
ADGM License costs
The cost of starting a business in Abu Dhabi should be considered if you’re planning on establishing an entity in ADGM. It’s essential to know that you will have to incur in several expenses for registration and licensing. Some of the most relevant fees are the following:
- Application fee: starts from AED 18,000
- License fee: starts from AED 18,000
- Trade name reservation: starts from AED 800
- Office rent: starts from AED 200 per sq. m. for fitted offices and a one-desk office in ADGM Business Center can start from AED 70,000
ADGM Innovative Facilities
In ADGM there are many facilities to choose from to establish your business and carry out your operations from this strategic location.
Since ADGM is a Financial Center, there is a vast range of options of offices and warehousing units that you can select, and some of them are the following:
- Private offices: a fully furnished office with high-speed internet from where you can conduct your business.
- Temporary offices: investors can find a physical space from where to carry out their activities but in a short-term period.
- Co-working spaces: entrepreneurs and startups may prefer to choose a desk space in a shared office environment, with outstanding policies that respect each business needs.
- Office suite: in ADGM you can rent an office with a meeting room that allows you to conduct your business easily
- Warehouses: to carry out the retail activities and more in ADGM
- Land plots: investors can build their own facilities by leasing or purchasing a plot of land