Business setup in Masdar City Free zone
Masdar City is a Free Zone that was established in 2006 and it’s located near the Emirate of Abu Dhabi, at just 6 kilometers of distance. It has a strategic location thanks to its closeness to the Abu Dhabi International Airport. It’s a Free Zone known for its commitment to sustainable technologies and operations with renewable energy.
In this regard, Company Formation in Masdar City Freezone is most popular for businesses that work in the education, investment, and research and development sectors regarding renewable technologies. The Abu Dhabi Government’s goal is to make Masdar City an area that is energy-efficient, and this has given excellent results since it’s becoming an emerging global hub for clean technologies.
Forming a company in Masdar City
The Business Setup in Masdar City Freezone is pretty straightforward and simple. Investors just have to follow some simple steps so they can have their business up and running in this flourishing market.
First, the investor must submit the license application along with the required documents. These will be reviewed by the Authorities. After that, it’s necessary to submit the proofs for the share capital. Once the investor has signed the lease agreement and made the payments, the business license will be issued.
The documents that you need to incorporate a company in Masdar City are the following:
- Business plan
- Passport copy for each shareholder
- Application form
- Bank Introduction Letter
- MOA and AOA
- Lease agreement
- Bank share capital deposit
Masdar City Business Activities
Companies in Masdar City engage in a variety of activities. In this regard, we can find businesses across several industries in this thriving market. So, investors has several options of business activities where to choose from.
Here we have the most popular Masdar City free zone activities:
- Healthcare services
- Clean Tech
- Information and Communications Technology ICT
- Renewable energy
- Professional services and service providers
- Community services
- HR development
- Oil and gas services
Business Licenses for Masdar City
To Start your Business in Masdar City Freezone you must have a valid business license that allows you to engage on your business activities legally.
In Masdar City there are four types of licensing options. According to your business activities and financial plan, you should select the package that suits you best.
You can opt for one of the following licensing packages in Masdar City:
- Start-up package: business with the start-up package can carry out two business activities. If they want to add additional activities they must pay AED 2,500 for each one.
- Mid-range package: with the mid-range package, the business is allowed to carry out 5 business activities from any segment. In this case, additional activities cost AED 2,000.
- Wide-range package: companies that apply for the wide-range package can carry out 10 business activities. The additional activities will be AED 2,000.
- UAE Nationals and Khalifa Fund Package: businesses in this category can carry out five activities from any segment, and additional activities are AED 1,000. In this case, it’s not necessary to pay the registration fee.
Benefits of doing business in Masdar City
- Total foreign ownership
- No corporate or income tax
- Full repatriation of capital and profits
- There are no tariffs on import
- Strategic location near Dubai and Abu Dhabi
- Access to the Abu Dhabi International Airport
- Competitive rates for licensing and renting offices
- Fast and simple company incorporation process
- Access to an outstanding working business environment and fist class residencies
- Access to a research and development hub
- Provides easy access to market of the Middle East and Asia
Business entities in Masdar City
Investors that want to incorporate a company in Masdar City must follow the law regarding Companies Regulation. In this regard, there are various types of legal structures that companies can have in this Free Zone. With its quick and simple setup process, you just have to select the type of business entity you want for your company.
Here we have the Masdar City free zone company list regarding corporate structures available:
- Free Zone Limited Liability Company (FZ-LLC): investors can incorporate an LLC in Masdar City with shareholders that can either be individuals or corporates.
- Branch of a foreign company: a foreign-based company can establish a branch in Masdar City, as long as it carries out the same activities and has the same name as the parent corporation.
- Branch of a UAE-based company: an UAE entity established outside of Masdar City (in other Free Zones) can establish a branch in Masdar City to conduct business.
Masdar City License costs
To conduct your operations legally you should obtain a Masdar City free zone license. In addition, you must know the expenses that you’ll have to pay, which are as follows:
- Registration fee: starts from AED 5,000 and it’s a one-off charge.
- Start-up license fee: AED 10,000
- Mid-range license fee: AED 15,000
- Wide-range license fee: AED 20,000
- UAE Nationals and Khalifa Fund Package fee: AED 10,000
Keep in mind that licensing fees should be paid annually if you want to renew your license.
Masdar City Innovative Facilities
When it comes to Masdar City Freezone Company Setup, investors can select among the several facilities provided by this place. Masdar City is well-known for its sustainable environment for working and living, and in addition, it has commercial, residential, leisure and retail districts that suits people’s needs and provide a high quality of life.
With its modern infrastructure and transportation, as well as with state-of-the-art facilities, you can find in this place great options for running your business:
- Offices: investors can find a variety of options for leasing an office space from where they can conduct their operations.
- Retail space: in Masdar City there’s a great retail space where investor can rent it so they can suit their business needs.
- Business Center: Investors can find an innovative Business Center in Masdar City from where they can rent an outstanding office.
- Land: in Masdar City there’s the option for long-term leasing of lands for up to 30 years, so they can build their facilities or projects.