Abu Dhabi, the capital of the United Arab Emirates (UAE) is an emerging business centre which offers entrepreneurs plenty of opportunities. The Emirate caters to a variety of industries attracting entrepreneurs worldwide given the business-friendly environment and regulations. For business setup in Abu Dhabi, you can enjoy benefits like 100 per cent ownership, among others.
Interested in learning about the various facets of starting a business in the Emirate? You can find all the necessary information in this article.
Business Licenses to Avail in Abu Dhabi
Availing a business license is mandatory for starting a business in Abu Dhabi. You can avail the any of the following five licenses in the Emirate from the authorities:
- Commercial license
- Professional license
- Agriculture license
- Industrial license
- Tourism license
Process of Business Setup in Abu Dhabi
To set up a business in Abu Dhabi, you need to understand the registration process. Read on to learn about it in detail:
Finalise the Business Activity
The initial step is to determine the business activity. This will help you identify the license that you need to avail and understand the business requirements.
Fill the Application Form
You must provide the necessary information with regard to the business in the application form and submit it to the authorities.
Determine the Legal Entity
The next step involves selecting a business structure. You can opt for a general partnership, limited liability company, public joint stock company, or branch office, among others.
Trade Name Registration
Registering the trade name with the Abu Dhabi Department of Economic Development (ADDED) is necessary. The trade name should be unique and comply with all the legal requirements.
Obtain Initial Approval
Post the registration of the trade name, you need to avail of initial approval from ADDED authorities to move forward with the company formation process.
Draft necessary Documents
Based on the legal structure, you must submit the necessary documents to the authorities. You need to draft a Memorandum of Association (MoA) and Articles of Association (AoA), among other documents.
Choose the Jurisdiction
Selecting the appropriate business jurisdiction is necessary based on the chosen business activity. Abu Dhabi allows setting up a business in the mainland or the free zones.
Avail Additional Approval
You might also need to obtain certain additional approvals from other authorities like Abu Dhabi Municipality, the Abu Dhabi Tourism Authority, and the Department of Health based on the business activity.
Obtain Business License
You need to avail the relevant business license based on the business activity by paying the requisite fee.
Documents to Submit to the ADDED Authorities
You must submit the following documents to the authorities at ADDED, the governing authority for company formation in Abu Dhabi:
Two separate documents, like a driver’s license and utility bill, must be submitted to support your address in Abu Dhabi.
Two-three suggested names for the new company
Copy of the shareholder(s) passport
Copy of business plan
Details of the business activity
Application Form
Passport-size photographs
Copy of Curriculum Vitae
Copy of Visa
Note: The registration process and documentation will vary depending on the chosen jurisdiction and the business activity.
Benefits of Starting a Business in Abu Dhabi
There are certain advantages of business formation in Abu Dhabi. Let’s take a look at them:
Booming Economy
Abu Dhabi’s Gross Domestic Product (GDP) increased by 3.3 per cent in Q1 2024. This stat itself highlights the biggest benefit of company registration in the Emirate.
Hassle-free Business Setup
The procedure for setting up a business in Abu Dhabi is simple. There are several advantages like quick licensing and entirely digitised company formation procedures.
Tax Benefits
Abu Dhabi free zones allow 100 per cent business ownership. In addition to that, the free zones in Abu Dhabi offer exemptions in customs duty and import-export tax.
Business-friendly Regulations
Entrepreneurs can set up a business in the Emirate at a competitive price and there is no minimum capital requirement. You can carry out day-to-day business operations without interruptions by adhering to the regulations.
Avail BSW Assistance
Starting a business in a foreign land can be exhausting. Availing professional guidance can make it easy to establish a business in Abu Dhabi. Business Setup Worldwide provides end-to-end solutions for your business setup needs. We are well-versed in most legalities and provide exceptional services within record time. Contact us for further information.
