Abu Dhabi has gradually entered the list of the most profitable markets in the world. Including oil and minerals, the GDP of Abu Dhabi consists largely of nonoil sectors, including trade, tourism, food, and fashion. With all the sectors thriving, it is high time to start a business setup in Abu Dhabi Mainland and become a part of its diverse economy.
Here’s what makes Abu Dhabi Mainland truly special for Business:
The region is famous for being the biggest producer of oil and gas. That being its specialty, it also offers other profitable sectors such as hospitality, tourism, real estate, and construction. You can explore emerging avenues too.
Understanding the process to set up your business and obtain an Abu Dhabi Mainland business license is important to avoid any complications and delays. This guide walks you through everything you should know for company formation in Abu Dhabi.
This type of business license is required for companies and individuals that deal in services instead of products. They offer their professional services and opinions in fields like consulting, legal advice, or education. It’s among the most popular license types in the UAE.
Businesses under this license include law firms, media service providers, consulting agencies, and private tuitions.
This license is essential for businesses in the travel and hospitality sector. The UAE is already a huge attraction internationally for tourism, and this industry is only growing. Starting your business in this industry is a good business choice.
Businesses under the scope of this license include travel agencies, tour operators, and hotels.
This is a commercial permit that allows companies to conduct business operations such as manufacturing, production, or other industrial processes. There are many industrial areas in this emirate where you can set up your factory or company.
Businesses working with this license include factories, food processing plants, and furniture manufacturers.
This type of commercial license is for businesses that are involved in trading goods or commercial activities like retail, wholesale, or import/export. You have to list the products that you will trade while establishing a business in the trade sector.
Examples of businesses under this license include supermarkets, shops, online retailers, or import/export companies.
An agricultural license is required for activities that involve farming, livestock, and food production. Many investors come to the UAE to start their farming businesses for dates and other goods. It’s a very profitable sector.
Business examples include crop farming, beekeeping and honey production, fish farming, aggrotech solution, and greenhouse farming.
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Executive Contains
Business Incorporation Starter Pack
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Starts from
AED 11,900
Starts from
AED 17,900
AED 2,000
AED 2,200
AED 3,750
Additional AED 1,000 on the visa fee if applying for an Investor/Partner Visa and an AED 48,000 share capital is required.
AED 1,600
Applicable if within the UAE application only.
Normal (48 hours) – AED 450
VIP (within 24 hrs) – AED 750
AED 375
You need to choose the set of activities your business will perform. This step determines the type of license you need to acquire to set up your company.
Some legal structures, like sole proprietorship, require a Local Service Agent (LSA). Acquire one if needed.
Legal structures fulfill different needs and offer different perks. Select a structure that fits your business needs and goals.
Reserve a unique trade name through the SEDD website or mobile app. The name must not be offensive to the norms of the society.
Obtain initial approval from SEDD. This approval serves as a no-objection certificate and paves the way for the rest of the process.
Prepare a Memorandum of Association (MOA) and other required documents for approval. Ensure the validity and correctness of each document.
Find a suitable office for your business operations. Finalize the lease agreement once you find a suitable pick. Popular options include executive offices, industrial facilities, and shared offices.
It depends on your commercial activity, but additional approvals may be required from different departments or authorities. Get those if required.
Gather all the required documents and submit them along with the fee. Make sure that the submission is in time, or it can cause delays or fines.
Once your application is approved, you will receive your trade license. Now, you can start your business operations in the market.
Start a commercial bank account to streamline the company’s financial processes and get the visas for shareholders and employees to start company operations.
On average, total costs range from AED 19,000 to AED 29,000. The exact cost varies based on specific business requirements like location and number of visas, and business activities.
Startups and companies often struggle with laws, financing office spaces, legal structures, and additional approvals. The best solution is to hire a consultancy like IBG Consultancy to conduct the processes for you efficiently.
Abu Dhabi Mainland is best known for its entrepreneurship opportunities. You can operate anywhere in the emirate and sign private as well as government contracts. That’s why global industries and brands thrive here.
An LLC requires 2–50 shareholders. It offers limited liability for their share in capital. Since June 2021, 100% foreign ownership is allowed without a local sponsor.
Perfect For: Foreign investors, startups, and small-to-medium enterprises.
A partnership company can be formed by two or more UAE nationals. They will be jointly liable based on their shares. This type is not available for foreign investors.
Perfect For: UAE nationals looking to jointly invest in local businesses.
A sole proprietorship is owned by a single individual. Foreign owners require a UAE national as a local service agent to start a new company, but GCC and UAE citizens are exempt.
Perfect For: Professionals offering services like consultancy or freelance.
Under this structure, the share capital is divided into tradable shares. Liability is limited to share capital. Founding members sign the memorandum and articles of association.
Perfect For: Large-scale projects, companies planning IPOs, or seeking big investments.
This structure allows UAE, GCC, and foreign companies to open branches in the Abu Dhabi Mainland. These branches are an extension of the parent company and don’t require a different identity.
Perfect For: Companies looking to expand their business in Abu Dhabi.
A business license is crucial to legally conducting business across the United Arab Emirates. It ensures compliance with regulations, and its type depends on the specific activities you intend to undertake.
Abu Dhabi offers access to local markets, opportunities for business owners to bid on government projects, and flexibility in business structure, making it ideal for a wide range of ventures.
Business establishment in Dubai often includes free zone options with specific benefits for international trade, while company setup in Abu Dhabi provides greater access to local markets and state-backed opportunities.
Business setup experts guide entrepreneurs through the complexities of setting up your business, including acquiring approvals from the emirate’s Department of Economic Development, choosing the right business entity, and managing legal documentation.
Certain sectors, like healthcare and manufacturing, require industry-specific permissions. This includes ensuring the business operations and legal structure comply with guidelines set by the Abu Dhabi Department of Economic Development.
Yes, foreign investors can fully own a company in the UAE, depending on the particular business sector. This is a significant benefit for those interested in companies in Abu Dhabi or Dubai.
Mainland company formation in Dubai or Abu Dhabi allows operations anywhere within the UAE, while free zone companies are restricted to specific locations. Mainland options are better for businesses aiming to serve local markets.
Approvals are needed from the emirate’s Department of Economic Development to ensure compliance. Some industries also require additional permissions from relevant government bodies.
Abu Dhabi offers a thriving business environment, affordable costs, and incentives for various sectors. These benefits, combined with a streamlined process for business incorporation, make it a prime location for enterprises.
The process includes choosing a business name, selecting a business structure, identifying your specific business operations, securing approvals, and leasing office space. The steps may vary based on the business operations and legal requirements.
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