The United Arab Emirates is a country that heavily supports entrepreneurs from all over the world to invest in lucrative businesses. Thus, it promotes the culture of setting up and growing a successful business globally. In fact, Abu Dhabi is among the most successful emirates in the UAE. The thriving economy, business-pro climate, and friendly policies make it one of the fastest-moving economic hubs in the world. Thus, potential investors and entrepreneurs can step for Abu Dhabi company registration and turn their business idea into a profitable reality.
Furthermore, the UAE government is providing endless business opportunities in order to invite more foreign investments into the country. Therefore, the investors can find a great business idea to capitalize on these opportunities and conduct seamless business operations globally.
Benefits of Abu Dhabi company registration
Multiple choices of business structure
Abu Dhabi offers different forms of business structures to the investors for the company registration process. Hence, the investor can choose one among them depending on their business needs and preferences.
Various free zones for incorporation
Apart from various choices of business structures, Abu Dhabi also offers several options of free zones to establish the business. Currently, there are eight free zones in Abu Dhabi from which the investor can choose as per the provided benefits and incentives.
Integrated legal system
Abu Dhabi has recently brought development in its legal system due to consecutive interventions by the government. This was because of the rising industries in the region, especially the UK and American Law firms. Therefore, the government of Abu Dhabi decided to respond positively by changing the law and making it an integrated system.
Developed tourism sector
As we all know, the United Arab Emirates has one of the largest revenues in the tourism sector. Abu Dhabi is one such area in the UAE that serves as a global hub for tourism as well as an international financial center for different companies to operate. Additionally, there are many tourist destinations in the Emirates that would attract more entrepreneurs to invest in Abu Dhabi and diversify their business.
When it comes to tax exceptions, UAE is the best choice of location. It does not impose any kind of tax, such as personal tax, withholding tax, corporate tax, etc. Similarly, Abu Dhabi in UAE offers an excellent tax-free location for companies to operate liberally. However, the oil and gas companies are exempted from this list.
Other benefits may include –
- Easy to obtain business licenses as well as local visas
- Freedom to run the company without the local partner’s intervention
- Affordable supply of energy resources
- Competitive freight charges
- Easy to rent premises as well as open a corporate bank account
- Competitive prices on real estate
Top successful business sectors in Abu Dhabi
- Real estate
- Restaurants and cafes
- Interior décor
- IT services
- Handyman and repair services
- Cleaning services
- Beauty salon and Spa
- Gift shop
- Storage facilities
- Hospitality sector
You may like it: How to start a business in Abu Dhabi?
Business structures eligible for Abu Dhabi company registration
Limited Liability Company (LLC)
An LLC is one of the leading forms of business entity in Abu Dhabi. It requires a minimum of two shareholders and a maximum of 50 shareholders for its formation. Also, the liability of each shareholder is limited to the number of shares they hold in the company.
Free Zone Company
Free zones offer the independence of foreign ownership of the company as well as hiring foreign employees in the company. There are around eight free zones in Abu Dhabi and each zone has separate laws and regulations. Hence, companies that register in free zones have to comply with the laws of that respective free zone.
A foreign company can set up a branch office in Abu Dhabi. However, for this task, the company might need the help of a local agent. The branch office performs activities that are undertaken by its parent company. In addition, it also involves activities related to the marketing of the products in the UAE.
Just like a branch, any foreign company can establish a representative office in Abu Dhabi, UAE. However, the sole purpose of this entity would be to conduct market research for the parent company. And hence, it employs in the relevant form of activities.
Sole ownership allows investors to establish a company in Abu Dhabi as a sole proprietor. However, they have to appoint a UAE national as a service agent allotting 51% of the total shares. Physicians, attorneys, and engineers from other countries often go for this organizational structure.
The major drawback of a partnership firm is that it cannot be formed by foreign investors. Only UAE nationals are allowed to form a partnership company in Abu Dhabi.
A Public Shareholding Company, also known as Joint Stock Firm, is ideal for large corporations that require a significant outflow of funds or private or public capital raising. It can be formed by at least 10 shareholders of which 51% will be owned by a UAE national.
A joint venture is basically a business collaboration between a foreign party and a licensed regional party, that forms a contractual deal to participate together in the desired business activity. They are usually formed as LLCs in the UAE.
Types of licenses available in Abu Dhabi
There are basically six types of business licenses available for company formation in Abu Dhabi. These are –
- Industrial license
- Commercial license
- Professional license
- Agricultural license
- Tourism license
- Occupational/Craft license
Eligibility criteria for Abu Dhabi company registration
An applicant planning to start business in Abu Dhabi has to fulfill the below eligibility criteria.
- Suit the minimum capital requirement
- Serve the requirements for beneficial ownership
- Find a suitable agency to handle the company formation formalities
Procedure for Abu Dhabi company registration
- Select a business activity
- Determine the legal structure of the company
- Register the trade name
- Get initial approval for trade name and business activity
- Make an application for a business license
- Submit the relevant documents
- Obtain approvals from the relevant authorities and departments
- Obtain the license
- Apply for required visas and labor card
- Open a corporate bank account
Documents required to start business in Abu Dhabi
- Shareholders agreement
- Memorandum of Association
- Articles of Association
- Board resolution(for branch company)
- Credentials of the appointed manager
- Proof of share capital
- Trade name approval certificate
- Rental agreement of the office premises
- Other relevant documents duly notarised and attested
Setting up a company in Abu Dhabi can indeed be rewarding for investors seeking perpetual growth and development for their businesses. Abu Dhabi’s state-of-the-art infrastructure, supportive workforce, growth-focused environment, and business-friendly laws make it one of the best places to live and work. Besides, it takes a short period of time and minimum steps to establish a company in Abu Dhabi.
So, are you still looking for Abu Dhabi company registration? Come to Shuraa!
Shuraa Business Setup offers you the best support as well as the right advice to get you started with your business formation procedures. For the last two decades, we have been helping businesses and organizations in setting up a company in the UAE through business registration, incorporation, and legal advisory services. While our experts manage the documentation and other paperwork, you can invest your time in the core of your business and establishing your goals. So, reach out to us for company setup services in Abu Dhabi or any other Emirates at +971 44081900. We are also available through email at [email protected]