Business Setup in Abu Dhabi

Setting up a company in abu dhabi

setup a business in abu dhabi
setup a business in abu dhabi

Abu Dhabi is the capital of United Arab Emirates; a country that is rich in all the areas. The backbone of this country’s economy is their reserve of natural resources and export services.

Abu Dhabi has evolved as one of the most successful places for new business set up in the past few years. This beautiful place offers easy access to cash rich economies. With brilliant environment, exceptional living condition, and free lifestyle Abu Dhabi has become one of the most sought after location for new business setup.

business setup in abu dhabi
business setup in abu dhabi

As DED (Department of Economic Development) mention on their website

Six steps for Business Setup in Abu Dhabi:

1. Determining the Economic Activity:

In order to start the procedures for issuing a business license, the type of activity/activities to be practiced must be specified. Requirements, conditions and fees differ according to the type and nature of activity, provided that some activities have special conditions and specifications related to the location (place and area), which means that they can only be practiced in some locations with special conditions.

2. Determining the Legal Form:

There is a range of legal forms that commensurate with the needs of business activities in Abu Dhabi (such as an establishment, a limited liability company … etc), where laws, requirements and conditions of the legal forms differ according to the nature of the business.

3. Registration of Trade Name:

After determining the activity and legal form, a trade name must be chosen for the facility to distinguish it from other facilities, and it must appropriately suit the nature of the activity and its legal form.

Related Articles:  Start a Business in Abu Dhabi

4. Issuance of an Initial Approval:

The Initial approval is a certificate which entitles the investor to proceed ahead with procedures for obtaining the business license, and apply for obtaining required approvals of relevant authorities to practice economic activities.
The Initial approval is the stage, which precedes issuance of the business license, and it starts after approval of trade names. The initial approval does not allow the concerned person to practice the activity, unless a commercial license is issued.

The Documents required to issue the initial approval

  • Obtaining the approved trade name.
  • Obtaining the approval of the Department of Naturalization and Residence for foreign investors.
  • Copies of valid passports.
  • Copies of valid Emirates ID.
  • Payment of prescribed fees
  • Collecting the Initial approval certificate.

5. Obtaining Approvals of Concerned Authorities:

Upon obtaining the Initial approval, you will be entitled to approach concerned authorities to get required approvals after fulfillment of terms and conditions. The issuing entity is determined depending on the type of activity to be practiced. Some governmental entities offer electronic services that allow you to follow up the application online. You can follow up your application online with the following entities:

  • Supreme Petroleum Council
  • Department of Transport
  • Abu Dhabi Municipality – Public Health Division – Al Ain
  • General Authority of Youth & Sports Welfare
  • Abu Dhabi Municipality – Public Health Division – Western Region
  • Abu Dhabi Municipality – Public Health Division – Abu Dhabi
  • Abu Dhabi Chamber
  • Abu Dhabi Sewerage Service Company
  • Waste Management Center
  • General Directorate of Civil Defense
  • Abu Dhabi Environment Health and Safety Center
  • Abu Dhabi Center for Technical and Vocational Education and Training
  • Ministry of Foreign Affairs

6. Issuance of Commercial License

The conditions and requirements of the issuance of commercial licenses depend on the legal form of the facility.

business setup abu dhabi
business setup abu dhabi

Why business people choose Abu Dhabi for business setup

In the past few years, business setup in Abu Dhabi has shown a steep growth. The success rate is good in almost all the sectors. As the main reason behind this is

  • You get business space for nominal rent
  • Labor is cheap
  • Around fifty international commercial taxes can be covered, by just entering a single tax treaty
  • Business taxation cost is low
  • In Abu Dhabi capital gain tax, VAT, personal taxes, company tax, withholding tax, import/export tax are bare minimum for business setup. This is one of the main reasons why businessmen prefer this emirate.
  • Business setup in Abu Dhabi is considered also is considered a safe option from a financial point of view. This is mainly because the banks here show a constant inflow of cash capitals.
  • There is no chance for any ambiguity.
  • Abu Dhabi, being the world class economic zone has every chance of becoming the second biggest economical and industrial capital of Middle East. A business setup in Abu Dhabi is surely having a great future. Commercial profits are tax relaxed.

Tips for successful business setup Abu Dhabi

  • By choosing the right partner, a business setup can make sure that the maximum profit of the company remains with the owner, which is supported by unanimous agreement.
  • To set up a business in Abu Dhabi, a proper license is needed. With us by your side this process will also be very easy for you. Most of the foreign companies who plan for business setup in Abu Dhabi opt for limited liability company license.


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