Abu Dhabi Airport Free Zone (ADAFZ) is a bustling economic hub located in the center of Abu Dhabi, the UAE’s capital city. As one of the region’s fastest-growing economic zones, ADAFZ provides several perks and incentives to entrepreneurs and businesses wishing to develop their operations in the Middle East. In this post, we will look at why starting a business in ADAFZ is a smart decision, how to establish a company in the free zone, what papers are necessary, the unique requirements for starting a business, the target industries, and the types of licenses available.
Why open a business in Abu Dhabi Airport Free Zone?
Some of the compelling reasons to open a business in Abu Dhabi Airport Free Zone are mentioned below:
- Adjacent to Abu Dhabi International Airport
- Access to 4.5 billion consumers within a 4-hour flight radius
- Ideal for import-export, logistics, and distribution
Comprehensive business support:
- State-of-the-art infrastructure
- Contemporary workspaces and amenities
- Favorable regulatory environment
- Streamlined company setup process
- Tax exemptions
- 100% foreign ownership
- Repatriation of capital and profits
- Access to talent through partnerships with academic institutions and training centers
- Diverse and highly skilled workforce
How to register a company in Abu Dhabi Airport Free Zone?
The steps to register a company in Abu Dhabi Airport Free Zone are:
- Choose a legal entity: Determine the type of legal entity you want to establish, whether it’s a Free Zone Limited Liability Company (FZ-LLC), Branch Office, or a Free Zone Establishment (FZE).
- Select a trade name: Select a distinctive commercial name for your business that complies with ADAFZ regulations. The trade name shouldn’t be confusing with any already-existing company names; rather, it should represent the essence of your enterprise.
- Submit an application: Complete the application and send it in with the necessary supporting documentation to ADAFZ. The application form is available through their office or on the ADAFZ portal.
- Obtain initial approval: Upon receiving your application, ADAFZ will review it and issue an initial approval if all the requirements are met. This approval permits you to proceed with the following stages of the company registration procedure.
- Lease office space: Obtain office space in ADAFZ to serve as the registered address for your business. A variety of office choices are available from ADAFZ to meet various business demands.
- Finalize registration: Once you have obtained the initial approval and leased office space, you can proceed with finalizing the company registration process. This involves signing the necessary legal documents and paying the registration fees.
- Obtain the license: After completing the registration process, you will receive your business license from ADAFZ. You are able to lawfully run your business inside the free zone with this license.
Documents expected to start a business in Abu Dhabi Airport Free Zone
The documents expected to start a business in Abu Dhabi Airport Free Zone are listed below:
- Application form: A filled-out application form provided by ADAFZ.
- Passport copies: Passport copies belonging to the directors, shareholders, and signatories with authorization.
- Proof of address: A valid proof of address for each stockholder, director, as well as authorized signatory.
- Business plan: A detailed business plan including the goals, target market, and projected financials of your organization.
- Company profile: A comprehensive profile of your company, including its history, products or services, and any relevant industry experience.
- Memorandum of Association (MOA): If you are establishing a Free Zone Limited Liability Company (FZ-LLC), you will need to submit a MOA.
- Board resolution: The organization’s representatives are authorized to establish a presence in ADAFZ by a board resolution.
- Bank reference letter: A bank reference letter confirming the financial standing of the company and its shareholders.
- No-objection certificate: If one of the shareholders or directors is employed by another company, a no-objection certificate from their employer is required.
Requirements to set up a business in Abu Dhabi Airport Free Zone
The requirements to set up a business in Abu Dhabi Airport Free Zone are:
- Minimum share capital: The minimum share capital required varies based on the legal entity type that you select. For a Free Zone Limited Liability Company (FZ-LLC), the minimum share capital is AED 300,000.
- Physical office space: Businesses operating in the free zone must have a real office location, under ADAFZ regulations. The type and scope of your company’s operations will determine the size of the office space.
- Employment visas: As a business owner in ADAFZ, you are required to sponsor your employees for employment visas. Depending on the size of your office space, you can apply for a certain number of visas.
- Annual audit: Annual audited financial statements must be submitted by ADAFZ companies in order to guarantee regulatory compliance.
- Renewal of licenses: Business licenses in ADAFZ need to be renewed annually, and failure to do so may result in penalties or cancellation of the license.
Target Sectors in Abu Dhabi Airport Free Zone
The Abu Dhabi Airport Free Zone serves a variety of businesses and companies.
Some of the key target sectors in ADAFZ include:
- Aviation: ADAFZ is an ideal location for companies involved in aviation-related activities, such as aircraft maintenance, repair, and overhaul (MRO) services, aerospace manufacturing, and logistics.
- Technology: The free zone provides an ecosystem for technology companies, including software development, IT services, telecommunications, and digital media.
- Logistics: ADAFZ offers excellent connectivity to global markets, making it a preferred destination for logistics companies involved in freight forwarding, warehousing, and distribution.
- Pharmaceuticals and healthcare: The free zone provides a platform for pharmaceutical companies, medical equipment manufacturers, and healthcare service providers.
- Consultancy and professional services: ADAFZ’s conducive business environment draws in consulting firms, law firms, accounting firms, and other professional service providers.
Types of License in Abu Dhabi Airport Free Zone
The different types of license in Abu Dhabi Airport Free Zone are mentioned below:
- Trade license: This license allows companies to engage in trading activities, including import-export, wholesale, and retail.
- Industrial license: An industrial license is needed for companies involved in the manufacturing, production, or assembly of goods.
- Service license: Businesses that provide professional services, like consulting, legal services, or healthcare, should consider obtaining a service license.
- e-Commerce license: This license is only intended for companies who conduct e-commerce or online retail.
- Freelancer license: In addition, ADAFZ provides a freelancer license to anyone who wants to operate independently within the free zone.
Setting up a business in the Abu Dhabi Airport Free Zone (ADAFZ) provides various benefits, including strategic location, business support services, financial incentives, and access to a trained workforce. Entrepreneurs may establish their firms in this booming free zone by going through the registration procedure and meeting all of the conditions. ADAFZ, with its target sectors and many types of licenses available, provides a favorable environment for businesses in a variety of industries. In case you’re considering expanding your firm to the Middle East, ADAFZ is definitely worth looking into.
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This can easily be checked by seeing if the NIP or REGON are associated with the company in question. In the case of a sole proprietorship, they don’t own a KRS number so the NIP or REGON needs to be checked.
Share capital amount around PLN 50,000 is necessary to form a company, and it is also crucial to have NIP or REGON also including the register of VAT payment.
CEIDG is a business book of entries with info on self-employed entrepreneurs. Any sole trader must register in CEIDG.