Located in the heart of Abu Dhabi, Masdar Free Zone is a leading hub for innovation, sustainability, and business excellence. As part of Masdar City, a global pioneer in clean energy and sustainable urban development, the free zone attracts forward-thinking entrepreneurs and businesses of all sizes, offering a unique environment that blends cutting-edge infrastructure with a strong commitment to environmental stewardship.
In this guide, we’ll walk you through the step-by-step process of establishing your business in Masdar Free Zone, ensuring a smooth and efficient start. Along the way, we’ll also explore the key benefits that make this free zone an essential gateway to Abu Dhabi’s economy and examine the various legal structures to help you choose the best fit for your business needs.
So, let’s start with a detailed step-by-step guide to getting your business set up.
Business setup in Masdar Free Zone: step-by-step
While the process is streamlined, it’s always advisable to consult an expert to ensure a smooth setup procedure for your business. As one of the leading UAE company setup specialists, Creative Zone offers everything you need to start your business in Masdar City Free Zone today.
Let’s look at how you can establish your business in the Masdar City Free Zone.
- Step 1: Submit initial information: Start by accessing the e-services portal to provide preliminary details about your business. You also need to propose a company name and make an initial payment of AED 2,000 to reserve it. Once submitted, your application will be reviewed, and the company name reserved by the Abu Dhabi Department of Economic Development. You’ll receive an email notification with the next steps once the name is approved.
- Step 2: Submit detailed documentation: Log in to the e-services platform again to provide the required detailed information and upload your documents. Once your submission is approved, you will be issued your legal documents, including the Resolution, Articles of Association, and Memorandum of Association. During this stage, advisors will also assist you with available lease options for office space.
- Step 3: Finalise and obtain your license: Sign the legal documents and complete the lease agreement and related payments at Masdar City Free Zone’s One-Stop-Shop or via courier service. Once this is done, your business license and Certificate of Registration/Incorporation will be issued. You can access these documents through the e-services platform, officially marking the start of your operations in the Masdar City Free Zone.
Benefits of setting up in Masdar Free Zone
Masdar City Free Zone offers a range of unparalleled benefits, making it an attractive choice for businesses across a number of different industries. With a thriving ecosystem and incentives designed to support growth and innovation, here are some key advantages:
1. Business-friendly ownership and tax benefits
- 100% foreign ownership: Retain full control of your business without the need for a local partner.
- Corporate tax exemption: Benefit from exemptions on corporate tax for qualifying free zone persons engaged in specified activities under the UAE CT Law.
- Personal tax exemption: Enjoy a 100% exemption on personal income tax, ensuring a favourable financial environment.
2. Financial and operational advantages
- 0% Import tariffs: Import goods without additional costs, supporting cost-efficient operations.
- Freedom to repatriate capital and profits: Transfer your earnings abroad with no restrictions.
- Reduced tax footprint: Optimise your overall tax liability with a business-friendly structure.
3. Streamlined set-up process
- Quick and easy registration: Simplified procedures through the One-Stop-Shop service allow for a seamless and efficient company formation process.
4. Strategic business opportunities
- Access to a thriving business community: Join over 1,000 companies operating in key sectors such as renewable energy, technology, and sustainability.
- Critical mass of knowledge and talent: Leverage a dynamic ecosystem filled with skilled professionals and cutting-edge expertise.
- Professional R&D partnerships: Benefit from collaborations with top-tier research and development organisations.
- Dual licensing options: Access both free zone and onshore markets to maximise growth opportunities.
- Launch point for regional and global markets: Use Masdar City as a strategic hub to expand into the Middle East and other international markets.
5. Cost-effective business solutions
- Affordable office space: Access high-quality, cost-effective office options tailored to your business needs.
By setting up in Masdar City Free Zone, businesses gain access to a vibrant, innovative environment designed to support growth, sustainability, and global outreach.
Legal structures available at Masdar Free Zone
The Masdar City Free Zone provides businesses with a variety of legal structures to suit their specific needs and operational goals. These include:
- Free Zone Limited Liability Company (LLC): This structure is an independent legal entity that allows for ownership by a combination of individual and corporate shareholders. A Free Zone LLC is ideal for businesses seeking flexibility in ownership as it enables foreign investors to retain 100% control. It is well-suited for companies looking to establish a presence in a globally renowned sustainable development hub with access to incentives such as tax exemptions and streamlined processes for business operations.
- Branch of a foreign or offshore company: A branch of a foreign or offshore company enables organisations already established outside the UAE to expand their operations into the Masdar City Free Zone without creating a new legal entity. This structure allows the branch to operate under the name and legal framework of the parent company while benefiting from the free zone’s advantages, such as simplified company registration and access to Masdar’s sustainable infrastructure.
- Branch of a UAE-based company: For companies already operating within the UAE, establishing a branch in the Masdar City Free Zone offers an opportunity to expand into one of the region’s most innovative and eco-conscious business hubs. This option provides the benefits of free zone incentives while allowing businesses to remain legally connected to their existing UAE operations.
These legal structures cater to diverse business needs, from startups and SMEs to multinational corporations, providing a pathway to operate efficiently in an ecosystem designed to foster sustainability and innovation. To understand which setup works best for you, contact Creative Zone.
About Creative Zone
Creative Zone, one of the UAE’s leading and most trusted company formation specialists, brings unparalleled expertise in helping you establish a company in the Masdar Free Zone. With over a decade of experience and more than 12,000 successful registrations, Creative Zone’s skilled team is well-versed in the unique requirements and regulations of Masdar Free Zone, ensuring a streamlined setup process with swift turnaround times. Our tailored services provide support at every stage, making it effortless for businesses to establish and operate their companies within Masdar Free Zone. Contact us today.
