Benefits of Abu Dhabi Free Zones
Setting up a business in an Abu Dhabi free zone offers several compelling advantages and incentives, making it an attractive option for both local and international companies. Here are some key reasons why businesses choose to set up in an Abu Dhabi free zone
One of the most significant benefits of free zones in Abu Dhabi is that they allow 100% foreign ownership of businesses. This means that international investors can have full control and ownership of their companies without the need for a local partner or sponsor.
Companies operating in Abu Dhabi free zones typically enjoy tax and customs advantages, including exemption from corporate income tax and personal income tax for employees, exemptions on customs duties or taxes which streamlines international trade by allowing businesses to import, export, and re-export goods which can lead to significant cost savings for businesses as it reduces logistical costs.
The Abu Dhabi free zones have specific industry focuses, catering to various sectors such as technology, media, finance, logistics, and manufacturing. This allows businesses to benefit from being in a specialized ecosystem with like-minded companies.
Abu Dhabi offers a stable political and economic environment, along with supportive government policies that encourage foreign investment and business growth. In recent years, Abu Dhabi has launched business incubators that support startups and entrepreneurs in their early stages of development. Business incubators provide a nurturing environment and various resources to help startups grow and succeed. These resources often include mentorship, networking opportunities, access to funding, office space, and business support services.
Many of the Abu Dhabi free zones are home to these incubator initiatives
- Hub71 - a tech ecosystem based in Abu Dhabi that aims to foster the growth of startups in the technology and digital sectors.
- The Innovation Centre at Masdar City - offers a platform for startups and entrepreneurs focused on clean technology and sustainability.
- Khalifa Fund for Enterprise Development - provides support to small and medium-sized enterprises (SMEs) in Abu Dhabi through various programs, including business incubation services and funding opportunities.
- Twofour54 Start-up Hub
- ADGM's Regulatory Laboratory - The RegLab is for fintech startups, providing a controlled environment to test their innovative products and services.