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Abu Dhabi Company Incorporation

Abu Dhabi Company Incorporation

This article provides an overview of how to incorporate a company in Abu Dhabi in 2025, covering both the mainland setup and the Abu Dhabi Global Market (ADGM) jurisdiction.

It also highlights our law firm’s legal services specifically for Abu Dhabi company incorporation to ensure clients receive expert guidance throughout the process.

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Abu Dhabi Company Incorporation Steps

There are two main Business Setup Options in Abu Dhabi.

The first is the Abu Dhabi mainland, governed by the Department of Economic Development (DED), and the second is the Abu Dhabi Global Market (ADGM), a leading international financial center.

Each jurisdiction caters to different types of businesses, offering distinct processes and benefits.

Mainland Company Formation Abu Dhabi

Incorporating a company in the Abu Dhabi mainland involves registering with the Department of Economic Development (DED).

This process is designed to be efficient, whether online through platforms like Basher or in person at various government service centers.

The steps to incorporate in the Abu Dhabi mainland are the following:

Identify Business Activity

Choose from over 2,000 licensed economic activities categorized into commercial, professional, industrial, agricultural, tourism, and occupational licenses.

Determine the Legal Structure

Available legal structures include a Limited Liability Company (LLC), a Sole Establishment, a Civil Company, a Public or Private Joint Stock Company, and more.

The structure determines the legal obligations and ownership model.

Register the Trade Name

A unique trade name registration must be done and be compliant with DED guidelines.

It must include the company’s legal structure (e.g., LLC), avoid prohibited or misleading terms, and be approved by both the DED and the Ministry of Economy.

Obtain Initial Approval and Draft MOA or LSA

This ‘no objection’ certificate from the UAE government allows investors to proceed but does not yet grant permission to operate.

Then, depending on the chosen legal form, a Memorandum of Association (MOA) or Local Service Agent Agreement (LSA) is required.

Secure a Business Location

The company must lease a physical office in line with zoning and municipal regulations. In Abu Dhabi, tenancy must meet DED and municipal guidelines.

Gain Additional Approvals and Submit Final Documents

Certain business activities require clearances from other government bodies (e.g., Ministry of Economy, Ministry of Justice, health or transport departments).

These include initial approvals, lease agreements, MOA/LSA, and any additional licenses or approvals.

Collect License and Register with Chamber of Commerce

DED issues the final license after payment of the fee.

Once licensed, companies must register with the Abu Dhabi Chamber of Commerce and Industry.

Company Incorporation in ADGM

ADGM is an international free zone offering a distinct regulatory framework based on English common law, suitable for financial institutions, fintech startups, professional service firms, and SPVs.

The steps to Abu Dhabi company incorporation in ADGM are the following:

Choose Business Activity and Select Legal Structure

Activities include financial services, tech startups, asset management, holding companies, retail, and more. Financial companies must complete a prior In-Principle Approval process.

ADGM supports various structures, including private and public companies, foundations, SPVs, and branches.

Verify and Reserve Company Name and Office Space

The proposed name must follow ADGM naming rules. Sensitive terms require justification or prior approval. Name reservation is optional but available.

Entities must lease physical office space in ADGM, typically on Al Maryah or Al Reem Island. SPVs may be exempt under certain conditions.

Prepare Incorporation and Source of Wealth Documents

Required documents include Articles of Association, board resolutions, identity documents for directors and shareholders, proof of address, and, if applicable, a Hub71 approval letter for tech startups.

Shareholders with more than 25% ownership must disclose and document their source of funds.

Submit Application via Online Registry

Complete the online form, including data on shareholders, directors, addresses, share capital, and beneficial owners. Once approved, the commercial license is issued.

Abu Dhabi Company Formation Legal Services

Our law firm in UAE offers specialized legal support for both mainland and ADGM company incorporations in Abu Dhabi.

Our services are designed to help investors navigate the legal landscape efficiently, ensuring full regulatory compliance from setup to post-incorporation.

Legal Services for Abu Dhabi Mainland Incorporation

Below are the key services we offer for Abu Dhabi company incorporation in the mainland:

  • Legal Structuring & Entity Selection Advice
    We assess your business model and advise on the optimal legal structure under UAE laws.
  • Drafting & Reviewing MOA/LSA
    Our lawyers prepare and review Memorandums of Association and Local Service Agent Agreements, ensuring enforceability and legal accuracy.
  • Trade Name Compliance Review
    We assist with trade name checks and ensure alignment with legal requirements before registration.
  • Regulatory Clearance Assistance
    We liaise on your behalf to secure permits for activities needing approvals from ministries or local authorities.
  • Legal Representation & Power of Attorney Services
    We act as legal representatives or assist in drafting POAs for investors who cannot be physically present.

Legal Services for ADGM Incorporation

Below is a list of services we offer to support your incorporation process:

  • Business Activity Classification and Licensing Advice
    We identify the correct business category and guide you through the ADGM licensing and authorization process.
  • Drafting ADGM-Compliant Articles & Resolutions
    We provide tailored Articles of Association and corporate resolutions aligned with ADGM Companies Regulations.
  • Due Diligence and Source of Wealth Documentation
    We assist in preparing and verifying documents required for compliance with ADGM’s due diligence standards.
  • Legal Risk Assessment and Structuring for SPVs and Foundations
    Our legal team evaluates and structures SPVs and Foundations within ADGM, including determining CSP exemption eligibility.
  • Application Management and Regulatory Liaison
    We manage the submission of your online incorporation application, ensuring completeness and accuracy.

Find more services from the best Law firms in Abu Dhabi.

FAQs about Establishing Businesses in Abu Dhabi

To incorporate a company in Abu Dhabi, you need to follow the relevant steps based on the chosen jurisdiction—either through the Abu Dhabi Department of Economic Development for mainland businesses or through the ADGM for free zone setups, including selecting your activity, legal structure, registering a name, submitting documents, and securing approvals.
A foreigner can start a business in Abu Dhabi either by establishing a company in the mainland with or without a local service agent depending on the legal structure, or by incorporating in a free zone like ADGM, which allows 100% foreign ownership.
Company formation in Abu Dhabi refers to the legal process of establishing a business within the emirate, which involves selecting a business activity, choosing a legal structure, registering the company name, obtaining necessary approvals, and fulfilling all regulatory requirements set by the Department of Economic Development or other relevant authorities.

Abu Dhabi company incorporation offers immense opportunities, whether you choose the flexible, investor-friendly mainland route or the internationally recognized ADGM jurisdiction.

While the process is streamlined, legal oversight remains essential to ensure full compliance and avoid delays.

Our law firm is fully equipped to support investors through every stage of incorporation, offering dedicated legal expertise tailored to Abu Dhabi’s regulatory environment.

Learn about the Best Abu Dhabi Corporate Lawyers in UAE.

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