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How to Start a Business in Abu Dhabi?

Abu Dhabi is the largest emirate in the Middle East. There is constant competition among the above cities; therefore, there are immense opportunities for the business to set up itself. Several companies prefer to go for the procedure of business setup in Abu Dhabi. It is because of the tax benefits a business can secure. Several overseas business people will go through the procedure of registering a company in Abu Dhabi because of the variety of advantages related to investment and structuring. So, if you are also interested in forming a business in Abu Dhabi, and want to know the process, then you just need to consult with the Start Any Business UAE consultants who will surely assist you regarding the same.

When a venture is established in Abu Dhabi, it can’t be 100% overseas owned. A citizen of Abu Dhabi needs to be appointed to hold 51% stakes in a company. The citizen can be a local citizen of the UAE who resides in the United Arab Emirates. There are various kinds of free zones in the UAE that permit business people to consider a wide variety of opportunities. Companies in all sectors can be entirely owned by the overseas unit. Although, when it comes to a particular amount of stakeholding, an Abu Dhabi citizen needs to be appointed to carry out business activities.

The Steps for Business Setup in Abu Dhabi 

  • First of all, the applicant should select the relevant kind of business framework. Since LLC is the most commonly used business framework in Abu Dhabi.
  • In the next phase, the company will need to take all the stages in locating a local sponsor. The local sponsor needs to control a stake of around 51% in the company. The 49% stake will be held by the company which is formed in Abu Dhabi.
  • The applicant will need to select a respective trade name for your venture. At least three trade names will be selected for this purpose. The application for the trade name should be presented to the DED. You can take the assistance of the business setup consultants in Dubai who will suggest you an appropriate trade name for your company.
  • Along with this, the applicant has to give the details of initial business activities carried by the applicant as needed by the requisite official. After the above is done, you will get a business name to start the activities.
  • Once the name is secured, the applicant must give the Article of Association and other relevant documents that are notarized. It should be submitted to the respective Abu Dhabi Municipality.
  • In the next phase, you will need to open a bank account for corporate use in Abu Dhabi and submit the required starting capital for company setup in Abu Dhabi.
  • All the documents for the trade license should be presented to the DED with the document. If an overseas company presents these papers, then they will need to be translated into Arabic. After that, they must be certified by the Ministry of Justice.
  • When you get the approval of your license, then your company can be registered with the Chamber of Commerce of Abu Dhabi.

Benefits of Business Setup in Abu Dhabi 

The following are the advantages of business setup in Abu Dhabi –

  • Different Types of Business Structures 

There are various forms of business frameworks that can be used for the company registration procedure in Abu Dhabi. Therefore, an overseas investor has various choices to select from for the procedure of company registration.

  • Free Zones 

There are over 8 free zones to do business in Abi Dhabi. Therefore, a business person can select one of the free zones for operating a business venture in Abu Dhabi. A separate free zone venture can be also set up in Abu Dhabi.

  • Unified Legal System 

The Abu Dhabi legal system has changed because of constant government intervention. Apart from this, there are other aspects also which help in the growth of the legal system. It will be an increase of American and UK law firms that doing business in this emirate. The Abu Dhabi government has positively responded to such companies and altered the law to make it a unified system.

  • Development of Tourism Sector 

Abu Dhabi has the largest revenue from tourism across the Middle East. Abu Dhabi act as a worldwide center for various corporate operations and an international financial hub. There are several places that allure tourism here.

  • Tax Benefits 

Abu Dhabi is an outstanding place for companies to decrease their taxation globally, as the UAE doesn’t apply any kind of tax. This tax would comprise the global tax, withholding tax, corporate tax, personal tax, and any kind of VAT. The companies that are needed to pay tax in Abu Dhabi will be oil and gas companies. Abu Dhabi has many double taxation contracts with other nations.

Documents Required for Business Setup in Abu Dhabi 

  • Manager’s appointment
  • Stakeholders’ agreement
  • Memorandum of Association
  • Article of Association
  • Notarized documents
  • Copy of board resolution
  • Deposit slip
  • Certificate of name approval
  • The lease agreement of the premises

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Michael Cainehttps://amirarticles.com
Michael Caine is the Owner of Amir Articles and also the founder of ANO Digital (Most Powerful Online Content Creator Company), from the USA, studied MBA in 2012, love to play games and write content in different categories.

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