Abu Dhabi: A Global Business Hub
Have you ever thought about forming your own company in Abu Dhabi? With full foreign ownership now possible throughout the UAE, there has never been a better time to start and run your business. But, thanks to Full-ownership, no sponsorship requirements, and relaxed tax incentives, many investors and entrepreneurs are traveling to the region to conduct business.
In recent years, the UAE government has made huge strides in fostering a well-developed business sector. As a result of years of intense planning, Abu Dhabi and the UAE have become one of the largest trading hubs in the world. Let’s take a deeper look at the business setup in Abu Dhabi and how it can benefit you!
Abu Dhabi Seeks to Draw in New Foreign Direct Investment
Thanks to years of development, Abu Dhabi’s economy is slated to expand by nearly 8% in the coming years. It’s bolstered by foreign direct investments, the oil sector, and government spending, among others.
In addition to a wide amount of infrastructural work, Abu Dhabi has drastically increased the amount of possible commercial activities, giving private and public sectors plenty of opportunities to take advantage of such a rich climate.
What’s New for Investors?
There has never been a better time for budding entrepreneurs and investors hoping to take advantage of the many business prospects Abu Dhabi offers. In the past, businesses forming in the region were forced to appoint local sponsorship that held 51% interest in the company. However, this is no longer a requirement, and investors are allowed complete business ownership.
Abu Dhabi also offers a wide range of business activities for various entrepreneurs to take advantage of. This includes over 1,000 fully registered commercial and industrial activities. Other business markets include:
1. Event Management
Whether it’s planning conferences, summits, or concerts, event management is a massive industry. Entrepreneurs here have a wide array of potential business avenues available to them.
2. Supermarket Chains
There will always be a strong need for grocers and supermarkets. Investing in these business activities is a great way to enjoy constant steady growth.
3. IT Related Services
In the digital age, there has never been a bigger need for Information Technology services. Keeping computers, networks, and phone systems working properly is a full-time job, and forming a business in this industry can be lucrative.
4. E-Commerce Sites
People are selling their services and wares on the internet like never before. Abu Dhabi is quickly developing business-positive regulations that ensure the ease of operating an E-commerce business.
Managing finances and keeping books will always be an essential facet of the business. That’s why this business activity has so much potential!
6. Social Media Influencing
In addition to promoting E-Commerce businesses, social media marketing is an entirely different animal. Here, influencers can direct and focus marketing plans into a lucrative business strategy.
Construction is another business activity that will always be in high demand. As Abu Dhabi grows and evolves, the city will need plenty of contractors, architects, and engineers to meet the demand.
Recent Regulatory Changes
In recent years, Abu Dhabi has made considerable strides in streamlining its business laws and regulations. And a significant part of that has been opening the business to full foreign ownership. Where once existed regulations that hampered the ease of conducting trade, new rules handed down by the Department of Economic Development (DED) have vastly increased foreign direct investment by opening these business avenues up to investors without the red tape. Additionally, they’re aimed at:
• Developing a fertile environment for companies to conduct business
• Increasing the strength of the UAE economy by allowing foreign ownership
• Enhancing the competitiveness of the marketplace by introducing talented investors with a keen eye for business
• Attracting additional investors from around the globe to form their business in the UAE
• Meeting the needs of a growing business community
• Streamlining the ease of conducting everyday business
• Emboldening foreign investors to make the jump by offering complete operational control over their business
Who is Eligible for Complete Foreign Ownership?
Throughout the UAE, 100% foreign ownership varies from one Emirate to another. Dubai and Abu Dhabi have made recent strides to update and reform their regulations to allow full foreign ownership. Other jurisdictions have their own rules regarding local sponsorship requirements, but the overwhelming majority have passed legislation in favor of a free market.
Understanding all the nuances of conducting business in the Emirates can be challenging, especially for foreign investors unfamiliar with the territory. For this reason, many entrepreneurs choose third-party consultant experts like MSZ Consultancy to help navigate these complicated regulations.
Steps to Form a Business in Abu Dhabi
Starting any business can be a daunting process. This can be especially difficult if you’re a foreign investor unfamiliar with conducting business in the UAE. However, if you take the time to perform the necessary due diligence, you can maximize the potential for success. Here’s what you’ll need to do:
1. Develop a Business Plan
Every new business requires a well-thought-out business plan. Spend the necessary time researching your product, market trends, and your competitors to develop a clear grasp of how to build your business.
2. Submit Trade Name
Your business will require a name! You’ll need to submit a trade name request to the relevant authority, ensuring that it has not previously been used and does not contain profanity.
3. Submit Business License Application
You’ll want to carefully gather all the required documents and submit your application to the DED.
4. Pay Required Fees and Receive License
After you’ve submitted your application and paid the necessary fees, all that remains is to receive your license. Once this process is complete, you’ll be free to conduct business!
MSZ Consultancy Can Help You Maximize Your Business Potential
Whether you’re interested in Company formation in Abu Dhabi or registering for visas for employees and shareholders, MSZ has the expertise needed to help you navigate the foreign business. With years of experience assisting business owners in managing their day-to-day tasks, our consultants can maximize your business’s potential.
We handle everything from local sponsorship programs to offering PRO services. It doesn’t matter whether you’re a single investor or part of an established business that’s opening a new branch; MSZ is your number one choice.
So, if you’ve been thinking of forming your new company but don’t want to handle all the paperwork and day-to-day tasks, give us a call today at +971 52 544 1248! Our experts are waiting to help you manage the smaller duties, so you’re free to take on the big ones!