Company Formation in Abu Dhabi Global Market
Abu Dhabi Global Market (ADGM), established in 2015, serves as a leading international financial center in Abu Dhabi, UAE. It provides a world-class platform for businesses and startups, supporting global and regional trade
Situated on Al Maryah Island, which connects Asia, Europe, and Africa, ADGM is more than just an apt hub for global commerce. This hub provides easy access to the rapidly expanding economy of Abu Dhabi, a pillar of the UAE's diversification vision. Company formation in Abu Dhabi Global Market (ADGM) benefits from UAE Free Zones and access to mainland markets, making it ideal for businesses looking to grow regionally or internationally.
Benefits of Company Formation in ADGM
- Tax Efficiency: No corporate or personal income tax for a period of up to 50 years with no restriction on repatriation of profits.
- Global Connectivity: Easy access to foreign markets and international investors.
- Strong Regulatory Framework-Independently: Governed by a Financial Services Regulatory Authority (FSRA).
- 100% Foreign Ownership: Investors will retain full ownership without needing a local sponsor.
- Innovative Ecosystem: Home to sectors like fintech, technology, asset management, and legal services.
- State-of-the-Art Infrastructure: Modern office spaces and digital-first solutions that support businesses of all scales.
The combination of innovation, flexibility, and global standards makes company formation in ADGM an internationally preferred choice for entrepreneurs and corporations seeking a gateway to the UAE.
Types of Companies in ADGM
The Abu Dhabi Global Market (ADGM) would offer various company structures to respond to the different needs that businesses entail, from small start-ups to more multinational firms. Among the important types of companies that can be formed in ADGM are:
1. Private Companies Limited by Shares
- This is the most popular business entity for entrepreneurs and SMEs.
- Full foreign ownership and liability protection to the shareholders.
- Suitable for companies, that scale up operations with the protection of individual assets involved.
- Flexible shareholding arrangements and corporate governance structures.
2. Foreign Companies Branch Offices
- Enables foreign companies to establish a presence in ADGM without the creation of a separate legal entity.
- Without requiring additional share capital, it functions as an extension of the parent firm.
- Ideal for expansion into the UAE, following an already-established brand name.
3. Limited Liability Partnerships (LLPs)
- For professional service firms, consulting agencies, and joint ventures.
- Gives members less liability while combining the benefits of a partnership.
- The management structure is flexible in how profits are shared.
- It's governed by ADGM LLP regulations, thus providing a robust legal framework.
4. Special Purpose Vehicles (SPVs)
- Unique asset management, financial transaction, and investment holding structure.
- Can avail of efficient securitization, risk management, and project financing solutions.
- Financial transactions can be structured flexibly within the framework of ADGM regulations compliance.
- Private equity firms, venture capitalists, and family offices like such structures.
Steps for Company Formation in Abu Dhabi Global Market (ADGM)
A company may be registered in the Abu Dhabi Global Market (ADGM) with a streamlined process that encourages business friendliness.
Step 1: Type of Company and Business Activity
- Identify the Company Structure: whether it shall be a Private Company Limited by Shares, a Branch Office, an LLP, or a Special Purpose Vehicle (SPV).
- Identify what business-related activities are aligned with your own goals and compliant with ADGM's regulations.
Step 2: Use the ADGM Portal to reserve a company name.
- Use the ADGM online portal to check the availability of your desired company name.
- Ensure the name adheres to ADGM’s naming guidelines, avoiding restricted or misleading terms.
- To ensure exclusivity throughout the setup process, book the name.
Step 3: Submit Incorporation Documents
Prepare and submit the following main documents:
- Memorandum and Articles of Association (MOA/AOA).
- Shareholder and director identification including passport copies and proof of address.
- Business plan including the address for the registered office.
- Pay the incorporation fees applicable to your case.
Documents Required for Company Formation in ADGM
A checklist of all the documents required to prepare and submit for compliance with legal and regulatory standards to establish a company in the Abu Dhabi Global Market (ADGM) is provided below:
Passport Copies of Shareholders and Directors
- A clear, valid passport copy of all shareholders and directors involved with the company.
- It helps verify the identity and eligibility of the shareholders and directors.
Address Verification of All Shareholders and Directors
- Utility bills, bank statements, or official government correspondence( dated within the last 3 months.)
- confirms the director's and shareholder's residential addresses.
Business Plan and Activity Description
A business plan which encompasses such aspects as:
- Nature of business and activities proposed for operation
- Target market and industry/sector focus.
- Projected financial performance and growth strategy
- To outline the ADGM's planned scope of activity.
Memorandum and Articles of Association (MOA/AOA)
- The MOA describes the objectives and scope of activities of the company.
- The AOA outlines the inward government of the company, including the role of directors, the decision-making process, and the rights of the shareholders.
- These documents provide the legal skeleton of the company's operations.
Preparing these documents in advance ensures a seamless process for company formation in Abu Dhabi Global Market (ADGM).
Post-Incorporation Compliance
- Financial Services License
For bank-related businesses, insurance, asset management, and financial consultancy businesses follow all regulatory standards set by ADGM.
- Non-Financial Services License
For legal, consulting, and professional services to enjoy all the supporting infrastructure and environment by ADGM.
To serve technology-oriented businesses with access to resources and networks that support growth and innovation.
- Other Industry-Specific Licenses
For education, healthcare, and real estate-related businesses, ensuring following their respective industry-specific regulations.
Why Choose Us for Company Formation in ADGM?
We guide you with a smooth company formation in Abu Dhabi Global Market (ADGM) by choosing Reyson Badger. Having expertise in detailed knowledge about the legal and regulatory framework in ADGM, we provide end-to-end services, from documentation and licensing to all permits required for such incorporation. Our services are designed to target your specific business needs: financial, non-financial, or tech startups. We acknowledge minimum delay processes and offer transparent pricing to optimize costs. Beyond incorporation, we support you with ongoing compliance activities, such as annual reports, audit certification, and license renewals, ensuring your business is constantly up-to-date with regulations. Partner with Reyson Badger for a seamless experience and a growth-focused approach to company formation in ADGM.
