Why Abu Dhabi is a perfect opportunity to invest in the UAE in Company Set up?
Over the years, Abu Dhabi has spent enormous amounts of time and effort in making plans to open its economy as a business-friendly place for entrepreneurs. Recently, Abu Dhabi took measures on ensuring milestones as such are achievable, under the guidance of His Highness Shaikh Mohammad Bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces and Chairman of Abu Dhabi Executive Council.
How is Abu Dhabi Accelerating their Economy?
The $13.6 Billion Stimulus Plan
The government of Abu Dhabi intends to provide an excellent opportunity for all businessmen as well as aspiring entrepreneurs to set up ther business within the Emirate. The proposition is uniquely distinctive and first of its kind within the UAE and announced as the 3-year AED 50 billion stimulus package which seeks to bring lasting economic benefits to investors, residents and Emiratis alike, while also transforming the ease of doing business.
Dual License for Abu Dhabi Free Zones Companies
A dual license is a branch license that allows free zone companies to access mainland project tenders without having a separate office in te same emirate. To make Abu Dhabi a more business-friendly the Abu Dhabi DED, passed a resolution that allows the companies within its free zones to work outside of the free zones and participate in the bidding process for government tenders.
The goal of introducing the dual license scheme by Abu Dhabi DED to promote the following:
- To attract larger foreign investments.
- To drive forward the economic growth.
- To expand the scope for companies to conduct their business.
- To improve the competitiveness index of the Emirate.
In launching the first phase of the Dual License Initiative, the Abu Dhabi DED announced the free zone companies will be allowed to set up an onshore branch while operating in the capital’s free zones.
The dual license will be open to all those businesses who have their company set up in Abu Dhabi and in one of its free zones. Companies with the license will be eligible to operate in Abu Dhabi, Al Ain and as well as the Al Dhafar regions.
Get a Trade License Without an Office!
Abu Dhabi DED allows new companies to obtain a commercial license without a physical office as part of the AED 50 billion stimulus package. The announcement, which forms part of the Tajer Abu Dhabi license package scheme which mentions the new scheme is made applicable to all GCC nationals and expat UAE residents and 1057 commercial activities companies can be set up without office space or physical presence.
Office space is not a requirement to start your company
Cost of an Office rental
Office rentals are actually one of the major factors leading to the high cost of establishing a business in the UAE, It will consume a considerable amount of investment even in the case of opting for a co-working space or a Flexi desk. An amount that can be used in the form of marketing, advertising or promotions for other business purposes.
Everyone is accessible online, with communications on social platforms, meetings held on online conference calls; businesses have become heavily reliant on the online platform. Entry entrepreneurs find themselves engaged on their laptops to get their work done and spend a major of their time in meetings out of their office.
All New Economic Licenses are exempted for the Local Fees
The Abu Dhabi Executive Council is encouraging the company set up in Abu Dhabi for entrepreneurs by exempting government fees. Company setup in Abu Dhabi is now at such low cost in the UAE. Additionally, the Abu Dhabi Executive Council has confirmed that all new Abu Dhabi company setup licenses will be exempted from the local Fees for a period of two years from the date of issuance of the Abu Dhabi company setup license.
The package is eligible under the following conditions:
- Only for the new Abu Dhabi company setup.
- The company setup is done within the jurisdiction of Abu Dhabi.
- Abu Dhabi Company setup is done in the year 2019 – 2020.
Instant Licensing System
The Abu Dhabi Instant License is designed to be one of the accelerators to the private sectors.
The intention of the Instant License is to:
- Streamline all company license applications through a digital portal.
- Have approvals processed online instantly?
- Ensure company license holders of most sectors are eligible to conduct business immediately.
- Increase private sector contribution to economic growth.
- Ensure most commercial licenses are issued immediately.
The Abu Dhabi Department of Energy (DoE) passed an official statement stating that small-size energy firms will be provided with a free two-year company license. Abu Dhabi company setup license of such firms will be issued within one working day.
The instant license for the following service:
- Water production, treatment, and desalination.
- Electricity generation.
- Electricity generation by solar cells (maximum capacity of 50 kWp at a single facility).
- Wastewater collection and treatment, recycling and disposal.
All New Economic Licenses are exempted for the Local Fees
- Electricity storage, distribution, and supply.
- Water supply, sale, and purchase by tankers.
- Wastewater collection and disposal by tankers.
With the introduction of the instant license, Abu Dhabi makes to ensures entrepreneurs do not have to wait long to set up their business activities in the emirate.
The Abu Dhabi Government has shown clear signs to make Abu Dhabi a very business-friendly environment through the initiatives taken. With new laws being introduced, along with the changing business dynamics, there is plenty to consider and part of our services is to offer the ideal solution for your business. Choosing your company location for your business activity is as important as your investment. Download Full Presentation
Wincore Advisory Group DMCC provides support services to ensure you concentrate on your business. We help set up your business, so you can build it up. For more information, please call or what’s app on +971 58 105 1553, or send an email to [email protected]