Abu Dhabi Global Market (ADGM), a prime free-zone financial centre, is strategically situated in the heart of the UAE’s capital, Abu Dhabi. As a hub for business setup since its establishment in 2015, ADGM boasts an independent regulatory system, acting as a significant attraction for international investors. The Centre has experienced remarkable growth and is now recognised among the top 25 financial centres globally. ADGM facilitates diverse regulated and non-regulated activities, such as banking, Fintech, trusts, foundations, and other special-purpose vehicles.
Moreover, ADGM has made a name for itself as a pioneer in introducing the region’s first crypto assets regulation. This progressive step has led other UAE free zones to start offering cryptocurrency licenses, demonstrating the influence of ADGM. Furthermore, ADGM offers an array of benefits, including top-tier facilities, regulations rooted in English common law, and robust data & IP protection laws. Expert business setup consultants like PW can provide comprehensive insights into the ADGM company formation process.
Regulatory Pillars of Abu Dhabi Global Market
Unlike traditional UAE free zones, the ADGM free zone operates under the supervision of three distinct Authorities:
ADGM Registration Authority
The Registration Authority is responsible for crucial functions in business setup, such as registration, incorporation, and licensing of companies. As the principal authority that aids foreign investors with all government-related services, it plays a critical role in managing the registration of entities, business names, post-incorporation documents, enforcement of ADGM regulations, company liquidation, and license cancellations in ADGM.
Financial Services Regulatory Authority (FSRA)
The FSRA serves as the primary regulator for financial services businesses in ADGM. Its key mission is to foster a conducive financial service environment while safeguarding such businesses from potential risks. FSRA maintains its regulatory functions through public consultations and engagements on rule introductions and amendments.
ADGM Courts
ADGM Courts handle dispute resolution involving ADGM entities. Known for their digitalised arbitration approach via a comprehensive e-courts platform, they are the first jurisdiction in the Middle East to apply English Common Law directly. The judges at ADGM Courts are esteemed individuals drawn from globally recognised Common Law jurisdictions.
Core Business Sectors within Abu Dhabi Global Market
While the ADGM primarily exists as a platform for financial services, it also cultivates an environment conducive for non-financial and retail businesses. The licenses offered by ADGM are designed to cater to a broad spectrum of activities, including non-financial sectors. Among the key activities entrepreneurs can engage in are:
- Corporate and transaction banking
- Investment banking
- Private banking and wealth management
- Brokerage and Digital banking
- Fintech and Corporate headquarters (non-financial)
- Family offices and foundations (non-financial)
- Tech startups (non-financial) and Professional services (non-financial)
- Special Purpose Vehicles and Retail services
World-class Office Spaces in Abu Dhabi Global Market
ADGM’s office spaces are designed to accommodate all types of businesses. These spaces come equipped with state-of-the-art amenities and facilities, offering commercial office spaces, flexible office spaces, and business centres, tailored to the needs of investors.
The Roadmap to Business Setup in Abu Dhabi Global Market
The process of business setup in ADGM is straightforward and swift. However, it is recommended to consult with business setup advisers like PW to streamline the incorporation process. The steps include consultation with business setup advisers, document preparation, application submission, selection of office space, visa processing, and bank account setup.
The Perks of Company Formation in Abu Dhabi Global Market
ADGM presents a business ecosystem that is both efficient and flexible for investors. With benefits including ease of setup, independent jurisdiction, strategic location, broad range of legal tools, zero corporate or income tax, 100% foreign ownership, and the ability to set up complex structures like foundations and trusts, ADGM stands out as an award-winning financial centre.
