Masdar City Free Zone: A Comprehensive Guide for Foreign Investors

The Masdar City Free Zone, located in Abu Dhabi, provides an attractive business setup avenue for Small and Medium-sized Enterprises (SMEs), startups, and multinational corporations (MNCs). It is one of the most cost-effective business setup options in Abu Dhabi, paving the way for businesses to prosper in an environment that fosters collaboration with research and knowledge. Masdar City is also renowned as one of the world’s most sustainable urban developments, making it an ideal location for businesses geared towards sustainability and innovation.

An Innovation Hub at the Crossroads of Global Markets

Masdar City Free Zone fuels innovation in sustainability by fusing education, research and development, investment, and business opportunities. It is strategically situated at the junction of the Middle Eastern and Asian markets, strengthened by a robust global logistics and transport network. Masdar City provides world-class infrastructure, cost-effective business setup packages, excellent connectivity, and an efficient registration process.

Moreover, plans to expand the net leasable area are underway, benefiting investors and entrepreneurs. At PW, our business setup consultants in Abu Dhabi can guide you through the process, ensuring you fully reap the benefits offered by the Abu Dhabi Free Zones.

Navigating Legal Entity Types in Masdar City

Understanding the different types of legal entities recognised by Masdar City Free Zone is essential for foreign investors planning to set up their businesses. The choice of legal structure depends on the number of shareholders and the type of shareholders involved in the company. PW, a team of dedicated business setup consultants in the UAE, can provide guidance in selecting the appropriate legal structure for your business. The following legal entities are recognised in Masdar City Free Zone:

Free Zone Limited Liability Company (FZ LLC)

The FZ LLC is a popular legal entity among foreign investors. It requires at least two shareholders, who can be either individuals or corporate entities. Our expert consultants at PW can simplify the process of setting up an FZ LLC company in Masdar City.

Branch of a Foreign Company

Establishing a branch office in Masdar City Free Zone is a straightforward way for foreign companies to make their presence felt in the Middle Eastern region. The activities of the branch office should match those of the parent company, as they share the same legal identity.

Branch of a UAE Company

UAE-registered companies can also establish a branch office within the Masdar City Free Zone. These branches are expected to carry out some or all activities of the parent company. PW can guide you through the process of branch company formation seamlessly.

Choosing Your Core Business Segment

Masdar City Free Zone offers a broad range of business activities, allowing foreign investors to align their business setups according to their core competencies. However, it’s crucial to carefully select the business activity as it directly impacts the business plan. Some popular business segments for which Masdar City accepts license applications include:

  • Renewable Energy
  • Clean Tech and ICT
  • Marketing and Events
  • Human Resources
  • Energy Industry
  • Healthcare Services
  • Service Providers
  • Property Development Services
  • Regional HQ, trading and holding companies
  • Business Centre and Data Centres
  • Oil and Gas Services
  • Retail, Food, and Beverage

Business & Leasing Options: The Masdar Advantage

Masdar City Free Zone boasts world-class facilities ideal for businesses of all types. Whether you’re a developer, investor, or occupier, the state-of-the-art infrastructure offers diverse options ranging from purchasing or leasing development plots to creating robust office and retail spaces.

Office Spaces Tailored to Your Needs

Masdar City offers office spaces designed to cater to businesses of all sizes. From flexible desks in shared workspaces to serviced and executive offices and larger core and shell units, you can choose what suits your business needs the best.

Plots of Land for Ambitious Projects

Developers can buy or lease plots of land in Masdar City to bring their ambitious projects to life. They get an opportunity to construct projects that augment Masdar City’s theme of mixed-use community living, with a primary focus on sustainability.

Spaces Built to Suit Your Needs

Large organisations can partner with the free zone to develop customised spaces suitable for commercial, retail, residential, recreational, educational, healthcare, and corporate activities. A dedicated team at Masdar City assists in designing and delivering a finished project that aligns with specific business, technical, and financial parameters.

Business Setup Packages in Masdar City: Affordability and Flexibility

Masdar City Free Zone offers affordable business setup packages suitable for all types of companies. Here is an overview of some cost-effective business setup packages offered:

  • Package A: Allows entrepreneurs to set up a business in Masdar City for as low as AED 1000. The package includes two business activities and zero visas.
  • Package B: Starts from AED 7,000, allowing up to four activities and one visa.
  • Package C: Begins from AED 12,000, permitting a total of five activities within the free zone. The package includes up to two visas.
  • Women Entrepreneurship Program: This package supports women entrepreneurs in the region and can be availed at a licensing fee of AED 6,000. It offers up to four activities and one visa.

Steps for Business Setup in Masdar City

Setting up a business in Masdar City Free Zone is a straightforward process:

  1. Select a business activity
  2. Determine a legal structure
  3. Propose a company name
  4. Submit the necessary documents
  5. Sign the leasing agreement
  6. Receive a trade license and keys to facilities
  7. Apply for a Visa
  8. Open a corporate bank account

Unraveling the Benefits of Masdar City Free Zone

Investors enjoy several benefits due to the free zone status of Masdar City, including:

  • 100% foreign ownership
  • No corporate tax or personal income tax
  • Zero import duty
  • Quick and easy setup
  • Strategic location close to Abu Dhabi International Airport
  • Complete repatriation of capital and profits
  • Easy connectivity into local, regional, and international markets
  • Access to an R&D hub
  • Cost-effective licenses and affordable office spaces

PW’s team of experts provides a one-stop solution for business setup services in Abu Dhabi, assisting you every step of the way in establishing your business in the Masdar City Free Zone.

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