Legal and Regulation
Masdar City Free Zone operates under a unique legal framework designed to foster business growth, innovation, and sustainability. As one of the leading Free Zones in Abu Dhabi, Masdar City Free Zone offers a streamlined regulatory environment that simplifies the setup and operation of businesses across various sectors, including Life Sciences, AI, and Renewable Energy. Our legal framework provides businesses with the flexibility to grow and innovate, with benefits such as 100% foreign ownership, tax break benefits, and a simplified licensing process. With a focus on supporting emerging industries, Masdar City Free Zone is the ideal platform for businesses looking to thrive in Abu Dhabi’s progressive and forward-thinking economy.
Regulatory Bodies:
The legal and regulatory framework at Masdar City Free Zone is overseen by several key authorities, ensuring a robust, transparent, and supportive environment for businesses. Key regulatory bodies include:
- Abu Dhabi Investment Office (ADIO): Provides strategic guidance and investment support to businesses in Masdar City Free Zone, fostering growth and innovation across sectors.
- UAE Space Agency: Oversees regulations related to space technology and research, relevant to businesses operating within the Space-Tech industry cluster.
- Department of Health – Abu Dhabi: Plays a key role in regulating businesses within the Life Sciences cluster, ensuring compliance with health and safety standards.
Financial and Legislation Services
At Masdar City Free Zone, businesses benefit from a range of financial and legal services designed to support growth and ease of operation. Through strategic partnerships with key institutions, Masdar City Free Zone offers companies the financial infrastructure and legal flexibility they need to thrive. Whether you're in Life Sciences, AI, or Renewable Energy, Masdar City Free Zone provides the tools and support to help your business succeed in Abu Dhabi’s competitive market.
Masdar City and Abu Dhabi Global Market (ADGM) [logo]: Masdar City Free Zone has partnered with Abu Dhabi Global Market (ADGM) to enhance foreign investment, promote innovative projects, and strengthen Abu Dhabi's economic competitiveness. This collaboration provides businesses in the Free Zone with the option to be governed by ADGM’s Common Law framework, offering legal clarity and flexibility. Companies licensed in Masdar City Free Zone can benefit from the globally recognized rules of Common Law, fostering a business-friendly environment that supports international standards and investor confidence.
Banking and Financial Support:
To simplify business operations, Masdar City Free Zone has established partnerships with leading banks in Abu Dhabi. These partnerships make it easier for businesses to set up bank accounts, access virtual cards, and take advantage of other essential financial services. Whether you're a startup or a multinational, Masdar City Free Zone’s financial services infrastructure ensures seamless integration into the local economy, empowering businesses to focus on growth and innovation.
Residency Services
As you plan to make your move to Abu Dhabi, Masdar City Free Zone offers comprehensive support to ensure your transition is smooth and efficient. Our residency services simplify the process of obtaining visas for businesses, employees, and their families. Whether you’re in Life Sciences, AI, or Renewable Energy, Masdar City Free Zone helps you establish your presence in Abu Dhabi with ease.
Residency Visa Process:
Masdar City Free Zone provides streamlined residency visa services, making it easy for licensed businesses to secure visas for their employees and their families. From investors and managers to technical staff, we offer support throughout the entire application process. Our collaboration with Abu Dhabi’s General Directorate of Residency and Foreigners Affairs ensures swift and compliant visa processing.
Golden Visa and Abu Dhabi Resident’s Office Support:
For those seeking long-term residency options, Masdar City Free Zone, in partnership with the Abu Dhabi Resident’s Office, offers assistance with processing applications for the UAE's Golden Visa. This service is available for qualifying investors, entrepreneurs, and specialized professionals. Our goal is to ensure that your move to Abu Dhabi is as seamless as possible, providing all the resources and guidance you need to settle in.
In addition to residency visas, Masdar City Free Zone helps businesses and individuals take advantage of Abu Dhabi’s unique visa programs, offering flexible options for building and growing your workforce in the UAE.
Anti-Money Laundering and Business Owner Declaration
Submit Your Beneficial Owner Declaration
In accordance with Cabinet Decision No. (109) of 2023 on regulating beneficial ownership procedures and Cabinet Decision No. (132) of 2023 concerning administrative penalties for violations, all registered businesses in Masdar City Free Zone are required to declare and maintain a record of their Beneficial Owners. This declaration is critical to avoid financial and administrative sanctions, which may include warnings and, in the case of repeated violations, fines of up to AED 100,000 and suspension of the trade license.
Who is a Beneficial Owner?
A Beneficial Owner is an individual who holds ultimate control or ownership of a legal entity. This includes direct or indirect ownership of 25% or more of the legal person’s capital or voting rights, including ownership through a chain of control or other means, such as the right to appoint or dismiss the majority of Directors.
Certain entities are exempt from these requirements, including:
- Companies wholly owned by the Federal or Local Government or any other companies wholly owned by such companies.
- Financial Free Zones.
- Governmental partners.
Required Information:
As per Cabinet Decision No. (109) of 2023, the Beneficial Owner’s Record must include the following details:
- Full name, nationality, and date/place of birth.
- Place of residence or address for notifications.
- Travel document or identity card number, with issuance and expiry dates.
- Date the individual became a Beneficial Owner.
- Date the individual ceased to be a Beneficial Owner, if applicable.
Important Documents:
Anti-Money Laundering (AML) Compliance
Masdar City Free Zone aligns with the UAE’s rigorous anti-money laundering and anti-terrorism financing regulations. Under Federal Law No. 20 of 2018, all Designated Non-Financial Businesses and Professions (DNFBPs) registered in the UAE are required to register with the Financial Intelligence Unit (goAML) and the Automatic Reporting System for Sanctions Lists.
This ensures that businesses adopt measures to prevent money laundering and terrorism financing. Companies must register in the goAML system within 10 working days of notification to file Suspicious Activity Reports (SARs[HA1] ) and use the sanctions reporting system as per UAE law.
Failure to comply with these requirements could result in the suspension of your business registration license.
For assistance or inquiries regarding registration in these systems, you can contact the Ministry of Economy via email at [email protected] or by phone at 8001222. Additionally, for further information, you may reach out to the Masdar City Free Zone – Compliance Unit via email at [email protected] or by phone at 02 815 6666. For more information on the legislation and guidelines, visit the Ministry of Economy’s Anti-Money Laundering page here https://www.moec.gov.ae/en/financial-crimes-legislations.