From January 1, 2025, Abu Dhabi Global Market, the international financial center of the UAE capital, will lower license costs. This will make it easier and cheaper for businesses to operate there.

The goal is to attract more businesses to ADGM, especially non-financial and retail companies. This will be achieved by lowering costs and simplifying setup processes.

Key Fee Reductions

The registration fee for non-financial businesses will be decreased from $10,000 to $5,500 as initial registration costs. The renewal fee will therefore automatically be adjusted downwards from $8,000 to $5,000 annually. The initial registration fees for retail businesses will now cost $6,000 and will drop to only $2,500 while the annual renewal fee reduced from $4,000 to $2,000 under this provision.

With these changes now at the end of the transition period of Al Reem Island, which expires on December 31, 2024, these fees will bring ADGM’s fee structure in line across Al Maryah and Al Reem Islands.

Why the Change?

Moving on, the fee revision decision by ADGM would also consider the responses gathered during the year from its business community. This revision would enable businesses to begin and grow in a bustling commercial space.

Explaining the reason for the revision, Hamad Sayah Al Mazrouei, CEO of The Registration Authority in ADGM, said:

“We’re working to create a vibrant and efficient business ecosystem. The reduction in fees works towards having more businesses join the growing community at the ADGM, thus strengthening its reputation as a leading financial hub.”

What About Other Businesses?

While several non-financial and non-retail sectors will enjoy large reductions in fees, the other sectors have had minor changes, such as:

– For financial ones, official initial registration charges now rise to $16,700 from $15,000, while annual renewal fees spark from $13,000 to $16,200.

– Initial amounts for tech startups would change from $1,000 to $1,500 for both new registration and renewal of registration.

Moreover, there will also be a common data protection fee of $300 applied in each category at the time of registration and renewal.

What Does This Mean for Businesses?

For almost all businesses, it makes ADGM an even more attractive place to establish themselves. Reduced fees and easy licensing will also position ADGM favourably as the target for firms creating a presence in an ever-dynamic Abu Dhabi business environment.

Businesses within ADGM can expect lower operating costs with a much-reduced barrier to entry, and they will have the support of a progressive financial centre composed for growth along with them.

How Corplex Will Help You?

At Corplex, we specialize in helping businesses navigate the process of setting up in the UAE, including in free zones like ADGM. Our services include:

• Company Formation Assistance: We handle the entire registration process, ensuring compliance with ADGM regulations.
• License and Renewal Management: Stay updated on fee changes and ensure timely renewals with our support.
• Business Advisory Services: Get expert guidance on selecting the best business structure and navigating the UAE market.
• Legal and Financial Support: We provide assistance with legal documentation, corporate banking, and more.

With Corplex by your side, you can take advantage of ADGM’s reduced fees and set your business up for success in one of the world’s most dynamic financial hubs. Contact Us to learn more about how we can help your business thrive in Abu Dhabi.