Masdar City Business Setup in Abu Dhabi
Masdar City is Abu Dhabi’s globally recognized hub for clean technology, renewable energy, research, and innovation. With world-class infrastructure and sustainability at its core, it offers an excellent platform for startups, SMEs, and multinational corporations.
100% foreign ownership | A hub for sustainability and innovation | Ideal location in Abu Dhabi’s free zone ecosystem
Masdar City, launched in 2006, is one of the world’s most sustainable urban developments. Located in Abu Dhabi, it serves as a free zone dedicated to clean technology, renewable energy, R&D, AI, and innovative industries.
Entrepreneurs and corporations that wish to align with the UAE’s sustainability vision will find Masdar City an ideal destination. If you are researching options for Free Zone Business Setup in Abu Dhabi, Masdar City stands out as one of the most future-ready free zones.
Why Choose Masdar City for Business Setup?
Setting up in Masdar City offers multiple strategic advantages:
- 100% foreign ownership of companies
- Zero corporate and personal tax (renewable for 50 years)
- A recognized hub for clean technology and R&D companies
- Strong government support for innovation and green energy
- Strategic location near Abu Dhabi Airport and highways to Dubai
- Networking opportunities with global sustainability leaders
Tip: Masdar City is not just a business hub; it is a global brand for innovation and clean technology. Setting up here adds credibility to your company.
Activities Allowed in Masdar City Free Zone
Masdar City offers a wide range of approved business activities including:
- Clean Energy & Renewable Technology
- Research & Development (R&D)
- AI, Robotics, and Technology Solutions
- Consultancy & Professional Services
- E-commerce & Digital Platforms
- Media, Marketing, and Education
If your business falls into innovative or tech-driven industries, Masdar City provides one of the most supportive ecosystems.
Step-by-Step Process for Masdar City Business Setup
The business setup process in Masdar City is designed to be quick and entrepreneur-friendly.
Types of Licenses in Masdar City
You can apply for the following types of licenses in Masdar City Free Zone:
- Service License – For consultancy and professional services
- Trading License – For trading and e-commerce businesses
- Industrial License – For light manufacturing and clean tech industries
- Freelancer Permit – For independent professionals in technology, media, and consultancy
Cost of Business Setup in Masdar City
The cost depends on license type, office space, and visa quota. Below is an approximate guide
| Component | Estimated Cost (AED) |
|---|---|
| Registration Fee | 1,000 – 2,000 |
| Trade/Service License | 10,000 – 12,000 |
| Flexi-Desk/Shared Office | 6,000 – 12,000 |
| Private Office (per year) | 20,000 – 40,000+ |
| Visa per Person | 3,500 – 5,000 |
Note: These are indicative costs. For accurate pricing tailored to your business, contact Ideas Business Setup Expert for a free consultation.
Documents Required for Masdar City Company Formation
The following documents are required:
- Passport copies of shareholders and directors
- UAE entry stamp or residence visa copy (if applicable)
- Emirates ID (if available)
- Business plan (for selected activities)
- Proof of residential address
- NOC from current sponsor (if UAE resident)
For detailed information, refer to our guide on Documents Required for Free Zone Business Setup.
Key Benefits of Setting up in Masdar City Free Zone
- International branding as part of Masdar’s innovation hub
- Flexible office options (co-working, labs, offices)
- Quick and streamlined company registration process
- 100% repatriation of capital and profits
- Business-friendly environment designed for entrepreneurs
For a broader perspective, see our full guide on Advantages of Free Zone Business Setup .
Comparison with Other Abu Dhabi Free Zones
Each free zone in Abu Dhabi caters to specific industries. Here’s how Masdar City compares:
- ADGM Business Setup – Best for fintech, banking, and legal services.
- KIZAD Business Setup – Ideal for logistics, trading, and manufacturing.
- Twofour54 Business Setup – Tailored for media, entertainment, and creative businesses.
- Abu Dhabi Airport Free Zone – Focused on aviation, logistics, and e-commerce.
- Musaffah Port Free Zone – Great for shipping, heavy industry, and warehousing.
For a complete overview, check our Free Zone Business Setup in Abu Dhabi guide.
Masdar City vs Mainland Business Setup
- Ownership: 100% ownership in Masdar City vs local sponsorship in mainland (for some activities).
- Taxes: Free zone offers tax exemption, mainland may have VAT and other obligations.
- Market Access: Mainland allows direct trade within UAE, free zones may need a local distributor.
See our detailed comparison: Free Zone vs Mainland Business Setup .
Visa Options for Masdar City Companies
Masdar City allows multiple visa options for business owners and employees:
- Investor Visa – Long-term visa for company shareholders.
- Employment Visa – For staff sponsored by the company.
- Dependent Visa – For family members.
For details, explore Free Zone Visa UAE and Free Zone Investor Visa UAE
Bank Account Opening in Masdar City
Opening a corporate bank account is straightforward with the right documents:
- Valid trade license
- Shareholder and manager passport copies
- Proof of office lease
- Business plan (if required by the bank)
See our full guide: Bank Account Opening for Free Zone Business .
Starting a Business as a Foreigner in UAE – Why Masdar City Works Best
Foreign entrepreneurs benefit from Masdar City’s streamlined process:
- No local sponsor required
- Affordable setup packages
- Global recognition for sustainability initiatives
- Investor-friendly policies
Explore more in our complete guide: Start Business as Foreigner in UAE .
Absolutely. Masdar City offers affordable flexi-desk and co-working solutions, making it perfect for startups and entrepreneurs in clean tech and innovation sectors.
Yes. Companies in Masdar City Free Zone can conduct international business without restrictions. For operations inside mainland UAE, a local distributor may be required.
Typically, it takes 7–10 working days if all documents are ready. Our experts at Ideas Business Setup Expert can help you speed up the process.
