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Masdar City Free Zone Company Formation

Set up in Abu Dhabi from AED 7,000, or choose a package with visas and a desk. PROXPAT matches the package to your activities and headcount and handles the visa steps.

Page last updated: . Requirements, government fees and processing times are set by the relevant UAE authority and can change.

PROXPAT is an independent private consultancy and is not affiliated with or endorsed by any UAE government authority. All approvals, government fees and processing times are determined by the relevant UAE authority and are subject to change. For official requirements and fees, see Masdar City Free Zone.

Company setup in Masdar City Free Zone, Abu Dhabi

Masdar City Free Zone Company Formation

Masdar City Free Zone is a free zone in Abu Dhabi that publishes its licence packages, desk prices and visa fees on its website. That makes first-year costs easier to estimate than in zones that only quote on request.

It lists more than 1,000 approved activities and three setup routes: a free zone limited liability company, a branch of a foreign company, or a branch of a UAE company. The figures below come from Masdar City Free Zone's licence and registration page.

PROXPAT helps you choose the package, confirm your activities, prepare documents and complete the establishment card, medical, Emirates ID and visa steps.

Setup Routes

StructureWhat Masdar City Free Zone says
Free Zone Limited Liability Company (FZ-LLC)An independent legal entity with shareholders, which can be individuals, companies or a mix of both
Branch of a foreign companyExtends an existing international company into Abu Dhabi without creating a separate legal entity
Branch of a UAE companyExpands an existing UAE business into the free zone under the same legal identity

For branch rules and parent company documents, see branch of a foreign company.

Licence Packages

PackagePriceActivitiesWhat is included
StartupAED 7,000Up to 2Licence and registration
Innovation (start-up and innovation package)AED 12,000Up to 3Licence and registration, 2-visa quota, flexi desk lease
Business OneAED 17,500Up to 3Licence and registration, one visa, flexi desk lite lease, establishment card, eChannel fees, visa medical exam and Emirates ID application
EnterpriseAED 27,000Up to 6Licence and registration, 3-visa quota, flexi desk plus lease
  • Package charges are subject to 5% VAT.
  • Activities are limited and subject to approval. Masdar lists certain special segments as exceptions, including associations, service providers, regional headquarters, oil and gas field services, retail and space.
  • Extra activities cost AED 2,500 each for a general activity and AED 5,000 each for a special activity.
  • A special company name adds AED 1,000, subject to DED approval.
  • Masdar notes that start-up package clients convert to a signature package after three years.

Desks and Office Space

OptionPublished price
Virtual deskAED 6,000 per year
Flexi deskAED 10,000 per year

Masdar asks companies to choose an office solution based on visa eligibility and operational needs, from flexi desks and dedicated desks to offices. Flexi desk leases need a refundable security deposit equal to two months' rent.

Visa and Establishment Fees

ItemFeeNote
Immigration establishment cardAED 1,600One-time fee
eChannel registrationAED 2,600One-time charge, with an annual renewal fee
Employment visa depositAED 2,500Refundable, per employee, released after visa cancellation
Employment visa package (2-year visa)AED 3,050Excludes the medical fitness test and Emirates ID
Entry permit issued inside the UAEAED 800If applicable
Change of status and residency stamping inside the UAEAED 900If applicable
Medical fitness testAED 350One-time fee
Emirates IDAED 450For 2 years

Masdar states these rates include 5% VAT, except for leases. See employment visa services and establishment card.

Adding an Employee: Worked Example

ItemAED
Employment visa package (2-year visa)3,050
Medical fitness test350
Emirates ID (2 years)450
Total fees3,850
Refundable employment visa deposit2,500

Add AED 800 or AED 900 if an in-country entry permit or change of status applies. Check that your desk or office allows the extra visa before you apply. Our business setup cost calculator helps compare the full first year across zones.

Registration Steps

Step 1: Select your business activities from Masdar City Free Zone's approved list.

Step 2: Choose the structure: FZ-LLC, foreign company branch or UAE company branch.

Step 3: Apply through the e-services portal, reserving the company name and submitting initial details.

Step 4: Provide documents and obtain approvals from Abu Dhabi authorities and the free zone regulator.

Step 5: Sign the legal documents and receive the licence and registration certificate.

Step 6: Choose workspace and process visas for your team.

Masdar says registration can typically be completed within a few working days once all documents are submitted and approved. Documents usually include passport copies, application forms, activity details and legal incorporation documents.

Masdar City and Other Abu Dhabi Options

OptionPublished pointsGuide
Masdar City Free ZonePackages from AED 7,000; FZ-LLC or branchThis page
ADGMFinancial free zone with its own registration authority; non-financial fees from USD 5,800 under the 2025 fee scheduleADGM guide
twofour54Media, gaming and entertainment free zone regulated by the Creative Media Authority, with a sole proprietor (freelancer) licenceAsk PROXPAT
Abu Dhabi mainlandLicensed by the Abu Dhabi Department of Economic Development through TAMMAbu Dhabi guide

Corporate Tax Points for Free Zone Companies

A Masdar City company registers for corporate tax like other UAE juridical persons. If it is a Qualifying Free Zone Person, Ministerial Decision No. 84 of 2025 requires it to prepare and maintain audited financial statements, whatever its revenue. See corporate tax registration and accounting and record keeping.

How PROXPAT Helps

Package comparison against your activities

Structure choice: FZ-LLC or branch

Name reservation and e-services application

Document preparation and attestation

Licence and registration certificate

Establishment card and eChannel

Medical, Emirates ID and visas

Bank account file and renewals

Frequently Asked Questions

Masdar City Free Zone lists a Startup package at AED 7,000 with up to two activities, subject to 5% VAT. Packages with visas and desks range from AED 12,000 to AED 27,000.

Business One (AED 17,500) includes one visa, a flexi desk lite lease, establishment card, eChannel fees, medical exam and Emirates ID application. Innovation (AED 12,000) has a 2-visa quota and Enterprise (AED 27,000) a 3-visa quota.

AED 2,500 for each general activity and AED 5,000 for each special activity.

A free zone limited liability company, a branch of a foreign company, or a branch of a UAE company.

Masdar lists a flexi desk at AED 10,000 per year and a virtual desk at AED 6,000 per year. Flexi desk leases need a refundable deposit equal to two months' rent.

Masdar lists a 2-year employment visa package at AED 3,050, excluding the AED 350 medical test and AED 450 Emirates ID, plus a refundable AED 2,500 deposit per employee.

Masdar says registration can typically be completed within a few working days once all required documents are submitted and approved.

Masdar City Free Zone lists more than 1,000 approved activities, subject to approval.
After the Licence

The licence is the start of the government work, not the end of it

Once the trade licence is issued, the sequence that actually lets you operate begins: the establishment card, the MOHRE and immigration files, your employee quota, then employee visas and work permits. After that it repeats every year — renewals, cancellations when people leave, and licence renewal and amendments.

Companies that would rather not build that function in-house put it on a monthly PRO retainer from AED 700, or use it per transaction. Government fees stay separate and itemised either way.

The first six months after incorporation

  • Establishment card issued through immigration
  • MOHRE file opened and e-signature completed
  • Employee quota checked before hiring
  • Offer letters, work permits and entry permits
  • Medical, Emirates ID and visa stamping
  • Corporate tax and VAT registration where they apply
See corporate PRO services

Set Up Your Company in Masdar City Free Zone

PROXPAT matches the package to your activities and visas, prepares the application and handles the establishment card, medical, Emirates ID and visas.