The United Arab Emirates stands at the forefront of global business, thanks to visionary projects and economic resilience. Key to its international appeal are free zones, which offer 100% foreign ownership, tax-free profits, and easy repatriation.
Among these, Masdar City Free Zone in Abu Dhabi is a leader in sustainability and innovation, supporting entrepreneurs in renewable energy, advanced technology, and clean industries. Find out why Masdar City Free Zone is the preferred launchpad for tomorrow’s businesses.
Masdar City Free Zone Overview & Key Stats
- Official Name: Masdar City Free Zone
- Commonly Known As: Masdar Free Zone
- Year Established: 2008
- Governing Authority: Masdar (Abu Dhabi Future Energy Company)
- Main Industries/Sectors: Life Sciences, Space Technology, AI, Renewable Energy, Smart Mobility, Sustainable Agritech (AGWA)
- Registered Companies: 1,500+
- Strategic Location: In Masdar City, near Abu Dhabi International Airport, Khalifa City, Siemens Energy HQ
History and Vision
Founded in 2008, Masdar City Free Zone was created as an international hub for sustainable urban innovation. The project brings together research, multinational companies, and startups, making a global impact on smart urban development.
Step-by-Step Business Setup Process
- Reserve your business name using the Masdar City Free Zone portal.
- Apply for a license and submit documentation.
- Provide Memorandum & Articles of Association and lease agreement.
- Receive initial approval, generally within 3-5 business days.
- Open a UAE bank account and obtain Capital Confirmation Letter.
- Collect trade license, certificate of incorporation, lease, and establishment card.
- Manage your business using the Masdar City Free Zone login.
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Licensing Options and Business Activities
License Types
- Service
- Trading
- Industrial
- Freelance
Activities
- Renewable energy consulting
- IT and AI
- R&D
- Biotechnology
- Professional services
- Media
- Engineering
Ownership, Taxation, and Regulatory Advantages
- 100% foreign ownership
- No local partner needed
- Full profit and capital repatriation
- Zero income/corporate tax
- No currency restrictions or import/export duties (most goods)
- Digital licensing and management
Office and Facility Options
- Flexible coworking space
- Private serviced offices
- Bespoke R&D and laboratory facilities
- Retail units and warehousing
- Conference rooms and event space
Costs and Fee Structure
- License fees start from AED 11,000/year
- Virtual offices/flexi-desks from AED 5,000/year
- Setup fees from AED 2,000-3,000
- Visa packages from AED 3,000+ per visa
- Additional IT/HR/support: custom pricing
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Visa and Immigration Services
- Investor and employee visas (multi-year)
- Dependent/family visa support
- Online renewals and management via portal
Additional Benefits and Support Services
- Legal, HR, and regulatory support
- IT and telecom infrastructure
- Workshops, networking, accelerator programs
- Sustainability grants and R&D partnerships
- Startup business incubation programs
Challenges and Considerations
- Must comply with international/local regulations (HSE, sustainability)
- Costs vary by office type, sector, and number of visas
- Some businesses require minimum lease terms
- Long-term leasehold model; review what happens after 99 years
- Check sector eligibility in the activity list
Frequently Asked Questions
Is Masdar City a free zone?
Yes, it is an officially designated free zone.
Is Masdar City a good investment?
Yes, thanks to sustainability, sector focus, and strategic advantages.
What happens after 99 years of leasehold in Dubai?
Lease agreements are subject to renewal; check with legal counsel and authorities.
Who owns Masdar City?
Masdar (Abu Dhabi Future Energy Company), a Mubadala subsidiary.
