Set Up & Grow

Mainland or free zone?

Mainland or free zone, the one structural decision that shapes everything after it.

100%
Foreign ownership in most activities
9
Comparison factors your advisers check
3
Ways a licence is issued

Mainland or free zone

Neither route is better in the abstract; the right answer follows from your target market and activities. Selling to the UAE market or contracting with government points to the mainland. International business, funds and holding structures point to a zone.

Selection depends on target market, activities, regulatory requirements and tax considerations. Confirm your case with ADIO or your adviser before filing.

Company registration documents changing hands
WHO LICENSES YOU

ADRA on the mainland, the independent authority of your zone in a free zone.

One table, nine rows

The nine factors your advisers will check, compared across both routes.

MAINLANDFREE ZONE
Regulatory authorityADRA, under ADDED, the central licensing authorityThe independent authority of your zone (e.g. ADGM RA, KEZAD)
Governing lawUAE federal and Abu Dhabi law (civil law)Zone regulations; ADGM applies English common law directly
Market accessDirect access to the UAE mainland marketIn-zone and international; mainland sales via customs or a distributor
Geographic scopeWhole emirate; premises anywhere permittedPremises inside the zone (flexi-desk options exist)
Foreign ownership100% in most activities100%
Licensing scopeFull range of commercial, industrial and professional activitiesActivities defined by the zone's specialisation
Government contractingEligible; ICV score weighs in awardsGenerally requires a mainland presence
Tax treatment9% corporate tax above AED 375,000 profitPotential 0% on qualifying income, subject to substance and compliance
Best suited forSelling to the UAE market, government work, industrial operationsInternational business, funds and holding structures, zone-specific sectors

Two court systems, one choice

Mainland companies sit under UAE civil law in Arabic-language courts; ADGM companies under an independent English common law system, in English.

Al Maryah Island, home of ADGM and Abu Dhabi's financial district
MAINLAND · UAE COURTSADGM COURTS
Legal traditionCivil lawEnglish common law
Court languageArabicEnglish
Best suited forDomestic market operations and government contractingInternational structuring, funds and financial services
Dispute routesUAE Courts, or arbitration by contractADGM Courts, or arbitration by contract
EnforcementJudgments enforceable locally; arbitral awards travel globally under the New York ConventionSame, with reciprocal enforcement arrangements

Not sure which fits? This is the exact question ADIO advisors resolve in the first conversation.

Talk to ADIO

Find your free zone, live on the map.

Answer three quick questions. We score every Abu Dhabi free zone live on the map and reveal the one that fits you best.

ADGM
Abu Dhabi Global Market
MASDAR
Masdar City Free Zone
ADAFZ
Abu Dhabi Airport Free Zone
ICAD
Industrial City of Abu Dhabi
KEZAD
Khalifa Economic Zones Abu Dhabi
TWOFOUR54
twofour54
TIP
Tawazun Industrial Park
NIBRAS
Nibras Al Ain Aerospace Park

Three ways a licence is issued

01
Standard licence

The default route: activity approval, trade name, documents, then issuance.

02
Instant licence

For eligible activities through TAMM, with documents completed in the first year.

03
Dual licence

Lets an eligible free zone company also operate onshore, one company, both markets, where permitted.

NEXT STEP
Route the decision with ADIO

Bring your activities and target market; leave with a structure, a zone shortlist and the document list.