SEO March 24, 2025March 26, 2025 Dubai, UAE – The UAE is one of the most business-friendly countries in the world. For investors and entrepreneurs looking to set up in a regulated and globally recognized environment, DIFC (Dubai International Financial Centre) and ADGM (Abu Dhabi Global Market) are two of the most popular choices. These financial free zones offer advanced infrastructure, legal protection, and easy access to global markets. But to set up successfully, it’s important to understand the legal and compliance requirements with the assistance of corporate law firms in Dubai. Let’s explain the differences between DIFC and ADGM, the steps involved in starting a business there, and how a law firm in Dubai can guide you through the process. Why Set Up in DIFC or ADGM? DIFC and ADGM are special economic zones created to attract international businesses, especially those in the financial and professional services sectors. However, many other industries such as fintech, legal services, consulting, and tech startups are also welcome. 100% foreign ownership and no local sponsor needed Full repatriation of profits and capital Independent legal and regulatory framework based on English Common Law Access to a wide network of financial institutions and service providers World-class infrastructure and business support services No restrictions on hiring foreign talent Understanding the Legal Framework Unlike the mainland UAE or other free zones, both DIFC and ADGM operate under their own legal systems based on common law. This is a major advantage for international investors who are more familiar with this type of legal structure. Types of Business Entities You Can Set Up Both DIFC and ADGM offer flexible options for company structures. Some common types include: Private Company Limited by Shares (Ltd): Suitable for most business activities. Branch of a Foreign Company: Ideal for expanding an existing overseas business. Limited Liability Partnership (LLP): Common for professional service firms. Foundation: Often used for asset protection, wealth planning, or charitable purposes. Special Purpose Vehicle (SPV): Used for holding assets, raising capital, or investment structures. Choosing the right structure with the guidance of lawyers in Abu Dhabi and Dubai depends on your business needs, liability concerns, and growth plans. Steps to Set Up Your Business in Dubai a) Define your business activity Your activity must match what’s allowed by DIFC or ADGM, especially if you are offering financial services. b) Choose your legal structure Select a company type that suits your business model and future plans with the assistance of law firms in Abu Dhabi and Dubai. c) Reserve a company name The name must be unique and follow specific guidelines for each zone. d) Prepare and submit documents These usually include business plan, passport copies of shareholders and directors, articles of association, board resolutions (if applicable), and proof of address and bank reference letters. e) Get regulatory approval If your business is regulated (e.g., financial services), you will need additional approvals from DFSA or FSRA. f) Lease office space Both DIFC and ADGM require companies to have a physical presence. g) Obtain business licenses Once approved, your company will receive a license to operate in the zone. h) Open a bank account You can choose a local or international bank to manage your business finances. Hence, DIFC and ADGM offer excellent opportunities for international businesses in the UAE. Their strong legal systems, global reputation, and business-friendly environment make them ideal for serious investors. However, setting up in these zones requires careful legal planning and full compliance with regulations. Partnering with a reliable law firm in Dubai ensures that your business setup is done correctly. If you’re ready to start your business in DIFC or ADGM, professional legal support from legal advisors in Dubai can help you every step of the way. Fichte & Co Legal Consultancy offers end-to-end support for setting up businesses in DIFC and ADGM. Our expert corporate lawyers in Dubai assist with company structuring, documentation, regulatory approvals, and ongoing compliance. With deep knowledge of UAE business laws, we ensure a smooth and compliant setup process. About Fichte & Co: Fichte & Co Legal Consultancy LLC is one of the top law firms in Dubai. Backed by a team of professional and experienced lawyers, we have been acknowledged for all-around legal aid and support in several areas. The Fichte & Co team is trained to deal with the legal complexities of any scenario and bring the best results for our clients.
