Abu Dhabi Free Zones List: ADGM, KEZAD, ADAFZ, Masdar Compared

By UAE Freezone Finder Team | Updated October 2026

Which are the main free zones in Abu Dhabi?

When people search for an Abu Dhabi free zones list, they usually want to know which zone fits their business, not just the names. Four zones come up most often: Abu Dhabi Global Market (ADGM), Khalifa Economic Zones Abu Dhabi (KEZAD), the Abu Dhabi Airport Free Zone (ADAFZ) and Masdar City Free Zone. Abu Dhabi has other zones and specialist clusters too, but these four cover the majority of founder enquiries and illustrate the main trade-offs.

Each one targets a different kind of company. ADGM leans towards financial services, professional firms and technology businesses that want a recognised legal framework. KEZAD is built around industry, manufacturing, logistics and trading. ADAFZ sits beside the airport and suits companies that value access to air logistics and flexible commercial space. Masdar City Free Zone is positioned around sustainability, clean energy, technology and early-stage innovation.

Mainland versus free zone in Abu Dhabi

A free zone company is generally licensed by the zone authority, not by the Abu Dhabi Department of Economic Development, and is typically intended for activities within the zone and for international trade. If your main customers are inside the UAE, check whether a free zone licence lets you serve them directly or whether you need a distributor or a mainland arrangement. A business setup adviser can walk through this before you pay for any licence.

How do ADGM, KEZAD, ADAFZ and Masdar compare at a glance?

The table below summarises who each zone suits and shows the indicative fees that we have on record. These are figures reported as of the dates shown, and they must be confirmed with the free zone authority or a current quote before you rely on them. We do not add them together, because the mix of licence, visa and premises you need will differ from case to case.

What is ADGM and who should consider it?

ADGM is an international financial centre located on Al Maryah Island and Al Reem Island. Its distinguishing feature is that it applies English common law, which many international founders, investors and banks find familiar. It has a financial regulator and a registration authority, and it licenses both regulated financial activity and non-financial commercial businesses.

Licence categories and indicative fees

The figures we hold for ADGM, reported as of 22 August 2026 and subject to confirmation, include a Tech Startup Licence at AED 5,509 per year, a Commercial Category C Retail Licence at AED 10,283 per year, a Commercial Category B Non-Financial Licence at AED 21,301 per year and a Financial Services Category A Licence at AED 62,433 per year. Employment visas were reported at AED 3,237 per person for a two-year visa, and a data protection fee at AED 1,102 per year. Regulated financial activity involves approval from the financial regulator, so the licence fee is only one part of the process.

Who ADGM suits

ADGM fits asset managers, advisory firms, fintech businesses, holding structures and technology companies that benefit from a recognised legal system. It may be more than you need if you run a simple trading or e-commerce operation that just needs a licence and a visa. The compliance expectations, particularly for regulated activity, are also more demanding than in a standard commercial free zone.

What is KEZAD and when does it make sense?

KEZAD is a large economic zone operator near Khalifa Port and other logistics assets. It is aimed at businesses that need physical space: warehouses, factories, labour accommodation and industrial plots, alongside trading and service licences that can operate from flexible or desk-based arrangements.

Indicative fees reported for KEZAD

We hold the following figures for KEZAD, reported as of 1 August 2026 and requiring confirmation: a registration fee of AED 2,500, a trade licence of AED 12,000 per year, a flexi-desk of AED 8,000 per year and a residence visa of AED 3,500. The same source reported an estimated total of AED 26,000 for a set-up with one visa and a flexi-desk. Treat that as a starting reference for a minimal set-up rather than a quotation, since it excludes anything specific to your business, such as medical tests, insurance or additional activities.

Who KEZAD suits

KEZAD suits manufacturers, traders, logistics companies and contractors, and companies that expect to grow into warehouse or industrial space. If your business is a small consultancy that never needs a warehouse, a smaller office-based zone may be simpler.

What is ADAFZ and who is it for?

The Abu Dhabi Airport Free Zone sits next to Abu Dhabi International Airport. Its proximity to air cargo and passenger links makes it attractive to businesses that rely on quick movement of goods or people, as well as companies that want flexible commercial space with free zone ownership benefits.

We do not hold verified fee figures for ADAFZ, so we have not quoted any here. Because fees depend heavily on the activity, the premises type and the number of visas, the best approach is to request a current, itemised quote and compare it line by line against the other zones.

Practical points to check at ADAFZ

Ask which activities are permitted under each licence type, what kind of premises (desk, office or warehouse) is available, how many visas are included, and what the renewal terms are. Also ask how the zone treats companies that want to trade with customers elsewhere in the UAE.

What is Masdar City Free Zone and who is it for?

Masdar City Free Zone is built around sustainability, clean technology, renewable energy and innovation. It is a good fit for start-ups, consultancies, research-based businesses and technology firms that want to be part of a community with a clear mission and access to events, partners and shared facilities.

Indicative fees reported for Masdar City Free Zone

Our records, reported as of 1 August 2026 and requiring confirmation, show a registration fee of AED 2,500, a trade licence of AED 14,000 per year, a flexi-desk of AED 9,000 per year and a residence visa of AED 3,500. The same source gave an estimated total of AED 29,000 for a set-up with one visa and a flexi-desk. As with KEZAD, this is a reference point for a minimal set-up and not a quotation.

Who Masdar suits

Masdar suits founders who want a modern, office-based environment and whose business fits the innovation and sustainability focus. It is less suited to heavy industrial operations, which belong in an industrial zone.

How should you choose between these Abu Dhabi free zones?

Start with the business, not with the fee. Use the following questions to narrow the list.

• Is your activity regulated? If you provide financial services or need a regulator, ADGM is likely to be the starting point.
• Do you need physical space? Warehouses, workshops and storage point towards KEZAD or ADAFZ.
• Is your work in technology or sustainability? Masdar City Free Zone may offer a community that matches your sector.
• Who are your customers? International clients are easy to serve from any free zone, while UAE-based clients may require a different structure.
• How many visas will you need? Compare how each zone handles visa quotas and the premises tied to them.
• What will you do in three years? Choose a zone that can grow with you, so you do not have to relocate the company.

Compare like for like

When you collect quotes, ask each zone to price the same package: the same activity, the same number of visas, the same premises type and the same number of years. Only then are the totals genuinely comparable.

How does corporate tax affect an Abu Dhabi free zone company?

Corporate tax applies in the UAE, and free zone companies are treated differently from mainland companies only if they meet the conditions to be a Qualifying Free Zone Person. Qualifying income of such a company is taxed at 0%, while income that does not qualify is taxed at 9% to the extent taxable income exceeds AED 375,000. Whether your income qualifies depends on your activities, your customers and whether you keep adequate substance in the free zone, so take professional tax advice before choosing a structure around the 0% rate.

Substance and record keeping

Whichever zone you choose, you are expected to run the business in a way that matches your licence, keep proper accounting records and meet the registration and filing duties that apply. A cheap licence with poor compliance can cost more in the long run than a well-planned set-up.

What does the set-up process look like in Abu Dhabi?

The broad steps are similar across the four zones, even though the portals and timings differ.

Choose the zone and activity

Confirm that your business activity is permitted and select the right licence category.

Reserve the name and submit the application

Submit passport copies, a business plan or activity description where required and the application form. Some zones also request due diligence information about shareholders and the source of funds.

Sign the premises agreement and receive the licence

After approval, you sign the lease, flexi-desk or office agreement, pay the fees, and receive the licence and establishment documents.

Apply for visas and open a bank account

With the licence issued, you apply for residence visas and then work on corporate banking, which can take longer than the licence itself for some business models. Prepare supporting documents early and describe your business model clearly to the bank.

If you want help comparing options, you can browse the UAE Freezone Finder directory or request a tailored quote that prices the same package across several zones.

Frequently Asked Questions

What is the best free zone in Abu Dhabi for a small start-up?

There is no single best option. Technology and sustainability start-ups often look at ADGM’s Tech Startup Licence or Masdar City Free Zone, while trading and logistics start-ups may prefer KEZAD. Compare an itemised quote from each for the same package.

Are the fees in this article final?

No. They are indicative figures reported as of the dates shown and may have changed. Always confirm them with the free zone authority or request a current quote before you decide.

Can an Abu Dhabi free zone company trade inside the UAE?

It depends on the zone, the licence and the activity. Many free zone companies are designed for international trade and activity within the zone, so check whether you need a distributor or a mainland arrangement to serve UAE customers directly.

Does a free zone company automatically pay 0% corporate tax?

No. The 0% rate applies to qualifying income of a Qualifying Free Zone Person, while other income can be taxed at 9% above AED 375,000 of taxable income. Take tax advice on your own facts.

How long does it take to set up a company in an Abu Dhabi free zone?

Timelines depend on the zone, the activity, the completeness of your documents and any due diligence checks. Ask the zone for its current processing times, and allow extra time for corporate bank account opening.

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