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ADGM Tech Startup License

Are you an innovative tech-driven startup? Get your low-cost operating license in ADGM via the Clara platform.

An introduction to the ADGM Tech License

ADGM Tech License

The ADGM Tech Startup License encourages entrepreneurship in the region by removing cost as a barrier to entry for technology-driven startups. Eligible startups will benefit from the discounted licensing fee structure for up to 5 years of operations in ADGM. Successful applicants will receive an operational license through which they can set up their bank account, commence invoicing activities and apply for employee visas. Before you start incorporating your ADGM Tech Startup License on the Clara platform, learn more about the requirements for this type of license.

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Key considerations

Not all startups are eligible for an ADGM Tech Startup License. An application must include a detailed business plan demonstrating that the company is a technology-driven startup with an innovative business concept that has the potential to scale, promotes innovation, can be deployed in the UAE, and contributes to the development of the local economy. Simply using technology within the business is insufficient; there must be an element of technology innovation.

This type of license does not cover regulated financial services, consumer retail or manufacturing. Conducting activities outside of the ADGM free zone is also not permitted unless the startup meets the requirements of the Abu Dhabi DED dual licensing requirements and obtains a DED license.

There are two types of ADGM Tech Startup Licenses available: Seed and Emergent. The license available to a startup will depend on the stage of maturity which is based on full-time employees and years of operation in the UAE. The licensing fee payable to ADGM vary depending on the type of license applicable to the startup.

There is no minimum share capital and no maximum number of shares or shareholders for an ADGM Tech Startup License. Entrepreneurs from any country can apply for a license, but they will need to appoint at least one signatory who is a UAE Resident or GCC National. Clara can provide nominee signatory services.

The incorporation application, renewal filings and ongoing administration of an ADGM Tech Startup License is entirely digital and documents can be signed digitally. There are minimal annual obligations with no need to hold an annual shareholder meeting unless requested by the shareholders and reduced financial reporting requirements.

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