KIZAD – Khalifa Industrial Zone Abu Dhabi Free Zone Company Formation

What is KIZAD?

Khalifa Industrial Zone Abu Dhabi (KIZAD) is a vast industrial and logistics hub created under the Abu Dhabi Economic Vision 2030 to diversify the emirate’s economy. Spanning more than 417 km² and positioned between Abu Dhabi and Dubai, KIZAD leverages its proximity to the deep-sea Khalifa Port to provide access to global shipping lanes and more than 4.5 billion consumers. The zone is a flagship project of Abu Dhabi Ports, offering state-of-the-art infrastructure, customizable industrial plots and a business-friendly regulatory framework. By clustering heavy and light industries alongside logistics, retail and residential developments, KIZAD creates operational synergies and supports Abu Dhabi’s drive toward sustainable, non-oil growth.

Benefits of KIZAD Free Zone Company Formation

100 % Foreign Ownership & Profit Repatriation

KIZAD allows complete foreign ownership with full repatriation of profits and capital. You retain total control of your enterprise without a local sponsor.

Strategic Location & Multi-modal Connectivity

Situated between Abu Dhabi and Dubai, KIZAD neighbors the region’s most advanced deep-sea port. Its road, sea and air links provide access to a combined consumer market of over eight million people.

World-Class Infrastructure & Industry Clusters

It offers modern warehouses, industrial units and logistics parks. Purpose-built facilities and industry clusters foster collaboration and efficiency. Businesses benefit from advanced utilities and on-site labour housing.

Tax & Customs Incentives

Companies operating in KIZAD enjoy 0 % corporate and personal tax, zero customs duties on goods within the zone and exemption from import/export duties. Profits can be fully repatriated.

Business-Friendly Regulatory Environment

KIZAD’s transparent regulatory framework streamlines the setup process. Dedicated client-relationship executives issue licenses within days, guide investors on company type and facility selection, and assist with visas.

Flexible & Scalable Facilities

From light industrial units of 300 m² to warehouses exceeding 12,000 m², KIZAD caters to startups and multinational corporations alike. Facilities can be combined, expanded or customized to suit your needs.

Business Activities

KIZAD welcomes a diverse array of industrial, commercial and service activities.

Industrial Activities

Manufacturing & Production

Allows companies to manufacture, assemble, process or fabricate goods using imported or local raw materials. This includes sectors like food processing, steel fabrication, aluminum smelting, plastics, machinery, and automotive parts.

Packaging & Labelling

Permits businesses to package, repack or relabel goods for distribution or export. Ideal for companies in FMCG, pharmaceuticals, and export-oriented industries looking to optimize supply chains from within the UAE.

Heavy Industries

Designed for capital-intensive sectors such as petrochemicals, metal works, shipbuilding and oil & gas equipment manufacturing. These activities often require large plots, heavy machinery and strict compliance with regulatory and environmental guidelines.

Light Industrial Activities

Suited for small to medium production operations such as electronics assembly, cosmetics manufacturing, printing, and fashion/apparel production. These require smaller units and less power-intensive infrastructure than heavy industries.

Trading Activities

Import & Export

Authorizes the international trade of raw materials, semi-finished or finished goods. Traders can import into KIZAD, warehouse goods duty-free, and re-export globally without customs levies.

Wholesale Distribution

Enables companies to distribute goods in bulk to other businesses (B2B) within or outside the UAE. Goods can be stored in KIZAD’s bonded warehouses until sold or shipped.

General Trading License

Suitable for companies dealing with more than 17 product types or mixed categories (e.g., electronics, garments, food). This license offers broad flexibility and is common among import-export firms, distributors and supply chain operators.

E-Commerce Trade

Businesses can store, manage, and ship products sold via online platforms globally or locally. KIZAD’s logistics infrastructure supports seamless last-mile delivery and cross-border fulfillment.

Service Activities

Management & Consultancy Services

Covers advisory firms in sectors like HR, business management, strategy, finance, education, legal consultancy, and project management. These businesses typically require only office space and minimal staff.

Logistics & Supply Chain Services

Includes freight forwarding, cargo handling, inventory management, warehousing, and 3PL services. Given KIZAD’s proximity to Khalifa Port and multi-modal infrastructure, logistics firms gain operational and cost advantages.

Marketing, Media & Advertising

Permits agencies to offer digital marketing, media buying, content creation, event management, and public relations services. These can cater to regional clients across multiple industries.

IT & Tech Support Services

Covers companies offering software development, IT infrastructure maintenance, cybersecurity, AI, and digital transformation services. These businesses can also serve clients across the UAE and globally.

Food & Hospitality Services

For setting up cafeterias, catering services, food trucks, or staff canteens within industrial clusters. These serve the resident workforce and industrial tenants.

Education & Training Providers

Authorizes businesses to offer vocational training, skill development, and certification programs for workers and professionals across industries such as manufacturing, logistics, and IT.

Types of Legal Structures / Entities

Limited Liability Company (LLC)

LLC provides limited liability to its shareholders; it is restricted to each shareholder’s capital contribution. The minimum paid-up capital is AED 150,000, and ownership can include individuals, corporations or a mix of both.

Free Zone Company

This structure is designed for companies wholly owned by foreign investors. It offers 100 % ownership, full profit repatriation and tax exemptions, making it suitable for international firms targeting global markets.

Branch Office

Companies already registered outside KIZAD can establish branches within the free zone. Branches do not require paid-up capital; they operate under the parent company’s name and are ideal for expanding existing operations.

Non-Free Zone LLC / Branch

Within KIZAD’s ‘B’ region, investors can form non-free zone companies that permit operations throughout the UAE. These structures are subject to UAE Commercial Companies Law and may require local shareholding.

Types of Licenses Available

KIZAD offers four main types of licenses, each tailored to suit different business models and operational needs.

Industrial License

For businesses involved in manufacturing, processing, assembling, packaging, and exporting goods. It allows companies to import raw materials, create finished products, and distribute them locally or globally. Typical holders include manufacturers, engineering firms, chemical plants, and food processing units, often requiring industrial plots or warehouses. Key benefits include zero import/export duties, access to advanced infrastructure, and proximity to Khalifa Port for global reach.

Trading License

Permits companies to import, export, distribute, and warehouse goods across defined categories such as electronics, textiles, automotive, and FMCG. Ideal for wholesalers, import-export houses, and distributors managing cross-border trade. Businesses enjoy the flexibility to handle multiple products under one license and serve both regional and international markets. Advantages include duty-free storage, simplified customs procedures, and unrestricted currency movement.

General Trading License

It allows businesses to deal in multiple, unrelated product categories often more than 17 under one license. It is best for companies with diverse portfolios like retail chains, hypermarkets, e-commerce firms, and global trading houses. The license offers unmatched adaptability, letting companies shift product lines without frequent amendments. By consolidating trading activities, businesses cut administrative costs and unlock opportunities for broader revenue growth.

Service License

A Service License is designed for companies offering professional or specialized services rather than goods. This covers consultancy, IT, logistics, marketing, travel, hospitality, and more, with sector-specific approvals if required. It suits consultancies, freight forwarders, software developers, and agencies that primarily need office space rather than industrial setups. Service providers gain access to domestic and international markets while leveraging KIZAD’s business ecosystem for growth.

Step-by-Step Setup Process

1. Research & Activity Selection

Start by analyzing your business model and identifying the specific activities permitted in KIZAD. Review industrial clusters, facility options and licensing categories to ensure your business aligns with regulatory requirements and growth projections.

2. Trade Name Reservation

Choose a unique name that reflects your brand and complies with the UAE naming conventions. The chosen name should not violate public morals or existing trademarks. You then reserve the name through the KIZAD authority and obtain an initial trade name certificate.

3. Application Submission & Initial Approval

Prepare and submit the company application along with required documents (passport copies, NOC, business plan). KIZAD’s executives review the application and, upon satisfaction, issue an initial approval. This approval allows you to proceed with leasing and licensing formalities.

4. Licensing & Approvals

Select the appropriate license (industrial, trading or service) and pay the requisite fees. Obtain approvals from sector-specific regulators, such as the DED, environmental bodies or health authorities, depending on your activity. After compliance checks, the final license is issued.

5. Office/Warehouse Space Allocation

Choose and lease a facility within KIZAD that matches your operational requirements, whether it’s a light industrial unit, warehouse or office space. Finalize the lease agreement and ensure the facility meets health, safety and technical specifications.

6. Visa Processing

After licensing, apply for residence and employment visas for shareholders, managers and employees. KIZAD facilitates visa quotas based on your leased space and business activity. Submit visa applications, medical fitness certificates and Emirates ID forms to obtain residency permits.

7. Bank Account Setup

Open a corporate bank account to manage your finances. Prepare the company’s legal documents, shareholder resolutions and passport copies. Our banking specialists guide you through selecting a suitable bank, meeting compliance requirements and activating online banking services.

Documents Required

  • Passport Copies & Visa Pages

    Provide copies of shareholders’ and directors’ passports and current UAE visa pages. These verify identity and legal residency status and are required for security checks.

  • No Objection Certificate (NOC)

    If applicants are employed in the UAE, a NOC from the current sponsor is mandatory, demonstrating that your sponsor permits you to establish a new business.

  • Proof of Address & Contact Details

    Recent utility bills or tenancy contracts confirm the residential address of shareholders/directors and are required for due diligence and communication.

  • Business Plan & Activity Description

    A detailed business plan outlining proposed activities, financial projections and facility requirements helps KIZAD assess feasibility and compliance with zoning regulations.

  • Education & Professional Certificates

    For certain regulated activities, educational qualifications or professional licenses may be required to ensure competence and adherence to industry standards.

  • Bank Reference Letter

    Some banks may request a reference from your existing bank to open a corporate account, demonstrating financial reliability.

How DSA Helps

Dubai Setup Advisors (DSA) simplifies every step of your UAE business formation journey from initial planning to long-term operational support. We’re not just consultants; we’re your on-ground execution partners with deep expertise in UAE legal, regulatory, and commercial frameworks.

Business Planning & Jurisdiction Comparison
Trade Name Reservation & Licensing Approvals
Legal Documentation, Drafting & Translation
Workspace & Tenancy Solutions
Bank Account Opening & Compliance Setup
Visa & Immigration Processing
PRO & Legal Documentation Services
Post-Incorporation Support & Growth Enablement

Why Choose Us?

At Dubai Setup Advisors (DSA), we go beyond basic company registration. We provide strategic guidance, legal clarity, and operational support tailored for global entrepreneurs and investors entering the UAE market. Here’s why clients from over 30 countries trust us to build their presence in the Emirates.

Extensive Experience

End-to-End Service

Transparent Pricing

Global Perspective

Personalized Approach

Comprehensive Network

FAQs

Yes. KIZAD permits full foreign ownership for free-zone companies. This means international investors can retain complete control and repatriate all profits, unlike some mainland jurisdictions that require local shareholding.

With complete documentation, KIZAD’s client relationship executives can issue licenses within a few working days. However, the entire process including leasing and visa approvals typically takes several weeks. Engaging an experienced consultant like DSA helps expedite the timeline.

A KIZAD Limited Liability Company requires a minimum paid-up capital of AED 150,000, though certain activities may demand higher capital. Branch offices, by contrast, do not need paid-up capital because they operate under the parent company’s capital structure.

KIZAD issues visa quotas based on leased space and business activity. While there is no strict cap on foreign hires, visa allocations must align with your facility size and economic contribution. We assist in negotiating and processing the required visas.

KIZAD’s ‘A’ region is a designated free zone offering 100 % foreign ownership, tax exemptions and customs benefits. The ‘B’ region accommodates non-free zone entities, allowing businesses to trade directly within the UAE mainland but subjecting them to mainland laws and local shareholding requirements.