Emirates Investment Corporation...

Abu Dhabi expands company licence package to boost growth

Service allows UAE residents, GCC nationals to start business without the need for an office

Abu Dhabi: The Abu Dhabi Department of Economic Development announced on Sunday that it has expanded Tajer Abu Dhabi licence package scheme by opening it up to all GCC nationals and UAE residents, in addition to increasing the number of commercial activities to more than 1,000.

Tajer Abu Dhabi was originally launched late last year, allowing only Emiratis to establish businesses in 100 different business activities without the need of an office.

The scheme has now been expanded to 1,057 commercial activities, with GCC nationals and UAE residents being allowed to start their business without having an office space or physical presence, according to a statement from the department. Legal formats accepted under Tajer Abu Dhabi licence have also been expanded to include a one-person company for Emiratis, a one-person company for GCC nationals, and limited liability company for residents in partnership with Emiratis.

“Our goal is to improve the ease of doing business in Abu Dhabi, especially for entrepreneurs and SMEs, which are a key engine of the national economy and have been identified as one of the most important strategic drivers of future growth,” said Saif Al Hajeri, chairman of the Department of Economic Development-Abu Dhabi.

“Tajer Abu Dhabi allows them to start their businesses at a much lower cost since they no longer have to invest in office space and all the associated costs. This will allow them to focus both time and money at the important early stages of their business into growth and innovation, further increasing their contribution to the economy.”

According to the department, the scheme has been expanded as a result of the high demand from Emiratis in the first phase.

The Department issued 1,800 licences within six months, representing around 20 per cent of the total number of economic licences issued in the emirate during the same period.

The expanded Golden Package of Tajer Abu Dhabi includes commercial activities under seven categories — namely, business and contracting, commerce, services and operations, consultancy and design, transportation and management, sales and maintenance and productive local families.

The package also helps businesses on social media to grow and develop as the licence allows them to transact as an entity and therefore export and import, open bank accounts and work with government entities, according to the department.

Y. Sudhir Kumar Shetty, president of the Indian Business and Professional Group in Abu Dhabi, expects a jump in the registration of new establishments due to the latest decision by the government.

“We are in the digital world now and for most of the businesses, a physical presence of an office is not essential whether it is for marketing or distribution of products or services. These things can be done digitally,” said Shetty, who is also the president of UAE Exchange.

“I foresee many new establishments getting registered because of the convenience, as well as due to the cost effectiveness involved.”

The new initiative comes as Abu Dhabi takes measures to boost growth and increase its revenue in the wake of low oil prices that has slowed its economy in the last few years.

In June, His Highness Shaikh Mohammad Bin Zayed Al Nahyan, Abu Dhabi Crown Prince and Deputy Supreme Commander of the UAE Armed Forces, announced an economic package of Dh50 billion to accelerate the pace of Abu Dhabi’s development and economic growth over the next three years.

 

Source : Gulf News

Scroll to top
Loading...