Family office in Abu DhabiOverview
Abu Dhabi has become a serious destination for family capital, helped by the presence of sovereign investors, a deep pool of private credit and private equity managers, and a government that actively courts family offices. ADGM, established by Federal Decree No. 15 of 2013 and Abu Dhabi Law No. 4 of 2013, operates its own civil and commercial legal system. English common law and equity apply directly through the Application of English Law Regulations 2015, the ADGM Courts hear disputes, and legislation is published in English. This page covers ADGM only; for the DIFC regime in Dubai and a side-by-side comparison, see our Dubai family office guide.
Single family office activity in ADGM is a controlled activity licensed by the Registration Authority under the Commercial Licensing Regulations. The family is defined broadly: blood relations, step-children and adopted children, and all their ancestors and descendants, with no generational cut-off. A licensed SFO may provide concierge, HR, strategic and risk management, tax and wealth planning, investment management, legal and regulatory support, act as a holding company and serve family trusts and foundations, but only for that one family. ADGM's published requirement is minimum family net assets of USD 10 million, following a 2025 reduction from the USD 30 million threshold introduced in September 2024. ADGM lists the SFO incorporation fee at USD 5,600 and annual renewal at USD 5,300, with no minimum share capital, no minimum bank balance and no audit requirement under ADGM company law.
Privacy is achieved through the Restricted Scope Company (RSC) form under the Companies Regulations 2020. An RSC's public register shows only its name, licensed activity, form, registered address and registration date; shareholders and directors are not published, and accounts need not be filed with the Registrar. An SFO-linked RSC may be owned only by natural persons from the same family, and transfers to outsiders are void. Reduced public disclosure does not reduce compliance disclosure: beneficial ownership must be recorded with the Registrar, the AML framework applies, and UAE corporate tax rules may still require audited financial statements.
Above the operating office, families usually place an ADGM foundation or a trust with a private trust company. Foundations under the Foundations Regulations 2017 have separate legal personality, no shareholders, a public charter and private by-laws, a council of at least two councillors, and an optional guardian that becomes compulsory after the founder's death or for purpose foundations. ADGM trusts are governed by English trust law supplemented by the Trusts (Special Provisions) Regulations 2016, which protect ADGM trusts from foreign heirship claims and allow protector powers. Persons carrying on trust business by way of profession need FSRA authorisation; a properly structured PTC acting only for one family's trusts is the usual private alternative. Corporate tax is federal: a family foundation meeting Article 17 of Federal Decree-Law No. 47 of 2022 can apply to the FTA to be treated as tax transparent, and the FTA's June 2026 update of its family foundations guide confirmed that a family office earns 0% on fees only if its activities are regulated by a competent authority such as the FSRA.
Key benefits
- Direct application of English common law and equity, with independent ADGM Courts and English-language legislation
- A broad family definition with no generational limit, suited to large, multi-branch Gulf and international families
- Low entry threshold of USD 10 million family net assets and modest, fixed ADGM fees
- Privacy through the Restricted Scope Company, which keeps shareholders and directors off the public register
- Foundations, trusts and PTCs available in the same jurisdiction as the operating office
- No UAE personal income tax, a 0% corporate tax path for qualifying income and over 100 tax and investment treaties signed by the UAE
- Proximity to Abu Dhabi sovereign and institutional investors and a growing community of global asset managers on Al Maryah and Al Reem Islands
- Eligibility of family members and staff for UAE residence visas, including Golden Visa categories where criteria are met
Requirements
- Single family status: the office must serve only one family as defined in the Controlled Activities Rules; serving a second, unrelated family or third parties takes the office outside the SFO licence
- Family net assets of at least USD 10 million, evidenced to the Registrar through statements, valuations or an accountant's or bank confirmation
- A business plan describing services, governance and the family tree, submitted before the online application
- ADGM registered office address, directors and officers whose identity and background are verified by the Registrar, and a company secretary where the company form requires one
- If an RSC is used, ownership limited to natural persons of the same family and annual returns filed with the Registrar of Companies
- Beneficial ownership information recorded and updated under the ADGM Beneficial Ownership and Control Regulations 2022
- AML/CFT compliance under Federal Decree-Law No. 10 of 2025 and the ADGM AML framework, including sanctions screening and source-of-wealth records
- Multi-family offices: FSRA Financial Services Permission, approved individuals (senior executive officer, compliance and MLRO roles), capital of at least USD 10,000 or 6/52nds of annual expenditure, and ongoing reporting
- UAE corporate tax registration, annual returns and, for Qualifying Free Zone Persons and larger taxpayers, audited financial statements
- CRS and FATCA due diligence and reporting where an entity is a reporting financial institution, typically investment entities managed by a financial institution
Structure designs
ADGM Single Family Office (RSC or private company)
USD 10 million family net assets
A company licensed for the single family office controlled activity, usually incorporated as a Restricted Scope Company. Suits families that want a regulated-light Abu Dhabi base for investment oversight, administration and governance without FSRA authorisation.
ADGM foundation as the family holding
A foundation under the Foundations Regulations 2017, with initial assets as low as USD 100, owning the SFO, holding SPVs and investment portfolios. Suits families seeking continuity beyond the founder, a guardian role and, if Article 17 conditions are met, tax transparency for UAE corporate tax.
Trust with an ADGM private trust company
An ADGM or foreign-law trust administered by a PTC owned by a purpose trust or foundation, with family members and advisers on the board. Suits families used to common-law trusts who want control over trustee decisions and protection from forced heirship claims.
FSRA-authorised multi-family office
Capital from USD 10,000 or expenditure-based
A firm with a Financial Services Permission, commonly Category 4 for advising and arranging, serving several families. Suits families that want to share costs with relatives outside the SFO definition or open the office to other clients, accepting full conduct, prudential and AML supervision.
Holding SPV and private fund layer
ADGM SPVs, limited partnerships or an exempt or qualified investor fund for co-investments, real estate and private markets, sitting under the foundation or trust. Suits families that ring-fence asset classes or co-invest with partners.
Step-by-step process
- 1
Strategy and perimeter review
Map the family, assets, residence plans and services needed; confirm whether the SFO definition fits or whether FSRA authorisation is required, and choose between ADGM, DIFC or a combination.
- 2
Structure and tax design
Design the foundation or trust, PTC, SFO and holding layer, and model corporate tax outcomes, including Qualifying Free Zone Person conditions and any Article 17 family foundation application.
- 3
Business plan and KYC file
Prepare the business plan, family tree, net asset evidence, source-of-wealth narrative and KYC for founders, directors and beneficial owners.
- 4
Registry application
Create a profile on the ADGM online registry, submit forms and documents, pay fees and respond to Registrar queries until the licence is issued electronically.
- 5
Banking, tax and visas
Open UAE bank and custody accounts, register for corporate tax with the FTA, lease or designate ADGM premises, and apply for establishment cards and residence visas for family members and staff.
- 6
Governance and ongoing compliance
Adopt a family charter and investment committee terms, then maintain annual returns, licence renewals, beneficial ownership updates, AML records and tax filings.
Typical documents
- Business plan for the single family office or foundation, including services and governance
- Family tree showing the relationship of all owners and beneficiaries
- Evidence of family net assets of at least USD 10 million
- Certified passports, proof of address and CVs for founders, directors and councillors
- Source-of-wealth and source-of-funds statement with supporting evidence
- Draft articles of association, foundation charter and by-laws, or trust deed
- Lease or registered office confirmation in ADGM
- Board and shareholder resolutions and specimen signatures
- Bank reference letters and, for corporate shareholders, constitutional documents and registers
- For an MFO: FSRA application forms, regulatory business plan, compliance manuals and financial projections
How Legal Wealth helps
Legal Wealth works alongside the family and its legal and tax advisers to decide whether ADGM, the DIFC or a combination best fits, and to build a structure that is documented, transparent and defensible. We prepare the business plan, family tree and net asset evidence, assemble a thorough source-of-wealth file, coordinate filings with the ADGM Registration Authority and, where needed, the FSRA, align foundations, PTCs and holding companies with UAE corporate tax rules, and support banking, residence visas and family governance documents. Engagements are handled discreetly on a need-to-know basis, tax opinions are given by licensed advisers, and enquiries are welcome at info@legalwealthglobal.com.
Enquire with Legal WealthFrequently asked questions
What is the minimum wealth needed for an ADGM single family office?
ADGM currently requires minimum family net assets of USD 10 million. The threshold was set at USD 30 million in September 2024 and reduced in 2025. There is no minimum share capital and no minimum bank balance for the SFO company itself.
Does an ADGM single family office need an FSRA licence?
No. An SFO serving one family is licensed by the Registration Authority for a controlled activity and does not need a Financial Services Permission. If it serves more than one family or offers services to third parties by way of business, FSRA authorisation is required.
Will my ADGM family office pay 0% corporate tax?
Not automatically. 0% applies only to qualifying income of a Qualifying Free Zone Person that meets substance, audit and de minimis conditions. The FTA has stated that management and investment fees earned by a family office benefit from 0% only if the activities are regulated by a competent authority such as the FSRA. Other taxable income above AED 375,000 is taxed at 9%.
Can an ADGM foundation be tax transparent?
Yes, if it qualifies as a family foundation under Article 17 of Federal Decree-Law No. 47 of 2022 and the FTA approves the application. Broadly, it must be established for identified individuals or public benefit, hold assets passively and not carry on business. An LLC cannot elect transparency on its own, but a company wholly owned by a qualifying foundation can be treated as transparent under the multi-tier rules.
How private is an ADGM family office?
With a Restricted Scope Company, shareholders and directors do not appear on the public register and accounts are not filed publicly. A foundation's by-laws are private. However, beneficial owners are recorded with the Registrar, and information is shared with competent authorities, banks under KYC and tax authorities under CRS where applicable.
How does an Abu Dhabi family office compare with Dubai's DIFC?
ADGM's threshold is USD 10 million and its family definition has no generational limit; the DIFC requires USD 50 million and defines the family by a common ancestor up to three generations back, but offers a Family Business Register. Many families choose based on where they live and invest, and some use both centres. See our Dubai family office guide for the DIFC detail.
Last reviewed: 2026-10. Requirements, fees and timelines change. Information is general, reviewed on the date shown, and is not legal or tax advice.
