ADGM Proposes Licensing Regime for Business Centre Operators

ADGM's Registration Authority has opened consultation on a new regulatory framework for business centre service providers, aimed at protecting tenants and ensuring continuity of premises and registered office arrangements. The paper proposes licensing conditions, capital rules and operational safeguards. Operators, company service providers and tenants have until 6 November 2026 to respond.

• The RA proposes designating business centre services as a controlled activity under the Commercial Licensing Regulations.
• Licensed providers would need public liability insurance, clear pricing disclosures and limits on client agreement terms.
• Proposed rules include notification, wind-down and contingency planning requirements plus minimum regulatory capital.
• The framework would prohibit accepting or distributing cash above a prescribed threshold.
• The consultation period for Consultation Paper No. 7 of 2026 closes on 6 November 2026.