The Benefits of Registering an Offshore Company in RAK

Just like Dubai, Ras Al Khaimah (RAK) is one of the most developed economies in the UAE. The government policies, high-quality infrastructure, and friendly trade relations with nearby countries attract foreign investors to set up their offshore businesses in the region, especially at the Ras Al Khaimah International Corporate Centre(RAKICC).  RAK offshore company registration at RAKICC operates in full compliance with international standards and follows best practices as well. Investors and entrepreneurs can establish a tax-free business as well as keep their investments confidential in Ras Al Khaimah offshore company formation. Moreover, it can be established within a short period.

RAK offshore company registration, with its best practices and policies, is the best and the most desirable choice for offshore companies set up in the United Arab Emirates.

This does not end here! Offshore company formation in Ras Al Khaimah has many more perks and benefits for the business as well as the business owners. So, let’s get into the detail of it step by step. 

What is an offshore company? 

An offshore company in the UAE is a legal entity that operates outside its registered jurisdiction. Simply put, the company might be registered in any of the jurisdictions of the UAE, but it exists and operates outside its borders. In other words, it is a tax-efficient and cost-effective method for companies to conduct business on a global level. 

There are mainly three jurisdictions in the UAE that permits offshore company formation – 

• Ras Al Khaimah (RAK) 
• Jebel Ali Free zone (JAFZA)
• Ajman 

RAK offshore company registration 

Ras Al Khaimah is a well-served zone with its own international airport and other significant airports nearby, such as Sharjah International Airport, Dubai International Airport, etc. Moreover, it is the fastest-growing, developed, and stable emirates in the UAE. Notably, RAK is the first entity that paves way for the registration of International Business Companies (IBC) in the entire Middle East region. Currently, RAK is home to over 2000 IBCs that provide different services. 

Ras Al Khaimah Investment Authority (RAKIA) handles all the formalities related to RAK offshore company registration. Additionally, it oversees the socio-economic growth of the emirate by taking care of its rising demand for offshore business markets. 

Benefits of Ras Al Khaimah offshore company formation 

For RAK offshore companies, there is a mandatory requirement of one company director and one shareholder for registration and licensing. Apart from that, the investor has to fulfill the condition of minimum capital fixed by the RAK authorities before company registration. Nonetheless, the investors tend to choose RAK for their business setup for several other reasons, such as – 

• Multiple business activities 

RAK allows offshore company owners to engage in multiple business activities except for finance and insurance, such as trading, property holdings, provision of professional services, etc. 

• Confidentiality and privacy 

According to the firm laws followed in Ras Al Khaimah, offshore companies are given the advantage of privacy and the details of the IBC owners and shareholders are kept confidential. This is one of the major reasons why investors, entrepreneurs, and businessmen strive for Ras Al Khaimah offshore company formation. 

• Taxation benefits 

RAK offshore provides a tax-free atmosphere to new companies and investors, which promotes transparency in business and help owners gain complete returns as well. Furthermore, it also adheres to Double Tax treaties named Double Taxation Avoidance Agreement. A DTT is an agreement that helps foreign investors and international entrepreneurs to avoid paying taxes in the two countries they transit to. 

• Owning bank accounts 

RAK offshore company registration allows owners/investors to open multiple bank accounts with Dubai-based banks and international banks located outside the UAE as well. 

• Unrestricted investments 

Compared to other jurisdictions in the United Arab Emirates, RAK does not bound the offshore company owners with several rules and regulations. Moreover, RAK offshore has its own set of guidelines laid by the RAK Investment Authority(RAKIA) that presents Ras Al Khaimah as an independent overseas territory for international investors. 

• Asset protection 

RAK offshore provides a strong and reliable platform for investors in terms of protecting their assets. It helps them create a legal wall between their offshore company assets and the creditors. As compared to domestic business structures, this is a great benefit provided to the offshore companies by the RAK authorities. 

• Lawsuit protection 

Lawsuit protection in RAK allows protection of the company possessions in case of legal allegations or judgments. Therefore, RAKIA ensures beforehand that the company is incorporated ethically with thorough checks and verifications. However, if any legal situation arises, the authority assures the protection of these possessions.

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Other major advantages of offshore company formation in RAK – 

• Complete ownership of the business
• No restrictions on foreign currency 
• Full repatriation of capital and profits 
• No requirement for a local sponsor or shareholder 
• Absolute protection of assets and information 
• Allows owning real estate and properties in Dubai and the UAE
• No accounting necessities 
• Allows registration of the company with a single shareholder 
• Easy renewal process 
• Convenient documentation in the English language 
• No need to submit annual audit reports
• White-listed offshore jurisdiction fully compliant with international regulations 
• Allows holding intellectual properties like patents, trademarks, and copyrights. 

Procedure for RAK offshore company registration 

The steps for offshore company formation in RAK are quite simple. 

• Determine your business activities 
• Select a company name 
• Gather the relevant documents for registration 
• Submit the application to the RAK offshore authorities for incorporation 

If the documentation is clear and complete, the whole process generally takes five to seven working days. 

Documents required for offshore company registration in Ras Al Khaimah 

The general documents required for the individual as well as corporate shareholders include the following – 

• Valid passport copy 
• UAE visa/entry permit/residence proof
• Original reference letter from the bank 
• Certificate of incorporation (for corporate shareholders) 
• MOA & AOA 
• Board resolution 
• Power of attorney
• Updated CV/Profile of the director or shareholder 
• Certificate of good standing 

Some of the aforementioned documents and photocopies must be legally attested and notarized from the home country. Most importantly, the RAK offshore company owner must acquire a suitable license from the concerned authority before carrying out business with UAE residents or conducting any trade in the UAE. 

RAK offshore company license is valid for one year. The owner must remember to renew the license accordingly. 

Conclusion 

RAK offshore supports a vast range of companies. Moreover, it offers the facility to cover multiple business activities such as general trading and professional services under one license. A highly conducive business environment for both individual and corporate investors is an added advantage in RAK offshore company registration. 

Now that you are well aware of the inner details of the RAK offshore company formation, you can proceed with your business setup plan in the emirate along with some professional assistance. 

Shuraa Business Setup offers customized services to companies registering offshore businesses in the Ras Al Khaimah.  With our enduring relationships with key government bodies and regulatory authorities of the UAE, we can provide speedy documentation and registration services and also assure to deliver outstanding results. Whatever your business queries may be, we are always there to provide you with the best solutions.

So, connect with us now and share your business needs. Get in touch with our experts at +97144081900 and get a free consultation. For further inquiries, chat with us on +971507775554 (WhatsApp) or write to us at info@shuraa.com.