A RAK offshore company is a company that is registered in the Ras Al Khaimah (RAK) free zone. This type of company offers a number of benefits, including tax exemptions and 100% foreign ownership. RAK offshore companies are ideal for businesses that are looking to set up a presence in the UAE or those that want to take advantage of the country’s relaxed company laws. Additionally, RAK offshore companies offer a high level of privacy and security, making them perfect for businesses that operate in sensitive industries
What is RAKICC?
The RAK International Corporate Centre (RAKICC) is a UAE-based company formation and corporate services, provider. RAKICC can help you set up a variety of offshore companies, including limited liability companies, free zones, and special economic zones.
RAKICC also provides a range of corporate services, such as visa processing, banking, and property services. RAKICC was established in 2006 and is headquartered in the city of Ras Al Khaimah, one of the seven emirates that make up the UAE.
RAKICC is licensed by the Ras Al Khaimah Department of Economic Development and is a member of the Ras Al Khaimah Chamber of Commerce and Industry. RAKICC has a team of experienced professionals who are fluent in a variety of languages, including English, Arabic, Russian, and Chinese.
RAKICC can help you set up your offshore company quickly and efficiently, and can provide all the support you need to get your business up and running
The Role of RAKICC in RAK Offshore Company Formation
The RAK International Corporate Center (RAKICC) is the registered agent for all RAK offshore companies. Established in 2001, RAKICC offers a one-stop-shop for company formation and administration services
Some of the key benefits of forming a company through RAKICC include
– 100% foreign ownership
– No corporate or personal income taxes
– No capital gains tax
– No wealth taxes
– Fast and efficient company formation
– Full range of administrative and secretarial services
Why Form an Offshore Company in RAK
There are many reasons why you might want to form an offshore company in the Emirate of Ras Al Khaimah (RAK). RAK is a tax-free jurisdiction with a variety of benefits that make it an attractive choice for businesses looking to expand their operations or minimize their tax liability
What Kind of Address do You Get?
When you set up an offshore company, you have two choices for your company’s registered address: a physical address or a virtual address. Both have their pros and cons, so it’s important to understand the difference before making a decision
Physical Registered Address
A physical registered address is exactly what it sounds like – an actual location where your company is officially registered. This can be your home country or any other country in the world, but there are some disadvantages to using a physical address.
First, you’ll need to rent or purchase office space in order to use this option. Second, you’ll be responsible for all of the associated costs, such as property taxes, insurance, and maintenance.
Finally, having a physical registered address can make it more difficult to do business in some countries
Virtual Registered Address
A virtual registered address is an address that is not associated with any specific location. Instead, it is a mailbox or mailing address that is used for correspondence purposes only.
This option has several advantages over a physical registered address. First, you don’t need to rent or purchase office space. Second, you don’t have to worry about any of the associated costs. Third, a virtual registered address is not tied to any specific location, so it can be used anywhere in the world
So, which option is right for you? That depends on your individual needs and preferences. If you’re looking for a low-cost, flexible option, a virtual registered address is probably your best bet.
However, if you need a physical space for your business, a physical registered address is the way to go
What about Bank Accounts? Can they be opened?
Yes, it is possible to open a bank account for an offshore company. However, there are some restrictions and requirements that must be met in order to do so. For example, most banks will require that the company have a physical presence in the country where the bank is located.
Additionally, the company will need to provide various documentation, such as proof of incorporation, articles of association, and shareholder information. Once the account is opened, the company will need to comply with various regulations, such as reporting requirements
The Benefits of Forming an Offshore Company in RAK
Here are some of the key benefits of forming an offshore company in RAK
- Tax-free environment: RAK is a tax-free jurisdiction, which means that you will not have to pay any corporate taxes on your profits. This can be a significant advantage for businesses looking to maximize their profits
- Flexible incorporation requirements: The requirements for incorporating a company in RAK are relatively flexible, making it easy to set up your business.
- No restrictions on foreign ownership: RAK does not place any restrictions on foreign ownership, so you can own 100% of your offshore company
- Ease of doing business: RAK is ranked as one of the easiest places in the world to do business, making it a convenient location for businesses looking to establish a presence in the region.
- Excellent infrastructure: RAK has excellent infrastructure, with a wide range of telecommunications and banking facilities available. This makes it easy to do business in the Emirate.
- Secure and stable jurisdiction: RAK is a secure and stable jurisdiction, which means that you can be confident that your business is in safe hands
How to Set Up an Offshore Company in RAK?
Offshore company formation in RAK is a simple process that can be completed in just a few steps. The first step is to choose a suitable jurisdiction for your company. There are many offshore jurisdictions available, each with its own advantages and disadvantages. You will need to consider factors such as taxation, regulation, and ease of setting up and running the company
The second step is to gather the required documents for company registration. These typically include the company name, registered address, memorandum and articles of association, and the names and addresses of the directors and shareholders
The third step is to submit the documents to the relevant authorities and pay the required fees. The process usually takes just a few days, and your company will be registered and ready to operate
Documents required to set up Offshore company in RAK
There are many benefits to setting up an offshore company in RAK, including the low cost of incorporation and the lack of taxation. However, before you can enjoy these advantages, you must first comply with the requirements for setting up an offshore company in RAK
One of the most important requirements is that you must have all the necessary documents in order before you can begin the process of incorporation. The documents required vary depending on your nationality and place of residence, but generally include
– A copy of your passport or ID card
– Proof of address (e.g., a utility bill)
– A company registration form
– The company’s memorandum and articles of association
– The names and addresses of the company’s directors
– The company’s registered address
– Details of the company’s shareholders
– A bank reference letter
If you are setting up an offshore company in RAK for the first time, it is important to seek professional help to ensure that you comply with all the necessary requirements
The Cost of Setting Up a RAK Offshore Company
The cost of setting up a RAK Offshore company will vary depending on the type of company you choose to form, as well as the jurisdiction in which you choose to register it. However, there are some general costs that you can expect to incur when forming an offshore company in the UAE
The first cost you will need to consider is the registration fee. This will vary depending on the type of company you choose to form but typically starts at around AED 2,500. You will also need to pay for annual licensing fees, which cost around AED 1,200 per year. In addition to these costs, you will also need to factor in the cost of setting up and maintaining a corporate bank account. This can range from around AED 2,000 to AED 5,000 per year, depending on the bank and the services you require
You will also need to pay for all of your company’s administrative and legal expenses, such as filing fees and translation costs.
Finally, you will need to budget for travel and accommodation expenses if you need to travel to the UAE to complete the registration process. In total, you can expect to spend between AED 5,000 and AED 10,000 on setting up a RAK Offshore company. However, this cost will vary depending on the specific needs of your business.
Activities Not Allowed for a RAK Offshore Company
The list of activities not allowed for a RAK offshore company is not exhaustive and you should always seek professional advice to make sure your business activities are lawful. Some business activities are considered high risk and may be prohibited in certain jurisdictions. These include, but are not limited to:
1. Trading in arms and ammunition
2. Trading in drugs and other controlled substances
3. Money laundering
4. Terrorist financing
5. Sanctions busting
6. Bribery and corruption
10. Pyramid selling schemes
11. Human trafficking
12. Illegal gambling
14. Animal cruelty
15. Environmental crimes
RAK Offshore Companies are allowed to carry out the following activities:
1. They can own and hold shares in onshore and offshore companies.
2. They can undertake any lawful activity outside the UAE.
3. They can hold and manage intellectual property rights.
4. They can conduct business in free zones and with foreign entities.
5. They are exempt from personal and corporate taxes.
6. They are not subject to currency restrictions in the UAE.
7. They can open bank accounts in the UAE and abroad.
8. They can issue bonds, debentures, and other financial instruments.
9. They can enter into joint ventures with onshore and offshore companies.
10. They can own property in the UAE.
11. They can engage in e-commerce activities.
12. They can issue guarantees and Letters of Credit.
13. They can act as trustees and fiduciaries.
14. They can provide management and consultancy services.
15. They can provide training, research and development, and other support services.
16. They are not subject to foreign ownership restrictions in the UAE (except for sectors reserved for UAE nationals).
17. They can engage in shipping and ship management activities.
18. They can establish branches and representative offices in the UAE.
19. They can list their shares on stock exchanges outside the UAE.
20. They can avail themselves of the UAE’s Double Taxation Avoidance Agreements
Also, check out our guide for JAFZA offshore company formation.
Frequently Asked Questions
Is RAK Offshore Company Eligible for a UAE resident visa?
Yes, you can get a resident visa if you have an offshore company in RAK. This is possible through the RAK ICC (International Commercial Center).
The process is fairly straightforward and can be completed in as little as two weeks. There are a few conditions that must be met in order to qualify for residency, but with the help of an experienced professional, it shouldn’t be too difficult.
Keep in mind that this option is only available to those who want to live in RAK full-time. If you are only visiting for a short period of time, you will need to apply for a visit visa
How is RAK offshore renewal done?
RAK offshore renewal is done by the Registrar of Companies. The registrar will review the company’s documents and confirm the good standing of your company. Once the registrar has confirmed the company’s good standing, the renewal process will be completed and the new certificate of incorporation will be issued
How do I register a company in Ras Al Khaimah?
The first step in registering a company in Ras Al Khaimah is to choose the right legal structure for your business. The most common types of businesses in the UAE are limited liability companies (LLCs) and sole proprietorships. LLCs are the most popular choice for foreign investors, as they offer limited liability protection for the owners
Once you have decided on the legal structure for your business, you will need to obtain a trade license from the Department of Economic Development (DED). The trade license will allow you to operate your business within Ras Al Khaimah
After you have obtained your trade license, you will need to register your company with the Chamber of Commerce and Industry. The Chamber of Commerce is responsible for issuing business licenses and registering businesses in Ras Al Khaima
Once your company is registered with the Chamber of Commerce, you will need to obtain a UAE residency visa for your employees. The residency visa will allow your employees to live and work in the UAE
The final step in setting up your company in Ras Al Khaimah is to open a corporate bank account. You will need to provide the bank with your trade license, Articles of Association, and other required documents
Ras Al Khaimah offers a number of benefits for businesses, including a 0% personal and corporate income tax rate, 100% foreign ownership, and no restrictions on repatriation of profits. The emirate is also home to a number of free zones, which offer attractive benefits for businesses such as 100% foreign ownership and no trade barriers
Is Rak ICC a Free Zone?
The Ras Al Khaimah International, Emirate of Ras Al Khaimah, is one of the seven Emirates that make up the United Arab Emirates. It is located on the Arabian Peninsula and has a population of over one million people. The economy is based largely on oil and gas production, but there is also a growing tourism industry
Rak ICC is an offshore company registration facility in Rak, UAE. It offers 100% foreign ownership and tax exemption on profits for the first five years of operation. There are no restrictions on the type of business activity that can be conducted from within Rak ICC, making it an ideal location for setting up a wide range of businesses
So, is Rak ICC a free zone? Yes, it is. Rak ICC offers a number of benefits for businesses, including 100% foreign ownership, tax exemption on profits, and no restrictions on the type of business activity that can be conducted
What is the advice if you no longer need an Offshore Company?
When you establish an offshore company, you may have a number of reasons for doing so. But what if your situation changes and you no longer need that company? This can be a difficult question to answer, as there are many factors to consider. Here are some things to think about if you find yourself in this situation.
First, it’s important to remember that just because you no longer need an offshore company doesn’t mean you have to dissolve it. There are a number of reasons why you might want to keep the company active, even if you’re not using it for its original purpose. For example, you may want to keep the company in case you ever need it again or want to use it for future investments
If you do decide to dissolve the company, there are a few things you need to keep in mind. First, you’ll need to file a final tax return and pay any taxes that are owed. You’ll also need to close all bank accounts and transfer any assets to your home country. Finally, you’ll need to cancel any licenses or permits that were obtained for the company
If you’re not sure what to do, it may be best to consult with an attorney or accountant who can help you navigate these waters. They can help you make the best decisions for your specific situation and ensure that everything is done properly