Offshore companies are for entities who intend to do international business and require bank accounts and property abroad, without having to set up a physical office space.
An offshore company (or non-resident company) can be formed for various purposes. The primary ones are:
- Holding of trademarks, copyrights and intellectual property
- Real estate property ownership
- Ship management and ownership of yachts
- Personal and corporate tax planning
Offshore Incorporation in RAK
One of the prime zones for offshore formation is Ras Al Khaimah (RAK) in the UAE. Due to its location and time-zone, it can service markets that span the Middle East, Africa, India, the CIS countries, the Far East and the US.
Spurred by the region’s growing popularity, the Government of RAK has an extensive list of rules and regulations for offshore incorporation, of which the most important are as follows:
1. Offshore companies must be registered with the International Companies Registrar. Communications with the Registrar can be done through registered agents only.
2. The following data should be provided:
- The name of the company, which may end with, the word “Limited” or “Incorporated” or the abbreviation “Ltd.” or “Inc.”, and the registered business address.
- The nature of the business to be conducted.
- The amount of share capital and its division into shares of a fixed amount.
- The full names and addresses of the incorporators and (if they are separate) the persons who are to serve as directors.
3. Upon registration, the Registrar shall issue the certificate of registration and allocate the company registration number. This confirms that all requirements were duly fulfilled.
4. No company which is incorporated under these regulations shall:
carry on any other business which may be prohibited or declared illegal by the authorities
carry on businesses in the banking and insurance sector
5. The company shall at all times have a registered business address, which must be maintained by its registered agent, to which all communications may be addressed.
6. The company shall notify the Free Trade Zones Registrar (who maintains a list of approved agents) of any change in the name of the registered agent.
7. The business and affairs of the company shall be supervised by a minimum of one director.
8. No person shall be the director who:
- is under the age of 21 years
- is disqualified from being a director
- is declared bankrupt
- is considered unsuitable or unable to act as a director by the concerned authority or by the registered agent
9. The company must keep accounting records in a manner that is easily retrievable and sufficient to show and explain its transactions.
Taking the help of a registered corporate agent can help you to successfully navigate through these rules, and allow you to explore the incredible opportunities that await you in Ras Al Khaimah.