If you want to benefit from many advantages for your company, register it in a Dubai free zone.
We are specialized in the formation of free zone companies in Dubai (UAE) such as for instance RAK Free Zone. Besides Dubai free zone company formation, we can also set up offshore companies and on-shore companies for those interested in the Dubai market.
UAE is famous for its free zone companies (over 40 free zones are available) offering excellent conditions for different types of start-ups: industrial, technology, auto, etc. Each Free Zone in UAE is designed for a specific activity.
The best-known example of a free zone is Ras Al Khaimah (RAK), offering a wide range of facilities: 0% corporate tax, 100% foreign ownership allowed, 100% capital repatriation, etc. for investors interested in starting a business in Dubai.
With a long tradition in offering company incorporation services to foreign investors interested in setting up companies in the UAE, The Corporate Group strives to offer complete business registration and advisory services to those interested in the UAE market.
With a vast experience in company formation in Dubai, our local consultants can assist foreign investors interested in starting a business in Dubai with the registration of any type of company.
The main law which provides for the registration of onshore companies in Dubai is the Company Law. It sets out all the regulations which must be complied with before and after the registration of a company.
In the case of offshore or free zone companies in Dubai, each authority imposes its own registration requirements.
If you need information on the legislation related to opening a company in Dubai and details on starting a business in Dubai, our local advisors can assist you.
The procedure for opening an offshore company in Dubai differs very much from the one necessary for incorporating an on-shore company. If you're not sure at this stage which one you need, please consider the following:
1) a) an offshore company (RAK Offshore for instance) does not have any special requirements or limitations regarding the owners/shareholders of the company while
b) an onshore company does not allow full foreign ownership (the company requires a local "sponsor"). For more info on requirements please see: Incorporation of a UAE Onshore Company.
2) a) a UAE offshore company pays 0% corporate tax while
b) an onshore company has tax obligations and filing requirements per the legislation of the UAE.
3) a) an offshore company cannot activate within the UAE;
b) an onshore company is designed to do business in the Emirates.
To summarize: if you are not interested in the Dubai market (your clients are not located within Dubai) and your solely starting your company to take advantage of the tax regime, privacy and/or offshore banking, then it is advisable to start an offshore company rather than an onshore one.
Starting a business in another country requires thorough research and most of the time appealing to the services of professionals. The company incorporation procedure in Dubai resembles the procedures in most European countries provided that the foreign investors have acquired all the information about the business activity they will undertake and know all the business licensing requirements. Our company formation agents in Dubai can help you with more details about the main steps if you want to open a company in Dubai.
Our company formation specialists help local and foreign investors follow the main steps for company formation in the UAE and open the required type of company. Business setup in UAE is not difficult, but many foreign entrepreneurs don’t know the local regulations so it is recommended to contact a local agent for company setup in UAE. He/she will explain to the foreign investor the differences between onshore/offshore companies and those established in the free zones and help him/her choose the one that is suitable for his/her business needs. Then the entrepreneur must prepare the documents for company formation in the UAE and start the incorporation procedure.
You can find some of the reasons to open a company in Dubai in the scheme below:
The requirements for starting a business in Dubai are the same as in any other country. The first thing to consider when registering a company here is the shareholding structure of the business. This is because, in the case of an onshore company, a local partner is required. UAE shareholders must own at least 51% of the stock in the company, while the remaining of the shares can be distributed among foreign shareholders or can belong to a single foreign stockholder.
A new law towards foreign direct investments provides for full foreign ownership in onshore companies in certain industries in Dubai, making the UAE one of the most appealing states in the Middle East when it comes to foreign entrepreneurship.
In the case of offshore or free zone companies, full foreign ownership is permitted.
An important aspect to consider when setting up a business in Dubai is that the company cannot issue shares, but the shareholders will have ownership interests which imply the right of making management decisions.
No matter the type of company you decide for, you can rely on our company registration specialists in Dubai for incorporating a business. They can also offer detailed information on the rights and obligations of shareholders in Dubai companies.
The Company Law of Dubai contains clear provisions on the share capital requirements for businesses established here. From a share capital point of view, the limited liability company is by far the most appealing type of structure thanks to the fact that there is no minimum amount of money imposed for registering it; however, the investors need to submit proof of sufficient capital for the activities to be undertaken.
In the case of onshore companies registered as private and public joint stock companies, the minimum share capital to be deposited is AED 5 million, respectively AED 30 million.
When it comes to Dubai free zone companies, the share capital requirements are decided by each authority of the free zone. It is also important to note that while some local authorities impose a minimum amount of money as share capital, others do not.
Do not hesitate to reach out to our Dubai company formation agents for complete information on the minimum share capital requirements when starting a business here.
There are several types of companies available for company formation in UAE - Dubai, as you will see in the table below:
Our company formation in UAE agents can explain the requirements for each type of business form.
Foreign investors who want to benefit from business setup in UAE and especially in Dubai should know that there is a wide range of free zones in this country where they are offered special conditions for performing businesses.
We invite you to watch a video about starting a business in Dubai in a free zone:
One of the most popular free zones in this country is Ras Al Khaimah (RAK) where investors can benefit from a 0% corporate tax and free repatriation of profits. This is situated in a strategic position for easy access to the markets from Africa, Asia, and the Middle East.
For more information about business setup in the UAE, you may contact our company formation agents.
If you need Dubai freezone company formation or any other type of company, you may contact our specialists in company formation in UAE who will handle the entire procedure of company incorporation.
The law that governs the actions of an offshore company in Dubai is the Federal Law no. 8 from 1984, amended by the Federal Law no. 13 from 1988 (the Commercial Companies Law).
The main advantages of opening an offshore company in Dubai are the following:
An offshore company in Dubai can be formed by at least one shareholder and it can have a maximum of 50 members. This type of company must be managed by at least two directors and a secretary. Their names are kept in the register of directors from the Dubai Registered Office, but their details are not available for the public. It’s not mandatory for the general meetings of the offshore company to take place in Dubai.
Compared to offshore companies which are used by investors interested in servicing clients outside the UAE, the onshore company is used to cater to the clients in this country. Another difference between the two types of companies is related to the licensing requirements: The onshore company will need a business license, while the offshore will not.
You also have to pay the corporate tax, establish a real office and have a local (UAE) shareholder. The procedure for incorporating an onshore company is more difficult than for an offshore one and the costs are higher. Even so, the onshore company offers several types of benefits, among which a large and wealthy market and various tax incentives and breaks.
There are a few types of onshore companies and the most common are:
The foreign entrepreneurs who want to establish a limited liability company should know that they are required to have at least one UAE partner who will hold a minimum of 51% of the paid-up capital.
For onshore companies in Dubai, there is the obligation of obtaining a license, according to the type of activity to be performed.
The entrepreneurs who choose to open an onshore company in Dubai will have the possibility of purchasing real estate properties, benefit from a skilled workforce, etc.
The following procedure must be respected when registering a company in Dubai:
The following costs must be considered when opening a company in Dubai:
The licensing procedure of a company in Dubai is completed at the same time with the incorporation process. The following types of licenses are available when registering a company in Dubai:
These are general licenses which need to be obtained no matter where the company is registered. Apart from these, for other activities, such as import and export, special licenses must be obtained.
In the case of free zone companies in Dubai, it is important to note that in each of them, specific activities must be conducted. For some of them, special licenses are imposed by the authorities governing them.
Our Dubai company formation agents can help you apply for the necessary licenses when starting a business.
Dubai is the most prolific emirate in the UAE and it offers many tax advantages to foreign investors. Apart from this, Dubai is also one of the most important business hubs in the region.
This is possible in all Dubai’s free zones, but if you plan on setting up a business in the emirate of Dubai, you will need a local partner who must own 51% of the company.
Dubai does not levy corporate taxes to companies which do not operate in the oil and banking sectors, however, the UAE authorities introduced the VAT (value added tax) starting with 2018.
Yes, you can register a company without having to travel to Dubai through our local agents. All you need to do is grant us power of attorney to represent you.
Dubai is one of the most appealing emirates in the UAE specifically for the great number of free zones, however, those opening companies in a free zone must offer their services or complete their activities in the specific free zone alone. Compared to free zone companies, onshore companies can offer their services or sell goods outside the country.
From an economic point of view:
If you need to register an offshore company in Dubai or any other type of company, you may contact our specialists in company formation who will handle the entire procedure of company incorporation.
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Meet our team from The Corporate Group (TCG) who helps foreign and local entrepreneurs set up different types of companies in Dubai. TCG was established in 2016 as a new company to manage the businesses of its subsidiaries whose founding entity was formed in 2007.