Guide To Setting Up An Offshore Company In The UAE
Many business owners think about tax benefits when they hear the phrase offshore company. However, forming a company away from your home country provides many other benefits as well. As per a Company Formation Service UAE, an offshore company can enjoy complete anonymity, low capital requirements, asset protection, legal protection, amongst others.
This makes UAE probably the most sought after countries to begin an offshore business. The country boasts a long-standing reputation of tax-free with a solid jurisdiction. Due to compliance with all international demands on anti-money laundering, UAE has never been named as a country not complying with these regulations. Other than this, having an offshore company in UAE means benefiting from the factors mentioned below –
- Full repatriation of profits
- No customers and taxes duty
- Complete foreign ownership is permitted
- Any currency can be employed as the company’s capital
- Only one director and shareholder is required to register the offshore company
- No need for depositing capital in bank account
- Setting up the company is simple and a cheap way to open a corporate bank account
- The shareholders of the company benefit from complete privacy.
Procedure To Set Up An Offshore Company
If you ask a Company Formation Service UAE, you will find that the process is fairly straight-forward and easy. You can set up the company only in a few weeks. To open an offshore company, you will have to follow the steps given below.
#1 The first step is to get the name of your company verified with the Registrar. Your company’s name must end with Incorporated or Ltd., and should not have these words –
- Municipal
- Mutual fund
- Fund
- Chartered
- Finance
- Trust
- Royal
- Building society
- Insurance
- Bank
- Cooperative
- Chamber of Commerce
- Emirate
- Emirates
#2 The next step is to fill an application and prepare the documents, including attested passport copy for every individual shareholder, preferred name of your company, details of business activity, and proof of residency.
#3 You will then have to submit the filled application form to the concerned authorities for verification.
#4 Once your form is approved, you will have to draft an MoA (Memorandum of Association) in the English language because it is practical for international business.
#5 after you documents and MoA are reviewed and approved by the authority, you can officially begin your company.
#6 Once your company is registered, you must open your offshore bank account.
Necessary Documents
1. In The Case Of Individual Shareholder
- An attested passport copy of owner/shareholder.
- Details of the shareholder/owner
- Residential proof.
- Original bank reference document.
- The preferred name of your company.
- Activities of your newly formed offshore company.
- Hierarchy of beneficiaries.
2. In The Case Of Corporate Shareholders
- Memorandum of Association
- Board resolution
- Hierarchy of beneficiaries
- Parent company certificate having the names of directors/shareholders and duly attested
The Bottom Line
You can set up an offshore company in UAE by yourself or seek the services of company formation service providing businesses. The procedure is quite easy and quick, and once you establish your offshore company, you can take advantage of numerous benefits discussed above.
