An Offshore company formation is one that is formed or incorporated in a jurisdiction that is other than where the beneficial owner resides. In simpler terms it means that an offshore company is an entity that is incorporated in a foreign jurisdiction. While an onshore country refers to a domestic company that is formed within a country and is taxed as an entity by the country, an offshore company is an entity incorporated outside the borders of the country and is therefore not considered liable for taxation if all of its income is generated outside the borders of the country.
Some of the notable Offshores in the UAE include:
JEBEL ALI FREE ZONE OFFSHORE-
Being the most archaic and the most respected free zones of UAE. This incorporation is not only allowed to trade internationally but also is allowed to own properties in the Emirate of Dubai. It is ideal for company formation.
RAS AL KHAIMAH INTERNATIONAL CORPORATE CENTRE (RAK ICC) –
This is a corporate registry platform for international business companies. It has various benefits for its registrants, and it aids in company formation too.
AJMAN FREE ZONE OFFSHORE-
This free zone was established in the 1988 and was subsequently granted an autonomous status by the ruler of Ajman H.H. Sheikh Humaid Bin Rashid Al Naumi. The purpose of setting up this free zone was to strengthen industry and trade as well as bolster the financial sector in the country. This free zone offers a variety benefit, which includes:
- 100% foreign ownership.
- Well established infrastructure.
- No foreign currency restrictions.
- Complete confidentiality.
- Tax exemption benefits.
Merits of setting up an offshore company:
· Tax minimization.
· Data confidentiality.
· Reduced administration requirements.
· Costs for setting up an offshore entity and its maintenance thereto is less.
· Capital requirements are low.
· Asset protection.
Offshore company formation is different from free zone companies in that these are businesses set up to conduct operations outside the geography of the registered jurisdiction. This means that most offshore companies are set up to expand into the international market, access a business-friendly and flexible governance and legal system, reap tax benefits, have better reach to global funding, and so on.
The two main jurisdictions that offer offshore company formation in the UAE are Ras Al Khaimah and the Jebel Ali Free Zone. We, at Enterprise House, will help you set up your company in these two offshore-friendly zones seamlessly and without any hassles.
Offshore companies are by far the most popular business setup formations in the UAE. An offshore company is an international business entity that offers no tax or low tax benefits.
In addition, they offer the ideal systems for business management, wealth management, application of smart international investment strategies, ease and freedom of business operations.
Offshore companies are businesses that are registered in Dubai but allowed to set base in offshore locations that are located outside the city of Dubai. Dubai offshore company formation can take the form of limited liability companies, limited companies, and limited partnerships.
Apart from the aforementioned benefits, Dubai offshore business set-up process is easy and requires a few weeks to complete. Offshore company formation starts with filling of an application that includes all required information and documents such as; valid passport copies belonging to shareholders, preferred company name, proof of residency for all shareholders, and detailed information about the nature of the business to be carried out.
The UAE offshore company registration in Dubai is straightforward and delays only occur when the application and documents contain errors. This explains why you need to work with Dubai offshore company formation specialists who help in the preparation of the application documents and information to ensure no errors will result in delays.
The offshore company set up specialist will also assist with other tasks such as; application of investors and employee visas and the opening of corporate bank accounts.