This post is all about business setup in Rak. Ras Al Khaimah (RAK) is situated in the northern end of the UAE and it is just 45 minutes away from Dubai and it is considered as the most happening, confidential and secure offshore destinations in the Middle East.
There are many factors like liberal government policies, infrastructural development, a thriving economy which enables the investors for the formation of the business in RAK.
There are three options for RAK Business set up.
♠ RAK Mainland business set up ♠
♠ RAK offshore business set up ♠
♠ RAK free zone business set up ♠
Rak Mainland business set up
RAK is the most happening place for setting up of Mainland company. A local sponsor is a must for a Mainland Company in RAK. Besides the booming of the business activity, there are also other advantages in RAK which attracts the investors for business formation.
♠ No existence of currency restriction
♠ No mandatory annual auditing
♠ Rent office anywhere
♠ Conduct business with local market
♠ No limit on the number of business activities.
Know more about: Mainland business setup in UAE
RAK Offshore Business set up
RAK offshore was established to take up the high demand for offshore markets.More than 1900 International Business Companies (IBCs) are recorders in RAK offshore client portfolio. Real Estate and property investment are the first companies that are listed with RAK offshore.
Know more about: Offshore company setup in UAE
RAK free zone business set up
The Ras Al Khaimah Free zone are cost-effective, trouble-free and have a user-friendly environment that attracts foreign nation to set up their business.
Free Zone business set up in RAK are ;
♥ Ras Al Khaimah Investment Authority Free Zone ( RAKIA)
♥ RAK Media Free Zone (RMFZ)
♥ RAK Economic Zone ( RAKEZ)
Know more about: Freezone company setup in UAE
Advantages of setting up a business in Rak
Ras Al Khaimah is one of the most happening, confidential and secure offshore destinations in the Middle East. It’s the most promising area and with a wide range of advantages which attracts the investors to set up business formation in RAK.
♦ No tax on personal or corporate income
♦ No foreign exchange controls, quotas or trade barriers
♦ No customs duty on import, exports or services
♦ Hassle-free and business-friendly legal framework and company laws that ensure the security of investment
♦ Government-sponsored incentives for investor
♦ 100% ownership
♦ 100 % tax exemption on all commercial levies for import and export.
♦ 100% return of capitals and profits
♦ Business-friendly environment and an easy process to set up a company
♦ Rich material and technical basis and high potential in terms of storage facilities
♦ Prospects of development of the international tourism industry
♦ Availability of major transport hubs
♦ Modern container port and marina docks
♦ Business setup in RAK is an excellent alternative to Dubai Free Zone company formation as it offers a vast range of office and warehousing facilities.
Process of company formation in Rak
There are some lawful procedures and document procedures which are necessary for the Business set up in Ras Al Khaimah.
Process for Ras Al Khaimah Company formation :
♠ Choose the business activity
♠ Determine the Legal Form of the Business
♠ Set up the Jurisdiction
♠ Obtain the initial approval
♠ Register your Trade name
♠ Apply and Submit
♠ Obtain a Business License
♠ Rent an Office Space
♠ Choose business activity
There are three types of business activities. They are :
♣ Commercial Activity
♣ Professional Activity
♣ Industrial Activity
Industrial or general trading business and retail businesses are involved in trade and sales of goods to consumers or businesses. Commercial or personal professional services like management, accounting, consulting, etc. are laid by Professional companies. Industrial companies conduct the manufacturing, processing, and packaging of goods. Choose the type of economic activity for your business.
Determine the Legal form of the business.
Decide the type of corporate entity you want to join. Choose according to the business activity you involve. The legal status conditions are determined by the type and nature of the business.
Finalize the Jurisdiction.
Mainland, Free Zone, and Offshore are the three leading jurisdictions in Rak Al Khaimah. There is a higher advantage to get registered in Rak Mainland. Locating just 45 minutes away from Dubai, Rak provides a highly productive business-friendly environment.
Obtain the Initial approval
The investors have to receive initial approval well before obtaining the company name certificate. Initial approval helps the investors to continue with business license issuance procedure and address and the concerned authorities to get their authority.
Register your Trade Name
The trade name for the organization is chosen after finding the location of the business. The trade name should be unique and appropriate.After choosing the trade name it should be submitted to the Department of Economics of Development.
Apply and Submit
The investors should visit the concerned authorities to obtain their consent. These ministries are defined according to the required activity, although some type of activities may require the sole permission of the Department of Economic Development.
Obtain a business license.
A stakeholder may proceed to the stage of fulfilling all the lawful requirements of the business license issuance after the concerned authorities are received. It can be completed by taking consent from the Department of Economic Development, before finally receiving the license.
Rent an Office
A businessperson can rent the business site after visiting the Monitoring and Consumer Protection Administration in the Department of Economic Development.
Documents required to start a business in RAK
Here is a list of few documents which are required to start a business in RAK.
♦ Copy of tenancy contract
♦ Photocopies of No Objection Letter, visa, passport and residence certificates.
♦ Consent of legal affairs is necessary
♦ License application form and signboard
♦ Approval from the ministry of economy is necessary
♦ Ensuring all the important approval from the government if necessary
♦ Certificate of partnership contract from the notary of the public is necessary
♦ Copies of National ID and family book
♦ A technical evaluation report is necessary
♦ Obtaining a trade name certificate is necessary
RAKEZ Dubai office contact number.
Toll Free UAE : 800 RAKEZ (72539)
RAKEZ Dubai address
Boulevard Plaza Tower 2, Mohammed Bin Rashid Boulevard, downtown, UAE.