Opening a company in Ras Al Khaimah can be a process overseen by one of our company formation agents in Dubai. The formalities are quite simple for both local and international entrepreneurs, however, it is suggested to ask for support and assistance to benefit from a proper business start in this destination. Below you can discover information about how to start a business in Dubai mainly in Ras Al Khaimah, helped by our local agents.
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Business licenses in the Ras Al Khaimah Free Zone
To open a company in the Ras Al Khaimah Free Zone, investors must select the appropriate business license. There are four types of licenses to be obtained within the Ras Al Khaimah Free Zone:
- a commercial license,
- a general trading license,
- an industrial license,
- a consultancy or services license.
The business license is issued for a limited period which is usually one year. This may be renewed every year provided that audit reports are submitted when applying for renewal. Companies licensed by the RAK FTZ Authority are also required to appoint a local agent to supply any goods or services in the UAE market.
Required documents to open a company in the RAK FTZ
The company registration procedure in the Ras Al Khaimah Free Zone is quite simple once all the documents are prepared. The required documents to open a company in the RAK FTZ are:
- an application form,
- a certificate of incorporation,
- a brief description of the business objectives,
- a bank reference letter,
- the shareholders’ passport copies,
- a list of trade names application form.
In certain cases, additional information or documents may be required. For a customized list of required documents, you may ask our company incorporation agents in Dubai. On the other hand, if you want to relocate staff to this location, it is best to solicit information on immigration to Dubai.
For assistance in setting up an RAK offshore company, you can rely on our company registration agents in Dubai.
Tax exemptions in Ras Al Khaimah free zone
Just like any other free zone in Dubai or other emirates, Ras Al Khaimah offers various tax exemptions when opening a company here. Foreign investors should choose Ras Al Khaimah free zone because they can benefit from:
- no corporate or income taxes;
- full repatriation of capital and profits.
Also, one of the main reasons overseas enterprisers choose Ras Al Khaimah free zone is because full foreign ownership is allowed here. Contact us for assistance if you want to set up a business in Dubai.
Here is a video presentation about how to open a company in Ras Al Khaimah:
Facilities for companies in the Ras Al Khaimah free zone
Ras Al Khaimah free zone is among the most sought investment destinations in the UAE because of the numerous incentives it offers to foreign enterprises. Many foreign investors come to the UAE to establish companies in Ras Al Khaimah and its free zones. These can choose from several types of structures allowed by the local authorities, especially because of the advantages RAK offshore companies offer.
Setting up a company in Ras Al Khaimah free zone comes with many advantages from a logistics point of view. First of all, the Ras Al Khaimah free zone is located quite close to Dubai and has direct access to Port Saqr. RAK free zone also offers easy access to the largest airports in the UAE.
Apart from these, Ras Al Khaimah free zone offers clear legislation related to the incorporation of companies here and swift company formation in Dubai which is what makes it one of the most appealing free zones in the UAE. Companies here can apply for one of the four types of business licenses available: commercial, trading, consultancy, or industrial license.
Other reasons to choose to invest in Ras Al Khaimah free zone
Ras Al Khaimah free zone is among the most advantageous free zones when it comes to high living standards at low costs. Companies operating in Ras Al Khaimah free zone also benefit from cheap office space for rent in any of the parks dedicated to certain industries. These are the Industrial Park, the Academic Zone, the Business Park, and the Technology Park.
Among the benefits RAK companies offer to foreign investors are:
- no corporate taxes under certain circumstances,
- full foreign ownership is allowed,
- easy and quick incorporation procedure,
- a clear regulatory legal framework,
- access to all large airports and seaports in the UAE.
RAK – “Best Emerging Free Zone”
RAK was established in 2000 and it has become the location of over 8,000 companies with shareholders all around the world. They are attracted by the major advantages offered by this free zone that offers a 100% foreign ownership for companies established there, that can benefit from a tax-free and friendly business environment, fast incorporation procedures, a strategic location with access to important markets in Europe, Asia, Middle East and North Africa, full repatriation of capital and profits and full tax exemption.
RAK was considered “best emerging free zone” for three years in a row at Middle East Logistics Awards.
Developing industries in RAK
In RAK, foreign investors can find business, industrial and technology parks and an academic zone for educational entities.
RAK Free Zone is part of the emirate Ras Al Khaimah, that together with other six emirates forms The United Arab Emirates (UAE). This country offers a stable and friendly business environment, offering important business opportunities for foreign investors especially in the free zones, where they are provided with important facilities. The authorities in RAK emirate encourage the foreign investors to come and open different types of businesses there and help the region develop in many economic fields, not only based on the businesses that imply oil and gas.
In this region, there are important resources of limestone, rocks and clay that can help the development of construction and manufacturing fields. RAK has one of the highest levels of industrialization in the UAE and hosts the largest producer of ceramic tiles in the world, a company that is the largest pharmaceutical manufacturer in the Middle East area, the largest armored car manufacturer in the world etc.
Restrictions for offshore companies in RAK
Even if the company is allowed to obtain any of the licenses above, there are certain restrictions imposed on RAK offshore companies. Among these are:
- the company is not allowed to operate on the UAE market;
- no bearer shares are allowed in a RAK offshore;
- the company name is subject to certain restrictions with respect to certain words that cannot be used in the trade name.
Despite these restrictions, the RAK offshore company offers numerous advantages, one of the most impor
Great free zones for business in Ras Al Khaimah
If you are thinking of opening a business in Ras Al Khaimah, you can opt for the facilities offered by available free zones. Below is information about 4 of them, some of the most important and appreciated free zones in Ras Al Khaimah by foreign investors:
- RAK Maritime City Free Zone
RAK Maritime City Free Zone is one of the oldest business destinations, which opened its doors in 2001. As its name implies, this free zone is aimed at companies active in the maritime field and who want to benefit from a secure business climate for carrying out operations.
Acting as a one-stop-shop, RAK Maritime City free zone set out from the beginning to attract businessmen from all over the world, who would easily develop their businesses, without complexities in terms of documents and the registration of a company, in an extremely stable environment. This is an established port, and many of the activities of the big companies in the world have various operations in this beneficial free zone.
- Ras Al Khaimah Investment Authority Free Zone or RAKIA
RAKIA opened its doors for business in 2015, to equally promote and develop an optimal business climate for foreign entrepreneurs. Starting from this idea, it can be further emphasized that RAKIA offers complete support for investors, and more precisely uncomplicated formalities for registering a company, as well as affordable costs.
With a strategic geographical location, great infrastructure, and solid support from the local government, RAKIA is one of the most appreciated free zones in Ras Al Khaimah and has open doors for those who want to conduct their business in a quality business climate, with the latest technology and many other such advantages.
- RAK Economic Zone or RAKEZ
RAKEZ free zone is located in the central area of Ras Al Khaimah. The main objectives of this important free zone are to support foreign investors who want to assert themselves in the local and regional market, with the help of the optimal business development tools: the simplicity of the company registration procedure, tax support, etc. Both local and foreign investors are welcome in RAKEZ where they can develop their businesses in a stable and optimal environment for a diversity of business ideas.
- RAK Media Free Zone or RMFZ
Another important free zone is the RAK Media Free Zone, which opened its doors in 2006. This free zone is considered a suitable alternative to the Dubai Media City free zone, which has similar characteristics in terms of business ideas and supporting foreign entrepreneurs. Operational low-cost, world-class facilities, easy media-related business license issuance, and great business infrastructure broadly describe RAK Media Free Zone, as an excellent business destination for foreigners.
Here is some information about the economic direction of the UAE, to give you an idea of when you want to open a business here:
- According to recent statistics, the UAE’s GDP grew by 7.9% in 2022.
- The UAE’s GDP per capita increased during the past 6 years by an exceptional rate of 24.7% even though the increase in the population has been registered annually.
For company registration services in the Ras Al Khaimah Free Zone, please contact our agents in Dubai.