Offshore Company Setup in Dubai

A Dubai offshore company is a business registered in the UAE for tax purposes, but it operates its business activities outside the country. These companies are called limited liability companies, which means your money is safe. It's important not to mix up offshore companies with UAE Free Zone companies. An Offshore Company is a legal business that is set up to operate outside its registered location and the place where it is owned.

People decide to start offshore companies in Dubai for various reasons. One major reason is that they don't have to pay corporate tax in the UAE on profits earned outside the country. If the company stayed in its original location, it would have to pay more tax. Starting an offshore company in Dubai can save a lot of money in taxes, potentially thousands of dollars.

Offshore Company Registration in Dubai

Offshore company registration in Dubai is a strategic decision for global entrepreneurs looking to establish a presence in a tax-efficient jurisdiction with robust legal frameworks. This guide explores the essential steps and benefits of setting up an offshore company in Dubai.

Why Opt for Offshore Company Registration in Dubai?

Dubai stands out as a premier location for offshore company registration due to its favorable business environment, tax advantages, and political stability. Companies registered here benefit from:

  • Tax Efficiency: Exemption from corporate income tax, capital gains tax, and VAT.
  • Asset Protection: Strong legal frameworks that safeguard corporate assets.
  • Global Accessibility: Strategic location facilitating international business operations.

Steps to Offshore Company Formation in Dubai

  1. Select a Company Name

    Choosing a suitable company name is the first crucial step. Ensure the name aligns with UAE naming guidelines, which are strict yet straightforward. The name must reflect the nature of your business activities.

  2. Submit an Application for Business Setup

    After finalizing the company name and defining the business activities, applicants need to complete an application form. This form, along with supporting documents such as proof of address, identity of shareholders and directors, a well-drafted business strategy, passport copies, and CVs of shareholders, must be submitted to the relevant authorities.

  3. Submission of the Documents

    Once all necessary documents are collected, they must be submitted to the appropriate authorities for evaluation and approval. This process ensures compliance with UAE regulations and secures the necessary permissions to proceed with business operations.

  4. Presentation of the Memorandum and Articles of Association

    Prepare the Memorandum of Association (MOA) and Articles of Association (AOA) in English. These documents outline the company’s structure, objectives, and operational guidelines. Upon completion, they are submitted for review by regulatory authorities. Approval signifies readiness to commence business activities.

  5. Open a Bank Account

    The final step in offshore company formation is to open an offshore bank account in Dubai. This account facilitates seamless financial transactions and enhances business operations by providing convenient banking services tailored to international business needs.

Get Professional Help from Offshore Company Formation Specialists

Offshore company formation in Dubai is straightforward and efficient, typically taking just several weeks to complete. To ensure a smooth application process, it’s best to work with a Dubai offshore company formation specialist. These professionals can handle all the necessary administrative tasks, ensuring compliance with local laws and regulations.

Our consultants can assist with other associated tasks such as:

Working with specialists can significantly streamline the process, allowing you to focus on your business operations.

Documents Required to Set Up Offshore Company in Dubai

In addition to the above steps, you will need to prepare certain documents prior offshore company setup in Dubai. These documents include:

  • Articles of Association: A copy of the offshore company’s Articles of Association.
  • Shareholder Information: Passport copies and CVs of the registered shareholders.
  • Emirates ID Cards: Relevant Emirates ID cards for all shareholders and directors.
  • Business Plan: A comprehensive business plan outlining the company’s objectives, strategies, and financial projections.
  • Bank Statements: A certified copy of recent bank statements (6 months to be documented).
  • Proof of Address: Proof of address via a utility bill for all shareholders and directors.
  • Proposed Company Names: Three potential brand or business names for the company.
  • Business Activity Details: Detailed information about the intended business activities of the company.

Limitations of UAE Offshore License

There are always two sides of a coin. The disadvantages of the UAE offshore company set up are as follows:

  • Restriction on trade boundaries- As an entrepreneur setting up in the UAE offshore, you cannot trade in the UAE mainland or free zone.
  • Restriction on business activities- The business activities that can be practised with an offshore company set up licence is lower than that in the UAE Mainland and some activities such as banking,etc. cannot be carried out.
  • No office space- You care not allowed to own an office space in the UAE
  • No visa provided- As an offshore business owner, you do not get the UAE visa issued.

Choose RadiantBiz for Offshore Company Formation

Dubai’s offshore licence offers firms a cost-effective regulatory environment with complete tax and tariff exemptions. Offshore company formation in Dubai is becoming a dream come true for every overseas investor thanks to excellent business financing infrastructure. RadiantBiz allows your firm to have numerous bank accounts in various currencies to do worldwide commerce.

We are providing effective solutions for your offshore set-up and banking hurdles. Contact our business setup consultants in Dubai, today to get started with your business set up in the UAE offshore.

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    Advantages of Setting up an Offshore Company in Dubai

    We have talked about how the UAE offshore should be your priority for business setup. But what are the advantages of setting up a business in the UAE offshore? The advantages of business set up in the UAE offshore is as follows:

    Quick and easy to setup

    Flexible laws and no red tapping. Get rid of excessive bureaucracy or adherence to formalities.

    Get corporate bank account

    Setup your corporate bank account in UAE with your offshore company license in uAE.

    100% repatriation

    Get 100% profit repatriation to your native country and get tax benefits as well.

    Tax exemption

    get 100% tax exemption on personal or corporate income or gains.

    Business privacy

    There are no restrictions on foreign currency exchanges & money transfers.

    Asset protection

    Secured and protected investments and full investment security.

    What are the documents needed for Business Setup in the UAE offshore?

    Business setup in any jurisdiction requires a set of documents. The documents required for setup in the offshore are as follows:


    Business Plan

    You need to present a business plan for at least three years, along with name reservations and the type of business activity.


    Bank Paperwork

    You need to have an original bank reference letter or 6 monthly bank statements that are stamped by the bank.


    Address Proof

    You are required to present a valid proof of address that may include any utility bills that bears a credible address.


    Shareholders Prerequisites

    You are required to submit a CV of the shareholders along with their passport copies.

    What are the types of legal entities that can be Setup in the UAE Offshore?

    There are 4 types of companies that can be set up in the UAE offshore. These are as follows:

    Frequently Asked Questions