25 January, 2022
5 Reasons to opt for an offshore company formation in Dubai
Dubai is at the forefront of tech innovation and advancement. It is home to businesses of all sizes, including Fortune 500 companies, SMEs, start-ups and entrepreneurs.
Called as a technological hub for entrepreneurs, the global city provides a wide range of opportunities for business growth. One of the major lookouts for businesses these days is offshore company setup in Dubai.
But how can one set this up? Will it be the right decision? There are a lot of concerns when it comes to new company formation in Dubai, especially offshore. So, we’re with the spells of magic that can help you to conclude.
Offshore Company is a legal business entity which operates from outside of its location of ultimate ownership and that’s why also known as an International Business Company. The intention for an offshore company is to save cost, enjoy benefits, and potentially new opportunities. Dubai is one of the best and safe spots to begin your offshore company.
Dubai offers two principal jurisdictions to Offshore Companies in UAE namely the Jebel Ali Free Zone (JAFZA) and Ras Al Khaimah (RAK) International Corporate Centre. These are the two jurisdictions under which offshore companies operate.
Let’s have a glance at each of them
- The Jebel Ali Free Zone (JAFZA) – It Is one of the major commercial and logistic free zone hubs. It provides several benefits such as 100% foreign asset ownership, no currency restrictions, no personal income taxes, and much more.
- Ras Al Khaimah (RAK) International Corporate Centre – It is another best offering for offshore companies. With 100% foreign ownership, cost-effective registration, renewal fees, no restriction on the number of shareholders, and much more.
If you are planning to opt for an offshore company formation in Dubai, then you can go for any of them. Choose according to your needs and requirements.
Reasons to opt for an offshore company formation in Dubai are as follows
LLC Company formation in Dubai provides zero tax policy
We all know that one of the ideas of setting up any offshore companies is saving up on taxes. And Dubai with its zero-tax policy can lure any entrepreneur to take advantage of it for their business. All the offshore companies in Dubai are spared from paying any kind of taxes be it corporate tax, income tax, or much more.
Suggested Read – Things you should remember for your LLC company Formation in Dubai
This must strike you with – greater returns and hence the best investment. Along with this, they have a double taxation agreement with 41 countries that ensures that if you have an offshore company in this country, you will not be taxed twice. It is like an ‘icing to the cake’ that attracts many business owners, and entrepreneurs.
Offshore company setup gives lawsuit Protection
As the word suggests the Lawsuit Protection will help you to protect your possessions in any legal judgments in offshore company formation in Dubai. Although, through offshore authority in Dubai there is full assurance for the smooth running of the business. Yet, in case of any legal pursuits, your resources, possessions will be protected.
You can enjoy full ownership
Unlike some countries where having a local partner or shareholder is necessary, Dubai beats up there. The offshore companies can have their full ownership irrespective of their nationality. You can be the only owner of your company without indulging any locals to be safe.
These features attract many entrepreneurs towards setting up their new companies in Dubai as it provides them with the freedom to run their business on their terms. And, if you wish to involve some local partner too, then it’s up to you. To say it all – Your business, your choice.
Offshore companies provide privacy and business anonymity
Privacy is an important feature that keeps attracting entrepreneurs, investors, and businesspeople worldwide. The government in United Arab Dubai provides full confidentiality and doesn’t disclose information about owners in public. Thus, avoiding businesses from any risks.
Offshore company formation in Dubai comes with asset protection jurisdictions that protect assets in any legal battle or adverse situation. The assets you own are essentially separate from any legality and are under a separate entity for added protection. Hence, these assets can be saved even in situations of bankruptcy or any unfortunate situations. Thus, it is a win-win situation.
These are some of the reasons why one should opt for offshore company formation in Dubai. From boosting your yearly revenues to doing business with convenience, this can help you with a range of benefits.
Looking for the right assistance? The Corporate Group company formation services in Dubai can help you to get through it.