Offshore Company Setup in Dubai, UAE

Seize Global Opportunities with our Offshore Setup, Starting at AED 11,000*

Setting up an offshore company in Dubai, UAE, presents a strategic advantage for international business expansion. Renowned for its tax efficiency, and Asset Protection, the UAE offers a favourable environment for offshore ventures. When navigating the complexities of offshore business setup, Dhanguard is your trusted partner. Here's why Dhanguard is your go-to choice:

  • Expertise

  • Seamless Process

  • Ongoing Support

  • Proven Track Record

Embark on your offshore journey with confidence—partner with Dhanguard for a smooth and rewarding business setup in Dubai, UAE.

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Business Setup in Offshore Company


  • A stable and encouraging legal framework
  • A flexible regulatory environment
  • Tax impartiality
  • A global marketplace portal
  • Access to international funds


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Offshore Business Setup Services in the UAE

Are you considering growing your business operations in the UAE? In the last 40 years, the UAE has diversified its economy to provide worldwide business opportunities in various areas. The government is incredibly adaptable and continues increasing the incentives available to new, established, and growing businesses. Establishing an offshore company in Dubai offers numerous advantages, including tax benefits, asset protection, and simplified company incorporation processes. 

Setting up offshore companies in the UAE doesn't involve obtaining operating licenses; instead, they receive certificates of incorporation. Therefore, forming an offshore company in Dubai or any other jurisdiction within the UAE can be straightforward. However, it necessitates understanding the regulations and procedures for offshore company registration in the UAE.

Specific authorities regulate offshore companies and are subject to certain legal frameworks to ensure transparency and compliance. This post will delve into the complexity of offshore company setup in Dubai, UAE, covering key aspects such as legal requirements, benefits, and the process involved.

Understanding Offshore Companies in the UAE

An offshore company is formed by a firm incorporated in a free zone in Dubai or any other UAE emirate for conducting business outside the country. 

The term "offshore" refers to a situation in which company investors seek to invest in an offshore jurisdiction to benefit from tax exemptions. The tax advantages have become increasingly popular among corporate investors over time. As a result, most countries have taken the necessary steps to become popular offshore jurisdictions.

The UAE hosts several offshore jurisdictions, including RAK, Jebel Ali, and Ajman, each offering distinct benefits and legal frameworks. It's crucial to assess which option best aligns with your business needs thoroughly.

Offshore Company Advantages

The Advantages of Creating an Offshore Company in the United Arab Emirates are:

Tax Benefits

One of the primary advantages of setting up an offshore company in Dubai, UAE, is the favourable tax environment. Offshore companies are often exempt from corporate and income taxes, providing significant cost savings for businesses.

Asset Protection

UAE offshore company formation offers a high level of asset protection and confidentiality. Offshore companies safeguard assets against potential risks and liabilities, providing peace of mind to investors and entrepreneurs.

Simplified Incorporation Process

Setting up an offshore company in Dubai, UAE, is relatively straightforward compared to other jurisdictions. With efficient regulatory frameworks and supportive government policies, entrepreneurs can establish their offshore entities quickly and efficiently.

Access to Global Markets

Operating an offshore company in Dubai provides access to global markets, facilitating international trade and business expansion opportunities. The strategic location of the UAE offers seamless connectivity to critical markets across the Middle East, Africa, Asia, and beyond.

Some more advantages of Offshore Company Setup in the UAE:

  • Profits are fully repatriated.

  • It is permissible to have 100% foreign ownership.

  • The corporation only needs one shareholder and one director to be registered.

  • The Company's capital can be in any currency.

  • The funds are not required to be deposited in an offshore bank account.

  • Opening a corporate bank account through an offshore corporation is cheap and straightforward.

Features and Regulations of UAE Offshore Formation

Key features of UAE offshore company formation are:

  • The Company's capital can be any amount divided into any number of denominations.

  • UAE offshore incorporation allows 100% foreign ownership and 100% tax and duty exemption are permissible.

  • It is possible to open a corporate bank account in a bank in Dubai, United Arab Emirates.

What is an Offshore Jurisdiction?

An offshore jurisdiction in the UAE refers to areas like the Jebel Ali Free Zone, Ras Al Khaimah Free Trade Zone, and others where businesses and individuals can enjoy tax benefits, flexible regulations, and privacy protections. These areas attract companies and investors from around the world who seek to minimize taxes, establish international operations, or protect their assets. 

  • There are various offshore jurisdictions in the United Arab Emirates, but the primary ones are RAK, Jebel Ali, and Ajman. Each of these jurisdictions' advantages and legal systems vary, so it's critical to weigh carefully which one will work best for your Company.

  • RAK and JAFZA are the leading jurisdictions in the UAE offering Offshore Companies. Both are "tax-free" jurisdictions, meaning they have no income or corporate  taxes and allow 100% foreign ownership. 

  • Offshore companies can open multi-currency accounts in the UAE and conduct international business. They are, however, restricted from doing business with UAE residents or maintaining physical locations in the UAE.

  • RAK and JAFZA both have their own set of advantages. Although RAK is the most cost-effective option, JAFZA is the only offshore Company legally able to own property in Dubai.

JAFZA Offshore Company Incorporation

In 1985, the JAFZA was established. It is an industrial region surrounding the Jebel Ali Port, one of the world's busiest shipping ports. It allows foreign enterprises to take advantage of the free zone's benefits. These include a 15-year tax-free period for corporations, no personal income tax, no import or export taxes, no currency restrictions, and easy labor recruitment.

Jebel Ali is about an hour's drive from Abu Dhabi, the UAE's capital city, and just outside Dubai. Just beyond the port area lies the Al Maktoum International Airport, slated to be the world's largest freight and passenger volume airport.

The Offshore Company was established in 2003 by the Jebel Ali Free Zone Authority (JAFZA) in collaboration with the Dubai Government under the Jebel Ali Free Zone Offshore Companies Regulations 2003.

The following are the main characteristics of a JAFZA Offshore Company:

  • Shareholders: There must be at least one shareholder, and corporate shareholders are allowed. All corporation paperwork must be authenticated for international corporate shareholders.

  • Directors: A minimum of two directors is necessary. The public registration does not provide information about the directors;

  • Share Capital: There is no requirement for a minimum share capital.

  • Secretary: A secretary is required in every business. A company director might also serve as the secretary of the firm.

  • Annual Reporting - Accounting records must be kept for ten years from the date of preparation. To study and report on accounts, the corporation must appoint an auditor (from a pre-approved list).

The following are the main advantages of registering an offshore corporation in JAFZA:

  • Ownership: 100% foreign ownership is allowed under the JAFZA Offshore Companies Regulations.

  • Local Real Estate Ownership:  The JAFZA Offshore Firm is the only offshore Company allowed to own local Dubai real estate directly. JAFZA offshore corporations can own most properties in Dubai. However, both Free Zone and developer clearance are necessary.

  • Shareholder/Director information: Shareholder and director names are not required to be listed on a public registry.

  • Shares in Local Companies: Despite Offshore Companies being prohibited from doing business with UAE residents, the authorities allow Offshore Companies to own shares in Free Zone and Onshore (LLC) Companies. Documents for usage in the United Arab Emirates, Bahrain, Saudi Arabia, and Qatar do not require attestation.

  • Inspection: The Registrar can appoint inspectors to examine an Offshore Company's affairs. The Company's owner may owe all inspection fees.

Ras Al Khaimah Offshore Company Formation

About an hour's drive from Dubai, Ras al Khaimah is one of the seven Emirates that make up the United Arab Emirates. With manufacturing accounting for 26% of GDP, RAK has the highest level of industrialization in the UAE. Its reputation has been based on a business-friendly investment environment and low costs. RAK's business costs are 25 to 50% cheaper than the UAE average, allowing businesses to maximize their return on investment.

The Ras al Khaimah government established the International Company structure, commonly known as the RAK Offshore Company, in September 2006. The International Companies Regulations 2006 of the Ras Al Khaimah Free Trade Zone Authority govern these.

The following are the main characteristics of a RAK Offshore Company:

  • Shareholders: There must be at least one shareholder, and corporate shareholders are allowed. All corporation paperwork must be authenticated for international corporate shareholders.

  • Directors: Corporate directors are permitted, although only one director is necessary. The public registration does not provide information about the directors;

  • Secretary: A secretary is required in every business. A company director might also serve as the secretary of the firm.

  • Share Capital: There is no requirement for a minimum share capital.

  • Annual Reporting:  Accounting records must be kept for seven years from the date of preparation. The accounts, on the other hand, are not required to be filed with the RAK authorities.

The following are the main advantages of forming an RAK offshore company:

  • 100% Foreign Ownership: No local equity is required under the RAK International Company Regulations.

  • Shares in Local Companies: Despite Offshore Companies being prohibited from doing business with UAE residents, the authorities allow Offshore Companies to own shares in both Free Zone and Onshore Companies. In the UAE, Bahrain, Saudi Arabia, and Qatar, documents must not be authenticated.

  • Fast Incorporation:  RAK IC will typically register a company within one week after receiving all applications and due diligence papers.

Ajman Offshore Company Formation

Startups and small enterprises frequently choose Ajman because it is a more compact and reasonably priced offshore jurisdiction in the United Arab Emirates. Because it provides a streamlined and straightforward company creation process, it is desirable for companies seeking a speedy and affordable setup. 

Ajman provides offshore enterprises a tax-free environment, just like RAK and Jebel Ali do. A variety of commercial operations can be carried out under an offshore company, making it a flexible choice for companies operating in different sectors.

How do you form an Offshore company in the UAE?

To start an offshore business in the United Arab Emirates, you must go through a series of steps. In Dubai, forming an offshore company is a simple process that can be finished in a few weeks. The procedure is as follows:

Connect with Dhanguard

The first step in setting up an offshore company in Dubai is to engage with Dhanguard. Our professionals will guide you in company structuring, regulatory requirements, and compliance procedures. We'll be there for you every step of the way to make it as easy as possible for you to set up your company in Dubai.

Choose a Business Name

The Company's name must first be validated with the Registrar. The words insurance, bank, building society, cooperative, fund, Municipal, Chamber of Commerce, trust, Royal, chartered, finance, mutual fund, Emirate, and Emirates must not appear in the firm name. Finally, the strong name must include the words Ltd. or Incorporated.

Fill out an Application form

After deciding on a company name, applicants must complete an application form and submit a collection of supporting documents, which include:

  • Verified Identity of shareholders' and directors'

  • A well-thought-out business plan.

  • Addresses must be verified of shareholders' and directors'.

Dhanguard will handle the entire application process, allowing you to concentrate on your business. 

Submission of the Documents in Question

The appropriate authorities will assess and provide approvals after we submit the necessary documents to them.

Draft MOA and AOA

Following that, the Memorandum of Association (MOA) and Articles of Association (AOA) must be written in English, as this is the most practical language for international Companies.

The authority inspects the prepared documents; once approved, you can start your business.

Open a Offshore Bank Account

The last step is to open an offshore bank account, allowing business owners to conduct transactions more conveniently. You can open your bank account with Dhanguard's assistance. Through our partnerships with multiple financial institutions, we strive to simplify the process and provide you with greater ease and convenience.

In the United Arab Emirates (UAE), the government does not permit offshore entities to conduct commercial activities within the country. Instead, they can only acquire and hold assets. Any offshore entity seeking to operate must obtain a non-commercial license, which allows them to legally hold assets but prohibits them from engaging in business activities such as trading, manufacturing, or providing services. 

The Bottom Line

For international entrepreneurs and investors, establishing a company in the United Arab Emirates opens up a world of possibilities. Our expert team would happily assist you with your UAE Offshore Company. 
If you're seeking an Offshore Company business setup in UAE, you'll need reputable business people. Dhanguard is one of the trusted names & has adapted to UAE's cutting-edge business environment.
You can rely on Dhanguard consultants to guide you through offshore incorporation procedures, ensuring a hassle-free completion. We can comprehend business needs and create personalized solutions to meet those goals because they have industry experience. Company formation in the UAE is complex, but not for us. We, as Offshore Company business setup consultants, will handle any situation for those interested in forming an offshore company in the UAE.


Frequently Asked Questions

An offshore company is a business entity registered in a designated jurisdiction within the UAE but cannot conduct business within the UAE market.

Offshore companies are prohibited from conducting business activities within the UAE market.

Offshore companies offer confidentiality, asset protection, and flexibility regarding holding assets, investments, and intellectual property.

Non-residents generally set up offshore companies, but UAE residents can establish them for specific purposes.

Offshore companies cannot do business within the UAE market, while Freezone/mainland companies can operate locally and internationally.

Offshore companies can own property only in designated areas, usually within the same jurisdiction where they are registered.

Offshore companies are not required to maintain a physical office in the UAE.

Yes, offshore companies have the right open bank accounts in the UAE for various financial transactions.

Some offshore jurisdictions require financial statements to be filed annually, while others do not have this requirement.

Offshore companies are usually prohibited from engaging in banking and financial services within the UAE.

Offshore companies typically enjoy tax exemptions and benefits regarding corporate taxes and capital gains.

Offshore companies in the UAE can hold intellectual property rights, such as patents and trademarks.

A nominee shareholder is a third party that holds shares on behalf of the beneficial owner, ensuring anonymity.

Yes, offshore companies can be used for estate planning to manage assets and provide for beneficiaries.

The setup process varies by jurisdiction but is generally quicker than mainland or Freezone companies.