Company in the United Arab Emirates
The United Arab Emirates – in short UAE – are an Arab country located in Asia and consisting of seven emirates, such as: Abu Dhabi, Dubai, Sharjah, Ajman, Umm al-Kajwajn, Ras al-Khajma and Fujairah. The capital of the country is Abu Dhabi, and the inhabitants speak Arabic on a daily basis. The currency of the UAE is dirham.
Establishing the company in the United Arab Emirates
Company registration in the United Arab Emirates involves making a choice as to its form. A company in the United Arab Emirates can take one of three forms.
First of all, it is an OFFSHORE company. It is considered a virtual company and not a resident. Opening a company in the United Arab Emirates is associated with the need to own 100% shares in this company. Company formation in the United Arab Emirates does not require the client to visit the UAE (does not apply to Dubai and Ajman). As for the bank account, you should use the services of a bank that offers online banking services.
In addition, we distinguish the company Free Zone which are 100% owned by the entrepreneur. Registration of the company in the United Arab Emirates guarantees the entrepreneur the possibility of obtaining a visa to the UAE for a period of 3 years, provided that he does not leave the Emirates for more than 6 months. When it comes to this type of company, a visit to the UAE is required to set up it, including the establishment of a bank account.
The third type of company is the equivalent of our Polish limited liability company – Mainland. The establishment of this type of company is possible only in cooperation with local Emirates, i.e. the entrepreneur is not the sole owner of the company. The local partner owns 51% of the company’s shares. With this type of company, it is also necessary to visit the Emirates to register it and set up a bank account.
Taxes in the United Arab Emirates
As mentioned above, the UAE consists of seven emirates and each of them introduces its own tax regulations. In addition, it can be said that the Arab tax system is a mix of Muslim law and European law. Opening the company in the United Arab Emirates is associated with a number of tax benefits, such as no capital gains tax, no personal and legal income tax, as well as no VAT and withholding tax. Due to numerous tax benefits, entrepreneurs are increasingly deciding to open company in United Arab Emirates.
Ready made company in the United Arab Emirates / Purchase of a company in the United Arab Emirates
Purchase of company which has already been registered is not practiced in the United Arab Emirates. Therefore, as a rule, setting up a business in the United Arab Emirates on your own is much better.
The most important information about the company in the United Arab Emirates:
- The company must have at least one director and one shareholder,
- The company’s director and shareholder can be the same person,
- There is a possibility of having the so-called “Corporate directors”,
- A visit to the UAE is not always required to open business in the United Arab Emirates – most activities are carried out remotely,
- Dubai is a tax haven,
- There are no public company registers, the UAE offers full anonymity and privacy as well as protection of all other information,
- There are no predetermined accounting and bookkeeping provisions.
