- January 25, 2016
- Posted by: Aswani
- Category: Blog
Setting up an offshore company is one of the most sought after and lucrative ways of expanding business horizons, capturing a wider global market and earning international profits. Offshore companies have been around for decades in the UAE. The main idea behind registering an offshore company began with the registration of ships. But over the last couple of decades, the horizons of offshore business activities have expanded manifold, and cater to businesses belonging to all sectors of economy.
Being a tax-free territory with a strategic location between Asia, Africa and Europe, excellent business opportunities and relaxed business policies, offshore companies in UAE offer a host of advantages to its incorporates. Some of these are as follows: –
Low or No Taxation
Offshore companies are legally exempted from paying any kind of taxes and thus, this stand as the major reason behind offshore company formation in the UAE. However, oil producing companies or branches of foreign banks do not enjoy total tax exemptions.
Low Capital Requirement
Businesses generally require a minimum of 1 USD to incorporate an offshore company in UAE. However, the minimum paid up capital can differ from one business activity to the other and from one offshore jurisdiction to the other.
Easy Setup Process
The process of setting an offshore company in UAE is relatively faster and simpler. The incorporation procedure can completed within 7 to 15 working days.
For those who have an interest in foreign business, a UAE offshore company can be valuable for holding assets such as real estate investments or intellectual properties.
UAE offshore companies enjoy high level of confidentiality as details of directors and shareholders, and financial information is not permitted to be published publically. Also, the offshore jurisdictions do not reveal any information to any third party unless terrorist or criminal activities are suspected.
The work of a director of an offshore company is relatively much less. The need for maintaining company accounts, other staff or a physical office can be overcome with a cost-effective virtual office set up – saving money and time.
Establish an offshore company in UAE today and take your business to the next level.