QUICK FACTS:

The United Arab Emirates comprises seven Emirates: Abu Dhabi, Ajman, Dubai, Fujairah, Ras Al-Khaimah, Sharjah and Umm Al-Quwain, joined together in a form of federation and each governed separately by Emirs.

 

The UAE is located in the South Eastern Arabian Peninsula, next to Oman and Saudi Arabia by land and Iraq, Kuwait, Bahrain, Qatar and Iran by the sea. Its population exceeds 8 million, with Arabic being the country’s official language, although locals are very accustomed and generally fluent in English, which is the dominant business language and a major part of their modern culture.

 

The country holds 10% of the world’s oil reserves (ranked as the sixth largest worldwide) and with a $48,000 USD as per capita GDP, UAE is declared by the IFM as a “high income developing economy”. These facts, not suprisingly, make the Emirates an ideal place for business development: a large number of companies from all over the world are situated in its industrial and Free Economic Zones, enjoying top-notch infrastructural and communication services.

 

 

 

WHY THE UNITED ARAB EMIRATES?

Businesses are driven to UAE because of:

• Strategic geographical location (route between the EU, wider MENA region and Asia);

• Diversified and dynamic economy;

• Absence of corporate income taxes on investments;

• No foreign exchange controls; and 100% repatriation if capital and profits.

 

The UAE offers a variety of legal forms, i.e.:

• Limited liability company

• Private joint stock company

• Public joint stock company

• General partnership company

• Simple limited partnership

• Joint participation company

• Partnership limited with shares

 

The UAE’s legal system is a federal one. Consequently, the UAE has both federal sources of law, with the Federal National Council as the enactor and the local (Emirate- level) laws enacted by legislative bodies. The UAE is a civil law jurisdiction, with its foundation based on Egyptian Civil Code Contrary to common belief; Sharia’s law has only limited application and is almost exclusively related to inheritance and family law subjects.

 

The UAE has turned into an international business centre particularly in the areas of infrastructure, healthcare, food production, heavy equipment/ machinery and manufacturing. To complement the onshore activities, the UAE offers the following Offshore Jurisdictions:

 

Jebel Ali Free Zone Offshore:The Jebel Ali Free Zone (“JAFZ”) was established in 1985 with the sole purpose of facilitating investment. Its legal status is quite distinct: companies operating there are treated as being “offshore” or outside the UAE for legal purposes. With an offshore company the owner/ investor has total control over his assets in the complete privacy protection of a tax haven.

 

The client is not allowed to have office premises and all required activities are carried out by an assigned registered in Jebel Ali.RAK Offshore:In 2006, Ras Al Khaimah has announced the introduction of RAK Offshore, whereby it is now possible for non-resident corporations, entrepreneurs and individuals to enjoy all the advantages which were previously available to only resident entities.

 

RAK Offshore therefore provides an ideal location for international business operations and asset protection schemes to operate right out of the heart of the Middle East itself.