Ras Al Khaimah incorporation: flexible options without local shareholders

It is a very critical question whether local shareholders are required for the incorporation of Ras Al Khaimah. Simply put: Ras Al Khaimah companies usually do not require local shareholders to register and can enjoy 100 per cent foreign ownership. This is a core advantage of Ras Al Khaimah (and most of the free zones and offshore centres in the UAE) over having a company incorporated in the "mainland" (mainland) of the UAE.

Shareholder Requirements: Low Threshold and High Flexibility

to register a company in Ras Al Khaimah, shareholders must meet the following basic conditions:

1. Number of shareholders: at least one shareholder, with no upper limit. Shareholders may be natural or legal persons and have unlimited nationality.

2. Identity certificate: natural person shareholders need to provide passport scan (valid for more than 6 months) and address certificate for nearly 1 month; Legal person shareholders need to provide company registration certificate, employment certificate and power of attorney.

3, registered capital: the default registered capital of 50000 dirhams, but only the nominal amount, no need to pay. This design significantly reduces the initial financial pressure.

4. Company name: It must end with "Limited" or "Incorporated", and the name must be pre-approved by RAK Administration to avoid using sensitive words.

Operation process

1. Name pre-approval: Submit 3 alternative company names to ensure that the names meet the specifications and are not occupied.

2. Preparation of information: including shareholder passport, address certificate, business plan (non-mandatory but recommended) and registered address certificate (which can be provided by the secretarial company).

3. Document signing and notarization: Shareholders are required to sign the Articles of Association (MOA) and registration documents, and complete the translation and notarization (if the documents are not in English).

4. Submit the application and obtain the certificate: submit the information through the registration agent, and obtain the electronic registration certificate within 2-3 weeks, and the paper certificate needs an additional week.

IMPORTANT NOTE

1. Local agent/service provider ≠ local shareholder:

during the registration process, you must go through a registered agent authorized by the authorities in Ras Al Khaimah. This agency provides you with services such as registered addresses and government contacts, but they do not own any equity in your company, do not participate in your profit distribution, and do not interfere with your business decisions. You pay a service fee, not equity.

2. Limitation of business scope:

the main limitation of free zone companies is that they cannot trade directly in the UAE mainland market. If you want to sell your goods to local customers in the UAE, you theoretically need to go through a mainland local distributor or agent. This is common to all UAE Free Zones (including Dubai, Abu Dhabi, etc.).

3. The role of the registration agent is crucial:

although local shareholders are not required, a professional and reliable registered agent is the key to successful registration and subsequent compliance. They handle all government documents, license renewals, etc.

Zhuoxin Enterprise provides agency services such as domestic and foreign company registration, bank account opening, annual tax return, agency bookkeeping, trademark registration, ODI Overseas Investment Filing, etc. If you have any business needs in this area, please feel free to consult our online customer service!