All about Opening an Offshore Bank Account UAE

A business organization is a conversion of an idea that gets implemented to generate profits by providing goods or services to the ultimate consumers. Establishing an offshore company in Dubai is a great way for entrepreneurs or working professionals who want to enter the business world of international trade. During a company establishment, it is preferable to open an overseas account to ensure the functionality of the business and helps in tax playing. Choosing the right bank account is the first step toward business success.

What is an Offshore Bank Account?

The term 'offshore account' basically means a bank account that is outside one’s home country. Any individual or a business entity holding a bank account offshore is regarded as an offshore bank account. Such accounts offer legal and financial advantages to a great extent to their respective clients that increase the demand for holding such a bank account. There exist two types of offshore bank accounts:

• Offshore bank account for individuals
• Offshore bank account for corporates

Process of Opening Offshore Bank Account in Dubai

Opening an offshore bank account involves the following steps:

1. Complete KYC

The KYC process involves four test proofs for clearance: (1) Proof of Identity, (2)Proof of Residency, (3)Credit History Report, and (4) Proof of Wealth.

2. Pay Initial Deposit

Once the KYC process gets done, an initial sum needs to be deposited.

3. Set Up a Corporate Account

For a corporate account, the following additional documents are required to be submitted:

• Memorandum and Articles of Association
• Certificate of Incumbency
• Certificate of good standing (attested)
• Client profile
• Company brochure and description
• Bank documents for the last 6 to 12 months
• Certificate of documents by the Ministry of Foreign Affairs

The maximum duration to open a bank account is 3 weeks. Once the account is activated, you would be receiving online access.

Open Offshore Bank Account Online Dubai

This is easy financing flexibility provided by offshore bank accounts to ease the financial transaction process. It provides the ease to manage and deal with transactions from any corner of the world and helps the client to control their finance.

Features of an Online Offshore Bank Account

• Available 24/7
• Speedy transactions
• Available at the client's fingertips
• Quick service

Financial Services Provided by an Offshore Bank

An offshore account presents a wide variety of financial services that include:

• Savings account
• Corporate administration
• Deposit-taking
• Fund management
• Trustee services
• Loans (both commercial and personal)
• Global debit and ATM cards
• Trade finance
• Letters of credit
• Trade finance

Thus, you have got a clear idea about the importance of holding an overseas bank account and the best place to start with. Be it a start-up, or an established business, your business, and hard-earned money need to be secured in the best possible way and opening an overseas account could raise the security, and ease the process.

Need an Offshore Bank Account in the UAE?

Use these five tips to help you choose the right offshore bank to meet and even surpass all of your financial needs overseas.

1. Location of the Bank

Location is an important factor when deciding on offshore banking. Not all offshore banks are located in the same jurisdiction, and that jurisdiction can have a tremendous impact on everything from the stability of your assets to the amount of money you could pay yearly in taxes.

The best jurisdictions to select will be those that have stringent reserve requirements for all banking institutions as well as those with friendly tax laws when it comes to foreign investment. Belize, for example, is a top contender among investors looking for the best security and savings at an offshore bank.

2. Check for Online Banking Services

In today's modern world, many people are used to banking online rather than in person or over the phone. The need for online banking will be especially pronounced when account holders are located in a different country and have to worry about time differences and the logistics of getting to the bank’s location.

Fortunately, many of the leading offshore banks today allow for online services and transactions, giving account holders access to their money 24/7 and from any location with an Internet connection.

3. Explore the Range of Banking Services

Even if an offshore bank is perfect in every respect, it won’t be the bank for you unless it offers the services you need. Don’t be afraid to ask and confirm that a bank you’re considering offers the exact range of financial services you need most.

These could be more traditional things like savings accounts and loans, or they could be international investments, managed mutual funds and offshore trusts.

4. Question Customer Service and Reputability

If you’re in one country and your bank is in another, you need to be able to trust and communicate with bank staff. Customer service should be a priority, and you can find out how a bank’s staff handles communication right away.

Confirm that they can contact you in various mediums to suit your preferences, and see how quickly they respond to your initial questions or concerns. With these tips, you will be ready and able to select the right offshore bank that surpasses all of your financial requirements.

5. Minimum Deposit Requirement

The first and foremost factor is the amount of initial deposit required to open a foreign bank account. Some banks have higher deposit requirements which may not be suitable for individuals and small businesses. Therefore, it is beneficial to do a bit of research about the various offshore banking options available that’ll suit your requirements. You can opt for a bank that offers a lower deposit amount and set up fee.

If you are running a business in the UAE, and, for some reason (like nature of the business activity, nationality constraints, etc.), you aren’t able to get a corporate bank account for your company in the UAE, we have good news for you!

You may opt for an offshore bank account instead. It provides you with the same level of accessibility and benefits, plus more! Commitbiz is the approved introducer for ABC Banking Corporation, Mauritius. It provides the following facilities:

• Minimum account opening deposit of just 5,000 USD (or equivalent)
• Multi-currency accounts
• E-banking
• No statement or ledger fee
• Free internet banking (both viewing and transaction)

Note: You need not get your documents attested for a second time for the offshore bank account. To open your offshore bank account, do contact us - we'd be happy to assist you!