Situated at the northernmost corner of the United Arab Emirates, the RAK stands as one of the developing investment platforms that have been continually targeting global business investors. Holding a regional history and archaeological exhibits, the region contains a rich culture and is regarded as the cultural capital of the United Arab Emirates. The nation of UAE offers a pool of Free Trade Zones to the international investors to come forward and start a business in the UAE. Among them, the region of RAK provides unparallel bargain when it comes to company setup. This guide will give you a complete idea regarding the RAK Free Trade Zone and how you can establish your business in the zone.
A Gist on RAK FTZ
Established in the year 2000, the RAK Free Trade Zones has been constantly growing in grabbing the attention of business professionals. The RAK Free Trade Zones stands as one of the fastest-growing free zones in the UAE, which serves as a home to more than 8,000 companies operating from more than 100+ countries and covering almost 50 industries. Being situated closest to the far eastern nations like India, China, Iran, etc. the RAK holds enormous opportunities and turns out to be a favourable business destination. Each of the free zones stands as a dedicated zone to numerous business segments, strategically located and facilitated by administrative procedures. Some of the well-known free zones in RAK covers the following:
- RAK Investment Authority Free Zone (RAKIA)
- Ras Al Khaimah Media Free Zone
- Ras Al Khaimah Economic Zone
- RAK Maritime City
Some of the specific information related to the company set up in RAK Free Trade Zone are stated below:
Availability of Licenses
General Trading License
Types of Business Entity
Free Zone Business Entities
Free Zone Limited Liability (FZE)
Free Zone Company (FZC)
Non-Free Zone Business Entities
Limited Liability Company (LLC)
Initial Investment/ Share Capital
No minimum share capital required
Serviced Executive Office
Small, medium and large-sized warehouse ranging from 200-400 square meters
When it comes to the RAK, the region provides cost-effective business solutions. Now, let’s move on and see the incorporation process.
How to Setup a Company in RAK Free Zone?
To establish a company in the RAK Free Trade Zone, you need to proceed ahead by following the steps mentioned below.
1.Select the Dedicated Free Zone
First and foremost, you need to select the dedicated Free Zone in RAK that you feel is suitable for your business. It becomes beneficial if you have possessed knowledge of the free zones available in the region so that you can choose one wisely that suits your business needs.
2.Select the Business Entity Type
The next step is to select the required business entity that you need to go ahead with. This also depends on the number of shareholders that your business holds. Depending on the investors, you need to go ahead with the business entity option.
3.Initiate the Process to Obtain the Required Business License
Once you have selected the required business entity, you need to go ahead and select the best business license for your company. As mentioned above that there are different types of business licenses available in the UAE, make sure you to choose the appropriate business license based on the business activities that will be carried out in your organization.
4.Look Forward to Obtaining a Physical Space
The fourth step is to go ahead and select an office space for your business to give physical recognition. Before you choose one, you need to be clear regarding the business activities that will be carried out on your premises.
5.Submit the Required Documents to the Government Authorities
You must be handy with the required documents that need to be submitted to the RAK FTZ to obtain the required permits. The materials include the following:
- A duly filled application form
- Certificate of incorporation
- A blueprint regarding the business plan
- A bank reference letter
- Passport and visa copies of shareholders
- List of proposed trade name for your company
- Required fees for the license
Once you submit the essentials mentioned above, your license registration process will get initiated. Upon the process complication, the permit will be obtained, which is a green signal for you to carry out your business activities. Post that, you can opt for the visa approval and get an investor visa accordingly. Now, let’s take a step forward and understand the benefits that the region holds for business investors.
Benefits of Setting up a Company in RAK Free Zone
By incorporating a business in RAK Trade Free Zone, you will be able to gain the following benefits:
- Personal tax-exemption
- No trade barriers
- No customs, export charges
- Hassle-free legal framework
- Complete repatriation of capital invested and profits earned
- Business-friendly environment set up
- Access to the other Emirates and neighbouring countries
- Upcoming Expo 2020
Thus, you can see that starting a company in RAK Free Trade Region turns out to be a favourable option for the business investors. Now, the business investors very well understand that the initial phase of business incorporation turns out to be complicated and involves legal proceedings. To carry out the process in a smooth way, they prefer to join hands with business consultants who can guide them accordingly at every step. Having an experienced professional by your side will ease the complete incorporation process and can help you at every stage. Wondering whom to have a word with? Don’t worry. Your solution is right below.
Commitbiz Consultants stands as one of the best business consultants in Dubai. Since inception, we have been helping multiple business clients across UAE, Oman, Bahrain, and Qatar to establish their business processes. Our business experts are well-versed with the business incorporation process and can guide you effectively. They do take the initiative of understanding your business requirements and cater to the needs accordingly. If you hold any doubt, do contact us today-we’d be glad to assist.