FAQ’s for setting up a company in Ras Al Khaimah Economic Zone – RAKEZ

Setting up a freezone company in the Ras Al Khaimah Economic Zone (RAKEZ) is a strategic decision that offers numerous advantages for entrepreneurs and businesses. Here are some frequently asked questions (FAQs) to provide you with more insight into the process:

1. Can I have 100% foreign ownership of my RAKEZ company?
   Yes, one of the key benefits of RAKEZ is that it allows 100% foreign ownership of companies, with no requirement for a local partner or sponsor.
2. What types of business activities can I pursue in RAKEZ?
   RAKEZ accommodates a broad range of business activities, including trading, manufacturing, and service-oriented businesses. Whether you’re involved in logistics, consultancy, or manufacturing, RAKEZ provides options to suit your industry.
3. Are there any tax benefits in RAKEZ?
   Yes, RAKEZ offers a tax-friendly environment, including exemptions from personal income tax and corporate tax for a specified period, typically 15 to 50 years, depending on your business activity and location within RAKEZ.
4. What documents do I need to register my company in RAKEZ?
   You will typically require a copy of your passport, a visa copy if you are residing in the UAE, a No Objection Certificate (NOC) from your current sponsor if applicable, a detailed business plan, a bank reference letter, a personal information form, and the completed application form.
5. How long does it take to set up a company in RAKEZ?
   The registration process in RAKEZ is known for its efficiency, and in most cases, you can have your company up and running within a few business days to a few weeks, depending on the complexity of your business.
6. Can I apply for visas for my employees or partners in RAKEZ?
   Yes, RAKEZ provides visa processing services to support the staffing needs of your company. You can apply for visas for your employees or business partners as required.
7. What is the cost of setting up a company in RAKEZ?
   The cost of setting up a company in RAKEZ can vary based on factors such as your chosen business activity, office space requirements, and the number of visas needed. To get a detailed breakdown of costs for your specific business, it’s advisable to contact RAKEZ or consult with a business setup expert.
8. Can I change my business activities or trade license after registration?
   Yes, RAKEZ allows businesses to adjust their trade licenses to accommodate changes in business activities or to introduce new services. You can consult with RAKEZ on the procedures and requirements for making these changes.
9. Is it mandatory to have a physical office in RAKEZ, or can I operate virtually?
   RAKEZ offers a range of office space options, from flexi-desks to dedicated office spaces, to cater to different business needs. While having a physical presence is often preferred, RAKEZ can guide you on specific requirements.
10. Are there any requirements for annual renewals in RAKEZ?
    Yes, it’s essential to keep track of your trade license renewal dates in RAKEZ. Trade licenses issued by RAKEZ have a validity period, and renewing your license on time ensures the continuity of your business operations.
11. Is there a minimum capital requirement to start a business in RAKEZ?
    No, RAKEZ does not impose a minimum capital requirement for starting a business. This flexibility allows businesses to begin with capital that aligns with their specific needs and goals.
12. Can I open a corporate bank account for my RAKEZ-registered company?
    Yes, you can open a corporate bank account for your RAKEZ-registered company in the UAE. It’s advisable to work with local banks familiar with the regulatory requirements in the region to facilitate smooth financial transactions.
13. Are there any restrictions on the nationality of the owners or shareholders of a RAKEZ company?
    No, RAKEZ is open to entrepreneurs and investors of all nationalities. There are no restrictions based on nationality for owners or shareholders of a company in the freezone.
14. What is the process for changing the legal structure of my RAKEZ-registered company?
    Changing the legal structure of your company in RAKEZ typically involves specific procedures and approvals. You may need to consult with RAKEZ or legal experts for guidance on the process.
15. Can I operate my RAKEZ-registered company outside the freezone or within the UAE?
    While your RAKEZ-registered company is primarily intended to operate within the freezone, it is possible to conduct business outside the freezone or within the broader UAE. This may involve establishing a mainland company or branch, which can be facilitated with the guidance of RAKEZ or legal advisors.
16. Is it possible to transfer an existing UAE company to RAKEZ?
    Yes, it is possible to transfer an existing UAE company to RAKEZ. The process typically involves specific procedures and approvals, and you may need to consult with RAKEZ or legal experts for guidance on the transfer.
17. What support services does RAKEZ offer to businesses?
    RAKEZ provides a wide range of support services, including legal and administrative assistance, licensing guidance, visa processing services, and access to networking and business development opportunities. These services are designed to facilitate the establishment and growth of businesses within the freezone.
18. Is there an audit or financial reporting requirement for RAKEZ-registered companies?
    RAKEZ-registered companies are generally required to maintain financial records and submit audited financial statements. It’s advisable to stay informed about the specific audit and reporting requirements that apply to your business activity.
19. Can I rent additional office space or upgrade my office within RAKEZ as my business grows?
    Yes, RAKEZ offers the flexibility to rent additional office space or upgrade your existing office to accommodate the growth of your business. You can consult with RAKEZ on the available options and procedures for office space adjustments.
20. Are there any specific guidelines or requirements for e-commerce or online businesses in RAKEZ?
    RAKEZ welcomes e-commerce and online businesses. However, specific guidelines and requirements may apply, particularly in areas such as online payment processing and data security. It’s advisable to consult with RAKEZ to ensure compliance with any relevant regulations.

If you have any other questions about setting up a free zone company in RAKEZ please do not hesitate to contact the Empresa Labs team.

Also read: How to setup a Company in Ras Al Khaimah Freezone – RAKEZ

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