- July 16, 2020
- Posted by: Dhivya Krishna
- Category: company formation
The first thing you’ve to know is that the offshore companies totally differ from that of the free zone companies. Offshore companies are legal entities whose ultimate intentions are to perform work outside the registered locations under its ownership. Free-zone companies are onshore entities. The UAE has impressed all the businessmen offering tax-free businesses. JAFZA and RAK are the two jurisdictions that offer zero percent tax. Out of these, RAK is costly. Whereas, the Jebel Air Free Zone provides the opportunity to own property in the UAE. This splendid feature created great demands in the country.
KGRN helps you in assisting throughout the JAFZA offshore company formation. Have you ever heard of the JAFZA gate pass? The JAFZA gate pass is simply a document that should be filled out by the person who wishes to move out of the premises of the particular organization. JAFZA customers can access their Jebel Air Free Zone gate pass through the portal, whereas new customers need to apply for the JAFZA gate pass. The JAFZA registered agents will help you carry out all the formalities without any flaws or any legal issues.
Why offshore companies?
There are diverse reasons for picking up offshore companies. Offshore companies are the fastest investment in growing sectors. Ever heard of the ‘JAFZA one?’. JAFZA one is a modern feature of the ‘one-stop-shop’. The JAFZA registered agents will make sure that the financial statements of the company are accurate. Thus, thousands of entrepreneurs likely choose this field. KGRN will help you get in contact with the Jebel Air Free Zone registered agents and JAFZA approved auditors. With plenty of benefits, offshore companies play a vital role. They are as follows:
- International gateway expansion
- Business-friendly environment
- Stable business
- Complete foreign ownership
- Ownership in local real estates
- Pliable regulatory regime
- Tax is neutral in investments, international or company incomes
- Global funding is appreciable
- The vehicle is provided for intellectual properties
- Multi-currency accounts can be opened
Why is it unique? The UAE has a double taxation avoidance agreement over 30-40 countries around the globe. UAE does not depend on any other country. It offers an opportunity to own a property.
Types of company formation in JAFZA:
There are three types of company formations in the JAFZA. They are as follows:
- Branch company
- Free zone company
- Free zone establishment
JAFZA Company features:
- Directors- At least two directors are required in the company. Corporate directors are restricted.
- Secretary- one secretary is mandatory. Even the director can also act as the secretary.
- Auditor- The Company must appoint an auditor to verify and examine the office accounts.
- Shareholders- More than one shareholder should be appointed. Here, corporate shareholders are permitted.
- Share capital- Minimum share capital is not required
- Annual reports- from the preparation date, every company must hold a record of 10 years
Procedure for forming an offshore company:
- Firstly, they must submit the filled out application to the registrar
- Secondly, they must prepare and attest the Memorandum & Articles of Association appropriately
Registration for the JAFZA offshore company formation:
The registrar’s decision will be final. He decides if the application is valid or not. An offshore company number will be allotted. Finally, the registration certificate will be provided.
- Firstly, the company should get in touch with the JAFZA agents and approved auditors for the registration process
- Secondly, acquire the name of the company. For registration, 2-3 names are advised to be submitted. The authorities will finalize the name.
- Thirdly, nature of the business and all its activities must be shown which includes investments and trade details
- Firstly, application form of the JAFZAs
- Secondly, passport copy verified by Lawyer or Accountant
- Thirdly, address proofs
- Furthermore, reference letter from the bank
- Applicant’s Curriculum Vitae or biodata
- The relevant name for the offshore company
- Also, the listing of company’s activities
- Lastly, submit list of company beneficiaries
Limitations of Dubai JAFZA offshore company:
The UAE has framed laws through which the authorities show a clear image of the companies Vs the international authorities. The following are the limitations of the UAE offshore companies
- Firstly, they do not permit Bearer shares
- Secondly, they do not allow the renting of local premises
- Thirdly, they do not allow activities like banking, insurance or advertising
- Lastly, the company’s shareholders must visit the JAFZA or the UAE
- Firstly, in Dubai, KGRN serves as a multi-purpose accounting firm connected all over the world.
- Secondly, KGRN is a common and trustworthy platform for all taxation services and accounting services
- Registered and duly licensed
- Also, all the experts of the best-outsourced accounting services in Dubai are a part of the KGRN
- Furthermore, we will guide you throughout the process
- Additionally, there are no hidden charges
- In fact, we have thousands of happy and satisfied customers
- Furthermore, we promise on-time delivery
- We also provide instant updates about the process and guide you throughout the process
- Lastly, KGRN will help you assist with transparent communication with the best monthly accounting services in Dubai
1. What are the advantages of setting up an offshore company in the UAE?
Offshore companies in the UAE have a 100% ownership guarantee.
2. Should I possess a bank account for the JAFZA Company?
It is better to possess a bank, rather than incorporate it in several ways.
3. How many companies are there in the JAFZA?
There are more than 7000 companies in the JAFZA
4. Does the JAFZA Dubai offshore company taxed?
No, there is no taxation on the JAFZA Dubai offshore companies.
For more info, please contact,
Gopu Rama Naidu, CPA FCA
Phone: +971 504 520648 | +971 455 70204