Ras Al Khaimah Investment Authority (RAKIA) was founded in 2005. Emiri Decree No. (2)/2005 was issued by the late Sheikh Saqr Bin Muhammad Al Qasimi, constituting RAKIA free zone. It was done to reinforce the investment climate and have the RAK’s economic sectors be promoted. It is composed of two industrial parks that give investors choices to choose from when conducting RAK free zone business setup.Before anything else, there are two different business types in the UAE, namely free zone company and non-free zone company. This is also important for businessmen to know before they go into having a business setup in UAE. Also, the legal entities that are allowed RAKIA free zone are the following: establishment for a non-free zone company, limited liability company (LLC), free zone establishment (FZE), free zone LLC (FZ LLC), and branch of a local or foreign company. These alternatives are essential to be known by the business owners so they are aware what choices are open for their RAK free zone business setup. The license types should also be noted as follows: consultancy/service, trading/general trading, commercial, industrial, and media. To accommodate the needs of the investors and the requirements of their businesses, RAK free zone company formation is made easy and comfortable with the flexible facilities, cubicle offices, standard offices, executive offices, conference room facility, mail forwarding services, and a business lounge for networking and executive meetings. Aside from these, there is also a RAK free zone virtual office that is available for any businessman who needs it.
RAK free zone business setup, like any other UAE free zones, has its own procedures that should be followed for an orderly processing of company formation in UAE. Before you start your venture on setting up a company in RAKIA free zone, it is imperative that you reach a consultant for further advice on business setup in UAE. Almost all free zone companies in Ras Al Khaimah and in any other UAE free zones were established with the help of a business consultant. In this regard, it is not a surprise that Ras Al Khaimah Investment Authority is now becoming a household name when it comes to company formation in UAE. The consultants are playing a huge role in having the investors be well-informed with regard to everything they need to know about RAK free trade zone authority. When businessmen are looking to form a company in RAK Investment Authority free zone, it is a great help that they have the correct information about the RAK free zone company setup cost as to prepare a budget plan and the Ras Al Khaimah free zone trade license as well to ensure they get the correct one. Moreover, to have an even more detailed budget plan, it will help to find out what the RAK free zone flexi desk cost is. These things can help with regard to financial side of things. It can prepare the investors. Since company formation in RAK free trade zone authority should not be taken lightly, these consultants will advise you further than how to start a business in UAE free zone, like information about the RAK free zone virtual office, if you plan to have one. The main benefit of having a consultant on your side, however, is the fact that they will be the person who will do everything on your behalf, like going to the Ras Al Khaimah economic department. They do not only answer your question about RAK free zone company setup but will help you make it come to reality.There are a lot of license types, business types, and everything to deal with about RAK free trade zone UAE, and it is essential that you have specialists on RAK company formation on your side to ensure of having a good start.
RAK free trade zone UAE offers facilities and solutions that give the investors what they need for their companies. There are over 500 manufacturers and thousands of SMEs that are being housed by RAKIA, proving to be a helpful Ras Al Khaimah free trade zone for RAK’s economy and the UAE itself as well.
There a number of benefits that investors find in this zone. Below is the list of the advantages that it offers, making the business owners want to establish their organization in this location:
100% foreign ownership
Unlike in the mainlands in UAE, RAK UAE free zone does not need you to obtain a local sponsor, who will have 51% of your business’ shares, in order to start establishing a company. This is one of the best advantages of being in a free zone, and investors find this definitely helps.
RAKIA is located at the crossroad of trade between East and West. It is easily positioned with an access to markets in the Middle East, Africa, and others.
It is well known to everyone in the UAE that we have a value-added tax (VAT) implementation that came into effect at the start of 2018. Some goods and services have VAT applied to them. On the other hand, although this happened, corporate and income taxes are still not mandated by the government to be paid. This is an advantage for business owners who are looking for this kind of tax exemption.
Besides the ones listed above, there are a lot more that RAKIA has to offer to investors. The following additional benefits are listed below for you to see:
- Fast and efficient business set-up and support services
- Fast-track UAE visa issuance
- A wide range of real estate facilities to suit your individual business needs
- Choice of free zone or non-free zone
- Low cost of business set-up and operations
- Ease of doing business
- 100% tax exemptions (no corporate or personal taxes)
- 100% foreign ownership in free zone companies
- 100% repatriation of capital and profits
- A 45-minute drive from Dubai
- Easy access to strategic markets in the MENA Region
- 31% of world’s population in the 4-hour flying radius
- Proximity to express highways, seaports and airports
Before going forward to setting up a company, one should be aware of the choice of business is allowed to be conducted in a certain free zone. There are a lot of activities allowed in RAKIA.
- General Trading
- Media and communication services
More activities can also be confirmed by your consultant.
MAF Consulting Middle East is one of the leading consulting companies in the UAE. We are capable of giving clients the information they need, such as RAK free zone flexi desk cost and RAK free zone virtual office based on what they need.
The following below is a list of services that we can provide when you let us work with you:
- Applying and following up on behalf of the client until the collection of the Certificate of Business Registration (Trade License)
- Representing the client in front of the authorities
- Assisting the client in bank account opening
- Assisting the client in account opening with the Ministry of Labour
- Assisting the client in account opening with the UAE immigration
- Assisting the client in leasing a premise as an address for the business
The procedure of processing your RAKIA Free Zone company formation will range from 2 to 4 weeks.
Requirements for RAKIA free zone company registration
- Proof of tradename reservation (our firm’s task)
- Proof of initial approval for the activities (our firm’s task)
- Passport copies of the shareholders
- Passport copy and CV (resume) of the manager
- Personal information sheet of each shareholder and manager (template will be forwarded by our firm)
- Lease agreement (documents)—having a physical address for your business/office is mandatory in the UAE. The rent on average within the free zone area is USD 25 up to USD 45 per sq. ft. (USD 225 up to USD 400 per sq. m.). Our firm can assist you while searching for your physical address. You can learn more about leasing and rental cost here. (This item will be required only after we obtain the initial approval from the authority.)
- Notarized and attested Power of Attorney appointing our firm as your legal representative, so that we can act on your behalf and/or on behalf of the shareholders (template will be forwarded by our firm).
- There are some activities which might require third-party/authority pre-approval—accordingly, additional cost and professional fees might be applicable.
- Also during the process, the authorities might require a few other documents.
Additional Documents Required for a Corporate Shareholder
- Attested and notarized Memorandum of Association/Article of Association—it must be attested from the UAE Embassy at the place of origin
- Board resolution must be resolute by the board of directors of your existing company/entity at the place of origin expressing the intent of establishing a new setup abroad. It must be attested and notarized by the UAE Embassy (template will be forwarded by our firm).
- Certificate of registration (if applicable) of your existing company/entity, license, or certificate of incorporation must be attested and notarized by the UAE Embassy
RAK free zone company setup cost
The below table shows our estimation of RAK company formation cost, which also includes the Ras Al Khaimah trade license cost. You can review it and send us an inquiry if you have any clarifications.
Business Setup in RAKIA Free Zone
|Trade License option/activity||Cost in US$||Cost in AED|
|New Licence||US$ 3,424||AED 12,500|
|One-time Registration||US$ 1,095||AED 4,000|
|Office Space Lease (annual)||US$ 8,630||AED 31,500|
|Our Firm Professional Fees||US$ 5,000||AED 18,365|
ATTENTION – NOTE