The idea of creating your own business or Company at an Offshore location is exciting. However, setting up the dream Company can be a nightmare with the n number of requirements, documentation, and procedures! Fret Not! As we at Evergreen help you set up an offshore company in Dubai with ease and hassle-free.
Below are some of the advantages of Offshore company formation that will help you decide whether or not your organization needs an offshore set-up.
- Tax Advantages:
The existence of The Double Taxation Avoidance Agreement (DTAA) is one of the biggest blessings for any individual/organization who plans to set up a company in the UAE. According to this tax treaty signed between two or more countries, when an individual resident from a different country forms a company and derives income from another country, he must not pay double tax on the same income. Additionally, there are multiple tax benefits in the UAE, like exemption from paying any taxes, including personal income tax or corporate tax for an offshore company, and 100% exemption from import and export taxes. Do you know? Value-added taxes (VAT) or taxes on capital gains or withholding tax do not apply to offshore companies. - Business Anonymity:
As per the rules in the UAE, an offshore company is not required to publish any financial information or the details of its directors or shareholders. - Ease of Formation and Low Maintenance Cost:
Usually, setting up business in a new country is cumbersome and lengthy. The fact that it takes 3-7 working days to set up an offshore company in the UAE makes it attractive to global companies. Also, there are no minimum capital requirements. Having one director and one shareholder is obligatory for an offshore company with no restrictions on the citizenship of such a director or shareholder. Additionally, an offshore company is not required to have physical office space in the UAE. There are no audit requirements, and an offshore company must meet very few regulatory compliances. - Access to Bank Accounts:
An offshore company can set up multiple currency bank accounts with any local and international banks in the UAE. This is advantageous as it gives MNCs and global companies the flexibility to manage their funds in different aspects of the world. - Asset Protection:
An offshore company in the UAE may hold assets such as real estate, intellectual property, securities and any other investments, no matter where the asset is located. The information on the ownership of an offshore company in the UAE is entirely anonymous, which is very beneficial for foreign investors to protect their assets from creditors, third parties or lawsuits.
We hope these details will help you with your decision to establish an offshore company in the UAE. And if you need further guidance, you can contact the experts at the Evergreen Businessmen Services, one of the most trusted Business set-ups in Dubai that helps ease the process of offshore company formation!