Atlas Corporate Services Group, a leading provider of corporate services since 1996 with a marketing office in Dubai, has released its research findings conducted to review and establish emerging patterns in company formation. It has found that company formation of Ras Al Khaimah International Companies (RAK IC’s) has doubled in the past six months, when comparing the period Q3/4 2011with Q1/2 2012. This makes it the company’s most popular structure for foreign companies looking for an offshore business presence linked to the UAE.
Established in 2006 and regulated by the RAK Investment Authority, Ras Al-Khaimah IC’s offer attractive features such as 100% foreign ownership, 100% repatriation of capital and profits and zero taxation. RAK also offers a strategic location as gateway between Asia, Africa and Europe, offering investors easy access to a range of established and emerging markets. Furthermore, RAK IC’s can be incorporated in as little as 72 hours and are cost effective, requiring a minimum share capital of 1,000 AED. The combination of these factors combined with the political stability of the UAE is believed to have contributed to their ongoing popularity; RAK IC’s provide an ideal vehicle for international businesses wishing to take advantage of the favorable taxation environment in the UAE, but who do not wish to trade with companies within the UAE. RAK is located at the northern most tip of the UAE, and has a population of approximately 250,000, which is expected to grow to 400,000 by 2017. Rapid development of the Emirate, notably driven by the creation of the award-winning RAK FTZ (Free Trade Zone) in 2000 and ongoing expansion of the RAK International airport has contributed to the growth of a robust local and expatriate commercial hub. As the Emirate develops further and gains greater international visibility, appetite for RAK companies is predicted to grow further.
Paul Hymers, Finance Director of Atlas Corporate Services comments, “RAK IC’s have always been popular with our client base. However, we attribute this spike in formation to the growing credibility and awareness of the strength of Ras Al Khaimah as an international business hub, and the improved infrastructure both within the RAK (Free Trade Zone), and accessibility with the rest of the Emirates. We expect this figure to grow again for the period Q3/Q4 2012, and will continue to recommend RAK companies strongly to all our international business clients. We at Atlas Corporate Services feel that RAK represents the future of company incorporation in the UAE at this current time.”