• +971589705959

Mainland Business Setup in Ras Al Khaimah

For business development, Ras Al Khaimah is the preferred destination for many. The popularity of RAK stems from the freedom to do business anywhere in the UAE. Approval from DED (Department of Economic Development), MoL (Ministry of Labor), MoI (Ministry of Interior) and other related authorities are mandatory for mainland company formation in RAK. Special approval from concerned authorities may be required for certain business activities.

Mainland Business Setup in Ras Al Kahimah

Mainland Business Setup in Ras Al Khaimah

Step By Step procedure of incorporating a business in Ras Al Khaimah

Step 1

Types of Mainland business in RAK:

  • Sole proprietorship
  • Partnership
  • LLC
  • LPC
  • Single person Limited liability company
  • Public Joint Stock Company
  • Private Joint Stock Company
  • Sole Proprietorship:

It's the simplest form business under which one can operate a business.

  • Partnership:

It’s a formal arrangement by two or more parties to organize a business and share profits.

  • Limited Liability Company (LLC)

It is one of the most common forms of business entities, an LCC can be incorporated with the participation of at least 2 shareholders and the maximum number is 50 shareholders. 

  • Single Person LLC:

This limited liability company is operated by a single person.

  • A public joint-stock company:

In RAK this type of business entity requires a minimum share capital. A public joint-stock company, if there are more than 10 founding members.

  • Private Joint Stock Company:

For less share capital a private joint-stock company is established.  

Step 2

Documents Required for company formation:

  • Passport copies of the shareholders
  • Proof of residence
  • Memorandum of Association & Articles of Association
  • Bank reference letter
  • A location ownership or copy of the Leasing contract.
  • Business plan
  • Every shareholder and manager's information sheet
  • Schematic drawing for the business location
  • A proof of trade name reservation is required.
  • Certified copy of the tenancy contract.
  • Photocopies of no objection letter, visa, passport, and residence certificates.
  • Copy of land map or ownership certificate.

Step 3

Procedure for setting up a business in RAK, the following steps need to be carried out:

  • Firstly, it is important to find a Local Sponsor in RAK.
  • Then it is important to determine the type of economic activity and legal form of the business.
  • After that, Submission of the application form to the company registration.
  • Submission of company name to the Department of Economic Development (DED).
  • Obtaining a trade license by submitting the company's documents to the DED and Chamber of Commerce and Industry.
  • Then Companies Memorandum of Association (MOA) shall be notarized.
  • Then registration of trade name is required.
  • Then get initial approval and special approvals.
  • The Sign the lease agreement and MOA in public notary.
  • For location and inspection approval or municipality shall be obtained.
  • After that, the licensing requirements shall be fulfilled.
  • The trade license shall be issued by paying the license fees.
  • Getting approval from Name Board and for the employees from the Ministry of Labour.
  • Lastly getting a stamp on Visa from the Immigration Department.

Step 3

Types of Business License available in Sharjah are the followings:

  • Commercial License
  • Professional License
  • Industrial License
  • Commercial Business License:

In this type of License, 51 percent shares are in the hand of local and 49 percent will be owner, my foreign partner.

  • Professional Business License:

In this type of License 100 percent shares are held by the foreign partner and locals will act as service agents.

  • Industrial License:

Businesses that deal with manufacturing or any industrial activity.

Step 5

  • Advantage of Mainland Company Registration:
  • RAK Mainland company enjoys 100% corporate tax exemption
  • Business can be operated from any part of the UAE.
  • No capital required for a local mainland license
  • There are no currency restrictions on conducting RAK business.
  • Employment visas are easy to get.
  • 100% repatriation of capital and profits in RAK mainland business.
  • Easy license and registration procedure.
  • The incorporation process is easy and no audit is required.
  • 100% foreign ownership is permitted to an investor in RAK.
  • Shareholders and corporate shareholders for a company in RAK there is no restriction.
  • RAK has abundant amenities at its disposal and inexpensive energy rates.