Overview
This guide covers company structures, requirements, the setup process, UAE operating limits, tax, costs, visas, and ongoing compliance for RAK ICC company formation. It also describes how RAK ICC differs from RAKEZ and conventional UAE free-zone structures.
RAK ICC Company Formation in the UAE
RAK ICC company formation allows investors and international companies to establish holding and other corporate structures through the Ras Al Khaimah International Corporate Centre (RAK ICC), an international corporate registry in the UAE. Compared with conventional UAE mainland and free zone businesses, it has different purposes and operating rights.
What Is RAK International Corporate Centre (RAK ICC)?
Based in Ras Al Khaimah, UAE, the RAK ICC is an international corporate registry governed by its relevant corporate regulations. It registers international business companies, holding vehicles and other specialised corporate structures. Although RAK ICC company registration creates a corporate structure, it does not itself provide a standard UAE operating trade licence.
Is RAK ICC an Offshore Company Jurisdiction or a Free Zone?
RAK ICC is not a conventional UAE free zone; however, it is commonly associated with international or offshore structures. A traditional RAK ICC international business company is not equivalent to a RAKEZ free zone company and is commonly intended for international corporate purposes rather than unrestricted local trading. Businesses evaluating an Offshore Company Setup should also consider any applicable UAE operating and licensing requirements.
Who Is RAK ICC Company Formation Suitable For?
RAK ICC company formation may suit:
- Investment and holding companies
- International trading where appropriately licensed
- International entrepreneurs and overseas companies
- Group structuring
- Intellectual property holding
- Special-purpose structures
- Joint venture structures
Suitability depends on factors such as country of residence, intended activity, and tax position.
Types of RAK ICC Companies and Structures
RAK ICC currently offers five core company types.
Company Limited by Shares
A Company Limited by Shares is a limited-liability structure based on share ownership, where shareholders’ liability is limited to any amount unpaid on their shares.
Company Limited by Guarantee
A structure where members’ liability is based on a specified guarantee instead of conventional share ownership.
Restricted Purposes Company
An SPV-style structure whose permitted purposes are limited through its constitutional documents.
Segregated Portfolio Company
A structure that permits assets and liabilities to be allocated among separate portfolios, subject to the relevant legal framework.
Unlimited Company
A structure involving significantly broader member liability than a limited-liability company.
What Activities Can a RAK ICC Company Conduct?
RAK ICC companies may be used for investment, international holding, and other corporate purposes, based on the company’s structure and intended purpose. UAE commercial operations may need separate licensing and approval where relevant.
RAK ICC Premium Product and RAKEZ
The Premium Product combines a RAK ICC holding company with a RAKEZ operating company. RAK ICC offers the holding function, while RAKEZ provides the applicable operating licence and facilities, subject to relevant requirements.
What Is the RAK ICC Global Product?
The Global Product differs from a conventional RAK ICC international business company. It offers a free-zone company structure through RAK ICC registered agents for specified commercial, media, service, e-commerce, and educational activities.
Subject to relevant requirements, it may also provide facility options and UAE residence visa eligibility. Tax domicile documentation may be available separately, subject to applicable requirements.
RAK ICC vs RAKEZ: Which Structure Fits Which Business?
| Requirement | RAK ICC | RAKEZ |
| Primary purpose | International structuring | Operating business |
| UAE operations | Restricted without additional licensing | Supported through applicable licence |
| Trade licence | Not a standard operating licence | Available through applicable structure |
| Office requirement | Depends on the structure/product | Depends on the facility and licence |
| Employee/residence visas | Not automatically accessible through a standalone company | May be accessible subject to requirements |
| Physical presence | May be limited based on the structure | UAE operating presence may be essential |
| Common use cases | Investment and holding | Services and trading |
| Incorporation route | Through a registered agent | Through RAKEZ |
RAK ICC Company Formation Requirements
Main requirements include:
- Selecting the appropriate company structure
- Appointing a registered agent for RAK ICC
- Providing director and shareholder information
- Completing KYC and beneficial ownership checks
- Defining the business’s proposed activities or purpose
These requirements may differ depending on the proposed structure and ownership.
Documents Required for RAK ICC Company Formation
Documents may include:
- Passport/identity document
- Proof of address
- Shareholder and director details
- Corporate and incorporation documents
- Source-of-funds or source-of-wealth information where required.
Depending on the shareholder type, residency, ownership structure, proposed activity, and compliance requirements, additional documentation may be required.
How to Set Up a RAK ICC Company
- Choose the appropriate RAK ICC structure
- Appoint a RAK ICC registered agent
- Select the company name and activity/purpose (Subject to relevant approval requirements)
- Prepare KYC and incorporation documents
- Submit the incorporation application
- Complete compliance review (Additional KYC or compliance information may be requested)
- Receive incorporation documents (Once approved)
- Complete post-incorporation obligations (Including banking, records, applicable tax, renewals, ownership updates and operating licences)
UAE Corporate Tax and RAK ICC Companies
RAK ICC companies are not automatically exempt from UAE Corporate Tax. The UAE Federal Tax Authority confirms that UAE-incorporated juridical persons fall within the Corporate Tax framework, subject to relevant rules and exemptions.
The tax treatment of a RAK ICC company depends on its structure, activities, income and relevant Corporate Tax provisions.
Specific tax responsibilities should be evaluated based on the company’s circumstances, including applicable Tax & Accounting considerations.
Can a RAK ICC Company Provide a UAE Residence Visa?
A conventional RAK ICC company does not automatically provide UAE residence visas. Premium and Global Products may provide visa eligibility, subject to relevant conditions and approvals.
RAK ICC Company Formation Costs
Costs may include:
- Registration and incorporation fees
- Registered-agent fees
- Annual renewal fees
- Legalisation or shareholder documentation
- Premium Product/RAKEZ costs, where relevant.
Ongoing Compliance After RAK ICC Registration
Ongoing compliance may include:
- Annual renewal
- Registered-agent arrangements
- Accounting records
- Ownership information
- Applicable tax filings
- KYC information
Common Mistakes When Setting Up a RAK ICC Company
Common mistakes include:
- Assuming RAK ICC is the same as RAKEZ
- Assuming offshore status means automatic corporate-tax exemption
- Selecting the wrong company type
- Assuming visas come with every structure
- Failing to assess overseas tax consequences
Frequently Asked Questions About RAK ICC Company Formation
What is a RAK ICC company and how is it different from a RAKEZ free zone company?
RAK ICC is an international corporate registry that supports international corporate structures, while RAKEZ offers operating free-zone licences.
Is a RAK ICC offshore company subject to UAE Corporate Tax?
It should not be assumed to be exempt. Treatment is based on the entity and relevant UAE tax rules.
Can a RAK ICC company open a corporate bank account in the UAE?
Yes, a RAK ICC company may apply for a corporate bank account in the UAE, subject to the bank’s due diligence and approval. Businesses can also consider Banking Assistance for corporate banking requirements.
