The International Corporate Centre in Ras Al Khaimah (RAK ICC) is a popular platform where you can register foundations and take advantage of flexible and convenient solutions. Entrepreneurs, investors, and persons planning to pass on their property to further generations often select RAK ICC to register a foundation thanks to tax benefits, asset and confidentiality protection, easy registration, and a number of other advantages.
What is a RAK ICC Foundation?
The RAK ICC Foundation is a legal structure established within the Ras Al Khaimah jurisdiction. This is a legal entity that has functions and goals similar to those that a company may have; however, they are functionally identical to a common law trust.
Typical purposes of establishing a Foundation:
- charity;
- family capital management;
- asset protection and safekeeping;
- a holding structure to manage operating companies;
- ensuring a reliable management structure;
- owning the shares of other structures;
- guardian oversight;
- investment tasks;
- succession planning.
RAK ICC Foundations offer flexible opportunities for structure optimization to achieve different goals.
Advantages of Registering a RAK ICC Foundation
The Ras Al Khaimah International Corporate Centre, also known as RAK ICC, was established under Decree No. 12 dated 2015 by uniting RAK International Companies and RAK Offshore. Stable economy, political safety, and a high level of transparency make the corporate center very popular with entrepreneurs from different countries.
Why register a Foundation in RAK ICC:
- Tax Benefits. You will be exempted from income, profit, or dividend taxes, which makes the zone one of the most profitable ones for running a business in the UAE and beyond.
- Confidentiality. The information about the foundation’s structure and beneficiaries is not disclosed to the public, which ensures a high level of privacy.
- Flexible management. The foundation can be managed by the Founder, Council members or the guardian. You select an option depending on the goals you want to achieve.
- Minimum authorized capital requirements. The minimum authorized capital equals USD 100.
- Simple governance. The Foundation is not required to publish financial reports or undergo an audit (unless provided for by the structure’s internal regulations).
- Perpetual existence. Organizations can be established for an indefinite term, which is especially convenient if you want to pass on your assets to further generations.
- Flexible asset management. The Foundation may own different types of assets, including real estate, shares, bank accounts, intellectual property, and so on.
You can use the opportunity of migrating your business to RAK ICC from abroad. There is no currency control, so you can freely transfer the funds to any country. The registration of the Foundation in question is especially relevant for families, entrepreneurs, and investors who look for protected and flexible structures to manage their assets in a foreign jurisdiction.
Registering a Foundation in RAK ICC: Steps
Let’s look at the steps you will need to take to become a Foundation owner:
- Specify the purpose of your structure. The most typical ones include asset protection, succession planning, philanthropy, etc. You should also state which assets will be transferred to the Foundation (real estate, shares, bank accounts, etc.).
- Come up with a name for the organization.
- Create a corporate structure. You will need a founder, at least two members of the Foundation Council, and a guardian.
- Develop and provide a business plan.
- Prepare a package of documents, including passports of founders/guardians/members of the Foundation Council, copies of residence visas, proof of address of residence, and a CV for the past ten years.
- Development of registration documents: charter and by-laws.
- Submission of documents and passing a Due Diligence procedure.
- The structure is registered following approval, and the owner obtains a Certificate of Foundation Registration.
A RAK ICC Foundation is usually registered within no more than three days. We can also help you open a corporate account with a UAE bank.
Discuss the details with an expert
Check the list of required documents, and get the details of the process, terms, and costs.
Contact a consultantLet’s talk via messenger
RAK ICC Foundation Registration: Requirements
Here are the requirements you will need to meet to become a successful Foundation owner:
- At least one founder — an individual or a body corporate;
- Foundation Council members — individuals or companies;
- A registered agent in the UAE;
- A legal address in the zone;
- Minimum authorized capital (at least USD 100).
A charter is a closed document that sets out the structure management conditions. Council members (at least two) can act as guardians. If you appoint a guardian, the latter controls the Council members’ activity and makes sure that the Foundation charter is strictly adhered to at all times. The registered agent helps with document submission and ensures that all requirements are met.
Cost of Foundation Registration in RAK ICC
The service costs USD 5,300 or more.
Support and registration include:
- Registration of documents;
- Elaboration of the organization’s charter;
- Development of by-laws;
- A package of scanned documents;
- Seals.
Our experts will provide support at all stages of the process.
Why RAK ICC?
Choosing RAK ICC (Ras Al Khaimah International Corporate Centre) as a jurisdiction for non-profit organization registration is associated with numerous advantages:
- Tax burden optimization due to exemption from corporate tax, capital gains tax, and VAT. The UAE has signed DTTs (double taxation treaties) with many countries, which simplifies international operations.
- High confidentiality standards: the information about owners, founders, and beneficiaries is not publicly disclosed.
- The possibility to ensure safe and secure succession planning by smoothly transferring your assets to the next generation with minimal legal risks.
- Flexible management: the structure can be tailored to the founder’s tasks.
- International authority—Local structures are trusted on the international stage thanks to a transparent and reliable legal basis.
- As there is no currency control, you can transfer funds between structures and beneficiaries located in any country without any restrictions.
Structures can be established to function in the long term, which is especially important for family capital management.
Ras Al Khaimah International Corporate Centre gives opportunities for business scaling in the future.
Conclusion
RAK ICC is recognized internationally as one of the best options for foundation registration, thanks to its unique combination of tax benefits, simple governance, and high confidentiality standards. Please contact our experts to discuss the opportunity in more detail!
