One of the seven emirates of the United Arab Emirates (UAE), Ras Al Khaimah (RAK) is a hidden gem that has emerged as an intriguing travel destination over recent years, owing largely to its captivating blend of rich history, natural beauty and modern luxury. Nestled between the Hajar Mountains and pristine coastline, this particular emirate offers up all manner of picturesque landscapes, ranging from desert dunes to lush oases – but whilst there’s no denying that it’s a sight to behold and offers a great deal to the affluent traveller, there’s another reason a growing number of wealthy individuals and entrepreneurs have got their eyes on the destination.
For the business-minded, it also provides the chance to secure a strategic foothold in the Middle East, and its forward-thinking economic vision means that it offers many advantages for those looking to establish and expand their business ventures in this part of the world.
Here, we take a look at why Ras al Khaimah company formation is becoming an ever-more attractive proposition for international business tycoons and entrepreneurs alike, and delve into all you need to know if you’re considering making the move.
A strategic location
Enjoying a prime location at the crossroads of Europe, Asia and Africa, Ras al Khaimah – or RAK, as it is often known as – offers the chance to gain a valuable position at the very gateway to these continents, and when it comes to accessing markets in the Middle East and beyond, there’s no better place to be. With a number of international airports and seaports in easy reach, coming in and out is easy and trade connections can be facilitated seamlessly. So, for those seeking to do business that involves importing and exporting, it ticks all the right boxes and more.
A business-friendly environment
While many destinations across the globe are marred by considerable red tape when it comes to business, in Ras al Khaimah, this is far from the case. In fact, the destination has earned itself a reputation for being particularly conducive to the activity, encouraging entrepreneurship and innovation and offering a streamlined set-up process for those seeking to begin operating from RAK. This is, in part, thanks to the Ras Al Khaimah Economic Zone (RAKEZ) and Ras Al Khaimah Investment Authority (RAKIA), both of which play a key role in supporting and incentivising businesses and facilitating a smooth transition into the local market.
One of the most appealing reasons for a company formation in Ras al Khaimah, however, is its tax-free environment which allows entrepreneurs and tycoons alike to bring in revenue without being subject to corporate or personal income taxes. This means that for those seeking growth, reinvesting profits is a far more realistic concept than it might be elsewhere – certainly to such a degree.
Diverse and lucrative opportunities
Ras al Khaimah offers some great business opportunities across a diverse range of sectors, some of which remain largely untapped, which makes it a versatile hub for entrepreneurs seeking to expand their current operations or try something new. It’s particularly known for manufacturing, but from cement and ceramics to tourism and real estate, other opportunities abound.
Ras Al Khaimah (RAK) also offers a diverse array of business structures which are designed to cater to the varied needs of international business owners and entrepreneurs. Free Zone Companies are a particularly attractive prospect, allowing 100 percent ownership with a range of other benefits that sweeten the deal – including full repatriation of profits and exemption from import and export duties.
But there are other options; the International Business Company (IBC) in RAK offers flexibility and ease of management, with minimal reporting requirements and no corporate tax, which may well be the best choice for those aiming to establish a business with a low regulatory burden without compromising on tax-efficient operations.
The Limited Liability Company (LLC) structure, meanwhile, allows partnerships with local sponsors, which means international entrepreneurs can take advantage of local market knowledge whilst bringing in their own outside expertise – and together, the two can prove a powerful combination.
The bottom line
For the business savvy, there’s no doubt that Ras al Khaimah offers an attractive opportunity to gain ground and to expand into new markets, and establishing operations in this particular emirate could be a valuable strategic move that will change the future of your company forever. With a prime location, wide range of opportunities to leverage and business-friendly policies to ensure the entire process runs smoothly, it’s easy to understand the appeal, so if you’re seeking to take advantage of the gateway to the Middle East, then it might just be your wisest move yet.
