R.A.K. Company Formation & Registration

Want a lean, tax-efficient company in the UAE without renting an office or moving abroad? RAK company formation lets you do exactly that. Ras Al Khaimah is one of seven emirates in the United Arab Emirates, and its offshore registry, the RAK International Corporate Centre (RAK ICC), is built for non-residents. You get 100% foreign ownership, strong privacy, and a fast setup through a licensed registered agent. It suits holding, international trading, and asset protection. This guide walks you through the process, the real costs, and what changed for 2026.

A RAK offshore company gives you asset protection, a respected UAE base, and a simple structure you can run from anywhere in the world.

What Is a RAK Offshore Company?

Think of it as a UAE company that does its business outside the UAE. A RAK offshore company (a RAK ICC International Business Company, or IBC) is a legal entity registered in Ras Al Khaimah but designed for international business, not the local market.

The registry is RAK ICC. It was created by merging two older registries, RAK International Companies and RAK Offshore, under Decree No. 12 of 2015 (as amended by Decree No. 4 of 2016). Today, RAK ICC companies are governed by the RAK ICC Business Companies Regulations 2018 and the Registered Agent Regulations 2018.

Here is what that means for you:

• No physical office is needed in the emirate.
• You must appoint a licensed registered agent and keep a registered office in the UAE.
• One shareholder and one director are enough, and they can be the same person.
• Corporate shareholders and corporate directors are allowed.

For more >> UAE offshore company formation

For more >> UAE as an Offshore Financial Center

Why Set Up a Company in RAK?

Why do so many investors pick Ras Al Khaimah over other jurisdictions? Because it pairs a respected UAE address with a low-cost, low-friction structure. Key benefits include:

• 100% foreign ownership, with no local partner required.
• No RAK ICC corporate tax at the registry level, and no exchange controls.
• Full repatriation of capital and profits.
• Strong privacy: director, shareholder, and beneficial-owner details are filed with the registry but are not public.
• A politically stable emirate with a strong sovereign credit profile. 
• A common-law-based framework, with the option to choose ADGM or DIFC courts in your company's memorandum.

RAK ICC is used most often for holding companies, international trading, wealth and succession planning, and owning shares in other companies. It is a non-resident vehicle, so on its own it does not grant a UAE residency visa.

Read our blog: Dubai Offshore vs. RAK Offshore

Key Corporate Features

Here is a quick snapshot of a RAK ICC company at a glance.

Types of Companies at RAK ICC

RAK ICC is more than a single product. Under its International Business Company regime you can register several company types, so you can match the structure to your goal:

• Company Limited by Shares — the standard choice for holding and trading.
• Company Limited by Guarantee — for non-profit or membership structures.
• Restricted Purposes Company — for special, tightly defined activities.
• Segregated Portfolio Company — ring-fences assets and liabilities into separate portfolios.
• Unlimited Company — where members accept unlimited liability by design.

RAK ICC also offers Foundations for private wealth and succession planning, plus premium and global products for clients who need extra features.

How Does the RAK Company Formation Process Work?

The formation process is short and mostly done for you. You cannot file directly with the registry. Only a licensed registered agent can submit your application. Here is the path, step by step:

1. Appoint a registered agent. Your agent handles the whole submission to RAK ICC.
2. Reserve the company name. The name is checked and held for you (a name can be reserved for 30 days, extendable up to 90 days).
3. Prepare the documents. This includes the memorandum and articles, plus ID for each shareholder and director.
4. Submit and pay government fees. Your agent files the pack and pays the RAK ICC fee.
5. Receive your certificate of incorporation. Once approved, your company officially exists.

Same-day urgent processing is available from the registry for an extra fee if you submit before noon.

What Documents Do You Need?

Getting your paperwork right up front is the fastest way to avoid delays. For each shareholder and director you will usually need:

• A certified passport copy.
• Proof of address (a utility bill or bank statement under three months old).
• A completed application form.
• Memorandum and Articles of Association.
• UBO (beneficial owner) declaration.

Corporate shareholders also provide a certificate of incorporation, a good-standing certificate, and a board resolution. Documents from outside the UAE may need translation, notarisation, or apostille.

Choosing a Company Name

Your company name is the first thing partners and banks see, so pick it with care. The rules are straightforward:

• The name must be unique and must not mislead or copy an existing company.
• It must end with "Limited," "Incorporated," "Ltd," or "Inc" (an unlimited company ends with "Unlimited").
• Restricted words (such as "bank," "insurance," or terms implying government links) need prior written approval.
• Offensive names are refused.

Directors, Shareholders and Your Registered Agent

The structure is deliberately simple. One shareholder and one director are enough, and one person can hold both roles. There are no nationality limits, so you get full foreign ownership.

Every RAK ICC company must have a licensed registered agent and a registered office in the UAE. Your agent keeps the statutory records, files with RAK ICC, and acts as your point of contact with the registry. Bearer shares are not permitted, which keeps the structure in line with international transparency standards.

Opening a Bank Account for Your RAK Company

Once your company is formed, the next step is usually a corporate bank account. Bank account opening is often the slowest part of the whole process, so plan for it.

• Banks will ask for your certificate of incorporation, memorandum and articles, a board resolution, and full KYC on the owners.
• A clear business plan and a source-of-funds statement improve your chances of approval.
• Some UAE banks want a meeting; others allow remote onboarding. Timelines commonly run a few weeks.

A strong, well-documented UBO register is the single biggest factor in getting a bank account approved.

Tax and Compliance: What You Actually Owe

Is a RAK company really tax-free? Mostly, but 2026 rules add nuance, so let's be precise.

• UAE corporate tax. The UAE applies corporate tax of 0% on taxable profits up to AED 375,000 and 9% above that. A RAK ICC offshore company with no UAE permanent establishment and no UAE-sourced income generally sits outside the corporate-tax net. Income sourced in the UAE can be taxable.
• No personal income tax in the UAE.
• UBO and AML. You must identify and record your ultimate beneficial owners and meet UAE anti-money-laundering rules.
• CRS and FATCA. RAK companies fall under global information-exchange standards, so keep proper records.
• Double-tax treaties. The UAE has one of the world's larger treaty networks. Whether your offshore company can use a treaty depends on tax residency and substance.

How Is RAK Company Formation Changing in 2026?

The RAK offshore product looks calm on the surface, but the ground has shifted. Here is what matters right now.

• New official fees (the stat). The RAK ICC Fee Schedule, effective 1 January 2026, sets IBC incorporation at AED 3,250 for one year (AED 6,700 for two, AED 9,600 for three), with renewals at AED 3,950, AED 7,250, and AED 10,650. That is about US$885 for a one-year incorporation at the fixed AED 3.6725/US$1 peg.
• Property in Dubai. RAK ICC and the Dubai Land Department have signed a memorandum of understanding aimed at letting RAK ICC entities hold Dubai property. This is promising but still settling in practice.
• Corporate tax is live. UAE corporate tax (0% / 9%) now shapes how an offshore holding vehicle should be used.
• Substance and reporting. UBO enforcement continues to tighten, while Economic Substance reporting has been rolled back for later periods. 

One insight from nearly 30 years of forming offshore companies: the most expensive mistake we see is treating a bare RAK IBC as a residency or "get-a-visa" vehicle. It is not one. If a UAE visa is your real goal, the honest answer is a RAKEZ free-zone licence or one of RAK ICC's premium products, not the plain offshore company. Buy the IBC for what it actually does well: clean, private, low-cost holding and international business.

A hedged prediction: based on current trends, expect the UAE to keep tightening UBO checks, bank KYC, and substance expectations through 2026 and into 2027. The old "confidential and tax-free" pitch will likely keep giving way to a "substance and structure" one. That is not a reason to avoid RAK; it is a reason to set the company up properly the first time.

Corporate Details and Restrictions

A RAK ICC company can carry on almost any lawful activity, but a few rules apply:

• It cannot trade with people inside the RAK ICC zone, or provide banking, insurance, or financial services by way of business, without the right licences.
• To operate elsewhere in the UAE mainland, it must first get the proper UAE licences.
• It may only act within the activities set out in its memorandum.

Principal Corporate Legislation

• RAK ICC Business Companies Regulations 2018
• RAK ICC Registered Agent Regulations 2018

Governing Body

RAK International Corporate Centre (RAK ICC), a government authority of Ras Al Khaimah, established under Decree No. 12 of 2015 (as amended by Decree No. 4 of 2016).

Language of Legislation and Documents

English

Re-domiciliation

A foreign company can transfer its domicile into RAK ICC, and a RAK ICC company can move its domicile out to jurisdictions that allow it.

RAK Company Formation With Offshore Protection

Prefer to hand the whole thing to a specialist? Our package includes:

1. Government registration fee (first year)
2. Registered office address (first year)
3. Registered agent services (first year)
4. Company secretarial maintenance
5. Certificate of incorporation
6. Memorandum & Articles of Association
7. Appointment of first directors
8. Share certificates
9. Registers of directors, officers and shareholders
10. Free phone and email consultations

Frequently Asked Questions

• Can a foreigner start a business in RAK?

  Yes. A RAK ICC offshore company allows 100% foreign ownership, with no local partner and no nationality restriction on shareholders or directors. You do not need to live in the UAE, and you can set the company up remotely through a licensed registered agent. Note that a bare offshore company does not, by itself, grant a UAE residency visa.

• How much does it cost to form and renew a RAK company?

  The RAK ICC government fee, effective 1 January 2026, is AED 3,250 to incorporate for one year (about US$885 at the fixed AED 3.6725/US$1 peg) and AED 3,950 to renew each year. Agents charge an all-in fee on top of that for registered agent, registered office, documents, and support. 

• How long does RAK company formation take?

  Once your documents and KYC are ready, incorporation itself usually takes a few working days. Opening a bank account takes longer, often a few weeks. The most common delay is getting foreign documents notarised or apostilled.

• What is the difference between RAK ICC, RAKEZ and the mainland?

  RAK ICC is the offshore, non-resident registry, best for holding, trading, and asset protection. RAKEZ is the free zone authority, which offers licences with 100% foreign ownership and visa sponsorship. RAK mainland companies (via the Department of Economic Development) can trade directly in the UAE market. If you need visas or local trade, RAK ICC alone is not the right route.

• Do I need to visit the UAE to set up?

  No. Formation is handled remotely by your registered agent. A bank may ask for a meeting, though some banks now allow remote onboarding.

• Does a RAK offshore company pay tax?

  There is no RAK ICC corporate tax at the registry level and no UAE personal income tax. A RAK offshore company with no UAE permanent establishment and no UAE-sourced income is generally outside UAE corporate tax, but UAE-sourced income can be taxable. Always check your own position with a UAE tax adviser.