A company which is registered in a country and it does not offer any privileged tax is called an onshore company registration. Normally in developed countries, the high taxations are applicable. Onshore companies do a sizeable amount of business in their registered country. In this case, the company owners are provided with less privacy and the beneficial owners’ entire information remains public. These onshore companies are subject to more state control.
In U.A.E onshore company, registration is beneficial and important. A person who does business from free zone obtains many benefits. The features of onshore company registration in the U.A.E are
Business transaction is allowed with minimum interference
The company is governed by the established laws from the government
It works as the direct government authority
Onshore company registration Dubai, U.A.E saves the payer from the unwanted taxes
The Onshore company registration Dubai, U.A.E ensures the company’s resident status in Dubai without any legal or tax implications.
Generally, individuals establish their business and operate it by sitting at their native places. In case of onshore company registration, U.A.E, the individual is provided with office space where he can manage the things well. Thus one can have a full time working office in U.A.E.
The benefits of UAE Onshore zones:
- Simple recruitment procedure
- Excellent postal, logistics and communication services
- Banking facilities available in the world-class
- Granted residence visa for 3 years
- No taxes for import, export, income, corporate and commercial
- Your business is availed with 100% ownership
- Highly educated, diversified and inexpensive workforce
- 100% repatriation of all capital profits
- Simple administration procedures
- Stable political, economic situation
- Inexpensive energy resources
Types of Onshore companies:
- Branch Office – It is an associate of an existing company in abroad or UAE
- Free Zone Establishment (FZE) – single person (corporate or individual)
- Free Zone Company (FZCO) –Minimum of 2 persons as shareholders
All free zones require documentary evidence of share capital that ranges from AED 300,000 to 1,000,000. The capital investment depends on the number of shareholders, the free zones chosen. On the basis of the funds shown in the bank account of the entity, the business license is issued.
Dubai onshore companies & licensing requirements:
There are some types of licenses say
- The professional license
- The trade license
- The manufacturing or industrial license
- Commercial license
- Service license
Accounting services, Educational and Medical services are granted with the professional license for onshore companies. The trading activities within the UAE market are issued with the Trade license. Those who do investment activities in the manufacturing industry are released with the industrial or manufacturing license. The Commercial license specifies and permits export, import, consolidation and distribution. There are maximum three similar product lines. Exporting finished products outside the UAE, selling the finished products only in the UAE through a local agent or distributor. Service license permits to carry out the services specified in the license within the free zone. This service must obey to the parent company’s license.
The shareholders should submit the following documents for the incorporation of an onshore company:
- Recommendation letter from the Bank
- Passport copies of directors and shareholders
- Residential address proof of the investor and shareholders
- Information about the education and experience of the shareholders