The Ras Al Khaimah (RAK) Free Trade Zone (FTZ) is a business hub located in the emirate of Ras Al Khaimah, United Arab Emirates. It was established in 2000 to promote and facilitate business activities in the region. The RAKEZ Free Zone Company Setup offers a wide range of facilities and services for investors looking to set up a business in the UAE.
The RAK Free Zone company formation provides a variety of business licenses, including commercial, industrial, and consulting licenses. The process of obtaining a business license in the RAK FTZ is relatively straightforward, with minimal paperwork and quick processing times. The FTZ also provides flexible office spaces, warehouses, and land for businesses to set up their operations.
Companies operating in the FTZ are exempt from corporate and personal income taxes, as well as import and export duties. Additionally, the FTZ allows 100% foreign ownership of companies, which makes it an attractive option for investors from around the world.
Why Choose RAKEZ Free Zone for Company Setup?
Investing in the Ras Al Khaimah Economic Zone (RAKEZ) offers entrepreneurs and businesses a wealth of opportunities. Here’s why setting up a RAKEZ company formation is a smart move.1. Tax Advantages
RAKEZ provides a tax-free environment with zero corporate and personal income taxes. This means more profits stay in your pocket, boosting financial growth. It’s a major draw for global investors.
2. 100% Foreign Ownership
Unlike some regions, RAKEZ allows full ownership of your business without a local sponsor. This gives you complete control over your RAKEZ company formation. It’s perfect for international entrepreneurs seeking autonomy.
3. Cost-Effective Setup
Starting a business in RAKEZ is budget-friendly, with packages as low as AED 5,699. Affordable licensing and facilities reduce initial costs. This makes it ideal for startups and SMEs.
4. Strategic Location
RAKEZ’s proximity to ports, airports, and highways ensures seamless logistics. It connects you to markets in the Middle East, Asia, and beyond. Your business gains a competitive edge in global trade.
3. Flexible Business Options
With over 4,000 business activities and various license types, RAKEZ caters to all industries. Whether trading, manufacturing, or consulting, you’ll find a fit. It’s a versatile hub for growth.
4. Streamlined Process
The RAKEZ company formation process is quick and simple, often completed in days. Minimal paperwork and online portals save time. Dedicated support ensures a hassle-free setup.
5. World-Class Infrastructure
RAKEZ offers top-tier facilities like offices, warehouses, and co-working spaces. These resources enhance productivity and scalability. Your business thrives in a professional environment.
6. Access to Talent and Visas
Investors can secure UAE residency visas for themselves and employees. This attracts skilled workers to your team. It’s a practical perk for long-term success.
Legal Structure Under RAKEZ Free Zone
The Ras Al Khaimah Economic Zone (RAKEZ) offers a dynamic platform for businesses. Its legal structures cater to diverse needs, making RAKEZ company formation straightforward and appealing. Let’s explore the options available.
1. Free Zone Limited Liability Company (FZ-LLC)
A Flexible Choice for Entrepreneurs: An FZ-LLC is ideal for small to medium businesses during RAKEZ company formation. It allows 2–50 shareholders with limited liability protection. This structure offers full foreign ownership and operational flexibility.
2. Free Zone Establishment (FZE)
Perfect for Solo Ventures: The FZE suits individual entrepreneurs launching a business in RAKEZ. It’s a single-shareholder entity with liability limited to invested capital. This option simplifies setup while ensuring independence.
3. Branch of an Existing Company
Expanding with Ease: Businesses can establish a branch in RAKEZ, linked to a parent company. This structure suits foreign or UAE-based firms seeking growth. It leverages RAKEZ’s benefits without creating a new entity.
Documents Required for a RAKEZ Company Formation
Find below the list of documents required for the RAKEZ Free Zone Company Setup.- Passport Copy
- Visa Page Copy (if applicable)
- Emirates ID (if applicable)
- Passport-sized Photos
- Personal Information Sheet or Application Form
- 3 Name Choices
Steps for Company Formation in RAKEZ Free Zone
Here are the steps for company formation in RAKEZ.1. Determine the Type of Company
Decide about the type of company you want to set up, such as a Free Zone Establishment (FZE), Free Zone Company (FZC), or Branch of a Foreign Company. Each type of company has different requirements and benefits, so it's important to understand the differences between them and choose the one that best suits your needs.
2. Choose a Business Activity
Select a business activity that is allowed in the RAKEZ Free Zone. The free zone allows a wide range of business activities, including trading, manufacturing, consulting, and service-based businesses.
It's important to choose a business activity that aligns with your interests and experience. You should also consider the market demand for the business activity you choose. Conduct market research to determine if there is a demand for your chosen business activity in the region.
3. Choose a Company Name
Choose a unique name for your company that complies with the RAKEZ Free Zone Authority's naming rules and guidelines. The name should not contain any offensive or religiously sensitive language, and it should not be like the name of an existing company.
Once you have chosen a name, it's important to reserve it with the RAK Free Zone Authority. This will ensure that no one else can use the same name. You can reserve your company name for up to 90 days.
4. Apply for a Trade License
You will need to submit the required documents, such as the company registration form, business plan, and passport copies of shareholders and managers. The RAKEZ Free Zone license allows you to legally conduct business activities in the RAKEZ. The license will specify the type of business activities that you are authorized to undertake.
Once you have submitted your trade license application and paid the necessary fees, the RAKEZ Free Zone Authority will review your application.
5. Obtain Approvals
Obtain necessary approvals from relevant government authorities, such as the Department of Economic Development, the Ministry of Economy, and the Chamber of Commerce. Depending on the type of business activity, you may need to obtain additional approvals from other government agencies. It's important to ensure that all necessary approvals are obtained before starting operations to avoid any legal issues or penalties.
6. Rent Office Space
Rent office space in the RAKEZ Free Zone, either in a flexi-desk, executive office, or warehouse, depending on the nature of your business. RAKEZ Free Zone company setup offers a wide range of options to suit different business needs and budget requirements.
The rental fees for office space and warehouses vary depending on the location, size, and type of facility. RAKEZ Free Zone offers competitive rates and flexible lease terms to meet the needs of different businesses.
7. Obtaining Visa
Once the necessary approvals and permits are obtained, you can then proceed to apply for work permits and visas for your employees. Moreover, the process for registering employees and obtaining work permits and visas can vary depending on the type of visa and the country of origin. Before hiring employees, you must obtain the necessary approvals and permits from the RAKEZ Free Zone Authority.
8. Commence Operations
Once you have completed all the necessary steps, you can commence your business operations in the RAKEZ Free Zone. You can start selling your products or services, hire employees, and carry out your business activities. It's important to ensure that you comply with all the regulations and laws of the UAE, including those related to taxes, employment, and immigration.
How long does establishing a business in an RAK Free Zone take?
Establishing a business in the Ras Al Khaimah Economic Zone (RAKEZ) typically takes between 2 to 10 working days, depending on various factors:- License Issuance: Generally completed within 2-3 business days after submitting all required documents.
- Establishment Card: This process usually takes 3-5 business days.
- Visa Processing: If you require visas, the application process can take an additional 7 business days.
Ras Al Khaimah Free Zone Company Setup Cost
RAKEZ Free Zone license costs range from AED 6,000 to AED 30,000, depending on the business type and requirements. For entrepreneurs seeking a cost-effective solution, RAKEZ offers an all-inclusive business setup package starting at just AED 16,500 per year. This includes licensing, office space, and support services—ideal for startups and SMEs looking to establish in the UAE.
However, obtaining approvals from relevant government authorities, applying for a trade license, renting office space, and registering employees can take longer and may require additional time and effort.
Setup your RAKEZ Free Zone Company with Shuraa India
A bustling commercial hub, the Ras Al Khaimah (RAK) Free Trade Zone provides an ideal setting for investors to establish their businesses in the United Arab Emirates. The RAK FTZ is a great option for companies wishing to grow their activities in the Middle East because of its appealing qualities like inexpensive setup fees, a quick business license process, tax advantages, and 100% foreign ownership.
In conclusion, the RAKEZ offers fantastic opportunities for investors wishing to make a name for themselves in the UAE market. The RAKEZ is an excellent choice for companies wishing to grow their operations because of its conducive business environment, affordable expenses, tax advantages, and advantageous location.
Set up your RAKEZ Free Zone company effortlessly with Shuraa India! Enjoy expert guidance, quick approvals, and a hassle-free start to your UAE business journey.
