rak offshore (brochure)

Welcome to an entrepreneur’s paradise . . . . . . . . . . . . . . . . . . . .4

Designed by entrepreneurs, for entrepreneurs . . . . . . . . . . . . . . .8

Just what the region needed . . . . . . . . . . . . . . . . . . . . . . . . . . .10

Give yourself an unfair advantage . . . . . . . . . . . . . . . . . . . . . . . .12

A complete offshore business and financial centre . . . . . . . . . . .14

Compliance and Safety . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .16

RAK Offshore Business Centre . . . . . . . . . . . . . . . . . . . . . . . . . .18

RAK Offshore Marine . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .20

RAK Offshore Trusts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .22

RAK Offshore Financial Services . . . . . . . . . . . . . . . . . . . . . . . . .26

Registrar of Companies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .28

RAK Financial Services Authority . . . . . . . . . . . . . . . . . . . . . . . .30

RAK Financial City . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .32

Information At-A-Glance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .34

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CONTENTS

Ras Al Khaimah is one of the fastest growing emirates in one of the fastest growing economies in the world, the United Arab Emirates.

Renowned for its natural beauty and art de vivre, Ras Al Khaimah has also gained a reputation for being a transparent, tax-free, corruption-free and no-red-tape location to do business.

Its booming economy and proximity to other major international centres like Dubai has attracted hundreds of large, medium and small businesses from every part of the world.

Now, RAK Offshore is making it possible for non-resident corporations, entrepreneurs and individuals worldwide to enjoy all the advantages which were available only to resident entities.

At RAK Offshore, the sole raison d’être is to help your business succeed. From the very outset, it was conceived to allow you to unleash your entrepreneurial spirit by making it easier and more cost-effective to start and operate an offshore business.

RAK Offshore offers businesses and individuals a wide range of comprehensive services and structures that are dedicated to non-residents. RAK Offshore also benefits from one of the most comprehensive lists of non-double taxation treaties in the world, including with China, India, Italy, France and Germany.

WELCOME TO AN ENTREPRENEUR’S PARADISE

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Physically located in the superb infrastructure of the upcoming RAK Financial City, RAK Offshore will allow a wide variety of international business and financial activities.

Non-resident Businesses and Individuals

International Business Companies RAK Offshore is an ideal location for international business operations and asset protection schemes. If you are looking for an offshore location in the Middle East where you can register your LLC, Société Anonyme or GmbH without too much cost or hassle, RAK Offshore is the answer.

Maritime Activities RAK Offshore offers open registry of yachts and private boats. It will also offer open registry of commercial vessels in the near future.

Outsourcing

Thanks to its proximity to major economies, strategic location between the East and the West and ready access to a flexible, multicultural, multilingual and highly skilled workforce, RAK Offshore is the perfect place for outsourcing businesses in accounting, audit and other back office operations.

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Offshore Non-financial Businesses

You can register International Business Companies bearing the status of Ltd, GmbH, Ltda or Société Anonyme at RAK Offshore. (See pages 18, 34 & 35 for details.)

Offshore Financial Businesses*

RAK Offshore offers all the infrastructure and regulatory framework to conduct a comprehensive range of offshore financial activities. (See pages 22-27 for details.) Trusts*• General Trusts • Discretionary Trusts• Vesting Trusts • Educational Trusts • Employee Trusts • Spendthrift Trusts• Grantor Trusts • Asset Protection Trusts

Charitable Trusts and Foundations*

Corporate Special Trusts*As the owner of an operating business, you can continue to maintain control over your company by setting up a Corporate Special Trust.

Collective Investment Schemes(Investment Funds)*• Mutual Funds (Unit Trusts) • Hedge Funds • Islamic Funds

Offshore Banking*• Offshore Retail Banking • Offshore Investment Banking

RAK Offshore takes special care to give small and medium enterprises the option of offshoring their business through the creation of dedicated instruments, and enjoying the resulting benefits, some of which arelisted below:

• Asset protection and planning• Confidentiality of execution

• Tax planning• International visibility• No exchange controls• Access to a superb communication and banking infrastructure• Outsourcing• Creative and genuine portfolio of dedicated services • Property ownership for non-residents in UAE free zones• Compliant with best international standards for anti- money laundering

A government entity of Ras Al Khaimah, RAK Offshore has been developed and is managed by the RAK Investment Authority (RAKIA), an autonomous institution with a successful track record of promoting business, industry and tourism in Ras Al Khaimah.

Ras Al Khaimah - Quick Facts

Languages Arabic, English, Hindi, Urdu, Farsi

Currency AE Dirham pegged to the US Dollar

Time Zones GMT + 4 hours

Airports Ras Al Khaimah Airport: 15-minute drive from RAK Offshore Sharjah Airport: 30-minute drive Dubai Airport: 40-minute drive

Ports Saqr Port: Eight 200-metre long deep water berths, dredged to 12.2 metres, serves over 1,400 vessels annually Al Jazeera Port: New multipurpose port RAK Port: Historical trading port

WELCOME TO AN ENTREPRENEUR’S PARADISE

*Regulated activities, available shortly in compliance with the UAE Federal Law (8) of 2004 on financial free zones. Absolute confidentiality assured and guaranteed. Under the supervision of RAK Financial Services Authority for the purpose of monitoring criminal activities only.

RAK Offshore is the result of the extraordinary vision of H.H. Sheikh Saud Bin Saqr Al Qasimi, the Crown Prince and Deputy Ruler of Ras Al Khaimah.

And that vision has been turned into reality by Dr. Khater Massaad, the CEO of RAK Investment Authority. As successful entrepreneurs themselves,

they have an intimate understanding of the needs and requirements of the business world. RAK Offshore offers everything business enterprises need

to excel in today’s highly competitive environment.

Dr. Khater Massaad, CEO, RAK Investment Authority

Dr. Khater Massaad is the Chief Executive Officer of RAK Investment Authority and RAK Ceramics. In addition to this, he also spearheads various industrial, tourism and infrastructure developments in the Emirate.

Thanks to Dr. Massaad’s innovative and proactive business strategies, Ras Al Khaimah has today captured the attention of global investors who are queuing up to make the Emirate their base. Under his leadership, RAK Ceramics has progressed from one production line of 5,000 square metres per day in June 1991 to 18 production lines manufacturing 140,000 square metres per day with exports to 128 countries around the globe. His achievements have won him innumerable plaudits, including the prestigious Sheikh Mohammed Bin Rashid Al Maktoum (MRM) Business Award for Industry in 2005.

A Ph.D. in Sciences (Geophysics) from the University of Lausanne, Switzerland and a Master of Science in Mathematics, Dr. Massaad is a Swiss national of Lebanese origin. He is fluent in French, English and Arabic with knowledge of German and Italian.

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DESIGNED BY ENTREPRENEURS, FOR ENTREPRENEURS

H.H. Sheikh Saud Bin Saqr Al Qasimi, Crown Prince and Deputy Ruler of Ras Al Khaimah

An alumnus of Michigan University in the US, from where he graduated in Political Science and Economics,

Sheikh Saud’s vision for Ras Al Khaimah is founded on the bedrock of free enterprise, focussed on ensuring

maximum socio-economic advantages for the people of the Emirate.

One of UAE’s most admired corporate icons, it was under Sheikh Saud’s leadership that RAK Ceramics made

its biggest strides to become one of the largest ceramic manufacturers in the world. Another tribute to Sheikh

Saud’s corporate stewardship has been Gulf Pharmaceuticals (Julphar), a global pharmaceuticals group based

in Ras Al Khaimah. Today, Julphar exports to 40 countries with total sales in excess of AED 600 million.

Thanks to Sheikh Saud’s vision, Ras Al Khaimah has witnessed a renewed developmental vigour in the last three

years and has transformed itself into the most sought-after destination in the Middle East, with several major

tourism and industrial projects currently underway in the Emirate.

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Middle East and the GulfThanks to geographical proximity and cultural similarities, RAK Offshore is an attractive location for businesses from countries in the Gulf and the Middle East. These countries already have strong business links with the UAE. RAK Offshore is also likely to benefit from the fact that some countries inthe region suffer from political unrest and/or asset protection issues.

Russia & CIS CountriesConfidentiality and financial privacy coupled with issues such as political uncertainty, weak currencies, taxes, severe foreign exchange controls and asset protection in Russia and CIS countries make RAK Offshore a viable option for businesses from this region who seek an offshore location.

Europe, India & Other CountriesCompanies in this region have a favourable image of the UAE as a business centre. Add to that their interest in investing in the booming economies and financial markets of the GCC and it is not hard to see why RAK Offshore is a perfect offshore location

for these companies. RAK Offshore is the much-

awaited answer for the offshoring and outsourcing

needs of a wide variety of investors:

• Multinational Companies

• High Net Worth Individuals

• Family Businesses, Low Profile Companies

• Banks, Insurance Companies, Fund Management Firms

• Licensed Ancillary Services

JUST WHAT THE REGION NEEDED

RAK Offshore is designed to fill a clear gap in the regional and worldwide offshore opportunities available to businesses and financial companies. A real need exists among investors and investment professionals in the Gulf, Middle East, Russia and other CIS countries, Europe and South Asia for an offshore location in the region and RAK Offshore has been conceived to address that need.

Multinational Family Individuals Ancillary

Companies Businesses Services

and SMEs (including

Maritime)

International Business ✓ ✓ ✓ ✓

Companies

Trusts (General and ✓ ✓ ✓

Corporate Trusts)

Collective Investment ✓ ✓ ✓

Schemes (Funds)

Offshore Banking ✓ ✓ ✓ ✓

Private Boat Registration ✓ ✓ ✓ ✓

Outsourcing of Financial ✓ ✓

Services (Accounting,

Audit, Customer

Service etc.)

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RAK Offshore aims to be a regional business hub with unique competitive advantages that will appeal to a wide variety of businesses, entrepreneurs and investors.

• A strategic location at the crossroads of East and West with access to a market of over 2 billion people, from Morocco to China, and from Russia to Africa.

• A modern telecommunication and transportation infrastructure with well-developed road, air and sea transport facilities.

• No restrictions on hiring manpower and easy access to a large pool of well-qualified and trained professionals.

• Part of the United Arab Emirates, one of the most financially and politically stable countries in the region and worldwide.

• A local government that is fast and efficient with minimum regulation and red tape, and a strong commitment to encouraging business and investment.

• A tax-free environment, with numerous bilateral non-double taxation treaties with many countries including India and European countries.

• A well-developed financial regulatory framework that includes strict compliance for international anti-money laundering regulations.

• A local currency linked to the US Dollar to ensure a stable exchange rate with no currency fluctuation.

• The experience and expertise of the RAK Investment Authority which has already registered almost 1,000 free zone industrial and trade companies in a very short time.

GIVE YOURSELF AN UNFAIR ADVANTAGE

A COMPLETE OFFSHORE BUSINESS AND FINANCIAL CENTRE

RAK Offshore is a comprehensive solution that not only provides an offshore location for international businesses and upmarket financial services but also a strong yet flexible regulatory framework based on global best practices.

To deliver on the promise of a comprehensive solution, RAK Offshore offers a combination of distinct but interconnected services and infrastructure.

ServicesAn International Offshore Business Centre for non-resident entrepreneurs who need an offshore location to conduct business, and outsource back office activities.

An upcoming International Offshore Financial Centre for offshore financial services companies and finance professionals.

InfrastructureAn independent Registrar of Companies and Boats to deal with the incorporation and registration of all offshore corporate entities and marine vessels.

The RAK Financial City to house the offices of RAK Offshore as well as all the offshore businesses and financial services companies that domicile in RAK Offshore. The office space options will range from ready-made offices available on a leasehold or freehold basis to freehold plots of land on which buyers can construct office buildings to suit their needs and taste.

The independent RAK Financial Services Authority that will act as a regulatory and auditing body for RAK Offshore and all the financial companies and institutions in RAK Offshore. The RAK Financial Services Authority will be completely autonomous and will comply with all international as well as local regulations on AML and CTF.

Location Gulf RAK Offshore is the first comprehensive offshore centre in the Gulf region, offering services that range from IBCs to trusts and funds.

Time Zone GMT+4 Between Europe and Asia. Open on Sundays.

International Yes First centre in the Middle East to offer IBC registration.Business Companies

Trusts Yes Three types of trusts offered: General, Charitable and Corporate Trusts.

Offshore Yes Offshore banks can mortgage projects and property within RAK Free Zones. Banking Non-residents can use ATM and other services worldwide.

Collective Yes Sharia-compliant Funds, Mutual Funds and Hedge FundsInvestment Schemes

Yacht Yes Registration of non-resident pleasure boats.Registration Registration of commercial vessels for non-residents will be offered in the near future.

RAK Offshore - Highlights

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COMPLIANCE AND SAFETY

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Today, no financial services jurisdiction can hope to succeed unless it is well regulated and transparent. RAK Offshore sets the bar very high in terms of internal, local, federal and international compliance, yet keeping customers’ confidentiality at the heart of the system.

Day-to-day operations are managed by the Registrar, under the control of the RAK Investment Authority (RAKIA), and the independent and dedicated RAK Financial Services Authority (RAKFSA), as well as the Central Bank of the United Arab Emirates.

In delivering its functions and in considering applications by organisations and individuals wishing to establish businesses within or through RAK Offshore, the Registrar and RAKFSA aim to adopt a firm but flexible regulatory approach.

It is of paramount concern to the government that Ras Al Khaimah’s reputation is not tainted by the use of the jurisdiction for money laundering or other illegal purposes. Therefore, all licensed institutions are expected, in accordance with a set of strict guidelines, to carry out proper due diligence and “know your customer” checks so that they are satisfied as to the identity of their clients and the legitimate origin of their clients’ funds. Although total confidentiality is ensured by the legislation, the authorities will cooperate with law enforcement agencies and regulators in case of illegality.

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Ras Al Khaimah has a well-established professional infrastructure, with entrepreneurs at the highest decision-making levels. The RAK Investment Authority has long experience in fast registration and management of innovative companies and ventures.

Corporate Service Providers must obtain a licence from the Registrar, and adhere to the rules and regulations of the legislation. In case of non-compliance or unlawful activities, a series of fines and closure of activity will be enforced.

Any non-resident individual or corporate entity can register a company at RAK Offshore.

These companies are extremely flexible international instruments that can serve many objectives: trading operations, asset protection, tax planning, real estate holding, trusts, funds etc.

They require a symbolic capital and only one director and shareholder. They can hold board meetings anywhere on the planet, and the identities of their shareholders are kept confidential by law, unless there is suspicion of criminal activity by the Ras Al Khaimah and UAE regulatory bodies.

The cost of creation of such IBCs is minimal.

International Business Companies registered in RAK Offshore can bear the status of Ltd, GmbH, Ltda or Société Anonyme.

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RAK OFFSHORE BUSINESS CENTRE

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RAK OFFSHORE BUSINESS CENTRE

Yacht & Small Craft Registration: An Open RegistryDue to the rapid expansion of leisure craft ownership worldwide, RAK Offshore will offer owners the opportunity to register their vessels in an open registry, from anywhere in the world. Registration will be uncomplicated, rapid, secure and above all, convenient. Inspection and registration for this quality flag will be made easy through an international network of approved surveyors.

Who may apply?Anyone will be eligible to apply through the creation of a special IBC with the sole objective of owning the vessel.

As part of this process, such a yacht will simply be divided into 64 shares of which 33 shall be owned by the IBC of RAK Offshore.

Typical Application Requirements*

1 Proof of ownership - original documents of sale, builders’ certificates etc.

2 Certificates of survey by RAK Offshore-approvedsurveyors. Please note that for larger vessels (starting at 13.7 m/45 ft.) additional regulations shall apply.

3 For mega yachts, crew shall be properly qualified and certified in accordance with international requirements.

To be successfully registered, vessels will have to pass the RAK Offshore surveyor’s inspection and be compliant with international standards of safety and environmental protection that are embraced by RAK Offshore.

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RAK OFFSHORE MARINE

*Requirements may vary according to each case at the discretion of RAK Offshore. For instance, newly delivered yachts may be exempt from surveyor inspection.

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Trusts and Corporate Trusts* RAK Offshore will also provide an ideal location to establish various kinds of offshore trusts. An offshore trust is a very light and versatile vehicle that can be used as a direct investment vehicle offering great income, tax and inheritance advantages. An offshore trust can also be used to hold companies or other assets under the RAK Offshore Special Corporate Trusts Regulations. The elements of a RAK Offshore trust are:• The Deed: A constitution or legal agreement,

which sets out the duties and responsibilities of the trustees, the rights of the beneficiaries as well as the specifics governing the trust property.

• The Settler or Grantor: The person or entity who establishes the trust and lays down its rules.

• The Trustee: A licensed individual legally appointed to receive the trust property and to manage it in keeping with the terms of the trust deed.

• The Beneficiaries: The persons or entities entitled to the benefits of the trust property.

• The Protector or Protection Committee: The person or persons appointed by the settler as a guardian over the trustee and the trust property.

Trusts can be discretionary or non-discretionary. In discretionary trusts, ownership, control, income and capital distribution vest in the trustees. The beneficiaries of the trust are not entitled to any benefits until the trustees exercise their absolute discretion. In non-discretionary trusts, the trustees have no discretion and all amounts accrue to the beneficiaries as of right.

RAK OFFSHORE TRUSTS*

*Regulated financial service. Will be available shortly.

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Why choose RAK Offshore for your trust.Trusts are a flexible way of handling private as well as corporate affairs and there are numerous reasons to settle a trust with RAK Offshore. RAK Offshore has developed a comprehensive, yet simple legislation, to fulfil every need - from avoiding forced heirship and managing your employee benefits to establishing a charitable organisation and protecting assets. The range of trusts offered by RAK Offshore are:• Education Trusts: Income and capital are

accumulated within the trust until the happening of a conditional event. For example, a trust to fund the education of children or grandchildren.

• Employee Trusts: For holding pension fund monies or for employee incentive schemes.

• Spendthrift Trusts: For protecting prodigal or immature beneficiaries.

• Grantor Trusts: The settler retains control over income or capital, or retains power to revoke the trust.

• Charitable Trusts and Foundations: For advancing charitable causes. The advantage of such trusts is that they are normally granted tax relief provided they meet certain requirements.

• Corporate Trusts: For a business owner who wants to keep management control of his company, while transferring it to a beneficiary.

RAK Offshore Trusts - Special Features*

RAK Offshore Trusts

Minimum Assets No

Charitable Purpose Trust Yes, but tighter control on charitable trusts

Perpetuity Period 99 years

Wait and see provision

Do not apply to charitable trusts

Re-domiciliation Possible in and out

Choice of Proper Law Very liberal

Different laws can govern a trust

Revocable and Irrevocable Yes

Accumulation Possible

Registration of Trusts Yes, anonymous

Exchange Control No

Licence for Trustees Yes

Confidentiality Rules Strict

Financial Disclosure Yes

Foreign Court Awards (for trust taking the law of the jurisdiction) Immunity

Time Limit to bring Suit 2 years

Fraudulent Dispositions Yes

Forced Heirship Excluded Yes

Number of Trustees 1 to 4

Trustee as Beneficiary or Settler All combinations possible

Protectors Office of protectors allowed

Financial Guaranties Yes

Tax Treaties Yes

Compliant with the Hague International Convention on Trusts Yes

• Flexible types of trusts available combined with liberal asset-protection provisions • Strong protection for customer money• Liberal choice of law governing the trust and the option of re-domiciliation • No minimum amount of property• Compelling confidentiality rules • A trust estate may form an IBC • Anonymous registration of trust• Office of protectors is allowed • No taxes

*Regulated financial service. Will be available shortly.24


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*Regulated financial service. Will be available shortly. 27

Collective Investment Schemes (Funds)* Why choose RAK Offshore for your fund. The offshore industry worldwide is currently attracting more than 50% of cross-border assets in the world, using international investment funds. Thanks to its unique location and regulatory framework, RAK Offshore provides an ideal location for offshore funds and is fully geared to attract a substantial amount of regional and global equity. RAK Offshore Funds - Special Features RAK Offshore offers the regulatory framework to establish a diverse variety of funds including Sharia-compliant investment instruments, mutual funds, hedge funds, bond-based funds, aggressive funds or guaranteed fixed income funds. Depending on theneeds and requirements of the fund managers, these funds can be open or close-ended.

To ensure compliance with international norms and standards, all funds and fund managers must be licensed and approved by the RAK Financial Services Authority. Banks* Why settle an offshore account at RAK Offshore. International retail banking services are available to non-residents at RAK Offshore. This is a great value-added service for those who reside in countries where the banking system is deficient or not regulated.

Through the use of a simple ATM card and other international payment instruments, anyone can benefitfrom the world class financial services offered by UAE’swell-developed banking industry. For your investment purposes in dedicated free zones where full and universal freehold ownership is allowed, your RAK Offshore-based bank can take a mortgage for your real estate or industrial investments. RAK Offshore Banks – Special Features* RAK Offshore banks will offer the full range of private banking and retail banking services for non-residents including investment banking and mortgage facilities for full freehold ownership in any freehold location in Ras Al Khaimah or UAE.

All offshore banking activities are regulated by the RAK Financial Services Authority, and supervised by the Central Bank of the United Arab Emirates.

RAK OFFSHORE FINANCIAL SERVICES*

REGISTRAR OF COMPANIES

Registrar of Companies The Registrar of Companies is the production unit of RAK Offshore and is responsible for establishing business relationships, incorporating offshore companies through licensed registered agents, and ensuring all rules and regulations are strictly adhered to. The Registrar of Companies will handle all matters related to the above including: 1 Process applications for incorporation of new

companies and deliver certificate of incorporation with registration number.

2 Perform due diligence on the individuals (directors, members etc.) who are part of the incorporated company.

3 Verify the names of companies at incorporation.4 Collect various fees and fines.5 Deliver certificates, duplicates or other

documents as per the law.6 Maintain the physical registry.7 Update the Register of Companies as needed.

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RAK Financial Services Authority* To ensure maximum flexibility for investors while maintaining strict compliance with local as well as international rules and regulations, RAK Offshore has the dedicated RAK Financial Services Authority (RAKFSA) that is directly in charge of overseeing the regulated financial activity within RAK Offshore as well as RAK Financial City. The responsibilities of RAK Financial Services Authority include: 1 Screen applications received from RAK Offshore

or RAK Financial City and deliver licences.2 Grant or revoke licences and certificates

submitted to the RAKFSA by RAK Offshore or RAK Financial City for financial services.

3 Monitor Registered Agents by requesting regular reporting and performing periodical audits at their offices.

4 Keep Registered Agents informed of the appropriate procedures by issuing guidelines.

5 Supervise and regulate regulated persons, RAK Financial City staff and RAK Offshore staff.

6 Screen applications received from RAK Offshore for Registered Agents and deliver licences.

7 Monitor and regulate RAK Offshore and RAK Financial City financial services, in coordination with the Central Bank of the United Arab Emirates.

8 Ensure that the supervised financial institutions provide RAKFSA with all information and documents that are relevant to carry out its supervisory functions.

9 Develop the financial services industry in RAKIA-administered zones, including the conduct of surveys relating to the industry.

10 Monitor the effectiveness of the RAKIA financial services legislation in providing for the supervision and regulation of the financial services industry as per internationally accepted standards.

11 Provide the Government of Ras Al Khaimah with periodic reports, advice, assistance and information on any matter relating to the financialservices industry as may be necessary.

12 Make recommendations to the Government of Ras Al Khaimah on needed amendments or revisions to the financial services legislation.

13 Develop appropriate legal, regulatory and supervisory mechanisms for the efficient administration of thefinancial services industry.

14 Encourage the development of high professional standards within the Ras Al Khaimah financialservices industry, in coordination with the Central Bank of the United Arab Emirates.

15 Initiate and promote codes of conduct for regulated persons.

16 Develop a system of continuing education for practitioners in financial services.

17 Inform the general public on its functions and on matters relating to or affecting the financial services industry.

18 Promote and maintain safe and sound financialservices legislation in RAK, under the guidance of the Central Bank of the United Arab Emirates.

19 Develop appropriate mechanisms to enhance the protection of the public, including investors, whether within or outside the RAKIA-administered zones, against financial loss arising out of the dishonesty,incompetence, malpractice or insolvency of persons engaged in the financial services business in theRAKIA-administered jurisdictions.

20 Protect and enhance the reputation of Ras Al Khaimah and the United Arab Emirates as a financialservices centre; and participate in the fight againstfinancial crime and other unlawful activities relatingto the financial services industry.

RAKFSA will be fully authorised to carry out off and on-site inspections. On request, it will allow a Ras Al Khaimah, federal or foreign regulatory authority to participate in its inspections.

RAK FINANCIAL SERVICES AUTHORITY*

*Regulated financial service. Will be available shortly.

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RAK FINANCIAL SERVICES AUTHORITY*

RAK FINANCIAL CITY

RAK Offshore will be physically located in RAK Financial City, a world-class real estate project that will be a national and regional focal point for business and the community. RAK Financial City will be built on a plot measuring 280,000 square metres located at the entrance to the city of Ras Al Khaimah between the sea and the free zone area. The site will have commanding views of both the sea and the mountains of Ras Al Khaimah.

RAK Financial City will include 12 towers ranging from 20 to 65 floors. The towers will be organised around a lake and each tower will be unique in form, height, material and texture. In the heart of the project will be the two central towers that will become the new icon of Ras Al Khaimah. The various towers will include offices, residential apartments, hotels and commercial and leisure areas. Under the towers, there will be a podium that incorporates commercial areas, parking, landscaping, pedestrian arcades and swimming pools.

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International Business Companies CommentsLocation Gulf Unique offshore location: Ras Al Khaimah is the outbound port for India, Russia & CIS countries, Iran, Pakistan and of course the Middle EastLegislation RAK Offshore Regulations, 2006Languages English, Arabic, Hindi, German, Spanish A truly multicultural environment Soon: Russian, FarsiCurrency USD AED for onshore activities (pegged to USD)Exchange controls None Onshore and offshoreTime zone GMT + 4 hours Between London and TokyoAvoidance of double taxation treaties Algeria, China, Jordan, Kuwait, Egypt, The most comprehensive list of bilateral tax treaties among major Finland, France, Malta, Pakistan, Poland, offshore centres. Germany, India, Indonesia, Italy, Malaysia, Mauritius, Romania, Seychelles, Singapore, South Korea, Sudan, Syria, Turkey, YemenTax rate (company or individuals) Zero income, corporate and value added RAK is a truly tax-free environment. It is the only offshore centre to offer taxes for residents and non-residents zero tax and zero VAT for residents and non-residents, whereas other reputed centres tax their corporate or non-corporate residents up to 30%. International Business Companies Yes The simplest, fastest and most inexpensive instrument to create an offshore company in the region. RAK Offshore is the first offshore centre in the Middle East to have its own Registrar of Companies.IBC can own real estate in jurisdiction Yes, within designated free zones The only international offshore centre to offer such a service of registration to non-resident companies.Company acquisition time 1 dayIncorporation Costs: USD 950 regardless of share capital and type Other reputed offshore centres charge up to USD 5,000Government Registry and discriminate according to capital. Annual charges: Government Registry USD 680 regardless of share capital and type 40% less expensive than major Caribbean centres.

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International Business Companies Shareholders (1) Minimum (1) 1 (2) Residency requirements (2) No requirementsShare capital (1) Minimum authorised (1) No minimum requirement (2) Minimum issued (2) 1 share(3) Bearer shares (3) No (4) Redeemable shares (4) YesBeneficial ownership disclosure Not required to disclose to Government but must be disclosed to registered agentDirectors (1) Minimum number (1) 1 (2) Residency requirements (2) Not required (3) Corporate directors (3) YesLocal presence requirements (1) Directors (1) Not required (2) Company officers (2) Not required (3) Meetings (3) Not required (4) Annual general meeting (4) Not requiredAudit requirements None, unless requested by RAK Financial Services Authority in case of suspicion of criminal activity onlyAnnual accounts Yes, but not publicPossibility of migration YesShare transfer duty NilSpecial mention on the name Ltd, Société Anonyme, GmbH, Ltda...

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INFORMATION AT-A-GLANCE

rak offshore (brochure)

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