Before starting a business in Dubai, it’s better to know how certain laws and policies work and what type of businesses could be established under the offshore companies to avoid any future hindrances.
An offshore company encourages foreign nationals to boost economic activity in Dubai and enables them to gain higher returns on their foreign investments.
There are several benefits of establishing an offshore company in Dubai. It’s easy to register an offshore company in Dubai and it’s worth considering as it requires minimal investment and efforts.
Since there are many reasons to consider, we have come up with our own 7 reasons to use an offshore company in Dubai. They are as follows.
- Financial aspects
Choosing an offshore company blesses you with financial privacy and safety which are the most essential tools to carry out any business. Since the UAE laws and regulations regarding the offshore companies are lenient and flexible, therefore, it ensures transparency and privacy about holding any public record or even revealing the company’s directors and shareholders too.
- Legal aspects
It provides freedom to the investors to take 100% ownership depending on the corporate structures. The investors can easily benefit by investing in real estate properties in selected areas and set up their businesses accordingly.
- Tax Exemption
People look for tax-free opportunities and investments. Countries like the UAE have made their laws more convenient to the people and have exempted them from paying any kinds of tax on these offshore companies. That means that the investors have the right to earn all the returns on these businesses.
- Banking Infrastructure
Dubai is easily the best city that offers to facilitate banking infrastructure to all foreign investors and the residents. The offshore companies can gain easy access to banks. It enables investors to open their bank accounts with the support of multiple currencies.
- Asset Protection
Setting up an offshore company enables asset protection which means it protects the assets from creditors while holding value for the assets.
- Tax Treaties
The UAE has already signed a double tax avoidance agreement with more than 40 countries to boost more investment opportunities in the country by enabling the two countries, the residence and source country to be exempted from paying any sort of tax. This means that setting up an offshore company will provide a double taxation relief to all the investors.