Hi Vihaan,

Setting up a UAE offshore company is different from establishing a mainland or free zone business. The process generally requires selecting a recognised offshore jurisdiction, appointing an approved registered agent and completing the required KYC and incorporation documentation.

Here are the main requirements:

• Choose an Offshore Jurisdiction: Common options include RAK ICC, JAFZA Offshore and Ajman Offshore. The right jurisdiction depends on your ownership structure, intended activities and long-term objectives.
• Appoint a Registered Agent: An authorised registered agent is generally required to handle incorporation, filings and communication with the relevant authority.
• Shareholders and Directors: Typically, at least one shareholder and one director are required. Depending on the jurisdiction, they may be the same person, and corporate shareholders may also be permitted.
• Reserve a Company Name: The proposed name must be unique and comply with the relevant authority's naming rules. Certain restricted words or names may require additional approval.
• Share Capital: Offshore structures generally do not require you to deposit a minimum share capital into a UAE bank account upfront, although the company must declare appropriate capital based on its objectives.
• Registered Address: An offshore company generally does not require a physical commercial office in the UAE. The registered agent's address can serve as the company's official registered address.

Documents You May Need

For individual shareholders and directors, the typical KYC package can include:

• Passport copies
• Recent proof of residential address
• Bank or professional reference letter
• Short CV or business profile
• Memorandum and Articles of Association

If a corporate entity is becoming a shareholder, additional documents such as its certificate of incorporation, constitutional documents and board resolution may be required.

One important point I always explain to clients is that an offshore company is not simply a cheaper version of a free zone company. Offshore entities have different operating restrictions and generally cannot conduct ordinary business directly in the UAE local market or obtain UAE residence visas through the offshore structure.

So before incorporating, I would first establish why you need the offshore company, where your customers and operations will be located, and whether you need UAE banking or residency. That helps determine whether an offshore structure is actually appropriate.