Business set-up in Ras Al Khaimah: Process, Price And Guidelines

Located in the northernmost part of the United Arab Emirates (UAE), Ras Al Khaimah (RAK) stands as an ideal location for business set-up ventures. With its solid guidance, streamlined process and strategic positioning, RAK offers entrepreneurs a promising gateway to the Middle East market. Renowned credit rating agencies like Fitch Ratings and S&P affirm its economic strength, while its modern infrastructure, including seaports, an international airport and extensive highways, streamlines trade access between East and West. RAK not only offers a conducive environment for price-conscious entrepreneurs but also extends a warm embrace to families, boasting a vibrant local culture and breathtaking landscapes at an affordable price. From quality housing to top-notch education and healthcare facilities, RAK provides comprehensive guidance for those seeking success and a fulfilling lifestyle in the region.

Setting up a business in Ras Al Khaimah is easy, provided you have an understanding of the guidelines and its licensing practices. To help you gain a better understanding, we’ve put together a simple guide to understand the process of business set-up in the RAK.

What is the process of setting up a business in Ras Al Khaimah?

The best advice for anyone looking to set up a business in the RAK is to work with an expert throughout the process – be it a free zone company consultant or a company set-up agent. The process of business set-up in Ras Al Khaimah is not particularly complicated, provided you understand how to accurately undertake each step.

Step-by-step process to set up a business in Ras Al Khaimah:

Step 1: Choose a name and business activity

With our expert guidance, you can begin by defining the business activities and selecting a company name from the pre-approved list issued by the authorities. Ensure the chosen activities align with the required licence type, whether commercial, industrial or others. It's crucial to choose a name that adheres to the naming conventions in RAK and is available for registration.

Step 2: List business needs

Consider whether to apply for a standalone trade licence or opt for a licence package through a free zone business. These packages may offer added benefits like visa eligibility or access to coworking facilities, furnished offices, warehouses or land for development, making them a cost-effective option.

Step 3: Seek guidance and submit the application

Once the company name, business activities, and licence package requirements are finalised, proceed to apply. For businesses in the RAK mainland, apply to the Department of Economic Development. If setting up in a free zone, apply directly to the managing authority of the chosen free zone, often through online channels. Submit required documents such as passport copies, visas, a No Objection Certificate (NOC) and a business plan.

Step 4: Receive the licence

Upon completion of the application process, await the issuance of the RAK business set-up licence and related documentation. Later you can begin the subsequent visa application process.

Step 5: Apply for visas

For free zone packages with visa eligibility, the visa application involves submission, medical testing and biometric capturing, so consider seeking assistance from experts to ensure a smooth and timely process.

Step 6: Open a bank account

Before commencing business operations, open a corporate bank account so you can maintain a proper financial record of your company. Collaborating with industry experts at Ras Al Khaimah Economic Zone (RAKEZ) can simplify this final step.

By following these steps diligently, businesses can establish and operate smoothly in Ras Al Khaimah, seizing the opportunities it offers for growth and success.

Price of a business set-up in Ras Al Khaimah (RAK):

The price of business set-up in RAK can vary depending on whether it's set up in the mainland or a free zone, whether premises are taken on and the number of visas needed.

The best way to get an idea of the prices before starting the application is to approach a free zone to discuss business packages. Once the exact requirements are outlined, a quote for the total set-up cost will be provided. While it's not easy to estimate startup prices without knowing specific requirements, there are packages available for all budgets.

At Ras Al Khaimah Economic Zone (RAKEZ), we always place our clients at the heart of everything that we do, providing them with cost-effective set-up packages, modern facilities and top-notch services to help them reach their full potential. Our packages start from AED 6,000. Blessed with a strategic location, we connect investors to growing markets in the Middle East, North Africa, and Europe, as well as South and Central Asia.

Guidance and documents checklist for setting up a business in RAK:

1 . Coloured passport copy/emirates ID (for UAE residents)
2 . Visa copy and entry stamp (if the person is in the UAE)
3 . Original No Objection Certificate (NOC) for general manager (for UAE residents)
4 . Business plan
5 . Shareholders’ resolution resolving establishment of RAKEZ company and appointment of general manager (for corporate shareholders)
6 . Trade licence/certificate of registration of existing business (for corporate shareholders)
7 . Memorandum and articles of association (for corporate shareholders)
8 . Certificates of good standing or certificates of incumbency (for corporate shareholders)

If you are looking to set up a business in Ras Al Khaimah (RAK), contact us at +971 72041111 or send an email to info@rakez.com.