<\/p>\n\n\n\n
You don\u2019t have to be a full-time resident in the UAE to own a\ncompany here. In fact, living abroad is no barrier to success in the Emirates.<\/p>\n\n\n\n
Most\nUAE business owners choose to reside in the UAE to make the most of the amazing\nclimate, attractive business incentives, and thriving communities. But if\nfull-time residency doesn\u2019t fit your lifestyle, you can still reap the rewards\nof owning a business from afar.<\/p>\n\n\n\n
First\nyou need to address important issues such as time spent in the UAE, tax\nimplications and power of attorney.<\/p>\n\n\n\n
Working\nwith a company formation specialist can help answer these three vital\nquestions.<\/p>\n\n\n\n
1.\nHow Many Days Per Year Do You Need To Be In The UAE?<\/strong>When you\nknow how long you want to stay, you can apply for the relevant visa.<\/p>\n\n\n\n The\nexact amount of time a UAE business owner needs to spend in the Emirates may\ndiffer depending on what country they reside in. Technically speaking, those\nwho do not reside full-time in the UAE do not need to spend any time here.<\/p>\n\n\n\n However,\nit is likely you will want to visit occasionally (or maybe even regularly) to\ncheck on your business and meet management and other stakeholders.<\/p>\n\n\n\n What\nThis Means For You And Your Business<\/strong>In most cases, you will\nrequire a visa or entry permit which stipulates the number of days you can\nspend in the UAE. It is important, therefore, to understand the different\nvisa requirements for non-residents.<\/p>\n\n\n\n In most cases, you will require a visa or entry permit which\nstipulates the number of days you can spend in the UAE.<\/p>\n\n\n\n Citizens\nof GCC countries (Bahrain, Kuwait, Oman, Qatar, and Saudi Arabia) do not\nrequire a visa to enter the UAE and only need to show their passport\/ID at their\nport of entry.<\/p>\n\n\n\n Citizens\nfrom the US, China, Australia, the UK and 16 other designated countries can get\na 30-day visa on arrival. Those from 40 other listed countries can get a 90-day\nvisa, as detailed on the official UAE government website.<\/p>\n\n\n\n These free, renewable visas will be particularly useful for\nthose business owners who need to visit the UAE frequently.<\/p>\n\n\n\n Anyone\noutside the GCC and who is also not eligible to apply for a visa will be\nrequired to obtain an entry permit prior to arrival. This requires a sponsor\nwhich will usually be an Emirati citizen, an expat with a valid permit, a\nprivate company, or a free zone.<\/p>\n\n\n\n If\nyou obtain your permit through your company or free zone, this will allow you\nto stay for a maximum period of 30 days from the date of entry. Once inside the\ncountry, you will then be eligible to apply for a residence visa which may\nallow you stay up to three years subject to certain conditions.<\/p>\n\n\n\n While\nthis does sound somewhat complicated, working through it with a specialist saves\nboth time and money.<\/p>\n\n\n\n 2.\nDo You Have To Pay Taxes On Your UAE Income?<\/strong>Not\nnecessarily. It depends on your country of residence.<\/p>\n\n\n\n Again,\ndepending on where you reside, you may or may not need to pay taxes on your UAE\nincome.<\/p>\n\n\n\n If\nyou have a residence visa and spend more than six months continuously in the\nUAE, you are considered a tax resident here. As the UAE income tax is set at 0%\nyou don\u2019t have to pay anything on your income.<\/p>\n\n\n\n What\nYou Need To Consider Regarding Taxes<\/strong>Certain countries may take\nother factors into account such as whether you are accompanied by your family,\nwhere your main work or business is based, where your bank accounts are held,\nand where your property and other assets are located.<\/p>\n\n\n\n The\ngood news is the UAE has drawn up a series of double tax agreements (DTA) with\naround 100 different countries with \u2018tiebreaker provisions\u2019 to determine which\ncountry can tax your worldwide income. This helps you avoid paying tax twice\nunnecessarily.<\/p>\n\n\n\n However,\nthere are notable exceptions, including the US and Australia, so it is\nimportant you obtain expert advice to ensure you don\u2019t fall foul of the tax\nrules in your country of residence.<\/p>\n\n\n\n As\nalways, the onus is on the individual to understand and meet their obligations.\nFailure to do so can result in financial penalties and possibly even a criminal\nconviction.<\/p>\n\n\n\n 3.\nCan You Appoint A Power Of Attorney For Business Matters?<\/strong>Yes ,and\nit could be highly beneficial to do so.<\/p>\n\n\n\n If\nyou live outside of the UAE but own a company here, you may wish to appoint a\npower of attorney to handle business matters on your behalf. A power of\nattorney (POA) is a document that allows you to appoint a person or\norganisation to manage your affairs.<\/p>\n\n\n\n How\nPower Of Attorney Affects The Control Of Your Company<\/strong>Appointing\na POA is an attractive proposition for non-resident business owners and can\nhelp ensure the smooth-running of the business.<\/p>\n\n\n\n A general power of attorney gives broad powers including the\nhandling of financial and business transactions, buying life insurance,\nsettling claims, operating business interests, giving gifts, and employing\nprofessional help.<\/p>\n\n\n\n If\nyou want to specify exactly what powers an agent may exercise, you can sign a\nspecial power of attorney. Typical examples include collecting debts, handling\nspecific business transactions, or selling property.<\/p>\n\n\n\n Trust\nis everything when choosing an agent for your power of attorney. You need\nsomeone who will protect your business and respect your wishes. If you have a\nsponsor in the UAE (for example, to obtain an entry permit), your sponsor may\nbe your power of attorney.<\/p>\n\n\n\n Trust is everything when choosing an agent for your power of\nattorney.<\/p>\n\n\n\n It\nmay also be worth considering a professional director. This is similar to a\nsponsor but can bring operational value to your business, derived from local\nand commercial expertise.<\/p>\n\n\n\n Professional\ndirectors are provided as a service by many reputable UAE firms. It\u2019s important\nto determine how much power and authority you give your director, but their\nknowledge can prove worthwhile.<\/p>\n\n\n\n Questions\nAnswered \u2013 Are You Ready To Own A UAE Company From Abroad?<\/strong>Living in\nthe UAE offers an enviable lifestyle and a host of benefits, but it is not\nalways possible or convenient for business owners to reside here. With careful\nplanning and expert guidance, you can run a business from outside the Emirates\nand still benefit from much of what the country has to offer.<\/p>\n\t\t","protected":false},"excerpt":{"rendered":" You don\u2019t have to be a full-time resident in the UAE to own a company here. In fact, living abroad is no barrier to success in the Emirates. Most UAE business owners choose to reside in the UAE to make the most of the amazing climate, attractive business incentives, and thriving communities. But if full-time residency doesn\u2019t fit your lifestyle, you can still reap the rewards of owning a business from afar. First you need to address important issues such as time spent in the UAE, tax implications and power of attorney. Working with a company formation specialist can help […]<\/p>\n