RAK ICC Foundations

Overview of RAK ICC Foundations

RAK International Corporate Centre (RAK ICC) offers a robust legal structure known as Foundations, which is designed to serve a variety of purposes, including wealth management, estate planning, asset protection, and charitable activities. RAK ICC Foundations provide a flexible and confidential solution for individuals and businesses looking to safeguard and manage their assets in the UAE.

Key Features of RAK ICC Foundations:

• Separate Legal Entity: A RAK ICC Foundation is a separate legal entity, meaning that it has its own legal personality, distinct from its founder(s).
• Founder: A Foundation is established by one or more founders who may be individuals or legal entities. The founder’s assets are transferred to the Foundation upon its establishment.
• Beneficiaries: Foundations can be structured to benefit specific individuals, families, or charitable causes, and these beneficiaries may be natural persons or legal entities.
• Council: The Foundation Council is responsible for managing and administering the assets of the Foundation in accordance with its charter and by-laws.
• Registered Agent: A Foundation must appoint a Registered Agent in the UAE to act as an intermediary between the Foundation and the authorities.
• No Public Disclosure: RAK ICC Foundations offer a high level of confidentiality as details of the founder, council members, and beneficiaries are not publicly disclosed.
• Flexible Structure: The foundation can operate similarly to a trust or a company, with the ability to hold and manage assets globally.
• Asset Protection: Assets held within a RAK ICC Foundation are protected from external claims, making it an ideal vehicle for safeguarding wealth.

Benefits of RAK ICC Foundations

• Asset Protection: A RAK ICC Foundation protects assets from creditors, litigation, and external claims.
• Estate Planning: Foundations can be used for succession planning, ensuring that assets are transferred according to the wishes of the founder.
• Tax Efficiency: Although UAE impose corporate or income tax on foundations, a RAK ICC Family Foundation can apply to the authority to be treated it as an Unincorporated Partnership where, if approved, individuals will be treated as taxable persons and not the foundation itself.
• Global Asset Management: RAK ICC Foundations can hold assets worldwide, including bank accounts, real estate, and shares in other companies.
• Confidentiality: Information about the founder, beneficiaries, and assets held by the foundation is kept confidential, providing privacy and discretion.

Uses of RAK ICC Foundations

• Family Wealth Structuring: Foundations are commonly used to hold family wealth, ensuring smooth succession planning and asset protection for future generations.
• Philanthropic Purposes: RAK ICC Foundations can be established to support charitable causes, ensuring that donations and endowments are administered effectively.
• Holding Assets: Foundations can be used to hold a variety of assets, including shares in companies, real estate, intellectual property, and other investments.
• Business Succession Planning: Business owners can use a foundation to facilitate the smooth transfer of their business interests to future generations or designated successors.

Incorporation Process

• 1. Appoint a Registered Agent: A RAK ICC Foundation must appoint a Registered Agent to assist with the incorporation process.
• 2. Draft the Charter and By-Laws: The Foundation’s Charter and By-Laws are drafted, outlining its objectives, governance, and rules.
• 3. Submit Documents to RAK ICC: The Registered Agent will submit the required incorporation documents to RAK ICC.
• 4. Foundation Registration: Once approved, the Foundation will be registered with RAK ICC, and a Certificate of Incorporation will be issued.

Requirements for RAK ICC Foundations

• Founder: A foundation can be established by one or more founders, who can be individuals or legal entities.
• Council Members: A minimum of one council member is required, who can be a natural person or legal entity.
• Registered Agent: A licensed Registered Agent in the UAE is mandatory for the foundation’s registration and ongoing compliance.
• Minimum Capital: The Charter must require the Foundation to have an initial capital with a value of USD 100 or its equivalent in any other currency.

Why Choose RAK ICC Foundations?

RAK ICC Foundations provide a flexible, secure, and confidential solution for asset protection, wealth management, and estate planning. Whether for personal, family, or corporate purposes, a foundation offers the legal structure and benefits necessary to achieve your long-term objectives. RAK ICC's reputation for stability, coupled with the UAE’s attractive business environment, makes it an ideal jurisdiction for establishing a foundation.

Set-up fee for RAK ICC Foundation – USD 2210 which includes:

Renewal fees – USD 2100

In addition, set-up fee for the RAK ICC company: www.sfm.com/rates-rakcompanies

Contact Us

For more information on how to establish a RAK ICC Foundation, or to discuss your specific needs, please use the below form to contact us. Our experienced team is here to guide you through the process and ensure your foundation is set up efficiently and in compliance with local regulations.