Company formation of RAK International Companies (RAK IC), which assists foreign companies to set up presence in the UAE, has doubled in the first half of the year, when compared to the last six months of 2011, a report said.

This makes it the company’s most popular structure for foreign companies looking for an offshore business presence linked to the UAE, said Atlas Corporate Services Group, a leading provider of corporate services, in its findings from internal research conducted to review and establish emerging patterns in company formation.

Established in 2006 and regulated by the RAK Investment Authority, Ras Al-Khaimah IC’s offer attractive features such as 100 per cent foreign ownership, 100 per cent repatriation of capital and profits and zero taxation.

RAK also offers a strategic location as gateway between Asia, Africa and Europe, offering investors easy access to a range of established and emerging markets. Furthermore, RAK IC’s can be incorporated in as little as 72 hours and are cost effective.

The combination of these factors combined with the political stability of the UAE is believed to have contributed to RAK IC’s ongoing popularity, said Atlas.

RAK is located at the northern most tip of the UAE, and has a population of approximately 250,000, which is expected to grow to 400,000 by 2017.

Rapid development of the Emirate, notably driven by the creation of the award-winning RAK FTZ (Free Trade Zone) in 2000 and ongoing expansion of the RAK International airport has contributed to the growth of a robust local and expatriate commercial hub.

Paul Hymers, finance director of Atlas Corporate Services said: “RAK IC's have always been popular with our client base.  However, we attribute this spike in formation to the growing credibility and awareness of the strength of Ras Al Khaimah as an international business hub, and the improved infrastructure both within the RAK FTZ, and accessibility with the rest of the Emirates.”

“We expect this figure to grow again for the period Q3/Q4 2012, and will continue to recommend RAK companies strongly to all our international business clients.  We at Atlas Corporate Services feel that RAK represents the future of company incorporation in the UAE at this current time.” – TradeArabia News Service