For international investors, accumulating wealth is only half the battle; protecting it is the other half. Whether you own real estate in Dubai, hold shares in international companies, or want to secure your family’s inheritance, a Dubai Offshore Company is one of the most powerful legal tools available. Unlike a standard trading company, an Offshore entity isn’t about selling goods it’s about holding assets, ensuring privacy, and navigating inheritance laws. In this guide by Tdabeer, we explain why smart investors use offshore structures in 2026.

What is a UAE Offshore Company?

An Offshore Company (often called an International Business Company or IBC) is a legal entity registered in the UAE but is not allowed to do business within the UAE mainland. It is strictly a “holding vehicle” used to:

• Hold shares in other companies (locally or globally).
• Own real estate properties (in designated areas).
• Protect intellectual property (IP) and trademarks.
• Manage private family wealth.

Top 3 Benefits for Foreign Investors

1. Inheritance Planning (The Sharia Law Solution)

This is the #1 reason foreigners set up offshore companies. If you own property in Dubai as an individual, in the unfortunate event of death, your assets may be distributed according to local Sharia Law, which might differ from your wishes.

The Solution: By transferring the property to an Offshore Company, the asset is owned by a corporate entity that never dies. You can then structure the company shares to be transferred to your chosen beneficiaries smoothly, bypassing local courts.

2. 100% Privacy & Anonymity

Offshore registries in the UAE (like JAFZA and RAK ICC) do not publish the names of shareholders or directors in a public database. This offers a layer of confidentiality for high-profile investors who prefer to keep their net worth private.

3. Cost-Effective Structure

Unlike Free Zone or Mainland companies, Offshore companies do not require:

• A physical office space.
• Employee visas (they cannot issue visas).
• Annual audits (in most cases).

This makes them incredibly cheap to maintain.

JAFZA Offshore vs. RAK ICC: Which One to Choose?

The UAE has two main offshore jurisdictions. Choosing the right one depends on your goal:

Can I Open a Bank Account?

This is the tricky part. While Offshore companies can legally open bank accounts, UAE banks view them as “High Risk” due to compliance regulations.

Tdabeer’s Advice: To open a bank account easily, we recommend the “RAK ICC Premium Product”, which allows your offshore company to set up a subsidiary in a Free Zone (like RAKEZ), giving it “substance” and making it acceptable to banks.

Documents Required (100% Remote Process)

You don’t need to visit the UAE to set this up. We just need:

• Passport copy of shareholders.
• Proof of address (utility bill from home country).
• Bank reference letter (from your personal bank).
• CV/Resume.