Foundations
Trust Services in the UAE
What is a Trust in the UAE?
- Settlor: The individual or entity establishing the trust.
- Trustee: The party responsible for managing the trust assets
- Beneficiary: The recipient(s) of the trust benefits.
Alternative to Trusts in the UAE: Foundations
Foundations serve as a viable alternative to trusts in the UAE, offering a structured legal framework for asset management, succession planning, and wealth preservation.
RAK International Corporate Centre (RAK ICC) Foundations are legal entities with their own corporate personality, separate from their founders. These foundations operate through a council, ensuring structured governance and asset administration.
- Succession planning and asset protection
- Robust governance structure
- Guardian oversight for compliance and security
- Separate legal personality for liability protection
- Holding assets and shares in RAK ICC companies
- Distributing dividends from operating companies
- Managing wealth for beneficiaries
- Supporting family philanthropy
- Internationally compliant and recognized registry
- Strong governance structure
- Favorable tax regime in the UAE
- Flexibility to migrate from overseas jurisdictions
- Cost-effective registration and administration
- Perpetual legal existence
- Customizable beneficiary structures
- Founder: At least 1 founder is required.
- Council Members: Minimum of 2 members.
- Guardian: Optional during the founder’s lifetime; mandatory upon the last founder’s passing.
- Designee: Appointed only if a beneficiary is not nominated.
Restrictions:
o A Council Member cannot simultaneously be a Guardian.
o A sole beneficiary cannot be appointed as a Guardian.
o A Founder may serve as a Council Member or Guardian.
Required Documentation
- Three proposed foundation names
- Personal CV (education and professional background)
- Notarized passport copies of Founder, Council Members, and Beneficiaries
- UAE visa and Emirates ID (if applicable)
- Six-month bank statement
- Proof of residence (utility bill or bank statement, not older than three months)
- Original bank reference letter (confirming account standing and duration)
- Company details and registered office address
- Certificate of incorporation or registration
- Register of members and directors (recently certified)
- Proof of beneficial ownership (for entities owning 25% or more)
- Application form and business plan
- Board resolution for company incorporation
- Certified copy of commercial license (if applicable)
- Passport copies and UAE residence visas of authorized signatories
- Articles of Association for the new company
Get Started Today! If you are looking for a robust legal framework to manage your assets, protect your wealth, and ensure seamless succession planning, our team can assist you in establishing a RAK ICC Foundation in the UAE. Contact us now to learn more!