Why setup a SPV company in UAE?
Setting up a Special Purpose Vehicle (SPV) in the UAE is beneficial for several reasons, especially for investors, businesses, and holding structures. Here are some key advantages:
1. Asset protection & risk isolation
- An SPV helps separate financial and legal risks from the parent company or investors.
- It can be used to hold specific assets or projects, limiting liabilities in case of financial issues.
2. Tax efficiency
- The UAE offers 0% corporate tax in free zones (subject to conditions) and no capital gains tax in many cases.
- It provides a robust network of double taxation treaties with various countries, benefiting international investors.
3. Ownership & investment flexibility
- SPV’s can be used to hold shares in multiple companies, real estate, or intellectual property.
- They provide a structured way to attract investors while maintaining control over assets.
4. Succession planning & wealth management
- Many high-net-worth individuals use UAE SPV’s for estate planning.
- It helps in transferring ownership without complications, avoiding probate issues.
5. Regulatory benefits & compliance
- UAE SPV’s (especially in ADGM & DIFC) follow common law principles, making them attractive for international investors.
- Flexible corporate governance with no minimum capital requirements in some jurisdictions.
6. Real estate investments
- Used to hold UAE and International real estate assets efficiently.
- Helps in structuring investments for foreign ownership in restricted zones.
7. Cost-effective & fast setup
- Compared to other global jurisdictions, UAE SPV’s offer low setup costs and quick registration (sometimes within a few days).
What are the UAE SPV Jurisdictions?
1. DIFC SPV (Dubai International Financial Centre)
Key features
✅ Based on English common law, regulated by the DIFC registrar of companies
✅ Well-suited for financial services, holding companies, investment structuring
✅ No minimum share capital requirement
✅ Can hold shares in local or international entities
✅ Access to UAE’s double taxation treaties (if structured correctly)
2. ADGM SPV (Abu Dhabi Global Market)
Key features
✅ Follows English common law, regulated by the ADGM registration authority
✅ Flexible shareholding structure (can be owned by individuals, companies, trusts)
✅ No minimum share capital requirement
✅ Can hold local or international shares, real estate, and intellectual property
✅ Cost-effective compared to DIFC
✅ No corporate tax (subject to conditions)
3. RAK ICC SPV (Ras Al Khaimah International Corporate Centre)
Key features
✅ Offshore SPV, regulated by RAK ICC
✅ Cheapest SPV option in the UAE
✅ Ideal for international holding structures
✅ No corporate tax, VAT, or personal tax
✅ Can hold global assets, real estate, and shares in international companies
✅ No requirement for an annual audit
Working with S & S to setup your SPV company
A Special Purpose Vehicle (SPV) license in the UAE is an excellent tool for asset protection, investment structuring and risk isolation. Whether you’re an entrepreneur, investor or corporate entity, setting up an SPV can provide legal and financial benefits. However, the process involves multiple regulatory requirements.
At S & S we assess your needs and recommend the right jurisdiction and SPV structure based on your financial and business objectives. We ensure a smooth approval process without any unnecessary delays.
With S & S Business Setup, you can establish your SPV in the UAE quickly and legally. Let us handle the complexities while you focus on managing your assets and investments.
Get started today!
Contact us for a free consultation via [whatsapp] or [email], and let our experts guide you through every step of the process.