Are You Updated with the New Regulations at JAFZA offshore?

JAFZA is a dynamic base for thousands of businesses from over 100 countries and it attracts a significant percent of Dubai’s foreign direct investment. JAFZA offshore is one of the most sought-after business destinations in UAE, that has come up with a host of new regulations off late. These regulations repeal the JAFZA Offshore Companies Regulations 2003.

As per the new regulations, an offshore company registered with JAFZA and Jafza offshore company formation may subject to the consent of the Registrar, create different classes of shares, by providing the different classes of shares in its articles of association.

Offshore companies registered with JAFZA can hold a lease of property for use as a registered office in any designated freehold area in the United Arab Emirates approved by the Authority. It can also own a property in one of the designated freehold areas in the United Arab Emirates and a stake in another operating company within the country.

Other changes in regulations

An offshore company that holds property in a designated freehold area in the country can apply for a residency visa for its visitors.

Unlike the old regulation that requires an offshore company to have 2 directors, the new regulation stipulates that the business and affairs of an offshore company shall be managed by at least one Director. The company can also have a nominee director.

Companies that have an office in JAFZA free zone may or may not appoint a registered agent.

Offshore companies can apply to the appropriate official or public body of a foreign jurisdiction to transfer its incorporation to the foreign jurisdiction and request that the offshore company is continued as a foreign company.

An offshore Company may by a resolution apply to the Registrar for its corporate form to be converted to, and on conversion, to continue as a free Zone Company.