UAE resident + UK LLC / LLP / LTD

[yngmind]

CaptK said:
I understand your structure, what I would like to know is which EMI's you have been successfull with in getting a bank account with.

That has been my biggest headache with similar structures especially when the clients does not live in the EU.
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You're right.

There are not many and there is some workaround required, you can dm me I will share some info.

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I'm not a tax advisor, so please don't consider my posts here as tax advice. Always seek a professional opinion.
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Business Bank Account for your US LLC Remotely

 

[fbsworld]

yngmind said:
You will be able to get an EMI, but not a real bank account with LLP structure.

Not sure what is ESR, it's kinda hard to find someone to put in the partners, I just use some of my companies, like US LLC or Estonian OU as partners because it's cheap.
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ESR = ECONOMIC SUBSTANCE REGULATIONS, see applicable regulation: الهيئة الاتحادية للضرائب - 404
Same for an US LLC (I suppose you use it as an Foreign-owned U.S. DE), never use it as an holding because of passive income taxation in the US...

 

[yngmind]

fbsworld said:
ESR = ECONOMIC SUBSTANCE REGULATIONS, see applicable regulation: الهيئة الاتحادية للضرائب - 404
Same for an US LLC (I suppose you use it as an Foreign-owned U.S. DE), never use it as an holding because of passive income taxation in the US...
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Yeah, US is a trap, I use UK LLP me and Estonian company.

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I'm not a tax advisor, so please don't consider my posts here as tax advice. Always seek a professional opinion.
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Business Bank Account for your US LLC Remotely

 

[Sajid87]

UAE Banks do not entertain most of the freezone companies. if you are a mainland company, there are several industries UAE banks do not support.

 

[JimBeam]

Have you tried opening a Payoneer account for your UAE company... It can maybe help you get started...

I might help you with some advices on how to get a bank account for your company (you can DM me)

 

[Finshark]

Hello, I am in the kind of similar situation. Currently using my UK LLP and am unable to switch to UAE FreeZone company as can not open a bank account. Currently, my Stripe+Wise working well, but I would like to change one of the LLP partners to my UAE FZ company, is it a good idea? Currently, UAE is in the Grey zone, so, probably it may create some compliance issues with Stripe/Wise.
I have also had an Estonian e-Residence, so can create an EE company, probably it will be a better option to set up this company as LLP partner to avoid any compliance issues?

 

[KDX]

Andy Wise said:
Hello, I am in the kind of similar situation. Currently using my UK LLP and am unable to switch to UAE FreeZone company as can not open a bank account. Currently, my Stripe+Wise working well, but I would like to change one of the LLP partners to my UAE FZ company, is it a good idea? Currently, UAE is in the Grey zone, so, probably it may create some compliance issues with Stripe/Wise.
I have also had an Estonian e-Residence, so can create an EE company, probably it will be a better option to set up this company as LLP partner to avoid any compliance issues?
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Look above, @yngmind is also using an UK LLP with an estonian company. Whats the purpose of the UK LLP?

Last edited: Mar 22, 2022

 

[Finshark]

KDX said:
Look above, @yngmind is also using an UK LLP with an estonian company. Whats the purpose of the UK LLP?
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Look above, @yngmind is also using an UK LLP with an estonian company.
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Yes, I saw but would like to decide what option is better: UAE FZ or Estonian in my case.

Whats the purpose of the UK LLP?
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I am selling online services.

 

[KDX]

Andy Wise said:
Yes, I saw but would like to decide what option is better: UAE FZ or Estonian in my case.


I am selling online services.
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What will be the purpose of the FZCO or Estonian company? Are you making a holding structure? As in the LLP conducts operations and distributes profit to the FZCO?

It's quite a common thing to use a UK LTD/LLP for payment processing due to the easy of using stripe/wise with it. This way you only receive payments via this company and can do the rest of the operations via your UAE FZ company.

I'm still not sure what the whole structure of your business looks like, so I can only guess what you actually need. If you just need a new LLP partner then any company should do the job afaik? I'd probably use the Estonian company as it seems to be working with the user I mentioned previously.

 

[cer955]

fbsworld said:
ESR = ECONOMIC SUBSTANCE REGULATIONS, see applicable regulation: الهيئة الاتحادية للضرائب - 404
Same for an US LLC (I suppose you use it as an Foreign-owned U.S. DE), never use it as an holding because of passive income taxation in the US...
Click to expand...

Hello, could you tell me more about this and what does it imply to the company?

 

[fbsworld]

cer955 said:
Hello, could you tell me more about this and what does it imply to the company?
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You have all details here: Economic Substance Regulations

 

[cer955]

fbsworld said:
You have all details here: Economic Substance Regulations
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I've found and read the same page but I can't find why having a UAE company hold a UK LLP would trigger it. I'm sure I'm missing something btw.

 

[kriyazen]

I am a resident of the UAE and have a Wise account for my UK and EE companies. All went well for two years with no issues. Last month I transferred EUR 5k from my UAE FZE LTD's bank account as a salary to my Wise personal account. I got an email from Wise asking loads of crap, e. g. what I do for a living, upload a payslip, etc. The email asking for the paperwork came three weeks after the funds cleared, but the email mentioned the payment was on hold. So, not sure if sh*t is hitting the fan or if Wise's compliance is now getting tougher on payments from the UAE (UAE is still on the gray list). Maybe something to consider....

 

[fbsworld]

cer955 said:
I've found and read the same page but I can't find why having a UAE company hold a UK LLP would trigger it. I'm sure I'm missing something btw.
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So have a look to pages 5-7-9 of https://www.mof.gov.ae/en/Strategic.../Economic Substance Activities Flowcharts.pdf

 

[fortunespeculator]

fbsworld said:
No, do not do that! For an UK LLP, put 2 individuals resident in the UAE, not your UAE company, otherwise it will be under ESR...!
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Well if someone paid me expenses to stay in the UAE,i could do it.

 

[lostguy]

why would someone pay you to do that eek¤%&

That someone may be stupid enough not to take the trip himself.

 

[fortunespeculator]

lostguy said:
why would someone pay you to do that eek¤%&

That someone may be stupid enough not to take the trip himself.
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I think he needs nominee director or a sleeping partner in his business to just stay in uae.That should be enough for him.

 

[Au999]

I've successfully opened accounts for my DSO FZCO with Currenxie and Arival while waiting on Dubai biz account - with a 'risky' business (marketing precious metals)

 

[fortunespeculator]

Au999 said:
I've successfully opened accounts for my DSO FZCO with Currenxie and Arival while waiting on Dubai biz account - with a 'risky' business (marketing precious metals)
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Are you selling Gold bars??Any good pricing available on it??

lostguy said:
why would someone pay you to do that eek¤%&

That someone may be stupid enough not to take the trip himself.
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Since you are so lost,lostguy i have no comments to make on top of your comments.

 

[Au999]

fortunespeculator said:
Are you selling Gold bars??Any good pricing available on it??
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No, I just market bullion companies. Only bars I have are my own 😉