A RAKEZ UBO Declaration is an important corporate compliance document used to identify the Ultimate Beneficial Owner of a company registered with Ras Al Khaimah Economic Zone. UBO information helps establish who ultimately owns or controls a company and forms part of the documentation required for certain RAKEZ company formation and corporate changes.
For foreign investors, corporate shareholders, existing RAKEZ companies and businesses undergoing ownership changes, preparing the UBO declaration correctly can be an important part of maintaining accurate company records.
RAKEZ’s current business setup checklist specifically includes a UBO Declaration Form together with the UBO’s passport copy for applicable corporate structures. RAKEZ also maintains UBO-related regulations and supporting documentation as part of its regulatory framework.
Businesses that need help identifying the relevant UBO, preparing the declaration, organising supporting documents or updating ownership information can use RAKEZ UBO declaration services in the UAE.
What Is a UBO Declaration?
UBO stands for Ultimate Beneficial Owner.
A UBO is generally the individual who ultimately owns or exercises effective control over a company.
RAKEZ’s UBO declaration form identifies circumstances such as an individual who:
- Owns or controls 25% or more of shares or voting rights
- Ultimately owns or controls 25% or more indirectly
- Has the right to appoint or remove a majority of the board
- Exercises significant influence or control
- Exercises ultimate control over management
- Otherwise controls the corporate body
The exact determination can depend on the ownership and control structure of the business.
For companies with multiple layers of ownership, identifying the ultimate individual behind the corporate structure can require careful review.
Why Is a UBO Declaration Required by RAKEZ?
UBO information supports corporate transparency and regulatory compliance.
RAKEZ states that it maintains a UBO register containing accurate and up-to-date information concerning UBOs and controllers of companies registered with the Zone.
The UBO declaration may therefore be relevant when:
- Establishing a new company
- Adding a corporate shareholder
- Changing the shareholder structure
- Updating ownership information
- Establishing certain branch structures
- Completing corporate compliance requirements
RAKEZ’s current company setup checklist includes the UBO declaration as part of the documentation for applicable corporate entities.
Who Needs a RAKEZ UBO Declaration?
The requirement can depend on the company’s ownership structure.
It is particularly relevant for companies involving corporate shareholders.
For example, if an overseas company owns shares in a RAKEZ company, RAKEZ may require information identifying the individual who ultimately owns or controls that corporate shareholder.
RAKEZ’s checklist for corporate entities specifically lists the UBO Declaration Form together with the UBO’s passport copy.
UBO information can also become relevant when an existing company changes its shareholder structure.
What Information Is Required for a UBO Declaration?
The information required can depend on the applicable RAKEZ form and company structure.
RAKEZ’s published UBO form includes information such as:
- Full name
- Company name
- Date of birth
- Nationality
- Citizenship
- Passport details
- Residential address
- Shareholding percentage
- UAE visa information where applicable
- Emirates ID information where applicable
- Contact details
- UBO or control information
A passport copy of the relevant UBO may also be required.
Businesses should use the current RAKEZ form applicable to their situation rather than relying on an old template.
UBO Declaration for Foreign-Owned RAKEZ Companies
Foreign-owned companies can have more complex ownership structures, particularly when a UAE company is owned through an overseas corporation.
For example:
Individual → Overseas Holding Company → RAKEZ Company
In this situation, simply providing the name of the overseas company may not be sufficient for identifying the ultimate beneficial owner.
The ownership structure may need to be reviewed to determine the individual who ultimately owns or exercises control over the relevant entity.
Supporting corporate documents may include:
- Certificate of Incorporation
- Trade licence or registration document
- Memorandum and Articles of Association
- Commercial Register
- Certificate of Good Standing
- Certificate of Incumbency
- Corporate resolution
- Organisational ownership chart
- UBO passport copy
The exact documents depend on the structure and RAKEZ requirements.
UBO Declaration for Corporate Shareholders
When a corporate shareholder is involved, additional documentation may be necessary.
RAKEZ’s current shareholder-structure-change requirements include a UBO declaration with passport copy and an organisational chart showing the company’s structure up to the UBO names.
This can be particularly important when:
- A parent company owns the RAKEZ company
- Several companies are involved in the ownership chain
- Shares are held indirectly
- A nominee arrangement exists
- Ownership has recently changed
- Different jurisdictions are involved
Accurate ownership information should be provided to avoid inconsistencies between the UBO declaration and other corporate documents.
When Should a RAKEZ UBO Declaration Be Updated?
UBO information should not be treated as a one-time document.
Changes to the ownership or control structure can require the company’s UBO information to be updated.
Examples include:
- New shareholder
- Shareholder removal
- Change in ownership percentage
- Corporate restructuring
- Change in ultimate ownership
- Change in control
- Change involving a nominee arrangement
RAKEZ’s published UBO declaration states that changes to the information should be updated within the applicable timeframe and that UBO information should remain accurate and current.
What Are RAKEZ UBO Declaration Services?
RAKEZ UBO declaration services can provide administrative and compliance support to businesses that need to prepare or update their beneficial ownership information.
Depending on the service provider and company requirements, support may include:
UBO Identification Support
Reviewing the ownership structure to identify the relevant individual who ultimately owns or controls the company.
Document Preparation
Helping organise the UBO declaration and supporting documents required for submission.
Ownership Structure Review
Reviewing corporate ownership charts and shareholder information for consistency.
Corporate Document Coordination
Helping collect relevant incorporation certificates, licences, constitutional documents and corporate resolutions.
UBO Update Support
Assisting companies when ownership or control information changes.
RAKEZ Submission Support
Coordinating the documentation and submission process through the applicable RAKEZ channels.
What Documents May Be Needed?
Depending on the company structure, documents may include:
- UBO Declaration Form
- UBO passport copy
- Shareholder passport copies
- Trade licence
- Certificate of Registration
- Certificate of Incorporation
- Memorandum and Articles of Association
- Commercial Register
- Certificate of Good Standing
- Certificate of Incumbency
- Corporate or board resolution
- Ownership structure chart
- Other supporting documents where applicable
RAKEZ’s current business setup checklist confirms that corporate entities can require several corporate documents alongside the UBO declaration.
Step-by-Step RAKEZ UBO Declaration Process
Step 1: Review the Ownership Structure
Identify all direct and indirect shareholders.
Step 2: Identify the Ultimate Beneficial Owner
Determine the individual who ultimately owns or exercises effective control.
Step 3: Collect Supporting Documents
Prepare passports and relevant corporate ownership documents.
Step 4: Prepare the UBO Declaration
Complete the applicable RAKEZ UBO form using accurate information.
Step 5: Review the Information
Check that the UBO information matches the company’s shareholder and corporate records.
Step 6: Submit the Documentation
Submit the completed documentation through the applicable RAKEZ process.
Step 7: Update When Information Changes
Keep the UBO information accurate when ownership or control changes.
Common UBO Declaration Mistakes
Incorrect UBO Identification
Naming a corporate shareholder instead of identifying the relevant individual behind the ownership structure can create inconsistencies.
Mismatched Shareholding Information
The percentage stated in the UBO documentation should correspond with the company’s actual ownership information.
Missing Passport Copy
The applicable UBO declaration may require the UBO’s passport copy.
Incomplete Ownership Chart
Complex corporate structures may require an ownership chart showing the structure through to the UBO.
Using Outdated Forms
Always check the current RAKEZ documentation requirements before submitting a declaration.
Failing to Update UBO Information
Changes in ownership or control should be reflected in the company’s UBO information.
Why Use a RAKEZ UBO Declaration Consultant?
UBO requirements can become more complicated when a company has corporate shareholders, international ownership or multiple layers of control.
A business setup or corporate compliance consultant can assist with:
- UBO identification
- Ownership structure review
- UBO form preparation
- Passport documentation
- Corporate document coordination
- Ownership chart preparation
- Shareholder changes
- UBO updates
- RAKEZ submission coordination
- Ongoing corporate compliance
This can be especially useful for foreign investors and companies with international ownership structures.
Final Thoughts
A RAKEZ UBO Declaration is an important part of beneficial ownership and corporate compliance for applicable RAKEZ companies. The declaration helps identify the individual who ultimately owns or controls the business and supports accurate corporate records.
For straightforward ownership structures, preparing the required information may be relatively simple. More complex structures involving overseas companies, indirect ownership or changes in shareholders may require additional documentation and careful review.
If you need assistance with RAKEZ UBO declaration services in the UAE, professional support can help you organise the ownership information, prepare the relevant documents and coordinate the applicable RAKEZ requirements.
Frequently Asked Questions
1. What is a UBO declaration in RAKEZ?
A UBO declaration identifies the individual who ultimately owns or exercises effective control over a company. RAKEZ uses UBO information as part of its corporate and regulatory documentation requirements.
2. Who is considered a UBO?
Depending on the ownership and control structure, a UBO can be an individual who owns or controls 25% or more of shares or voting rights or otherwise exercises significant or ultimate control over the company.
3. Is a UBO declaration required for a RAKEZ company?
The requirement depends on the company structure and applicable RAKEZ requirements. RAKEZ’s current business setup checklist includes a UBO Declaration Form for applicable corporate entities.
4. What documents are needed for a RAKEZ UBO declaration?
Documents can include the UBO declaration form, UBO passport copy and relevant shareholder or corporate ownership documents. Additional documents may be required for complex structures.
5. Does the UBO declaration need to be updated?
Yes. UBO information should remain accurate and up to date. Changes in ownership or control may require the relevant information to be updated with RAKEZ.
6. Can a consultant help with a RAKEZ UBO declaration?
Yes. A business setup or corporate compliance consultant can assist with identifying the relevant UBO, preparing supporting documents, reviewing ownership information and coordinating the applicable RAKEZ submission process.
