SORP has been dealing with UAE banks for over 15 years so we know everything about their compliance procedures. Add to that our experience in supporting clients when interacting with financial institutions and you are guaranteed to get the account you want - a safe tool for your company’s settlements.
The UAE’s safe banking system, stable local currency, absence of currency controls, reliable lending institutions and convenient account operation from any part of the world make it one of the most attractive countries in which to arrange your banking services. By contacting SORP Group you will be able to get prompt, courteous, efficient assistance to open your corporate account as well as follow-up support in operating your account and in dealing with the bank’s officers.
Reasons why you need to open a corporate account with a UAE bank
Economic stability of the UAE and the country’s image
Zero inflation, absolute stability of the banking system, credibility it provides to business partners by not being included on any OECD or FATF blacklist.
Integration into the global financial system
Branches of the world’s major financial institutions are located in the United Arab Emirates and UAE banks are represented all over the globe.
Settlements in any global currency without currency conversion
A UAE bank account provides facilities for transactions in Dollars, Euros, Pounds Sterling, Yuans and many more, including settlements within the country.
Simplified KYC when making settlements in the national currency
In case the settlements with counterparties are made in the local currency (dirham), the bank’s due diligence procedure is performed with minimum requirements
Offsetting operations not subject to any restrictions
Day-to-day company activities often require third party payments, so it is worth noting that such transactions are not viewed as suspicious by UAE banks.
UAE residents not subject to exchange of tax information
The UAE Central Bank policy is that banks of the country do not provide information about all financial operations of accounts within the automatic data exchange.
When opening a bank account in the UAE you might need the following SORP Group solutions
Registration of an onshore company in the UAE
Incorporation of a mainland (local) or free-zone (FTZ) company to open a corporate account and perform all the banking transactions required.
Comprehensive support for opening a bank account
Collating all necessary documents and preparing for KYC procedure, accompanying you to the meeting with an officer of the bank.
Company office mandatory to pass the bank’s KYC
SORP Business Center offers office spaces for rent to prove to the bank that the company has a physical office when opening an account.
Support in dealing with the bank
Communication provision so that the bank’s officers can easily make contact as required when dealing with transactions on a corporate account.
Justification for your banking transactions
Preparation of contracts, acts of acceptance etc., justifying the transactions, as well as auditor’s opinions to confirm the rationale of operations on the account.
Confirmation of your tax resident status
Meeting the legal requirements and completing procedures necessary to be fully protected against automatic exchange of financial information as provided by CRS.
We have numerous contacts and an excellent working relationship with leading UAE banks. It means we fully understand their compliance requirements and banking procedures. SORP Group experts have also built up a wealth of experience in a great number of business sectors and activities. It all adds up to a set of highly professional capabilities that are ready and waiting to support your ongoing banking needs.
Types of accounts offered by UAE banks
Depending on the residency status of the account holder, UAE banks provide a range of corporate account types (resident and non-resident versions) that have different requirements and conditions for opening and servicing.
Resident Bank Account
Full list of bank services and facilities is available, including cheque book, debit and credit cards and loan extensions.
Low threshold requirement: no deposit is required to open an account.
Intention to work with UAE partners and a valid residency visa for the account signatory are sufficient to open an account.
No need to submit any insurance or investment plans to open an account.
Simplified due diligence as the Immigration Service has already checked the individual.
Bank secrecy assures the protection of a resident signatory’s information.
An account is a fully functional tool for cash and settlement services.
To open a corporate bank account, UAE banks ask you to provide:
Proof that the real center of the company operating the account is in the UAE
The bank needs to understand who the company is managed and controlled by, and where all banking transactions are performed from.
Confirmation of the account signatory’s resident status
Tax residency of the account signatory must be confirmed to avoid banking data disclosure under international automatic data exchange agreements.
A mandatory set of supporting documents needed to pass through KYC procedure
The bank’s KYC process requires applicants to confirm the source of funds, submit a business profile of the company and provide the account signatory’s CV.
Documents required to open a corporate bank account in the UAE
The original passports of the account signatory and the shareholders
Valid UAE residency visa of the account signatory
Emirates ID of the account signatory
Original company corporate documents and the authority granted to the signatory
Bank statements of the account signatory for the past six months
Confirmation of the actual address of the company
Business profile of the company, describing its activities
Information about 3 counterparties of the company (sellers and buyers)
For companies older than six months - several contracts and invoices
When you engage SORP Group to obtain a corporate bank account you may also get a solution for opening personal accounts for shareholders and directors of your company. In this case the bank will ask for the original passports, personal bank account statements for the past six months, and confirmation of the center of vital interests (residence address, utility bill, etc.) which SORP Group is capable of arranging for you as well.
What UAE banks require to service corporate bank accounts
Transactions into and out of the account should align with stated business activities
Banks want to see that the account transactions correspond fully with the activity that your company is licensed for.
Transactions must be supported by contracts and other evidence of validity
To ensure the account is used only for valid business transaction, banks ask for supporting documents - contracts, invoices, bills of lading, waybills etc.
The company must have a physical office with a UAE address
The company’s office where the business is managed and controlled from should coincide with the legal registered address of the company.
Timely notification of any changes in the key data of the company
Any changes in the constituent and legal documents of the company, its structure, composition of members etc. should be communicated to the bank.
Confirmation of annual renewal of licenses and permissions issued to carry out business activities
Banks monitor that all licenses and permissions, issued by the relevant authorities for the company to run its business, remain valid.
Ongoing validity of residence visas of the account signatories
Should the signatory’s residency visa expire, the bank may close the company’s account and/or change its status to a non-resident one.