You cannot conduct activities in the UAE
You can conduct international activities only outside the UAE. You should establish an
onshore branch or subsidiary to conduct activities on the domestic market of the United
You cannot obtain a residence permit in the UAE
The founder, management, foreign employees of the company and their families do not
have the right to obtain a residence visa.
You cannot rent a premise
Offshore companies are not allowed to rent office and commercial premises in the UAE
(including warehouse, showroom, etc.).
You cannot get a status of UAE tax resident
Offshore is not a resident company, so you cannot get a tax residency in the UAE.
It is difficult to open a bank account
If owners of offshore company do not have a resident visa or they cannot deposit high
account balance, then it is practically impossible and unprofitable to open an account in
the local banks in the UAE.