Discover how to successfully open an international bank account in Dubai despite common challenges. BMS Auditing offers expert assistance to streamline the process for foreign investors and businesses.
Opening a bank account in Dubai can be a significant hurdle for foreign investors. Most companies point to the restrictive Know Your Customer (KYC) regulations implemented to try and prevent money laundering and terrorist financing (ML-TF). Of course, these constant delays and a shadow of rejection frustrate most foreign business owners. Still, running a business requires opening a corporate bank account in Dubai. Luckily, companies specializing in opening a bank account in Dubai, such as BMS Auditing, have found a robust solution to the problem of getting an international bank account.
Why Companies Need a Corporate/Company Bank Account
- Protect your business funds from risks with secure banking
- Seamless transactions online and mobile banking make problem-free management of your finances possible.
- Open business accounts online, directly from home, the office, or even abroad.
- High-class banking facilities without disappointment from uncooperative or unsound banks. You can choose from several well-known banks to get custom solutions.
- Professionalism and credibility increase the chances of getting reliable customers or investors.
- Maintain separate business and personal accounts for easier record-keeping.
- Available loans and credits will help propel your growth in business
- Ensure regulatory compliance under UAE financial laws and avoid legal problems.
Why You Should Consider an International Bank Account
Opening a bank account in UAE can sometimes take a frustratingly long time, but you can always rely on an international bank account. Here are some of the most important benefits of it:
- Available to All Company Types: Suitable for mainland, free zone, and offshore companies.
- Online KYC Verification: No need for the physical presence of shareholders in the UAE.
- Global Payment Facilities: Enables seamless international transactions.
- E-commerce Integration: Easily linked with e-commerce platforms and payment gateways.
- Versatile Payment Options: Facilitates payments between business and personal accounts.
- Multilingual Customer Service: Access to dedicated online support in various languages.
- Local Debit Cards: Available for use within the UAE.
Challenges Faced When Opening a Company Bank Account
Foreign investors face several issues when considering opening up a bank account in Dubai:
1. Need for Economic Substance
One of the most obvious reasons why a business is turned down is the requirement of economic substance. Local banks insist that your business should have a meaningful physical presence in Dubai. That mostly means lists of employees, office rent, wages, audited reports, biographies of the founders, financial plans, and information about the suppliers and potential clients. Many offshore companies will fail to comply with these demands.
2. Residency Requirements
Having a UAE residency visa is quite vital before even opening a bank account in Dubai. Most of the banks would ask for your Emirates ID, and some ask for proof that you have an address locally in the UAE. If you're facing challenges with this process, seeking assistance from a bank account opening service like BMS Auditing could be the perfect solution. Our expertise can help streamline the process and ensure that you meet all requirements for a successful account opening in the UAE.
3. High-Risk Business Activities
If your company's activities are classified as high-risk, the opening of an account in a bank might be delayed. Common high-risk classifications include:
- Insolvency services
- Investment businesses
- Trust and corporate services
- Aggressive tax schemes
- Real estate management
- Payroll services
- Certain consultancy services
- Activities that might obscure the true beneficiary owner's identity
4. Business Relationships with High-Risk Countries
Another reason that may cause your bank application to be rejected is the fact that banks have a right to refuse your application when the country that your business transacts with is seen to be on a high-risk list.
5. Politically Exposed Persons (PEPs)
If you are classified as a PEP or related to a PEP, then the respective application you have submitted may receive further evaluation. PEPs are considered more risky because they may be influencing government policy directions or even accessing funds from the public domain.
6. Shareholder Background Checks
It carries out comprehensive background checks on business owners and shareholders to get clarity regarding their financial past and other industrial knowledge. Trustworthiness has to be proven, and mostly, having a physical presence at the time of signing all documentation is indispensable.
Why BMS Auditing?
BMS Auditing understands how difficult it may be to open a bank account in Dubai. Our consultant is here to handle it effectively. We specialize in opening international bank accounts for businesses and are here for mainland, free zone, and offshore entities registered within the UAE.
Book a consultation today with BMS Auditing to streamline opening your bank account, phase out the difficulties associated with traditional Dubai banking, and take that crucial step towards managing your business's finances in the UAE.
