Foundation setup

You can set up a foundation in 3 free zones:

• DIFC
• RAK ICC
• ADGM (only foundations for education and treatment of family members)

The corporate governance of any foundation is carried out by the board of the foundation and in cases where the foundation is established solely for charitable purposes, governance is also managed by the foundation’s trustees.

Founder

The statutes and internal documents of the foundation may outline the rights of the founder to make amendments, change the foundation’s objectives, add beneficiaries, alter the composition of the foundation board and trustees, or terminate the foundation’s activities.

Foundation’s Council 

A foundation council serves as the executive body responsible for managing the foundation’s assets in the interest of its beneficiaries. Typically comprised of a minimum of two members, the council is appointed by the foundation’s founder upon its establishment, with the founder often being one of its members.

Guardian

A foundation established solely for charitable purposes must have a guardian appointed to oversee the activities of the foundation’s council. The guardian is appointed by the founder of the foundation, and the founder may act as a guardian themselves, provided that they are not simultaneously a member of the foundation’s council.

The minimum amount of the share capital of the foundation is 100 USD.

A foundation cannot own the UAE real estate outside the emirate in which it is established (for example, a foundation from ADGM can own real estate in Abu Dhabi and abroad but cannot own real estate in Dubai). There are no other restrictions.

Information on the management bodies and beneficiaries of the foundation is disclosed to the relevant free zone authorities. However, the ADGM and DIFC public registers only disclose limited information such as the name of the foundation, the date of establishment, the address, and status (active/liquidated). They do not disclose details about the founder, beneficiaries, composition of the foundation’s council, or who is the foundation’s trustee. RAK ICC does not have a public register.