| Case | Facts |
|---|---|
| Client | 4 unrelated private investors |
| Asset | Rental property lot, Ras Al Khaimah |
| Structure | RAK ICC Restricted Purposes Company (RPC / SPV) |
| Permitted activity | Holding this property and collecting rent — one purpose in the MOA |
| Year | 2026 |
What is a Restricted Purposes Company?
An RPC is RAK ICC’s form of special purpose vehicle. Its memorandum states a single purpose, and the company cannot legally act outside it. Where a standard company’s activity list is a menu, an RPC’s is a lock. That lock is the product: it is what makes co-investment between strangers workable.
Why not register the property on four individuals?
Three reasons. Personal title means personal exposure — every owner’s name sits on the deed. Succession is rigid: replacing one owner with their children means re-registering the property itself. And nothing binds the co-owners’ future behavior to the original deal.
What does the single-purpose lock solve?
The four investors were not family and not close. Each needed certainty that no partner could ever use the shared company for anything beyond holding this one asset — no trading, no side activity, no new obligations appearing on the company. The MOA’s single purpose gives that certainty structurally, not by trust.
What about cost?
An RPC is inexpensive to set up and inexpensive to renew — materially below a standard free zone license. MISSING_SOURCE: exact setup and renewal figures in AED.
When does an RPC fit — and when doesn’t it?
It fits passive holding: property, shares, a defined asset with defined income. It does not fit operating business — if you plan to trade, invoice services, or hire, the single-purpose lock that protects co-investors becomes your ceiling, and you need a standard license instead.
Reviewed by
Andrey Ovchinnikov
Co-founder & CEO
Founded Emirabiz in 2013. Structures UAE companies and owns the sourced pricing dataset behind every figure on this site. Every figure he signs off traces to a named primary source with a verification date.
Written by Andrey Ovchinnikov ·Published August 25, 2026 ·Last updated August 25, 2026