Abdul Rasheed KP

Companies Registration Office Manager

Prepared for:

COMPANIES REGISTRATION OFFICE,QATAR FINANCIAL CENTRE

QATAR

One of The World’s

Fastest Growing Economies

Leading Exporter of LNG

One of the Highest

GDP per Capita

Multi-Billion Dollar

Projects Underway

18TH MOST COMPETITIVE ECONOMY WORLDWIDE

Most Peacefulin the

Middle East 34th Worldwide

Global Peace Index 2016

Top 5 Financial Centre in the Middle East

40th Worldwide

GFCI September 2016

2nd Most Competitive in the Middle East

18th Most Competitive Economy Worldwide

Global Competitiveness 2016-2017 (WEF)

3rd Most Innovative in the MENA Region

50th Worldwide

Global Innovation Index 2015

Strongest Economic Growthin the GCC in 2016

Moody’s Investors Services Outlook

2nd Most Network Ready in the Middle East

27th Worldwide

Network Readiness Index 2016

MAJOR INFRASTRUCTURE INVESTMENTS

Lusail CityTarget Investments US$ 45BnEstimated population 450,000

Doha MetroTarget Investments US$ 21Bn

212km of metro network across Doha

Expressways ProgrammeTarget Investments US$ 20Bn

900km of new roads

Source: MEED Projects Database, March 2016; Standard & Poor's Ratings Services

Hamad PortTarget Investments

US$ 7.4BnOne of the world’s largest

port developments

2022 FIFA WORLD CUP

Stadiums (US$ 4Bn)

Source: MEED Projects Database and Qatar Megaprojects 2015 Report

Accommodation (US$ 12.4Bn)

Transportation (US$ 71.1Bn)

QFC OVERVIEW

QFC legal platform6

LEGAL AND TAX

• Manages and maintains the QFC legal and tax environment

• Licenses firms to conduct business in or from the QFC

• Regulates, authorises and supervises QFC firms conducting financial services

REGULATORY

QFC Civil And Commercial Court

QFC Regulatory Tribunal

ADR Centre

DISPUTE RESOLUTIONCRO

Incorporates/Registers entities

Maintains public register

Processes filings from QFC firms

QFC

WHY QFC?

Date of Presentation7

Legal &Judicial

Framework

OnshoreEnvironment

FullOwnershipEase of Setup

ClientCommunity

TaxEnvironment

• Transparent, accessible and predictable operating environment based on English common law

• Consultative process that enables all stakeholders, including QFC firms, to voice their opinions on QFC legislation

• Access to an independent judiciary (QICDRC)

• Continuous review and enhancement legislative framework

COMPETITIVE LEGAL REGIME

`

QFC LEGAL

REGIME

• Tax rate of 10% on locally sourced profits only

• No withholding tax on payments out of Qatar

• DTA with 60+ countries

• No personal income tax or wealth tax

• Cash reimbursement for tax losses

• Advance ruling service

• Several Exemptions

COMPETITIVE LEGAL AND TAX REGIME

`

QFC TAX

REGIME

BROADENED PERMITTED ACTIVITIES

Company HQs

Management Offices

Treasury Operations

Company & Trust

Administration Services

Professional & Business ServicesSFOs

SPCs

Holding Company

Trust Services

Banking

Islamic Finance

(Re)Insurance/Broking

Captive Insurance

Asset Management

Fiduciary Businesses

LLC(G)s

REGULATED ACTIVITIES NON-REGULATED ACTIVITIES

COMPANIES REGISTRATION OFFICE

Presentation title in footer

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The Companies Registration Office (CRO) was created pursuant to Article 7 of Law no. 7 of 2005 (QFC Law) as a separate legal entity, within the QFC Authority.

TYPE OF LEGAL ENTITIES

Presentation title in footer

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Single window registration, authorisation and licensing

SETTING UP IN THE QFC

Standard Articles of Association available for most type of entities

Minimum and hassle free documentation requirements

All applications and filings are online

English is the official language

QFC firms to have their offices and place of principal activities to be conducted fromQFC designated premises

No minimum capital requirement

QFCRA Companies Registration Office

• Internal processes of the QFCRA

Incorporated/Registered, Authorised

and Licensed

Ready to do business

• CROIncorporate/Register entities within the QFC

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• CRO has incorporated firms within ½ business day

QFC registration process

• QFCRA authorizes the firm to conduct regulated activities.

• QFCA Licensing DepartmentIssue License to the firm to conduct the authorized activities

QFC REGISTRATION PROCESS – REGULATED FIRMS

Business Development Team

Licensing & Company Registration Team

• Introduce QFC environment

• Understand applicant business and its match with QFC objectives

• Explain application process

• Request applicant business case

Licensed & Incorporated/

Registered

Ready to do business

• LicensingConduct detailed evaluation of proposed QFC business including fitness and propriety

• CROIncorporate/Register entities within the QFC

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• Turn around time for licensing and incorporation/registration: 5 working Days• CRO has incorporated firms within ½ business day

QFC registration process

QFC REGISTRATION PROCESS – NON REGULATED FIRMS

FEES

ANNUAL FILINGS (TIME-DRIVEN)

EVENT-DRIVEN FILINGS (AD HOC)

EVENT-DRIVEN FILINGS VARIES FROM ENTITY TO ENTITY AND GENERALLY INCLUDES:

Submission by: QFC E-service Portal

Time limit: Varies (Mostly 21 days)

Fees: Varies (Mostly US$200)

Change of name

Amendment of Articles of

Association

Change of Directors, Secretary,

Significant ShareholdersChange of Office

Change of Financial Year End Appointment of Auditor

Compliance – On time filings

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64%

79%

90% 98% 98%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Average 2012 Average 2013 Average 2014 2015 2016

ON-TIME FILING OVER THE YEARSTHE PERCENTAGE OF FIRMS FILING ON-TIME HAS SIGNIFICANTLY INCREASED

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CRO FACILITATES THE FOLLOWING ACTIONS TO MAINTAIN THE PUBLIC REGISTRY:

Financial penalties for late submissions and non-compliances

The maximum fine is set out in the Regulations

Normally 20% of the maximum fine for a breach with an additional 10% for each

additional month of delay (up to the maximum fine provided for in the applicable

regulations)

Orientation session for newly registered firms

In-depth help-guides on compliance requirements

Designated Helpdesk

Periodical “Town Hall” presentations on compliance requirements

Penalty Guidance Note

Waivers/Modifications can be requested

Objections to Penalty

ENSURING ACCURACY OF THE PUBLIC REGISTER

QFC Investment Clubs Regulations and Rules were issued in 2016

Investment Clubs are LLCs by nature

No authorisation is required from the QFCRA

Its main function is to pool contributions of members to invest and manage portfolios

of Assets and Securities.

It allows groups of friends to jointly pool and invest their assets though this needs

to be done “not by way of business”

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RECENT DEVELOPMENTS: INTRODUCTION OFQFC INVESTMENT CLUBS

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NATURE OF INVESTMENT CLUBSMAIN DIFFERENCES BETWEEN A REGULAR QFC LLC AND AN INVESTMENT CLUB

LLC Investment Club

Shareholders Minimum: 1No maximum

Minimum: 2Maximum: 15

General Meetings Minimum 1 in a year Minimum 4 in a year

Share Transfers Require no approval from QFCA Require QFCA’s approval

THANK YOU