SPV ANDHOLDING
An SPV or holding company keeps ownership separate from operations. It can hold shares in operating companies, property, intellectual property or investments, and it can make a group easier to finance, sell or pass on.
Draft text — under review by Milton Bridge
Milton Bridge helps you decide where and how to set up the vehicle. The right answer depends on what it will hold, who owns it, where the assets and investors are and how the structure is taxed. We set it up and keep it compliant; tax and legal conclusions should always be reviewed with your adviser, and we coordinate with them.
What an SPV or holding company is used for
Typical uses include:
- Holding shares in one or more operating companies.
- Holding real estate, where the jurisdiction allows it.
- Co-investment and deal-by-deal vehicles for investors.
- Fund, family office and wealth structures.
- Holding intellectual property or financing arrangements.
- Succession planning, often alongside a foundation.
Where to set up an SPV in the UAE: ADGM, DIFC, free zone or offshore
ADGM and DIFC offer SPV and holding regimes within common-law-based frameworks, which many investors and banks find familiar. Several other free zones offer holding company licences, and offshore registries offer vehicles that do not trade in the UAE.
Each option differs in eligibility, office requirements, visa capacity, reporting duties and how counterparties see it. We compare them for your purpose rather than recommend one by default.
SPVs and holding companies for funds and family offices
Funds often use SPVs to hold individual investments, and family offices use holding companies and foundations to organise family assets. These structures can involve regulatory questions, for example where third-party money is managed.
We set up the vehicles and coordinate with licensed legal, tax and regulatory advisers where needed. We do not give regulated financial or legal advice ourselves.
Tax, substance and reporting for holding structures
UAE corporate tax, introduced in 2023, can apply to holding companies and SPVs depending on their income and structure. Some income, such as certain dividends and gains, may be exempt or treated differently, and qualifying free zone income may be taxed at 0%. Whether this applies depends on your structure and must be reviewed with an adviser.
Holding vehicles also have duties such as maintaining beneficial ownership records, annual filings and, depending on activities, economic substance and accounting. We build these into the plan from the start.
How it works with Milton Bridge
- 1
Purpose and structure
On WhatsApp or a call we discuss what the vehicle will hold and why. At a free expert consultation we compare jurisdictions and entity types.
- 2
Adviser review
Where tax or legal questions arise, we coordinate with your adviser or introduce a licensed one, so the structure is checked before it is built.
- 3
Documents and registration
We prepare the constitutional and due diligence documents, collect signatures and file with the registrar. Our couriers carry originals where needed.
- 4
Bank account and transfer of assets
We help you prepare the bank account application and coordinate the paperwork for moving shares or assets into the vehicle.
- 5
Ongoing compliance
We handle annual filings, registers, accounting and corporate tax registration so the vehicle stays in good standing.
SPV and Holding Company: frequently asked questions
What is an SPV?
An SPV (special purpose vehicle) is a company set up for one specific purpose, such as holding a single asset, investment or financing. It keeps that asset and its risks separate from other businesses. In the UAE, SPVs are commonly set up in ADGM, DIFC or other suitable jurisdictions.
What is the difference between an SPV and a holding company?
An SPV usually has one narrow purpose, while a holding company typically owns shares in several companies or assets. In practice the terms overlap, and some jurisdictions have specific regimes for each. We help you choose the form that fits your goal.
Where is the best place to set up a holding company in the UAE?
It depends on what the company will hold, who owns it and who needs to rely on it. ADGM and DIFC offer common-law frameworks; other free zones and offshore registries can suit simpler holdings. We compare the options at a free expert consultation.
Can a UAE holding company own property in Dubai?
Yes, in many cases a UAE holding company or SPV can own property, but the rules depend on the jurisdiction of the company and the property location. We check this before you set up the vehicle.
Does a UAE holding company pay corporate tax?
It depends on its income and structure. Corporate tax can apply, while some dividends and gains may be exempt or treated differently, and qualifying free zone income may be taxed at 0%. Always review the structure with a tax adviser; we coordinate with them.
Can an SPV sponsor a residence visa?
Usually not. Many SPV and holding regimes do not allow visas, or allow them only with an office and operating activity. If you need a visa, we plan a structure that includes an eligible company.
Can I use a UAE SPV for a fund or family office?
Yes, SPVs and holding companies are commonly used in fund and family office structures. Some of these structures involve regulated activities that need authorisation. We set up the vehicles and coordinate with licensed advisers.
How much does an SPV or holding company cost?
The cost depends on the jurisdiction, entity type and ongoing services. Use the cost calculator for an estimate or book a free expert consultation for an exact quote.
