08/10/2026
Passive Holding Company vs Operational Holding Company — what’s the difference?
Choosing the right holding structure is not simply about owning assets. It should reflect what the company will actually do.
A Passive Holding Company is generally used to hold assets such as shares, real estate, intellectual property or investments, with limited or no day-to-day operational activity.
An Operational Holding Company, on the other hand, may actively manage subsidiaries, employ staff, enter into contracts and provide services across the group.
The right structure can have an impact on licensing, banking, taxation, compliance, substance requirements and future expansion.
Before setting up a holding company in the UAE, it is important to consider both your current activities and your long-term objectives.
Swipe through to understand the key differences. 👉
Corpin Consultants
Corporate Structuring | Holding Companies | UAE Company Formation
