Business Setup for UAE Mainland Branch or Representative Office of Foreign Company
Foreign companies are allowed to open either a branch or representative company on Mainland UAE. Following are the important points to be understood while registering a branch of a foreign company on Mainland UAE or Representative office of a foreign company on Mainland UAE:
Important Points
✔ A UK branch of a foreign company is not a separate legal entity.
It is an extension of the overseas parent company, and the parent company remains fully liable for its activities in the UK.
✔ A UK branch can carry out the same business activities as the parent company.
This includes trading, entering contracts, and generating revenue in the UK, subject to UK regulations and licensing requirements.
✔ A UK representative office is also not a separate legal entity.
It acts as an extension of the parent company but cannot trade or generate income in the UK. Its activities are limited to:
- Market research
- Promotion and marketing
- Liaison and administrative support
✔ Registration with UK authorities is mandatory in both cases.
Foreign companies must register with Companies House and comply with UK disclosure and reporting requirements.
✔ No UK shareholder or director is required.
A UK branch or representative office can be fully owned and controlled by the overseas parent company.
✔ Ongoing compliance obligations apply.
This includes:
- Filing annual accounts
- Maintaining statutory records
- Complying with UK tax, employment, and regulatory laws (where applicable)