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Mainland Foreign Company Registration In Dubai, UAE

A Detailed Guide To Setup Branch Or Representative Office In UAE Mainland

Overview of Business Setup for UAE Mainland Branch or Representative Office of a Foreign Company

Foreign companies are allowed to open either branch or representative company on Mainland UAE. Following are the important points need to be understood while registering branch of a foreign company on mainland UAE or Representative office of a foreign company on Mainland UAE.

Important Points

A branch of a foreign company registration is not an independent company. It is an extension of its parent company.

A branch can undertake all activities of parent company other than trading on Mainland UAE. However it also requires approvals from various departments.

A representative company is also not an independent company. It is also an extension of its parent company. Representative company cannot conduct all activities of its parent company. It can only promote and market products or services of a parent company.

In both cases, approval from Ministry of Economy is required.

In both cases, UAE national service agent is required. UAE national will not be a share holder of the company.

AED 50,000 bank guarantee favoring Ministry of Economy is required for license processing.

Flyingcolour® Business Consultant assists UK companies with establishing branches and representative offices in the United Arab Emirates. We coordinate licensing, documentation, government approvals and banking support for an efficient UAE market entry.

Frequently Asked Questions

It is an extension of the UK parent rather than a separate shareholder-owned subsidiary and normally conducts activities aligned with the parent.

A foreign-company branch does not generally have shareholders locally, but licensing and service-agent rules must be checked for its activity.

Common requirements include incorporation records, articles, good standing, board resolution and power of attorney authenticated for UAE use.

Because the branch is an extension of the parent, liabilities generally attach to the parent company rather than a separate subsidiary.

Once licensed and registered with immigration and labour authorities, an eligible branch can sponsor staff within its quota.

The UAE corporate tax position, permanent establishment, profit attribution and UK treatment require coordinated cross-border advice.