Dubai’s standing as one of the major hubs for trade and business has risen steadily throughout time. Therefore, it should come as no surprise that organizations and enterprises worldwide frequently feel the need to establish a branch office in Dubai. A thriving economy, first-rate infrastructure, a prime location, a workforce with a diversity of ethnic backgrounds, and attractive tax incentives are some things that entice businesses to establish a branch office in Dubai.
Another important reason individuals might want to establish a branch office in UAE is expanding the scope in the free zone. Considering the scope and opportunity, many businesses are deciding to open a branch office in the UAE, which sounds like a good decision. Amidst all these, people might get confused between the branch and representative offices.
Branch Office vs Representative Office
Whether you want to set up a branch office or a representative office in UAE, it is important to understand the difference between the two.
A branch company works under a parent company and can be found anywhere worldwide. The branch company set up in UAE will work under the jurisdiction of the UAE but will still be under the parent company, and the branch will be licenced with the same name and activity.
On the other hand, a representative company in Dubai is a branch activity only for marketing purposes. However, these companies are not supposed to deliver or trade. Also, anyone who wants to set up a representative company in the UAE must go to the UAE Ministry of Economy (MoE) and the Dubai Department of Economic Development (DED).
Document Required for Opening Branch Office in the UAE
- Foreign company documents such as - certification of incorporation, Memorandum of Association, Article of Association, and Board of resolution of the foreign company.
- Passport copy of the manager
- Visa copy of the manager (can be either a visit or residence visa)
- The lease agreement of the premise
- Appointment of local service agent, which AIMS UAE can offer
What is the Process of Opening a Branch Office in UAE?
- The first step to opening a branch office is to translate all the documents into Arabic and get all the documents attested by the Ministry of Foreign Affairs and the Ministry of Justice in UAE.
- Reserve the trade name of the branch and get initial approval
- Sign the Local Service Agent Agreement
- Get pre-approval from the Ministry of Economy
- Sign the lease agreement
- Submit all documents to government authority
- Pay for a licence and get the certificate.
AIMS UAE Help You Open Your Branch Office in the UAE
AIMS UAE – the best business consultant in the UAE, resolves all your doubts by giving you detailed information on the process and other elements involved in opening an office in Dubai. Plenty of paperwork involved in the process can be exhausting, and we aim to help you ease the process. In addition, we help you get the licence (general trading and e-commerce licence) and end-to-end assistance like – PRO services, registration, etc.
Contact us today for a free consultation to learn more about the process and how we can help you.
