Setting Up A Branch Office

You can set up a commercial, professional or industrial business in one of the following legal forms:
  • branch company or foreign representative office.
  • individual establishment or sole proprietorship.
  • limited liability company (LLC).
  • professional/civil business company.
  • public or private shareholding company.
BRANCH company

A foreign company can set up a branch office either within or outside a free zone. The parent company remains responsible for all the liabilities and financial obligations of the branch office. This may have tax implications in the country of origin of the parent company; any revenue generated by the branch would generally constitute a part of the revenues generated by the parent company. 

The branch office of a foreign company carries out activities similar to that of its parent company subject to the approval of the DED. 
  • Appoint a local service agent if outside a free zone.
  • Branch must engage in similar activities to parent company.
  • Trade name must be the same name as the parent company.
  • Parent company must have been registered for two years in home country.
  • Branch must not import parent company products.
  • Bank guarantee of Dhs.50,000 required.
 

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