How to Start a Branch Office in Dubai
Difference between Branch & Representative Office
Process to Open a Branch Office in Dubai
1: Appoint a Local Service Agent
2: Trade Name Reservation and Initial Approval
3: Filing of Application
4: Get Approval from Ministry Of Economy and Federal
Foreign Companies Committee
5: Get License by Department of Economic Development
6: Completing Administrative Tasks
Branch offices are allowed to engage in commercial activities similar to its parent company and earn profits whereas representative offices are not allowed to earn profits.
Find and appoint a local services agent whose role is limited to administrative functions such as obtaining license, registration, visas etc. Local service agent is appointed through a written contract.
LSA will go to Department of Economic Development (DED) in order to obtain trade name reservation and then apply for initial approval from Ministry of Economy for setting up branch office in Dubai.
After initial approval, application will be made for Ministry of Economy and application form must include complete details of foreign parent company like share capital, activities, head office, list of proposed activities to be carried out by branch office and name of proposed general manager in Dubai.
Ministry of Economy will issue their own approval and then further documents (hard copy) that will be required to submit are,
2. COI of parent company
3. MOE initial approval
4.Certificate of local bank deposit
After the approval of the Federal Foreign Companies Committee is received, the applicant will make another application to DED requiring similar documents that were submitted to MOE with the addition to include proposed address of branch office in Dubai.
After license issuance, the branch office can proceed to carry out administrative tasks such as creation of bank accounts, acquiring visas and labor cards for its employees etc.