Navigating Through Process To Open Office In Dubai

Setting up your branch office is the strategy adopted by foreign investors for establishing their businesses in the UAE. This country is the global trade center, providing several benefits to business owners. As there are many perks to set up a branch office in Dubai( UAE).

Global investors steer the most extensive of the due diligence to ensure that the business structure that they are choosing matches best their commercial goals. Also,to open branch office in Dubai will provide the companies with a competitive edge. It is owing to the strategic business location of the Dubai mainland.

Who all seek to set up business in Dubai?

Business owners who already have the most established setup or the ones who already have the high brand value in their homeland or other countries look forward to the chance to open an office in Dubai. In order to comprehend the same, the UAE Government has already assigned the permission & made the entire procedure of setting up a branch office in Dubai quick & seamless. In this blog, we will examine what is the need to Open branch office in Dubai, what are categories of branch offices for foreign businesses & how to open the same.

Why set up a branch office in UAE?

When you open a branch office in Dubai, foreign businesses get the chance to set up their presence in the Gulf region legally. In comparison to the local LLCs, the branch office can be set up with complete ownership from a foreign country & it will be acquiring the legal status just like the parent company. It will be doing the same under the name of its parent company.

Perks to setup office in UAE

Categories of foreign branch offices in UAE

The Dubai mainland branches along with the branch offices setups in free zones are the two distinct categories of offices in Dubai:

Free Zone UAE branch offices must be able to register along with seeking licensing from the most relevant of the authorities for operating. The free zone office setups must be capable of finishing all the tasks within the free zone while it is being registered.

The parent firm in this category will be either operating within Dubai or some other geographic location.

Branch Office

This is a common setup to open office in Dubai. The branch office will have a parent company that is operating within UAE or externally.

This is affordable for all branches. So the representatives can set up their parent firms either within or external to Dubai. However, the major difference between the representative office is that all their business activities are not restricted to the promotional as well as the parent company’s sourcing work.

The company's operations within the subsidiary branch are functioning in distinct ways. So, it acts as a distinct legal identity in comparison to the parent company and there must be arrangements done within the Dubai mainland.

Process of Setting up a Foreign Branch Office in Dubai

Now that you know the advantages of setting up a branch office in Dubai, here comes the most-awaited question – How to set up a branch office in mainland Dubai?

Let’s have a look what is the procedure of setting up your LLC office in the Emirates

Till now you got to know the perks to Open Office in Dubai but the much-awaited question here is, what is the way to set up a branch office on the mainland:

Given below is the step-by-step procedure for foreign branch setup in UAE:

Foreign investors must apply to get approved by the Ministry of Economic & Commerce to establish an office in Dubai. One has to obtain a service agent agreement & it is vital for setting up a business in UAE.

The Ministry of Economic & Commerce is the authority that will be granted approval from foreign investors for branch office setup in Dubai mainland. You need to seek service agent agreement and it is crucial to establish business in the Gulf region.

Make sure to forward the application to the committee for getting its approval. & This is required to come next from the Federal Foreign Companies Committee of UAE. Also, you need to seek an authorization letter from the Ministry of Economy & Commerce for all sorts of commercial activities with the concerned company which is involved and this is also included within the application.

The ministerial licensing will be assigned to the branch office, followed by approval from concerned authorities. The licensing will be granted through the Ministry of Economic & Commerce.

The DED( Dubai Economic Department) will be registering the branch office as an abroad company under the Foreign company registration. To obtain DED licensing, you need to carry out the completion of the trade licensing application along with the submission of the needed paperwork.

Get fully functional office setup in Dubai with expert assistance

Do you already have a fully functional business in Dubai, UAE? Looking forward to opening an office in Dubai? If yes, you can set up your branch office in Dubai mainland by seeking assistance from professionals. Also, make sure to take expert consultation & always stay updated with all the latest requirements as well as guidelines for determining the procedure as well as the cost of branch office set up in the Gulf region.