Branches and Representative Offices of Foreign Commercial Companies
The Commercial Companies Law also covers the formation and regulation
of branches and representative offices of foreign companies in the UAE
and stipulates that they may be 100% foreign owned, provided a local
agent is appointed.
Only UAE nationals or companies 100% owned by UAE nationals may be
appointed as local agents (which should not be confused with the term
"commercial agent"). Local agents - also sometimes referred to as
sponsors -- are not involved in the operations of the company but
assist in obtaining visas, labour cards, etc and are paid a lump sum
and/or a percentage of profits or turnover. In general, branches and
offices of foreign commercial companies are not licensed to engage in
importing activity except for re-export or in the case of products of
a highly technical nature.
To establish a branch or representative office in Dubai, a foreign
commercial company should proceed as follows: Apply for a
license from the Ministry of Economy and Commerce,
submitting an
agency agreement with a UAE national or 100% UAE owned
company. Before
issuing the licence, the Ministry will: forward the application to the
Department of Economic Development to obtain the
approval of the Dubai government; forward the application specifying the activity that the office or
branch will be
authorised to undertake in the UAE, to the Federal
Foreign Companies
Committee for approval; Once this has been done, the Ministry of Economy and Commerce will
issue the required Ministerial licence specifying the activity to be
practiced by the foreign company; The branch or office should be entered in the Economic Department's
Commercial Register, and the required licence will be issued; The branch or office should also be entered in the Foreign Companies
Register of the Ministry of Economy and Commerce; Finally the branch or office should be registered with the Dubai
Chamber of Commerce and Industry.
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Branches and Representative Offices of Foreign Professional Companies
Branches and representative offices of foreign professional firms may
be 100% foreign owned provided UAE nationals or 100% UAE owned
companies are appointed as local agents. Such agents are not involved
in the operations of the firm but assist in obtaining visas, labour
cards etc and are paid a lump sum as remuneration. The Department of Economic Developmentt is the authority in charge of licensing such branches or
representational offices.
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പണം അടക്കല്, താമസം, യാത്ര തുടങ്ങിയ സേവനങ്ങള്ക്ക് ബന്ധപ്പെടുക.
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