Foreign Companies have the right to open a Foreign Company Branch or Representative Branch in UAE. To open a Foreign Company Branch or Representative Branch a conformity license should be obtained from Ministry of Economy and the names should be registered to Foreign Company Registration Department in the Ministry.
Area of Activity
- Advertisements and promotions can be made to advertise the goods or services by the Representative Branch.
- Only goods or products registered under the Foreign Company can be sold by the Foreign Company Branch.
In both cases, it is obligatory to appoint a UAE citizen as service agent. Commercial agency and service agent concepts should be researched. Aforementioned service agent has no authorization or liability on company management or financial matters and his duty is limited to advertisement and marketing issues.