Are you a business owner or investor wishing to grow your operations within Dubai’s growing market? Opening a branch office in Dubai can be a strategic move that offers numerous benefits, such as access to a rapidly growing economy, a strategic global location, and a business-friendly environment. In this comprehensive guide, we will walk you through the procedure and benefits of starting a branch office in Dubai, while highlighting the advantages of doing so. Read on to discover how OnDemand International can simplify this process for you.
What is a Dubai Branch Office?
A Dubai branch office, in the context of business and corporate entities, refers to a satellite office or a subsidiary of a company that is located in Dubai, a city and emirate in the United Arab Emirates (UAE). This type of office is typically established by a foreign company that wishes to expand its presence or operations in Dubai or the wider UAE.
How to Open a Branch Office in Dubai
Let us now walk you through the steps of opening a branch office in Dubai:
Choose a Local Sponsor
Select a reputable local sponsor or local service agent who will help you navigate the legal requirements and regulations. Make sure you have a written agreement in place.
Legal Documentation
Prepare the required legal documents, such as the memorandum of association, board resolution, and power of attorney. These documents should be notarized and, if necessary, translated into Arabic.
Office Space
Secure an acceptable office space in Dubai that matches your company’s needs while also adhering to local standards. This is a crucial step as your office address will be on all official documents.
License Application
Apply for a licence with the Department of Economic Development (DED). Pay the necessary fees and provide all required documents, including your business plan and passport copies.
Bank Account
Open a corporate bank account with a reputed UAE bank and deposit the DED’s minimum share capital.
Register with Relevant Authorities
Depending on your business activities, you may need to register with specific government authorities or regulatory bodies. Ensure compliance with all industry-specific requirements.
Visa Processing
Apply for visas for your foreign employees and yourself. This process involves medical tests, background checks, and other documentation.
Final Approvals
Once you’ve completed all the necessary steps and obtained the required approvals, your branch office in Dubai will be officially registered and ready to operate.
Advantages of Opening a Branch Office in Dubai
Before we delve into the steps and requirements, let’s explore the advantages of establishing a branch office in Dubai:
- Access to a Thriving Economy: Dubai boasts a robust and diversified economy with key sectors like finance, real estate, tourism, and trade. By opening a branch office here, you can tap into a wealth of opportunities and gain access to a vast consumer base.
- Strategic Global Location: Dubai’s strategic worldwide location between Europe, Asia, and Africa makes it a perfect centre for enterprises with global ambitions. It offers easy access to emerging markets and facilitates international trade.
- Business-Friendly Environment: The Dubai government has created a conducive business environment with various incentives and policies to attract foreign investors. You can enjoy 100% ownership of your branch office and benefit from tax exemptions.
- Reputation and Credibility: Having a presence in Dubai lends credibility to your business. It signals to clients and partners that you are committed to expanding your operations globally and can enhance your brand’s reputation.
- Strong Infrastructure: Dubai boasts world-class infrastructure, including modern office spaces, reliable transportation, and cutting-edge technology, ensuring your branch office operates smoothly.
How to Register for a Branch Office in Dubai with OnDemand International
Registering your branch office in Dubai involves liaising with various government departments and complying with specific regulations. To simplify this process, consider partnering with a reputable business setup service like OnDemand International.
OnDemand International specializes in assisting entrepreneurs and investors in establishing branch offices and companies in Dubai. From selecting the proper local sponsor to securing the essential licences and permits, our expert team will walk you through every step of the process. We simplify the registration process, saving you time and effort while assuring regulatory compliance.
Conclusion
Start a branch office in Dubai offers incredible opportunities for business entrepreneurs and investors. You can tap into a thriving economy, benefit from a strategic global location, and enjoy a business-friendly environment. The procedure becomes more manageable and less intimidating with the proper local sponsor and skilled help. OnDemand International is your trusted partner in simplifying the setup of your branch office in Dubai.
FAQs
Can a foreign company own 100% of a branch office in Dubai?
Yes, a foreign company can own 100% of a branch office in Dubai.
What is the required minimum share capital to create a branch office in Dubai?
There is no minimum share capital required to open a branch office in Dubai, UAE. It is best to consult with a business setup expert like OnDemand International for specific details.
What is the VAT per cent for the Branch Office in Dubai?
The VAT percentage for the Branch Office in Dubai is 5%.
How long does it take to set up a branch in Dubai?
The registration process typically takes a few weeks to a few months, depending on various factors such as the type of business, documentation, and government processing times. Partnering with a business setup service can expedite the process.
Can I choose any local sponsor for my branch office in Dubai?
While you can choose a local sponsor, it’s crucial to select a reputable and trustworthy partner who understands your business needs and can assist you in navigating local regulations effectively