Branch Office Setup
Main features of setting up a branch office:
- Activities – as a branch office, you are entitled to undertake the commercial activities here of your offshore company, although some activities are restricted to certain types of legal entity. As a branch office you’re entitled to represent the parent company and provide various consultancy activities.
- Liability and tax – the branch office is not a separate legal entity and therefore the foreign parent company is 100% liable for the actions of the branch and the revenue of the branch will be taxable (in the country where the relevant foreign parent is resident) as the income of the foreign parent.
- Sponsor – each foreign branch office requires a local sponsor. The local sponsor is not required to be involved in the branch office in any way. uae solutions can act as your local sponsor. In order to find out more about the benefits of using us in this way, please refer to Setting up in Abu Dhabi.
