Setting up a Branch Office of foreign company in Abu Dhabi is easy and an attractive prospect for clients, in that it can be 100% foreign owned, provided a local National Service Agent (NSA) or Local Service Agent (LSA) - like PRO Partner Group - is appointed. A Branch Office, is an extension of a foreign parent company registered outside of the UAE, it is a full-fledged business, permitted to perform contracts or conduct other activities as specified in its licence. A Foreign Branch Office may only be engaged in activities similar to those of its parent company.
Under Commercial Companies Act No 8 of 1984 and Ministerial Decision Number 69 of 1989, a Branch Office of a foreign company does not have a separate entity. It clearly represents the parent company and carries on business under its name. The purpose of the Branch Office is to promote and market the products of the parent company, enter into transactions and conclude agreements in the name of the parent company, and offer services to its customers. A Branch Company is not allowed to do any activities which parent company does not perform.
More Information about Foreign Branches:
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