Opening a branch or representative office in Sharjah is one-way companies can expand and incorporate their business in the United Arab Emirates. Investors are directing extensive due diligence to ensure that the legal structure they opt for best suits their commercial objectives. Business people with well-established companies or high-brand value in countries apart from U.A.E. seek the need for setting up a branch office in Sharjah, U.A.E. Comprehending this the authorities have permitted an easy and quick way to establish a representative office in Sharjah or any other Emirates.
There are three main types of branch office formation in Sharjah.
Branch of a Foreign Company
It is the branch office of a company based outside the U.A.E. the concerned parties must apply for a license to incorporate a branch of a company from another emirate.
Here are the actions to open a branch of a foreign company in Sharjah.
- Apply for the license using the application form issued by the Sharjah Economic Development Department (SEDD).
- The board of directors will meet minutes or approval to establish the branch, along with legal translation and the statement by the representative of the business.
- Provide the Section with documents verified by the U.A.E. Embassy, the foreign country, and the U.A.E. Ministry of foreign affairs together with translations (if required).
- Power of Attorney provided in favour of the foreign company representative to proceed.
- Provide all the needed documents for approval by the Section Head.
- After finishing all needed paperwork, head of trade name section to designate approval for branch office registration on the license application form
- Check with the Trade Name Section for verification.
- The applicant must contact the Ministry of Economy for approval to set up a branch.
The documents required for registering a branch office are -
- License form
- Verified commercial license and registration certificate for the parent company
- Translated and authenticated the parent company’s Memorandum of Association and its amendments, if any
- Certified copy of the parent company’s Statute (for private & public shareholder companies) with legal translation
- Legal translated minutes of the meeting of the Company’s board of directors or resolution authorizing the establishment of the branch
- Certified copy of agency contract between the local agent and the foreign Company
Branch of a U.A.E. Company
It refers to the branch of a company based in a different Emirate in the U.A.E. the concerned parties must apply for a license to establish an office of a company from another emirate.
- Apply for the license using the application form issued by the SEDD.
- After finishing all the required paperwork, proceed to the head of the trade name section to approve the branch registration on the application form.
- Follow up with the trade name section for trade name adoption.
The documents required for registration are -
- A certified copy of the commercial license and registration certificate of the main (mother) company
- Authenticated copy of the parent Company’s Memorandum of Association and its amendments if any
- Authenticated copy of the parent Company’s Statute (for public & private shareholder companies)
- Minutes of the meeting of the Company’s board of directors stating their approval to open the branch
Branch of a G.C.C. Company
The branch of a company based in a G.C.C. country other than the U.A.E. An application must be submitted by the concerned parties for a license to establish an office of a company from another G.C.C. country.
The steps to open a branch of a G.C.C Company are -
- Apply for the license using the application form issued by the SEDD
- Minutes of the meeting of the Company’s board of directors or resolution authorizing the opening of the branch as well as the power of attorney or authorization to the representative of the gulf company
The documents required to register this branch office are -
- Certified copy of the trade license or Commercial Register certificate for the parent company
- Certified copy of the Company’s Memorandum of Association and its amendments, if any.
- Minutes of the Company`s board meeting or resolution authorizing the opening of the branch.
Remember that, all the documents must be certified from the U.A.E. embassy in the Gulf state and the Ministry of Foreign Affairs in the U.A.E. Approval as a G.C.C. company branch is subject to satisfying all the documents required.
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