How to Open a Branch Office in Dubai in 2026: Full Setup Guide
A step by step guide to opening a branch office of a foreign or UAE parent company in Dubai, including documents, cost, timelines and licensing routes.
A branch office in Dubai is an extension of a parent company, not a separate legal entity. It lets a foreign or UAE company operate in Dubai under its own name without creating a new shareholder structure. Here is how it works in 2026.
Branch vs subsidiary
- Branch office: no separate legal personality. Parent is liable for all branch obligations. Allowed to perform the same activities as the parent, except commercial trading of goods.
- Subsidiary: separate LLC with the parent as shareholder. Independent legal personality. Can carry out any activity. Separate liability.
Who can open a branch
- Foreign companies registered abroad for at least 2 years.
- UAE free zone companies opening a mainland branch.
- UAE mainland companies opening a branch in another Emirate.
Allowed activities
A Dubai branch of a foreign company can offer professional services, consultancy, representation and liaison, and operate as a sales/marketing office. It cannot import goods for resale on its own licence (needs a UAE mainland distributor for that).
Documents required
- Parent company incorporation documents, attested up to UAE Embassy and MOFA Dubai
- Board resolution authorising the branch and appointing a UAE-resident manager
- Audited financial statements of parent for last 2 years
- Power of Attorney for the branch manager, attested
- Passport copies of parent shareholders and the branch manager
- Ejari (office tenancy registration) for the branch premises in Dubai
- No Objection Certificate from the parent company's home jurisdiction (sometimes required)
Setup process, step by step
1. Trade name reservation at DET. Branch name must match the parent exactly, with "Dubai Branch" appended.
2. Initial approval. Submit activity list and parent documents to the Department of Economy and Tourism.
3. Attest parent documents. Notarise, apostille or attest at UAE Embassy in the parent country, then re-attest at UAE Ministry of Foreign Affairs.
4. Lease office and register Ejari. Physical office is mandatory. Virtual office is not allowed for branches.
5. Appoint UAE national service agent (if required). Some activities still require a Local Service Agent. The agent has no ownership stake, just a fixed annual fee of AED 10,000 to AED 25,000.
6. Final licensing. DET issues the trade licence, Chamber of Commerce membership and establishment card.
7. Visa and banking. Residence visa for the branch manager, then open corporate bank account.
Timeline
8 to 15 working days from complete documents to licence issuance. Document attestation outside the UAE can add 3 to 6 weeks and is the biggest variable.
Cost
- DET branch licence: AED 15,000 to AED 25,000 per year
- Chamber of Commerce: AED 1,200 to AED 2,500 per year
- Local Service Agent fee (if applicable): AED 10,000 to AED 25,000 per year
- Office tenancy and Ejari: from AED 25,000 per year
- Document attestation: AED 2,000 to AED 15,000 one-time depending on country
Branch of a free zone company
A UAE free zone company can open a Dubai mainland branch to serve UAE customers directly. This avoids the free zone distribution restriction while keeping the parent free zone tax position (subject to Qualifying Free Zone Person rules). See our corporate tax guide.
A branch office is the right structure when a foreign parent wants local Dubai presence without creating a separate company. For independent operations or trading of goods, open a subsidiary LLC instead.
Open your Dubai branch with Breeo in 2 weeks. Talk to our team or compare branch vs LLC setup.
Frequently asked questions
Does a branch office need a UAE sponsor?
Most activities no longer need a sponsor since 2021. A short list of regulated activities still requires a UAE National Service Agent, which is a fixed-fee arrangement without ownership or management rights.
Can a Dubai branch trade goods?
No, not directly. A branch can offer services, consulting, representation and marketing. For importing or reselling goods, open an LLC or a free zone trading company with a mainland branch.
How much does a branch office cost per year?
Total first-year cost runs from AED 55,000 to AED 95,000 including licence, office, chamber, visa, LSA fee if applicable and document attestation.
Can my branch open a UAE bank account?
Yes. Branches onboard with major UAE banks, but the file must include parent company audited accounts and KYC. Expect 15 to 25 working days to onboarding.
Is a branch separate from the parent for tax purposes?
No. A branch is tax-resident in the UAE but legally part of the parent. UAE corporate tax at 9 percent applies to the branch's UAE-source income above AED 375,000. Double tax treaties often prevent double-taxation on repatriated profits.