A very popular way for foreign companies to have 100% foreign ownership in UAE market is open a branch office in UAE. The branch office does not have a separate legal identity from that of its parent company. Therefore, the name of the branch office will be the same as that of the parent company.
Branches of firms are allowed to open branches in the state to practise activities with the exception of – Trading and all branches of activities represented in sales and purchase of products and commodities, Restaurants, cafes and food stuff supplies and catering, Haj and Omra services, Labor supply and Commercial Agencies.
The Commercial Company Law governs the legal and regulatory framework of Branch Office. As per the local regulations, branch office must appoint a UAE National, who will act as local agent.