Branch Office

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branch office

When conducting business in the Middle East, it is not always mandatory that you seek a local partner. Certain company establishment types allow for the foreign business to maintain 100% ownership.

If you are a foreign company executing a specific contract in Qatar, you can choose to establish a Branch Office. The contract, however, must “facilitate the performance of a public service or utility”. This means that your contract must be issued by a government or quasi-government entity.

Main Advantages of Operating as a Branch Office:

  • Maintain 100% Foreign Ownership
  • There are no share capital requirements

Key Considerations of a Branch Office:

  • Entitled to perform only the specific contract for which it is registered and cannot tender for any further public or private contracts through the entity.
  • Branch Offices are fully taxable unless granted a special exemption

Although there is no need for a Qatari partner in a Branch Office set up, Fusion Middle East can help you through the company establishment process.

We understand that finding a transparent and trustworthy partner is the most critical step for your business, no matter what type of business you run. Fusion Middle East provides the security investors need to establish their business within Qatar, offering reliable support and service that allows our clients to evolve and develop, encouraging them to succeed, and supporting them in their ambition.

 

PROCESS FLOW

FOR ESTABLISHING A BRANCH OFFICE

Start

Ministry of Economy & Commerce Contract Approval

Prior to obtaining the Commercial Registration, the following documents will be required:

  • Copy of the awarded contract, or summary thereof, with a government or semi-government entity, stamped and signed (this must be officially translated into Arabic).
  • Ministry of Economy & Commerce License request and No Objection form for a foreign company to operate as a Branch in the State of Qatar. This form will confirm the contract details permitting the establishment of a Foreign Branch Office.
  • Passport copy of the individual holding the power of Attorney to sign to incorporate the Foreign Branch Office on behalf of the parent company.

Furthermore, legalised, notarised and attested copies of the foreign documentation will be required*:

  • Memorandum of Association of the parent company;
  • Commercial Registration of the parent company;
  • Power of attorney authorising an individual to sign on behalf of the parent company of the Foreign entity
  • Board Resolution

*Foreign Documentation Procedures

All documents originating outside Qatar, must be duly notarized, legalised and attested. That is, they must be:

  • Notarised in the country of origin before a Notary Public, or equivalent;
  • Attested by the Ministry of Foreign Affairs, or equivalent, in that country;
  • Stamped buy the Qatar Embassy in or responsible for that Country; and
  • Finally stamped by the Ministry of Foreign Affairs in Doha (which Fusion Middle East can attend to on your behalf).

Commercial Registration & Qatar Chamber of Commerce Registration

Issued by the Ministry of Economy & Commerce (MEC) and requiring and application form in Arabic, duly signed by the authorised representatives of the Company. This application form must be accompanied by a covering letter in Arabic to the Commercial Registry department at the MEC and signed by the same representatives.
The Company is also required to register with the Qatar Chamber of Commerce & Industry to obtain membership. The registration application forms and fees should be submitted at the same time as applying for the Commercial Registration.
The Company will acquire its legal presence in Qatar upon issuance of the Commercial Registration and Qatar Chamber of Commerce Registration which is now combined into a single document. However, further licenses will be required for finalising the establishment.

Trade License

The Company must obtain a Trade License from the Ministry of Economy & Commerce. To obtain this, the company should agree to a 12 month lease at a commercially suitable business premise. The Government lease agreement summary and Government Trade License application form must be signed by the company’s authorised representatives and landlord.
The business premises are likely to be inspected before the licenses are issued.

Computer Card/Immigration Card at Ministry of Interior

The Company must register at the Immigration Department of the Ministry of Interior to be able to locally register their employees in Qatar. Once the Computer Card/Immigration Card has been obtained, the company should register at the Ministry of Administrative Development, Labour & Social Affairs. Thereafter, the companies labour quota can be applied for, and upon approval, the company’s employees Residence Permit procedure can begin.

Tax Card

A preliminary Tax Card is issued alongside the Commercial Registration. However,all companies must apply for a
Tax Identification Number and permanent Tax Card through a company appointed, locally registered auditing firm.

Branch Office Established

We Trust that this information is of assistance and would be glad to discuss this further with you as required.

Contact us today for a free, no obligation consultation
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