Subsidiary Co

Subsidiary Co Company Formation in UAE

Subsidiary Co Company Formation in the UAE is a strategic move for international corporations aiming to establish a local presence in one of the world’s most business-forward jurisdictions. The UAE offers a robust legal framework, simplified incorporation processes, 100% foreign ownership in many sectors, and tax-efficient benefits that make it the ideal gateway for regional operations.

Whether you’re a multinational expanding your global footprint or a foreign entity diversifying into new markets, Subsidiary Co Company Formation in the UAE enables you to maintain control while leveraging the economic, logistical, and tax advantages of the region.

At Almalia Consulting FZCO, we help you structure, license, and operationalize your UAE-based subsidiary with full compliance and strategic clarity. From entity planning to documentation and post-setup compliance, we ensure your expansion into the UAE is smooth, secure, and aligned with your parent company’s objectives.

Benefits of Subsidiary Co Company Formation in the UAE

Full Ownership with Operational Independence – Your foreign parent company can fully own the UAE subsidiary, while the new entity enjoys operational autonomy and legal separation from the parent.

Access to the UAE and GCC Markets – A UAE subsidiary allows you to trade freely across all Emirates and the wider GCC region, opening doors to high-growth markets.

Tax-Efficient Structure – Benefit from 0% personal income tax and a low 9% corporate tax (with exemptions), making Subsidiary Co Company Formation in the UAE a smart financial decision.

Asset & Risk Separation – A subsidiary shields the parent company from local liabilities, ensuring financial protection and legal compartmentalization.

Customizable Corporate Governance – Define local director roles, shareholding arrangements, and authority levels as per your group policy—ensuring full control and strategic oversight.

Eligible for Corporate Banking, Visas & Government Contracts – Your subsidiary can open UAE bank accounts, apply for investor and employee visas, and bid for public and private sector tenders

Improved Credibility & Local Presence – Establishing a subsidiary in the UAE builds trust with local clients, vendors, and authorities—strengthening your brand reputation.

Documents Required for Subsidiary Co Company Formation

1. Parent Company’s Certificate of Incorporation – A notarized and legalized copy of the parent company’s certificate of incorporation from its home jurisdiction. This certificate must confirm the legal existence of the company and is a fundamental requirement for establishing a subsidiary under its ownership.

2. Board Resolution Approving the Subsidiary – An official board resolution issued by the parent company authorizing the formation of the subsidiary in the UAE. This document must clearly specify the company’s intent to establish a legal presence in the UAE, appointing authorized signatories, and approving capital commitments if applicable.

3. Memorandum and Articles of Association (MOA/AOA) – Certified and legalized copies of the parent company’s Memorandum and Articles of Association are required. These should outline the company’s objectives, shareholding structure, governance policies, and internal procedures. If the originals are not in English or Arabic, a legal translation will be necessary.

4. Power of Attorney (POA) – A duly notarized and legalized Power of Attorney authorizing a designated representative—usually based in the UAE—to act on behalf of the parent company throughout the incorporation process. This is critical for signing applications, liaising with authorities, and completing procedural steps without delay.

5. Passport Copies of Directors and Shareholders – Clear, color copies of the passports of all directors, shareholders, and authorized representatives involved in the UAE-based subsidiary. These passports should be valid for at least six months at the time of submission.

6. Proof of Address – A recent utility bill or official bank statement showing the full name and residential address of each shareholder and director. This document must not be older than 90 days and should be in English—or accompanied by a certified translation if originally issued in another language.

7. Proposed Business Names and Activity Description – A list of at least two to three preferred names for the new UAE subsidiary, in accordance with the UAE naming guidelines. Additionally, a concise description of the proposed business activities should be provided. This helps UAE authorities assess the license category and ensure proper classification.