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Establish a Branch in Egypt

Establish a Branch in Egypt

A foreign corporation can establish a branch in Egypt, if it has a contract in either the public or the private sector, to effectuate its activities in this country. Even though a branch can undertake commercial, industrial, financial and contractual activities, they are limited to those which are outlined in its contract in the country. In this article, our company formation consultants in Egypt analyze a few key aspects related to setting up of a branch here.

Registration procedure of a branch in Egypt

To set up a branch in Egypt, the parent company has to obtain the approvals of the Minister of Trade, the General Authority for Investment and Free Zones, the Minister which is overseeing the relevant sector of the branch activity and the Investment Authority.

A branch also has to be registered in the Commercial Registry and with the Companies Department. The registration application has to be submitted together with other documents, such as:

  • The Articles of Incorporation of the business;
  • An audited balance sheet for the latest fiscal years;
  • The business decision or decisions which authorize(s) setting up of a branch in Egypt, naming its manager and assigning the needed capital for its activities;
  • A copy of the contract the business has signed related to its operations in the country. Our Egypt company formation advisors can provide further details on these types of contracts.

Characteristics of a branch in Egypt

A branch in Egypt has fewer obligations to presents its accounts compared to normal businesses. Our company registration agents in Egypt can offer more information related to this matter.

This type of business entity is generally appropriate for low-cost projects. If substantial projects are to be effectuated, though, it might not be the most suitable choice, since the parent company and the branch operations are not separated, the parent company being fully liable for the liabilities of the branch.

As about taxation, branches in Egypt are permanent establishments for non-resident businesses and an Egypt branch does not represent a separate entity from the parent company.

In case you would like to learn more about branches in Egypt, or for assistance to open a company in Egypt, please speak to our staff.