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Mozambique Gateway

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Branch & Representative Office in Mozambique

Not every entry needs a subsidiary. A branch or representative office can be the right vehicle, provided you understand what each one is permitted to do.

Office towers on a palm-lined avenue in downtown Maputo

The practical difference

A branch is an extension of the foreign company and can trade, with the parent carrying the liability. A representative office is limited to liaison, market study and promotion, and cannot generate revenue. A subsidiary is a separate Mozambican company with its own liability.

Documents from head office

Registry extracts, articles, board resolutions and powers of attorney must be apostilled or consularised and sworn-translated into Portuguese. This is routinely the longest step, so start it first.

Choosing with tax and tenders in mind

Tender eligibility, withholding treatment on payments to the parent and the ability to repatriate profits all differ between the vehicles. We compare them against your actual contract pipeline instead of in the abstract.

Frequently asked questions

Can a representative office sign contracts?

No. Its permitted scope is non-commercial. Contracting through one risks the arrangement being recharacterised, with tax consequences.

Which vehicle do most investors choose?

Most operating investors register an Lda. Branches are common for construction and oil and gas contractors executing a defined project under a parent-company guarantee.

Not sure where to start?

Tell us what you are trying to do in Mozambique and we will point you to the right service — or tell you honestly if we are not the right fit.