Establishing a Branch in Malta


Branch establishment in Malta may allow you to expand your business activities in Malta without the need to incorporate a company. The establishment of a branch in Malta and the registration of a company as an overseas company in Malta is relatively straight forward and offers a business several fiscal benefits.

Branch establishment can often be seen as a cautious first step into a new country to carry out business activities without the added legal complexities of company incorporation or company re-domiciliation.


Why set up a Branch in Malta?

Setting up a Branch of a business in Malta would not be seen as setting up a separate legal entity. In fact, the establishment of a branch, of an organisation, is often seen as an extension of the parent company whilst still maintaining an element of independence.

The main difference between setting up a branch and a subsidiary company is that a parent company would have shared legal responsibility for its branch in Malta whereas a subsidiary in Malta would have its own legal personality and separate legal responsibilities.

In addition, a branch would be seen to form part of the assets of the parent company and the accounts of the branch are usually merged into the accounts of the parent company which is based outside of Malta.

Should the branch cease to continue to carry out business activities in Malta, it would avoid the need for a liquidation and would simply de-register from the local authorities signaling the end to its business activities in Malta.

There are also several taxation benefits to setting up a branch, with different rules in place compared to setting up a subsidiary company. Naturally, it is advisable to fully understand the different rules and regulations in place and to seek guidance prior to establishing a branch in Malta.


Has Brexit been a challenge?

If your business is still suffering from the after affects of Brexit why not get in touch with our team and we'll arrange a FREE consultation to discuss the options available to remove the 'red-tape'?

CLICK HERE TO BOOK YOUR FREE CONSULTATION

Alternatively, if you're searching for a solution, or maybe you're just curious and want to review your options, we've created this useful guide to highlight some of the opportunities available to UK businesses in order to remain competitive in the Post-Brexit market.

Click here to DOWNLOAD your copy now

Related Posts

January 5, 2023
new year goals

Goals For The New Year – Work With Us In 2023

As we start a new year, it’s a great time to reflect on your goals and ambitions. Whether you’re an entrepreneur, start-up, or corporate client looking […]
December 6, 2022
Dropshipping

Dropshipping Deep Dive

If you’re considering starting your own ecommerce business, you may be wondering how to get access to products, or where to store them. The traditional business […]
November 30, 2022
Malta door

Economic Presence: What Does It Mean to Have Substance in a Company?

What does it mean to have substance in a company? A company’s substance is its economic presence in a jurisdiction. The need for having substance in […]
November 29, 2022
Malta

Malta Introduces Transfer Pricing Rules

Malta has published transfer pricing rules which will apply from 1 January 2024. The rules will apply to cross-border arrangements between related companies, but not to […]
November 29, 2022
Malta

Update: Public access to beneficial owners information removed

Following the Court of Justice of the European Union (CJEU)’s ruling last week, which invalidated a provision of the EU’s 5th Anti-Money Laundering Directive that gave […]
November 21, 2022
Malta

Cost of Living in Malta

Let’s face it, it’s hard to avoid the topic of increasing cost of living. Prices are going up, and there’s no shortage of news articles about […]

Specialist advice for establishing a branch of your business in Malta?

Our advisors can assist in planning for establishing a branch in Malta and to advise on the various taxation, regulatory and compliance obligations.

For more information or to arrange an initial consultation please complete the form below and one of our advisors will be in touch within 48 hours.


Contact Us