Accreditation of a Representative office or a Branch in Russia, Moscow
A foreign company wishing to establish its legal presence in Russia can register a representative office or a branch.
According to Russian legislation representative and branch offices are not legal entities. They are given the property of the founding legal entity and operate in conformity with the provisions it has approved. The manager is appointed by the foreign company and acts by power of attorney.
Representative office is a separate subdivision of a legal entity situated outside of the place of its location, which represents and protects the legal entity’s interests.
Branch is the legal entity’s set-apart subdivision, situated outside of the place of its location and performing all its functions or a part thereof, including the functions of representation (CC of RF article 55).
Representative office, in contrast to a branch, only represents the interests of the legal person and engages in their protection. On the other hand a branch is a separate subdivision of a legal entity which can conduct all its functions.
However a branch is a non-resident for currency regulation purposes and most licences cannot be obtained by a foreign corporation operating in Russia through a branch. For this purposes you can be used subsidiaries.