Open a Liaison Office in Norway - Representative Office

Opening a representative office is Norway is a solution to test the local market for business expansion. Discover below what this entity entails and how our local specialists can help you register it.

Quick Facts
Liaison office	A liaison office in Norway is a representative office of a foreign company, allowing it to conduct specific non-commercial activities in Norway.
Non-commercial activities	Liaison offices are limited to non-commercial activities, such as market research, information gathering, and promoting parent company interests.
Legal entity	A liaison office is not a separate legal entity but an extension of the parent company, with no independent legal status.
Registration	To open a liaison office in Norway, registration with the Norwegian Register of Business Enterprises is required.
Parent company relationship	The liaison office must have a clear and demonstrable relationship with the foreign parent company.
Local agent/Norwegian representative	A local agent or a Norwegian representative must be appointed to act as a liaison between the office and Norwegian authorities. The services of our company formation agents are at your disposal.
Scope of activities	The scope of activities is restricted to activities that do not generate income in Norway.
Banking and finance	Liaison offices must open a bank account in Norway to conduct financial transactions and cover operational expenses.
Duration of existence	The duration of a liaison office’s existence is typically limited, and extensions require renewing the registration.
No commercial contracts	Liaison offices cannot enter into commercial contracts on behalf of the parent company or undertake trading activities.
Reporting requirements	The office must submit annual reports and financial statements to the Register of Company Accounts (Brønnøysund).
Intellectual property	Intellectual property rights remain with the parent company and cannot be registered or protected through the liaison office. However, if you are interested, our experts can help you set up a liaison office in Norway.
Language	While Norwegian is the official language, English is widely spoken, making business interactions accessible for non-Norwegian speakers.
Privacy and data protection	The office must adhere to Norway’s data protection regulations when handling personal data. Our company incorporation experts can assist you in opening a liaison office in Norway.
Legal assistance	Engaging our local experts can ensure compliance with Norwegian laws and regulations for the liaison office.
Liaison office means	A liaison office is a representative office established by a company in a foreign location to facilitate communication and information exchange.
Applicable legislation	Norwegian Companies Act.
Name	No trade name or distinctive identity.
Indirect activities	A liaison office in Norway cannot engage in commercial activities, it can still indirectly contribute to the overall income growth of the parent company, mostly, by promotions.
Minimum share capital	Not required.
Decision-making	Representative offices in Norway have no authority to make decisions; the liaison office has solely an advisory role.
Subject to tax	No, the Norwegian liaison office is not subject to any income tax.
VAT registration	Possible.
Land acquisition	The establishment of a representative office in Norway does not permit the acquisition of any real estate.
Compliance required for a liaison office in Norway (Yes/No)	Yes, must comply with the local laws and regulations.
Funding	A liaison office in Norway sustains itself using funds received from the parent company.
Hiring local staff	Allowed.
Identification number required (yes/no)	Yes, and it is of two types: Norwegian national identification number, and temporary (number D).
Advantages	– Easy to establish; – Effective for market testing; – Requires minimal maintenance.
Additional services offered by our team	Contact our Norwegian company formation agents if you need additional services like; VAT registration or open a bank account in Norway.

Who can open a representative office in Norway?

The representative office is a solution available for foreign companies seeking to test the Norwegian market before expanding here.

Is it possible to register a liaison office in Norway remotely?

Yes, with the help of our agents who can act as representatives on behalf of foreign companies.

What are the characteristics of a Norwegian representative office?

A Norwegian representative office has no separate legal identity, which means that:

it depends on the parent company entirely;
it has no distinctive identity or trade name;
it has no independent assets;
the parent company will be liable for the office’s debts and other obligations.

The liaison office is not financially or legally independent from the parent company either. It has no authority to engage the company in a commercial activity, nor can either it or its employees sign contracts on the company’s behalf. However, it can represent the foreign business in various transactions.

We also have an infographic on this subject:

What are the steps to set up a representative office in Norway?

A representative office can be registered with the Norwegian Company Register, in a similar way to company registration, after a preliminary name reservation and approval.

The following steps must be taken in order to open a liaison office:

appointing a local representative;
choosing an operating space for the representative office;
enrolling employees in social security benefits (this is the main obligation a liaison office has from a taxation point of view).

The procedure for operating a representative office is considerably simpler than setting up a company in Norway.

What are the documents required to register a liaison office in Norway?

The following:

a recent extract from the Trade Register in the parent company’s country indicating its registration;
a copy of the parent company’s statutory documents;
the decision providing for the opening of the representative office in Norway;
the standard application form;
the details of the local representative.

Is it mandatory to appoint a local representative when opening a Norwegian representative office?

Yes, this is one of the mandatory aspects to consider when setting up this type of entity in Norway.

Must I secure a registered address for a representative office in Norway?

Yes. The respective address can also take the form of a virtual office.

Are there any share capital requirements for setting up a liaison office in Norway?

No.

What activities can a Norwegian liaison office complete?

A liaison office or representative office allows a parent company to promote collaboration between the head office and other enterprises or clients in Norway.

It can undertake activities related to:

the promotion of the parent company in Norway;
maintenance of the relationships with potential clients and business partners on behalf of the foreign enterprise;
the analysis of the competition;
trade fairs and exhibition participation.

Here is our video on this topic:

Must I register a liaison office with the Norwegian tax authorities even if it does not undertake commercial activities?

Yes, as the parent company is required to submit annual financial accounts for compliance purposes. Our accountants in Norway can assist with the procedure.

It is also possible for the office to register for VAT in Norway in order for the parent company to claim back some of the expenses related to the Norwegian entity.

Is a liaison office subject to taxation in Norway?

No, opening a liaison office in Norway implies no income tax for the local office or parent company. Also, considering the parent company will assign at least one representative, the respective person must be enrolled for social security purposes, in cases in which social security contributions must be paid.

How long does it take to open a liaison office in Norway?

The entire procedure can take about a month to complete.

Don’t hesitate to contact our experts in company formation in Norway in order to ask your questions and clarify all the aspects implied by the establishment of a liaison office in this country.