Companies based outside of the European Union processing personal data by either offering goods or services to individuals in the EU, or by monitoring the behaviour of individuals in the EU, are subject to the General Data Protection Regulation (GDPR). This applies in respect of both controllers and processors.
The organisations who fit the above description which do not have a physical base or office in the EU are required to appoint an authorised representative. Since leaving the European Union, UK organisations that also meet the above criteria need to appoint an EU representative.
According to Article 27 of the GDPR, the representative should be an entity established in the EEA and must be able to represent your company regarding your obligations under the EU GDPR. This includes maintaining a record of the organisation’s processing activities to provide when requested by a supervisory authority. For an organisation to perform that role effectively it needs to be able to offer specialised GDPR expertise.
Apart from being beneficial to organisations looking for expert advice, appointing an EU Representative can help organisations avoid conflict with the EU data protection supervisory authorities. Fines have been imposed by authorities on organisations for failing to appoint an authorised EU Representative.