The Republic of Georgia, strategically positioned at the crossroads of Europe and Asia, has emerged as an attractive destination for business due to its liberal economic policies, vibrant investment climate, and ease of doing business. Known for its rich history, scenic landscapes, and friendly people, Georgia offers numerous opportunities for entrepreneurs from all corners of the globe. This article provides a detailed guide on how a foreigner can register a company in Georgia.
Why Choose Georgia for Your Business?
Georgia provides several benefits for entrepreneurs looking to establish a business:
1. **Ease of Doing Business**: Georgia consistently ranks high in global indexes for ease of doing business. The World Bank has frequently recognized Georgia for its streamlined business procedures and supportive regulatory environment.
2. **Low Taxes**: The country offers a simple and low tax regime, making it attractive for businesses. Corporate tax, personal income tax, and Value Added Tax (VAT) are competitive compared to many other countries.
3. **Strategic Location**: Situated at the junction of Europe and Asia, Georgia provides access to both markets, facilitating international trade.
4. **Supportive Economic Policies**: The government is pro-business and has implemented policies aimed at attracting foreign investment, such as the establishment of Free Industrial Zones (FIZ) with tax incentives.
5. **Bilateral Treaties**: Georgia has signed numerous bilateral treaties for the promotion and protection of foreign investments.
Steps to Register a Company in Georgia
Establishing a business in Georgia is relatively straightforward with the authorities aiming to encourage foreign investment. Here’s a step-by-step guide:
1. **Choose a Business Structure**: The most common types of business entities in Georgia are Limited Liability Companies (LLC), Joint-Stock Companies (JSC), and Individual Enterprises. An LLC is often favored due to its flexible nature and limited liability for its shareholders.
2. **Select a Company Name**: Ensure that your desired company name is unique and meets the legal requirements. A preliminary search in the National Agency of Public Registry (NAPR) database can ascertain the availability of your chosen name.
3. **Prepare the Documents**:
– **Charter (Bylaws)**: A charter outlining the company’s operational structure and governance is required.
– **Founders’ Resolution**: A resolution that confirms the establishment of the company.
– **Appointment of Directors**: Document the appointment of directors and managers.
4. **Identify a Legal Address**: Your company must have a registered legal address in Georgia, which can be physical or a virtual office.
5. **Submit Registration Application**:
– This can be done through the NAPR. All documentation must be submitted in the Georgian language. Foreign documents must be translated and notarized.
– Present identification documents (passport) of the founders and directors.
– Provide proof of payment of the registration fee.
6. **Opening a Bank Account**: Upon registration, opening a corporate bank account in a Georgian bank is highly recommended for managing finances and transactions.
7. **Obtain Licenses and Permits**: Depending on your business sector, additional licenses or permits might be required. Consult local authorities to ensure compliance with specific industry regulations.
8. **Register for Taxes**: Register your company for taxation purposes at the Georgian Revenue Service for VAT, corporate income tax, and other applicable taxes.
Post-Registration Considerations
– **Free Industrial Zones (FIZ)**: Consider operating within a FIZ for tax benefits and other incentives.
– **Business Environment**: Engage with local business communities and networks to understand better the commerce landscape in Georgia.
– **Continuous Compliance**: Ensure ongoing compliance with local regulations, including tax filings and corporate governance requirements.
In conclusion, the Republic of Georgia presents a hospitable environment for foreigners looking to establish and grow a business. With its strategic location, business-friendly policies, and supportive infrastructure, Georgia is an ideal choice for entrepreneurs seeking new opportunities. By following the outlined steps, you can successfully set up your company in Georgia and tap into the promising markets across the region.
Sure! Here are some suggested related links about how a foreigner can register a company in Georgia:
Official Government Resources
National Statistics Office of Georgia – Provides statistical data and information on business and economy.
Revenue Service of Georgia – Information about taxes and business registration procedures.
Business and Legal Resources
Invest in Georgia – The official investment promotion agency of Georgia offers detailed guides on investing and setting up a business in Georgia.
Georgia National Tourism Administration – Provides useful links and guides, especially if your business is related to tourism.
Georgian Chamber of Commerce and Industry – Offers resources for business registration and networking opportunities.
Accounting and Consulting Services
BDO Georgia – Offers accounting, tax, and business advisory services which can help a foreigner navigate local regulations.
PwC Georgia – Provides consultancy services that include setting up and managing a company in Georgia.