Company Registration in Egypt

Why register a company in Egypt?

There are several reasons why an entrepreneur may choose to register a company in Egypt, including:

• Egypt has a population of over 100 million, providing a large potential customer base for companies operating in the country.
• Egypt has a large and well-educated workforce, providing companies with access to a talented pool of potential employees.
• Egypt has been working to improve its business environment recently, implementing economic and legal reforms to attract foreign investment.
• Egypt has a wealth of natural resources, including oil and natural gas, which can be exploited by companies operating in the country.
• Egypt has a flat corporate tax rate of 22.5% and a flat personal income tax rate of 22.5%.
• The Egyptian government provides a variety of incentives and support programs for businesses operating in the country, including tax breaks, subsidies, and access to financing.

 

                                                                                          

Advantages of Egypt Company Registration:

There are several benefits to Egypt company registration, including:

1-Streamlined and efficient registration process

The process of registering a company in Egypt is relatively straightforward and can be completed quickly with the help of a legal advisor.

2-Access to a large market

Egypt has a population of over 100 million people, providing companies with a large potential customer base.

3-Strategic location

Egypt is located at the crossroads of Africa, Asia, and Europe, making it an ideal location for businesses looking to expand into other markets.

4-Favourable business environment

The Egyptian government has implemented numerous policies to entice foreign investment. To support the growth of small and medium-sized enterprises.

The cost of Company Registration in Egypt

The cost to register a company in Egypt can vary depending on the type of company, the number of shareholders, and other factors.

However, some estimated costs for a company registering in Egypt include the following:

-Legal fees: Expect to pay between $500 to $3000 for legal fees associated with company registration, including drafting the company’s articles of association and filing the necessary paperwork with the government.

-Capital requirement: Egypt has a minimum capital requirement of EGP 10,000 (about $630) for most types of companies, which must be paid in full before registration.

-Registration fees: Expect to pay around EGP 500 (about $31) for government registration fees, this may vary based on the type of company you are registering.

-Notary fees: Expect to pay around EGP 200 (about $12) for notary fees associated with company registration.

It’s important to note that the above costs are general and may vary depending on the specifics of the Egypt company registration.

 

Can a foreigner own a business in Egypt?

Yes, a foreigner can own a business in Egypt. The country has a number of measures in place to support foreign investment and encourage the establishment of foreign-owned businesses. Under Egyptian law, foreign investors are permitted to fully own their companies and are treated the same as local investors. There are also a number of incentives available to foreign investors, such as tax exemptions and relaxed regulations for certain industries. However, it's important to note that there may be certain restrictions and requirements for foreign investors, such as obtaining a residency permit and registering the company with the local authorities.

 

Types of Business Entities for Company Registration in Egypt

Several types of business entities can be registered when you think to register a company in Egypt, the most common of which are described below:

• Limited Liability Company (LLC)
• Joint Stock Company (JSC)
• Branch of a Foreign Company
• Sole Proprietorship
• Partnership
• Simple Commandite

The most common type of company registered in Egypt are Limited Liability Companies (LLC).

 

Company Incorporation in Egypt Incorporation of a limited liability company in Egypt includes the following stages:

 1. Reserving the company name in the Trade Register (at least 3 names).

2. Obtaining a bank letter.

3. Certifying the necessary documents.

4. Registration of a company at GAFI. This will require submission on the following documents: Certificate of uniqueness of the company name (certified in the Commercial register);

• Manager's passport (copy);
• Power of Attorney;
• Application for "Security Clearance" for company members and foreign manager(s);
• Identification of name and address of the legal advisor of the company;
• Certificate of the company auditor;
• Document of ownership or lease agreement for the legal address of the company.

If the participant of the company is a legal person:

• Articles of Incorporation;
• Certificate of incorporation of the company;
• Certificate of operation;
• Power of attorney.

Most of the main documents must be in English and certified by the Egyptian Embassy.

5. Registration at the Egyptian Tax Authority.

 6. Registration at the National Social Security Administration.

The timeframe for registering a company after providing all the necessary information, conducting an initial compliance check, agreeing on a final list of documents and paying the bill is about 5 - 7 business days.

 

updated on: 2024/01/22