F. A. Q
Company Formation in Georgia for Foreign Investors
- Is it possible for a foreigner to open a company in Georgia?
Yes. Foreigners can fully own and manage companies in Georgia with equal legal rights to local citizens under the Entrepreneurs Law. There are no nationality-based restrictions on incorporation or directorship. Official authorities confirming this framework include the National Agency of Public Registry (NAPR) and the Ministry of Economy and Sustainable Development of Georgia (MoESD). - What kind of companies can be incorporated in Georgia?
The most common form is the Limited Liability Company (LLC). Other legally recognized forms include Joint Stock Company (JSC), General Partnership (GP), Limited Partnership (LP), Cooperative, Individual Entrepreneur (sole proprietor), and branches/representative offices of foreign companies. These forms are defined by Georgia’s Entrepreneurs Law and administered through NAPR and MoESD. - Does the company need to have an office in Georgia?
A registered legal address in Georgia is required for company registration and official correspondence in the Entrepreneurs and Non-Entrepreneurs Registry. Many companies use a service or virtual address to meet this requirement. This is handled through NAPR during incorporation and subsequent filings. - What about the steps for company establishment in Georgia?
- Choose legal form and name availability: Check and reserve your company name with NAPR.
- Prepare corporate documents: Charter, founders’ resolution, director appointment, and identification documents in the required format.
- Register with NAPR: Your entity is entered into the Entrepreneurs and Non-Entrepreneurs Registry.
- Obtain tax credentials with the Revenue Service: Receive a tax ID, create an online account, and register for VAT if your activities/turnover require it, per the Tax Code of Georgia.
- Apply for sector permits/licenses (if applicable): Municipality permits for construction, sector regulators for finance/telecom, etc.
- Hire employees and comply with labor/social requirements: Register payroll and reporting via the Revenue Service.
Primary government bodies involved: NAPR, Revenue Service (under the Ministry of Finance), and relevant municipal/sector regulators.
- What is the minimum share capital in Georgia?
There is no statutory minimum capital requirement for an LLC, and most common forms do not impose fixed minimums under general company law. Any capital thresholds typically arise from sector-specific regulation (e.g., finance) or the company’s charter. This approach is reflected in the Entrepreneurs Law and enforced via NAPR registration standards. - What are the requirements for opening a bank account in Georgia?
Georgian commercial banks conduct KYC/AML due diligence per national regulations and the National Bank of Georgia’s standards. Expect to provide: company registration extract, charter, director/UBO IDs, proof of address, description of business activity, and supporting contracts/invoices as needed. There is no government policy that makes opening business accounts “almost impossible” for foreigners; outcomes depend on bank risk assessment and documentation completeness. Relevant authorities: National Bank of Georgia and the Revenue Service for tax linkage. - Do you need special permits and licenses in Georgia?
Yes. Certain activities require permits/licenses from competent authorities. Examples: construction permits from municipal city halls; sector licenses for finance or telecom from respective regulators; and compliance registrations for regulated trade. The government’s investment promotion agency—Enterprise Georgia (Invest in Georgia) under MoESD—provides guidance and one-stop support for navigating permits. - What are the taxes for companies in Georgia?
Georgia applies a distributed-profit corporate income tax model (commonly known as the Estonian model): retained earnings are generally untaxed until profit distribution, and distributed profit is typically taxed at 15% under the Tax Code of Georgia. VAT is 18% for taxable supplies; property tax may apply based on asset types and municipal rules; customs duties depend on the goods and Georgia’s trade arrangements. All registrations, filings, and e-services are handled through the Revenue Service. - What are the reasons to invest in Georgia?
Georgia offers a strategic location between Europe and Asia, a transparent and simple tax system, strong investor protections, multiple Free Industrial Zones, competitive costs, and streamlined procedures through NAPR, the Revenue Service, and Enterprise Georgia (Invest in Georgia). These factors are promoted and supported by MoESD and its agencies to facilitate foreign direct investment.