COMPANY FORMATION IN GEORGIA
LIMITED LIABILITY COMPANY (LLC/LTD) – Limited liability company is the most convenient legal form of business activity in Georgia. A Limited Liability Company (LLC) is a commercial legal entity, the liability of which to its creditors is limited to its entire property. An LLC may be established by a single person.
JOINT STOCK COMPANY (JSC) – A Joint Stock Company (JSC) is a legal entity the charter capital of which is divided into shares of equal nominal value. The share constitutes to a security certifying the claim of a shareholder in relation to the property of the JSC, the rights and obligations of shareholders and JSC towards one another. The liability of a JSC is limited to its whole assets. Shareholders are not liable for obligations of the JSC.
NON-PROFIT ORGANIZATION (NGO) – Non-Profit Organization or Charitable Organization is the most suitable legal entity in Georgia for humanitarian, educational, healthcare, human rights, environmental, and other similar areas. An NGO is a non-commercial legal entity with limited liability to its creditors, restricted to its entire property. Thus, an NGO can receive income; however, founders cannot distribute the company’s profit, and it must be used for the activities of the organization. An NGO may be established by a single person.
BRANCH OFFICE (BO)– Any enterprise may establish a Branch Office (BO). It is the sub-unit of a business entity and is not a separate legal entity. Therefore, the liability of its founder may not be limited to the assets of the branch itself. The latter denotes that the founder is financially liable for the obligations of the branch.
INDIVIDUAL ENTREPRENEUR (SOLE PROPRIETORSHIP) – An Individual Entrepreneurship (IE) is not a legal entity, the liability of which to its creditors is not limited, unlike in LLC, which liability to its creditors is limited to its entire property. However, in case the expected annual income of an Individual Entrepreneurship does not exceed 500,000 GEL we can help you to obtain status of Small Business and in this case you will be taxed by 1% corporate/income tax (instead of 20%).
Founders (Shareholders) and managing director Presence at time of Company Registration:
We can organize registration of your company in Georgia without your presence (via Power of Attorney).
General Registration Period: Duration of company registration is 2 working days from the date of presenting of all necessary documents. You should also take into account that additional time may be required for execution and translation of necessary documentation.
Opening of Bank Accounts: The last step before starting the actual commercial activity is opening a bank accounts with local Georgian banks in Georgian Lari (GEL), Euros, US dollars, GBP.
Main Taxes: The Company tax is 15%, the dividend is 5% and the income (salary) tax is 20%, the VAT is 18%.
For further information or advice, please contact: firstname.lastname@example.org