Company registration in Georgia

Registration fee is from 2500 €

Registration period — 2 weeks

Minimum authorized capital - not required

Remote opening — yes

Financial statements — yes

The Republic of Georgia is a country located on the eastern coast of the Black Sea, bordering Armenia, Turkey, Azerbaijan. Since 2014, Georgia has been a member of the European Union. The capital of Georgia is Tbilisi.

Maira Consult advises registering Georgian companies to conduct trade operations, provide logistics and transportation services, as well as to develop IT business and launch start-up projects.

A company in Georgia provides the owner with unique opportunities for international business due to existing tax treaties, in particular with Ukraine, as well as the availability of free economic zones. In order to attract foreign investors, Georgia has established free economic zones that provide legislative and tax benefits. Companies registered in free economic zones are exempt from corporate tax in most cases. Despite the many advantages, in 2023, free industrial zones partially lost their relevance, as it is almost impossible for companies registered in such zones to open an account in a Georgian bank even if they have a substance. 

In 2017, Georgia switched to a new corporate taxation model similar to Estonia. This means that the profits of a Georgian company are taxed when the company distributes profits (dividends).

For IT companies, there is a special tax regime, the IT Virtual Zone, which allows them to pay 5% corporate tax.

Georgia advantages

1

Tax benefits in free economic zones

2

Corporate tax is paid upon distribution of profits

3

Access to international seaports

4

Transparent conditions for doing business

General Information

Registration Features

Georgian companies pay income tax only when distributing profits. In Georgia, it is possible to register a company in free industrial zones and receive tax benefits.

Company Name

The name of the future company must be written in Georgian or Latin and end with a word, phrase or abbreviation indicating its limited liability (LLC).

Authorized Capital

The amount of the minimum share capital and the procedure for its payment are not established. The recommended share capital is from 100 GEL.

Director

At least one individual is required, and there are no restrictions on residency.

Shareholders

At least one individual or legal entity is required, and there are no residency restrictions.

Financial Reporting

All Georgian companies, including those registered in free industrial zones, are required to prepare and submit annual financial statements. An audit is required for Georgian companies that meet two criteria: 1. The value of the company's assets exceeds GEL 10000000. 2.The company's revenue exceeds GEL 20,000,000 per year. 3.The number of employees exceeds 50.

Taxation

The corporate income tax rate is 15% (only the distributed profit of the company is taxed). The withholding tax rate on dividends is 5%, so the total effective tax rate on the distribution of profits of a Georgian company is 20%. The standard VAT rate is 18%.

Confidentiality

The state registry is open, providing public access to information about companies, their directors, shareholders, and the size of their authorized capital. Information on ultimate beneficiaries is also available.

Stages of company registration

01

Choosing the name and form of the company

The most popular form for LLC registration in Georgia is a limited liability company (LLC). Members of such a legal entity in Georgia are liable solely within the limits of their contributions to the authorized capital. This format is ideal for those who plan to open a business in Georgia, providing asset protection and minimizing risks.

02

Preparation and collection of documents

Each shareholder of a Georgian company must provide an international passport and proof of residence (utility bill).

03

Identification of company participants

Registration of a company in Georgia can be done remotely or with a personal visit of the director and shareholders to Georgia. To register a company remotely in Georgia, the founder certifies a power of attorney by a notary. The power of attorney does not need to be additionally legalised with an Apostille stamp if you draw it up in Ukraine. On the basis of the power of attorney, a lawyer in Georgia submits registration forms to the register. The remote procedure for registering a company in Georgia takes an average of 2 weeks.The registration procedure with a personal visit to Georgia takes several business days.

04

Formation of the share capital (if necessary)

There are no requirements for mandatory payment of the authorized capital in Georgia. If necessary, it can be formed after it has been possible to open a company in Georgia. This process is also relevant for those who plan to open a legal entity in Georgia, allowing flexible management of financial issues after registration.

05

Company registration

The process of registering a firm in Georgia generally takes 7-10 business days from the date of receipt of the required set of documents, depending on the workload of the register.

06

Receiving of corporate documents

As soon as a company in Georgia is registered, the registry issues ready-made corporate documents with the appropriate stamps.

07

Legalization of documents (if necessary)

If necessary, company documents can be submitted for legalization and apostille. This is especially important for those who are going to open an LLC in Georgia, so that all documents comply with international standards and have legal validity outside the country.

08

Delivery of corporate documents

Originals of corporate documents of a Georgian company are sent by courier service.

Answers to the Most Common Questions:


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40B Ivan Franko St., office 207

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