Establishing LLC (The Limited Liability Company )is the choice of many investors due to many factors, mainly the limited liability of its partners to the value of their shares in the company, meaning that all company debts cannot exceed the value of the shares of the partners and be fulfilled by their personal patrimony.
The company shall have a trading name for the purpose of its establishment and the name of the company may include the name or title of one or more of its founders.
Registration of the limited liability companies in the Commercial Registry and are subject to the supervision and inspection of GAFI.
Include the registration of the LLC in the Commercial Register.
It is Prohibited for limited liability companies to carry out some activities in some areas like insurance, banking, savings, invest money for others, and investment management.
Apart from the preceding areas of activity, limited liability companies can carry out legal commercial activity similar to other business entities, subject only to the general limitations of applicable laws and regulations.
In the eyes of the Egyptian law, LLCs can be managed (100%) by Foreigners, and there is no express provision indicating a maximum ceiling for ownership of capital by foreigners.
One person cannot own a limited liability company, under Egyptian law. Consequently, at least two partners are a must. With respect to management, thus the appointment of the managers is by the partners.
There may be one or more managers, and also it is not required to have an Egyptian manager.
The minimum share capital required to form an LLC is 1,000 EGP. Divide the capital into equal shares, either in cash or in kind, and the value of each share must be at least 10 EGP.
Due taxes include Taxes paid on company profits for the company. and if the company has shareholders outside of Egypt, the amounts paid by the owners of individual establishments and legal persons residing in Egypt and non-resident entities that have a permanent establishment in Egypt to non-residents in Egypt are subject to tax at a rate of 20%, without deducting any costs from them according to article 56 of Income Tax Law No. 91 of 2005.
If you are interested in establishing a Limited Liability Company and have business in Egypt, we can help you at AlZayat law firm. A full-service law firm that aims to provide our clients with distinctive quality services and innovative legal solutions. We have professional corporate legal consultants, and we have a bright record of incorporations established by us in Egypt and the Middle East.
Our team of experienced corporate lawyers will help you through the two phases of incorporation procedures. Our role at the pre-incorporation phase consists of the incorporation procedures, extracting a Commercial Register and a Tax Card. Then, the phase post corporation in which we will help you to open a bank account in Egypt so you can proceed with all your financial proceedings. Also, in case you wanted to recruit foreign/local labor or a foreign manager, we will help you with the proceedings, the required documents and required licenses.
alzayat international law firm is one of the few major law firms with a sophisticated worldwide Private Clients practice. Our unparalleled global resources allow us to provide one-stop, comprehensive service to meet all of our clients’ needs, wherever in the world their assets or family members may be. They also make us uniquely qualified to handle complex, multijurisdictional disputes, that is why our clients have selected us to handle some of the largest cases in this field, Our specialist are ranked in The Legal 500 , hg.org and Global Law Expert as best experts in this field. For any further inquiries, please don’t hesitate to reach out to us.