Valuable information on the best forms of companies and the new investment law in Egypt
Egypt has the best investment opportunities in the world, especially after releasing the new investment law which has a lot of incentives and guarantees for the foreign investors.
Therefor we’ll explain the best forms of companies, and all the incentives and guarantees in the new investment law in Egypt .
Information on the best forms of companies to invest in Egypt or to study the Egyptian market:
First: The Egyptian Joint Stock Company:
It is a company consisting of at least three founders, whether natural persons or legal entities. All founders may be Egyptian nationals or foreign nationals with a capital of not less than LE 250,000; 10% of it is deposited at the time of the establishment of the company in one of the Egyptian banks and 15% is deposited within three months of the establishment of the company and the remaining 75% is paid in installments within 5 years.
The company is managed by a board of directors consisting of at least three persons, whether shareholders or not, who may be Egyptian nationals or foreign nationals.
Second: Limited Liability Company:
It is a company consisting of at least two partners, they may be natural persons or legal entities, they may be Egyptian nationals or foreign nationals. It does not have a specific capital, and the capital is not required to be deposited in a bank.
This company is managed by one or more managers and the manager or managers may be Egyptians or foreigners.
Third: One-Person Company:
It is a company consisting of one person, whether natural person or legal entity. This person may be an Egyptian national or a foreign national, and the capital of the company shall not be less than fifty thousand Egyptian pounds, provided that they are deposited in an Egyptian bank upon the establishment of the company.
This company is managed by one or more managers, whether if it’s founder or not, whether Egyptian or foreigner.
Fourth: A branch of a foreign company in Egypt:
The establishment of a branch of a foreign company in Egypt requires this foreign company to sign a business contract or a business agreement with an Egyptian private or governmental company. The work of this branch shall be terminated by the end of this contract or this agreement. This branch may continue if the foreign company enters into another contract or another agreement before the end of the initial contract or agreement.
Fifth: Commercial Representation Office:
Any foreign company may establish a commercial representation office provided that its business is confined to studying the Egyptian market, and the Commercial Representation Office may not conduct any business or commercial activities.
For more information
In order for the foreign investor to benefit from the golden advantages in the investment law in Egypt, he must establish a joint stock company or a limited liability company or one person company. The activity of this company must be one of the many activities that are subject to the investment law in Egypt.
To learn about the activities, guarantees and incentives in the investment law please click on the links below:Activities and Fields Subject to the Provisions of the Investment Law Guarantees in Investment Law