Actually fees vary business to business, yet, we are trying to give a picture of limited company registration fees in Qatar. The peninsular Arabian nation of 4,468 mi² area is rich in Petroleum and Gas. With Gross Domestic Product [GDP] per capita of USD 59,330.86, it is one of the six members GCC [Gulf Cooperation Council] country with 2.57 million inhabitants. Investors from around the world consider Qatar as hot spot owing to its friendly and rich business infrastructure.
Qatar well placed itself in the 2nd position of the third Global Infrastructure Investment Index 2016 following Singapore out of 41 world’s nations. It ranked 83rd out of 119 countries of the world in World Bank’s Ease of Doing Business Report 2017. This report show difficulty and ease way of business in Qatar as non-residents. The currency is Qatari Riyal. One US Dollar equals to 3.67 Qatari Riyal. The bustling metropolis Doha is the capital on the Doha bay.
The Law and the legal forms of Companies
There are 7 [seven] forms of companies available in Qatar and is governed and regulated by the Commercial Companies Law [CCL, 11/2015] of the land. The Foreign Investment Law [FIL] is also applicable side by side with the Commercial Companies Law in case of shares in a company hold by foreign nationals.
The most visible and purposive business vehicle is the Limited Liability Company [LLC]
The Limited Liability Company [LLC]
A limited liability foreign company registration conditions to have minimum 2 and maximum 50 shareholders. The amendment of the Commercial Companies Law, CCL in 2015 prescribes no minimum share capital requirement to form an LLC in Qatar. The registered companies are subject to set aside 10% of their profits each year in a statutory reserve till it equal to 50 percent of the authorized capital of the venture. A registered limited liability foreign Company is required to pay a corporate income tax to the tune of 10% along with the annual tax return [ITR].
The Limited Liability Company [LLC] Registration Processes and Fees
There are as many as 8 [Eight] processes with or without any fees or charges to register a Limited Liability Company [LLC] in Qatar. The Ministry of Economy and Commerce is the authority to register companies.
Reservation of the Limited Liability Company [LLC] name
The entrepreneurs of Joint Ventures are required to apply to the Commercial Registry and Trademark Department under the Ministry of Economy and Commerce, Qatar to check the availability of a name and to have the same reserved.
This process requiring company registration fees in Qatar are QAR 1,000 for an Arabic name and QAR 1,500 for a non-Arabic name.
Opening of the bank account
The investors would, at this stage, open a bank account and deposit he paid up capital as determined by the share holders.
No fees or charges require opening the account.
Getting the approval of the Articles of Association AoA
At this stage, the investors are required to get an approval of the AoA of their company from the Authentication Department at the Ministry of Justice as well as from the Commercial Companies Control Department of the Ministry of Economy and Commerce.
The processing would cost QAR 1500, part of company registration fees in Qatar
Authentication and Signing of the Articles of Association AoA.
All the authorized signatories to the AoA of the proposed Joint Venture then would proceed to the notary public of the Ministry of Justice to authenticate and sign the AoA.
This process would require QAR 24 for first 2 shareholders, rests all QAR 9 per each share holder.
Registering with the Commercial Registry and the Chamber of Commerce and Industry
The Joint Venture company’s shareholders now perform the registration of the company with the Commercial Registry and the Chamber of Commerce and Industry at the one-stop-shop of the Ministry of Economy and Commerce. Well, no certificate certifying the registration will be issued by the Chamber of Commerce, although the same will be maintained in the records of the authority.
The completion of the process would require QAR2,200 for the registration with the Chamber of Commerce and QAR 500-5,000 for the registration with the Commercial Registry.
Getting the Trade and Signage licenses from the Municipality of Doha
The one-stop-shop of the Ministry of Economy and Commerce would now require to be approached for the Trade and Signage license from the Municipality of Doha or else as required depending upon the location of the proposed company. Upon submission of the application along with documents required and payment of the fees for the same, it will be issued in 1 working day.
The issuance of the Trade License requires QAR 10,020 and for Signage QAR 50-150 per square meter being the fees.
Registering for the TIN with the Public Revenues and Tax department
With the following documents, the Public Revenues and Tax department under the Ministry of Finance has to be approached for the Tax Identification Number or TIN.
The registration with the tax authority requires n no fee or charge.
Making of the company seal
Finally, the making of the company seal to put an end to the registration processes. In doing so the seals maker would ask for following documents. Usually, it would take 2 working days to deliver a seal.
The making of a Company seal would cost QAR 150 that is another company registration fees in Qatar.
Qatar free zone company formation cost
When comparing with other business locations, free trade zone or FTZ in Qatar has several upper hand advantages. One of the biggest advantages that an investor often gets attracted to is the convenient business formation cost in FTZ.
When there is more than thirty free zones in this nation, the cost distribution for company incorporation often varies from one zone to another. The expenses firmly depend on several attributes’ compulsory in business formation. These attributes include company registration fees, office rental costs, warehouse lease, and recommended license fees.
The advantage, however, lies in the taxation segment of the company lifeline. The business tax is either fully or majorly exempted once you have started a business in Dubai free zone. In the case of another conventional business area in Dubai you must pay the taxes at regular intervals when running your business.
Below we have listed out typical costs that you have to pay at approximate for the Qatar free zone company registration process:
- Company registration and license fees – Approximately AED37,000 which need to be paid only once.
- Free zone company formation fees- Approximately AED50000 Per year
- Company name reservation and registration- Approximately AED1500 paid only once during company registration
- Office rental cost – Approximately AED1700 to AED2000 ranging from 1 to 3 years of agreements + 12.5% service charge/year.
- Fees for Qatar corporate bank account opening- Approximately AED18000
- Warehouse lease rent – Approximately AED1000 per square meter + 10% service charge/year.
- License fees – Approximately AED15,000 for almost all types of license needed for a company.
Can a foreign investor own a business in Qatar?
Yes, a foreign investor can own a business in Qatar.
Is there any business tax involved in Qatar free zone company registration?
No, if you have a company in Qatar free zone, you are exempted from various business taxation.
What is the cost of LLC registration in Qatar?
Approximately $30,914 is required for tax resident LLC registration.
What is the use of CR copy?
CR means Company Registration. This copy of the document is necessary for visa processing and governmental usage during the company registration process.