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Establishing a company in Egypt for foreign investors is one of the most searched topics, given the investment opportunities Egypt offers across the industrial, real estate, technology, energy, and services sectors.
Although the procedures are relatively straightforward, the success of the incorporation process depends on choosing the correct legal structure and managing the procedures professionally.
In this guide, we explain the steps for establishing a company in Egypt as a foreigner, the requirements, available types of entities, and why you need a specialized lawyer to complete the process smoothly.
Why Invest in Egypt?
Egypt offers:
- A large domestic market exceeding 100 million consumers
- A strategic location connecting Africa, Asia, and Europe
- Regional and international free trade agreements
- Various free zones and investment zones
Can Foreigners Establish a Company in Egypt?
Yes, a foreign investor has the right to:
- Establish a company fully owned (100%) in most business activities
- Enter into partnership with Egyptian investors
- Open a branch of a foreign company
- Establish a representative office
Except for certain limited activities that require special conditions.
Types of Companies Available to Foreigners in Egypt
Limited Liability Company (LLC)
The most common structure among foreign investors, characterized by:
- Limited liability for partners
- Flexible management structure
- Relatively fast incorporation procedures
Egyptian Joint Stock Company (JSC)
Suitable for large-scale projects and requires:
- A specific minimum number of founders
- Higher share capital
- A board of directors
Branch of a Foreign Company
If you have an existing company outside Egypt and wish to execute a specific project within Egypt.
Representative Office
For marketing purposes and market research without engaging in direct commercial activities.
Steps to Establish a Company in Egypt for Foreigners
✔ Determine the Legal Structure
Choose the most suitable structure based on the nature of the business and expansion plans.
✔ Reserve the Company Name
Through the electronic system of the General Authority for Investment.
✔ Prepare the Articles of Incorporation
Draft a contract compliant with the Investment Law and Companies Law.
✔ Open a Bank Account and Deposit Capital
According to the type of company.
✔ Obtain the Commercial Registration and Tax Card
An essential step to commence operations.
✔ Register for Taxes and Social Insurance
Depending on the business activity and number of employees.
Residency for Foreign Investors in Egypt
After establishing the company, the investor may apply for an investment residency permit based on:
- Their ownership percentage in the company
- The paid-in capital
- The nature of the business activity
Why Do You Need a Lawyer Specialized in Company Formation in Egypt?
Although the procedures may appear clear, common mistakes can lead to:
- Choosing an unsuitable legal structure
- Future tax issues
- Restrictions on profit repatriation
- Complications when introducing new partners
A specialized lawyer helps you to:
✔ Choose the most appropriate legal structure
✔ Draft articles of incorporation that protect your interests
✔ Minimize tax risks
✔ Ensure freedom of profit repatriation
✔ Complete government procedures efficiently
✔ Obtain investment residency
Key Sectors Attracting Investment in Egypt
- Real estate development
- Industry and manufacturing
- Trade, import and export
- Renewable energy
- Information technology
- Logistics services
Conclusion
Establishing a company in Egypt for foreign investors is a promising opportunity. However, the success of your project begins with selecting a sound legal structure and professionally managing the incorporation process.
Hiring a lawyer specialized in investment law saves you time, reduces risks, and ensures a strong legal start for your business in the Egyptian market.
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