Georgia is one of the popular investment destinations for global investors who are looking for great business opportunities. It has several benefits that attract people to invest in various sector and earn a healthy profit. If you are trying to invest for the first time in Georgia, then you must know the basic rules and regulation related to a business set up in Georgia. In this blog, we will share with you some of the key factors that you ought to keep in mind while investing in Georgia.
Steps for establishing a business in Georgia
1) Identify a sector: The first step in the investment process is to identify a sector in which you want to invest. There are great investment opportunities in a number of sectors including power, manufacturing, logistics, agriculture and so on.
2) The kind of ownership: After you have figured out the sector that interests you, the next part is to make up your mind about the kind of ownership you want for your business setup in Georgia. For example, you can have a sole proprietorship, a partnership, LLCs or form a corporation.
3) Legal requirements: All business related registrations will require license and permits from the relevant authorities. Here, we will share with you the license and permits you would require to set up a business in Georgia.
- Tax registration.
- Federal Employer Identification Number (EIN) issued by the IRS.
- Professional and occupational license.
- Regulatory license and permits related to health and safety, building and construction, and
specific industries and services.
4) Location for your business: When you are planning to have a business set up in Georgia, then you must figure out the ideal location. This will allow you to check the zoning regulation operating in that area.
5) Taxes: There are different rates of taxes based on the ownership of a business (sole proprietorship, partnership, LLCs or corporation).
6) Documents for LLCs: If you wish to set up an LLC in Georgia, then you must furnish the following documents to the entrepreneurial registrar. These documents include:
- A document that declares the value and contribution of every member of the company.
- An authorisation form for the legal entity.
- An application with names of the legal entity and identities of all the board members along with their share capital ratio.
Additionally, you must provide a business plan, address, date of operation and details of the business owner.
If you are a foreigner, then you will find the business environment of Georgia very friendly, welcoming, and with negligible bureaucratic interference. Additionally, the tax rate of Georgia is amongst the lowest in the world. Furthermore, if you want to own a business in Georgia, you need not be physically present there. You can sign a power of attorney and your lawyers can open it on your behalf. If you want to get a business permit for more than a year, then you have to show that you are investing more than 3,00,000 GEL.
Conclusion: The location and supportive business environment make Georgia an ideal destination for foreign investment. If you want to invest in Georgia and are looking for an agency that can facilitate the same, then call +995322053758 or visit our website at kaukapital.com.