> Egypt > Company Formation in Egypt

Company Formation in Egypt

Introduction to Company Formation in Egypt

Egypt stands out as one of the most populous nations in Africa and the Middle East, ranking fifteenth globally. The significant population density creates ample opportunities for newly established businesses, generating high demand for products and services. Responsible for overseeing company formation in Egypt, the General Authority for Investment and Free Zones (GAFI) plays a pivotal role. Notably, certain industries in Egypt allow full foreign ownership, including mining, tourism, real estate, maritime transport, software design, and electronic production. This diverse landscape makes Egypt an appealing destination for entrepreneurs seeking to tap into its expansive market.

Overview of the Egyptian Business Environment

The Egyptian business environment thrives on its strategic geographical location, positioned at the crossroads of Africa and the Middle East, establishing it as a significant player in regional trade. With a population ranking among the highest globally, Egypt provides an extensive market for businesses, appealing to both local and foreign investors. GAFI, as the regulatory authority, plays a crucial role in overseeing company formation and facilitating investments. Noteworthy is the fact that various sectors, including mining, tourism, real estate, maritime transport, software design, and electronic production, allow complete foreign ownership, contributing to the country’s dynamic and diverse business landscape.

Benefits of Company Formation in Egypt

  • Strategic Geographical Location: Egypt’s position at the crossroads of Africa and the Middle East serves as a strategic advantage, providing businesses with access to regional markets and trade routes.
  • Large Consumer Base: With one of the highest populations globally, Egypt offers a substantial and diverse consumer market, creating significant demand for a variety of products and services.
  • Investment Support from GAFI: The General Authority for Investment and Free Zones (GAFI) plays a crucial role in overseeing company formation and supporting investments, streamlining processes for businesses entering the Egyptian market.
  • Full Foreign Ownership Opportunities: Certain key sectors, including mining, tourism, real estate, maritime transport, software design, and electronic production, allow complete foreign ownership. This flexibility enhances the attractiveness of Egypt for international investors.
  • Dynamic Business Landscape: Egypt’s business environment is characterized by its dynamism and diversity, offering entrepreneurs opportunities to tap into various sectors and contribute to the country’s economic growth.

Types of Business Legal Entities in Egypt

An international investor considering business ventures in Egypt may explore various business structures such as: 


A legal entity that is owned and operated by a single individual. It provides limited liability protection for the owner.


A flexible form of business organization that combines the limited liability features of a corporation with the simplicity and tax flexibility of a partnership.


A company where the liability of shareholders is limited to the amount of capital they have invested in the company. Shareholders’ liability is restricted to the nominal value of their shares.


A type of business entity in which shares of the company’s stock can be bought and sold by shareholders. It is a form of corporation.


A business structure where two or more individuals manage and operate a business in accordance with the terms and objectives set out in a Partnership Deed.


A partnership in which some partners have limited liability, depending on their contribution, while others have unlimited liability. Limited partners are typically not involved in day-to-day operations.


A business owned and operated by a single person. The owner has complete control over the business, but there is no legal distinction between the individual and the business.


An extension of the parent company that carries out similar business activities. The branch is not a separate legal entity from the parent company.


A type of business office that represents a parent company in a foreign country. It is limited to promotional and marketing activities and does not engage in substantial business operations.

The official entity responsible for registering companies and individual entrepreneurs in Egypt is the General Authority for Investment and Free Zones (GAFI), operating under the Egyptian Ministry of Investment.

Step-by-Step Guide to the Egypt Company Formation Process


Instead of solely focusing on turning your passion into a profitable venture, it’s essential to consider your skill set and potential financial gains. Evaluating the location, competition, and business requirements can lead to the development of a viable product or service.


Carefully select a business name that accurately represents your offerings. Legal structures, such as Sole Proprietorship, Partnership, LLC, C Corp, and S Corp, come with different advantages and considerations. Seeking advice from professionals like business counselors, lawyers, or accountants is advisable.


Business registration processes vary based on the type and location of the business. Small firms may need to register their names with municipal and state authorities, while adherence to registration requirements is crucial for enjoying legal protection, tax advantages, and personal responsibility benefits.


Determine the financial requirements for your business, considering expenses like rent, licenses, permissions, and payroll. As your business grows, hiring employees and establishing a digital presence becomes essential for sustained success.


Create separate bank accounts for business transactions, including checking, savings, and merchant services. Obtain tax identification numbers for the business bank account and use accounting software for financial management, including inventory tracking, invoicing, and tax obligations.


Protect your business from unforeseen losses with insurance coverage. While LLCs and corporations offer some liability protection, additional business insurance is advisable. Certain types of insurance may be legally required, such as workers’ compensation, unemployment insurance, and disability insurance in the United States.

Company Registration Process in Egypt

The company registration process in Egypt involves several key steps:


  • Obtain name permission from the commercial register before commencing business operations.
  • Ensure the proposed business name is unique and not currently in use by another entity.


  • Submit the required documents and a registration proposal to GAFI’s Companies Establishment Department.
  • The authority reviews the submitted paperwork and the application.


Upon approval of the application and supporting documents, the authority issues the certificate of incorporation, confirming the company’s establishment.


Open a business account in the company’s name, enabling the execution of all financial transactions through this dedicated account.


Post-incorporation, register with GAFI’s Tax Office to fulfill tax obligations.


Depending on the nature of the business activity, secure any required licenses or permits for legal operation.

After completing the company registration process, additional steps include:

  • Register as an Employer:

Register the company as an employer, allowing for the hiring of personnel.

  • Launch Company Operations:

Initiate business operations and, if necessary, recruit additional staff to support company activities.

The successful completion of these steps ensures the proper establishment, legal compliance, and operational readiness of the registered company in Egypt

Emerging Sectors in the Egyptian Economy

  • Information Technology (IT) and Software Development: Egypt has witnessed significant growth in its IT and software development sector, emerging as a hub for outsourcing and services. The presence of a tech-savvy workforce and government initiatives to foster innovation contribute to the sector’s expansion.
  • Renewable Energy: Egypt is actively diversifying its energy sources, with a focus on renewable energy such as solar and wind power. Investments in large-scale projects, including solar parks and wind farms, align with the government’s commitment to sustainable development.
  • Tourism and Hospitality: The tourism sector in Egypt is experiencing a resurgence, driven by the country’s rich historical and cultural attractions. Efforts to improve infrastructure and implement tourism-friendly policies have led to increased investments in hotels, resorts, and related services.

Legal Requirements and Documentation for Company Registration in Egypt

The required documents for registering Joint stock and limited by shares companies in Egypt include:

  1. Certificate certifying name approval by the commercial registry.
  2. Bank certificate confirming the deposit of a minimum of 10% of the issued capital.
  3. Copy of Power of Attorney (POA) from all founders.
  4. Copy of valid ID proof of founders.
  5. Name and address proof of the company’s legal consultant.

For registering a Limited Liability Company (LLC) in Egypt, the necessary papers include:

  1. Notarized Power of Attorney (POA) from all partners.
  2. Copies of valid ID or passports of founders.
  3. Original certificate from the Register of Accountants and Auditors.
  4. A certificate certifying name approval by the commercial registry.
  5. Name and address proof of the company’s legal consultant.

We offer you citizenship by investment programs, company formation services, and an array of options that allow you to secure citizenship and obtain additional passports without residency obligations.

8af67c78-65fd-417d-9927-f911d85ddbae-qd0gk25tb5iwxp4wcfwg6t8l8xhrarhoepuvttxv8w (1)

Get Free Consultation

    Program Summary

    Learn more about the country and it's citizenship by investment.

      Migrate World Office Near You

      Suite 1503 & 1507, Latifa Tower, Sheikh Zayed Road PO BOX 35796, Dubai

      +971 4 355 5288

      +971 54 468 6666


      Google Maps


      According to the laws in Egypt, one of the crucial prerequisites for starting a business is meeting the minimum age criterion, which is set at 21 years old.

      The cost of establishing a company in Egypt varies based on the type of company being registered and the nature of the business activity you intend to pursue.

      Foreigners can indeed own businesses in Egypt, with the country actively supporting foreign investment. Egyptian law allows foreign investors full ownership of their companies, providing them with the same rights as local investors. Various incentives, such as tax exemptions and industry-specific relaxed regulations, are available. However, potential restrictions and requirements, like obtaining a residency permit and registering with local authorities, should be considered.


      Tailored Investment

      Startup Business


      10-Year Residency In The Sultanate Of Oman: Business Investment Incentives

      We are excited to announce our collaboration with
      Ministry of Commerce, Industry & Investment Promotion, Sultanate of Oman

      Request a Callback

      We would like to ensure you that all data provided through the form will remain strictly confidential.