Which legal structure can I choose? 

There are four legal forms of companies in Egypt: Sole Proprietorship, Simple Partnership, Joint Stock Companies and Limited Partnerships. The Law of Commerce No. 17 of 1999 and the Companies Law No. 159 of 1981 govern all companies. The Law of Commerce deals mainly with Sole Proprietor and Simple Partnerships, whereas the Companies Law regulates Joint Stock Companies, Limited Partnerships. Additionally, Non-governmental organizations were added as legal entities in 2002.

Sole Proprietorship

• The applicant must be at least 21 years old
• The applicant must have Egyptian nationality unless carrying out the activity under the Investment Law (at present law no. 8 of 1997), or is engaging in exporting activity.
• The applicant should use his or her own name as a trade name. This trade name should appear on his or her business firm or shop and its branches (if any), as well as all his or her business correspondence.
• The applicant should provide the Commercial Registration Office with other relevant data such as the nature of his or her trade or business, the trade capital (no minimum capital is required), the addresses of the main firm, shop or branches (if any) and details of trademarks or copyrights (if any)

Simple Partnership

• A business firm formed between two or more partners
• Can be General or Limited Partnership
• In a General Partnership all partners are considered traders and are jointly responsible to meet all liabilities
• In a General Partnership the trade name is derived from name(s) of one or more partners
• General and Limited Partnerships are subject to the same taxation
• No minimum capital is required for General and Limited Partnerships
• All partners are required to enroll in the state social insurance system as self-employed

Joint Stock Companies

• The Capital is divided into shares
• The liability of each shareholder is limited to the value of the share
• Shares can be traded in stock exchange
• There is a minimum requirement of 3 founders and 3 shareholders
• The minimum issue of shared capital in a closed/private joint stock company is LE 250.000; for company that offers shares to the general public, the minimum issue shared capital is LE 1.000.000
• The accounts of any joint stock company need to be audited

Limited partnership by share

• At least one of the founders has unlimited liability in meeting the company’s financial liabilities.
• The minimum number of partners is 2 and maximum is 50.
• The company must have a Supervisory Board made up of at least three members
• The company is only managed by the founders who hold unlimited liability
• The minimum issue of shared capital in a Limited Partnership by share is LE 250.000

Non-Governmental Organizations

• NGOs must obtain governmental permission to receive funds from abroad

How do I set up a company in Egypt?

Below is a quick summary of the steps required to start and setup a business in Egypt, provided by Doing Business of World Bank:

1. Obtain a certificate of non-confusion from the Commercial registry to reserve the company name
2. Obtain a bank certificate from a certified bank
3. Submit documents to the department of companies and obtain an invoice
4. Notarize company’s contract
5. Obtain the certificate of incorporation
6. Register for taxes
7. Open a file and register employees with the National Authority of Social Insurance

Useful Links

• General Authority for Investment (GAFI)
• Typical Forms Of Business Structures In Egypt (American Chamber of Commerce in Egypt)
• How to Register a Company in Egypt: The Complete Process (Wamda)