Business entities in Chad in 2022

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Healy Consultants will assist our Clients with incorporating the optimum corporate structure in Chad. As outlined in the table below, the most common business entity used by foreign investors in Chad is the Chad limited liability company. Our Clients may however also setup a public limited company, a branch or a representative office.

The Chad limited liability company (SARL)

  • A Chad LLC must appoint 1 director and 1 shareholder of any nationality for the incorporation process to be complete. The minimum paid-up share capital required is US$ 2,000 for Chad business setup. Corporate directors are not allowed;
  • An annual audit is required if the company share capital is above US$20,000.

The Chad public limited company (SA)

  • The Chad public liability company requires one shareholder and one director of any nationality to incorporate. Minimum paid-up share capital required is US$20,000;
  • After Chad company setup, this type of business entity must submit an annual audit, for which 2 auditors must be appointed.

The Chad branch (succursale)

The Chad branch may be 100% foreign owned and is allowed to engage in business activities related to the parent company within Chad. Only one shareholder and one director, who must be resident in Chad, are required for registration of a branch in Chad. However, the corporate tax rate for the branch is very high at 40% making this the least efficient tax option for business setup in Chad.

The Chad representative office (bureau de liaison)

The Chad representative office is established solely for market research and promoting business of the parent company and is not allowed to pursue production-related or commercial activities.

Table of comparison between Chad business entities

  LLC PLC Branch Rep Office
Also known as: SARL SA Succursale Bureau de liaison
How long to set the company up? 15 weeks 17 weeks 19 weeks 19 weeks
How long to open company bank account? 2 weeks 3 weeks 4 weeks 4 weeks
Legal liability? Limited Limited Unlimited Unlimited
Wholly foreign owned? Yes Yes Yes Yes
Minimum paid - up share capital? US$1,650 US$16,500 US$0 US$0
File annual tax return? Yes Yes Yes No
Tax registration certificate required? Yes Yes Yes Yes
Recommended corporate bank account? Ecobank Commercial Bank Tchad Societe Generale Tchad Orabank
Does our Client need to travel? No No No No
Resident shareholder required? No No No No
Minimum directors allowed? 1 1 1 1
Minimum shareholders? 1 1 1 1
Tax identification code needed? Yes Yes Yes Yes
Chad resident company secretary required? No No No No
Corporate shareholders allowed? Yes Yes Yes Yes
Corporate director(s) allowed? No No No No
Statutory audit required? No Yes No No
Chad corporate tax rate? 40% 40% 40% 0%
Annual financial statements required? Yes Yes Yes Yes
Regulated by? National Agency of Investments and Exports in Chad National Agency of Investments and Exports in Chad National Agency of Investments and Exports in Chad National Agency of Investments and Exports in Chad
Allowed to issue sales invoices? Yes Yes Yes No
Allowed to sign contracts? Yes Yes Yes No
Allowed to import and export goods? Yes Yes Yes No
Can rent an office space in Chad? Yes Yes Yes Yes
Can buy Chad property? Yes Yes Yes No
Can own equity in other Chad companies? Yes Yes Yes No
Total Chad business setup costs in yr. 1? US$27,100 US$29,100 US$28,100 US$28,850
Subsequent annual costs (incl. accounting and tax fee)? US$14,490 US$16,490 US$15,490 US$17,390
Sample engagement invoice? View invoice PDF View invoice PDF View invoice PDF View invoice PDF

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Contact us

For additional information on our company setup services in Chad, please contact our in-house country expert, Mr. Simon Guidecoq, directly:
client relationship officer - Simon