Kyrgyzstan company registration


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For over a decade, Healy Consultants Group PLC efficiently and effectively assists our Clients set up Kyrgyzstan businesses. To have more understanding about business registration in Kyrgyzstan, please see the details below:

Compare different Kyrgyzstan entities LLC Fast business setup solution Free zone LLC PLC Representative office Branch office
Also known as ЖЧК текче компания СЭЗ КЧК өкүлчүлүк бөлүмү
Best use of company? All products/ svcs Close client deal now Manuf/ export trading To get pub. funding Marketing/ research Specific projects
How soon to invoice Clients? 2 months 2 weeks 2 months 3 months 2 months 2 months
How soon can you hire staff? 2 months 2 weeks 2 months 3 months 2 months 2 months
How soon can you sign a lease agreement? 1 month 2 weeks 1 month 1 month 1 month 1 month
How long to supply corporate bank a/c? 3 months 1 month 3 months 4 months 3 months 3 months
How long to supply co. reg / tax numbers? 2 months 2 weeks 2 months 3 months 2 months 2 months
Corporate tax rate on annual net profits? 10% 10% 0% 10% 0% 10%
Limited liability entity? Yes Yes Yes Yes No No
Government grants available? Yes Yes Yes Yes No Yes
Govt. approval required for foreign owners? No No No No No No
Res. director/partner/ legal rep. required? No No No No Yes Yes
Min. paid up share capital? US$1 US$1 US$1 US$1,500 None None
Can bid for Government contracts? Yes Yes Yes Yes No Yes
Corporate bank account location? Bank of Asia KKB BTA Bank AMAN Bank CBK Bank of Asia
Can secure trade finance? Yes Yes Yes Yes No Yes
VAT payable on sales to local customers? 12% 12% 12% 12% None 12%
Average total business set up costs? US$14,410 US$27,225 US$28,225 US$12,310 US$16,100 US$16,100
Average total engagement period? 3 months 4 months 4 months 4 months 3 months 3 months

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Accounting and tax considerations LLC Fast business setup solution Free zone LLC PLC Representative office Branch office
Statutory corporate tax payable? 10% 10% 10% 10% 0% 10%
Legally tax exempt if properly structured? No No Yes No Yes No
Group HQ tax incentives? No No No No No No
Must file an annual tax return? Yes Yes Yes Yes Yes Yes
Must file annual financial statements? Yes Yes Yes Yes Yes Yes
Must appoint an auditor? No No No Yes No No
Access to double taxation treaties? Yes Yes Yes Yes No Yes
WH tax on payments to foreign s/holders? 10% 10% 10% 10% None None
Company Registration LLC Fast business setup solution Free zone LLC PLC Representative office Branch office
Res. director/partner/ legal rep. required? No No No No Yes Yes
Min. number of shareholders/partners? 1 1 1 1 Parent company Parent company
Maximum shareholding for foreigners? 100% 100% 100% 100% 100% 100%
Min. statutory paid up share capital? US$1 US$1 US$1 US$1,500 None None
Security deposit kept with government? No No No No No No
Shelf companies available? Yes Yes Yes Yes No No
Time to incorporate a new entity? 2 months 2 weeks 2 months 3 months 2 months 2 months
Can easily convert to a PLC? Yes Yes Yes Yes No No
Public register of shareholders and directors? Yes Yes Yes Yes Yes Yes
Can have preference shareholders? Yes Yes Yes Yes No No
Business Considerations LLC Fast business setup solution Free zone LLC PLC Representative office Branch office
Good entity for trademark registration? Yes Yes Yes Yes No No
Can secure an import and export license? Yes Yes Yes Yes No Yes
Sponsorship by a local citizen required? No
Our Client needs to travel to Kyrgyzstan? No
Temporary physical office solutions available? Yes
You need a local resident as bank signatory? No
Can be wholly foreign owned? Yes
The entity will likely be regulated by? MOJ
Minimum number of directors/managers? 1
Monthly VAT reporting to the Government? Yes
Sign office lease during incorporation? No
S/holder/director docs attested/translated? Yes
Foreign director needs personal tax no.? No
Foreign director needs a residence visa? No
Maximum number of staff allowed? No maximum number for any entity
Expatriate to local staff ratio? None
Can secure residence visa for business owner? Yes
Other useful information
This country has signed free trade agreements? Yes
This country is a member of WIPO/TRIPS? Yes
This country is a member of the ICSID? Yes
Average custom duties suffered? 2.3%
Govt. foreign investment approval required? No
Average monthly office rent? (US$/sq m) 20
Minimum statutory monthly salary? US$16
Average US$ salary for local skilled staff? US$300
US$ deposit interest rate? (1 year average) 1%
Overseas remittance currency controls? None
Banking considerations
Multi-currency bank accounts available? Yes
Corporate visa debit cards available? Yes
Quality of e-banking platform? Fair
Crowd funding available in this country? Yes

Kyrgyzstan business setup summary

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  • Advantages and disadvantages

    Advantages of Kyrgyzstan company registration

    Register company in Kyrgyzstan

    1. Kyrgyzstan has seen high growth rates in the majority of the past 10 years. Though the economy has been relatively sporadic, the mining, manufacturing, and energy industries have seen strong growth over the decade;
    2. Kyrgyzstan has a corporate tax rate of just 10%. Leasing companies pay a reduced rate of 5% while all companies engaged in gold mining or refinement pay no corporate tax;
    3. Compared to countries of the western world, it is worth doing business in Kyrgyzstan as it is very cheap, including food, transport, utilities, rent, wages etc. Specifically, utility costs and rent are significantly cheaper than in western cities;
    4. While Kyrgyzstan is landlocked, it is very close to two major markets – China and Russia. Kyrgyzstan has established strong trade relationships with both of these countries, in addition to several former soviet states, thus, it is easier in setting up a business in Kyrgyzstan;
    5. The government of Kyrgyzstan has declared attracting foreign direct investment a priority, with the Foreign Investment Law of 2003 providing quick and simplified procedures for FDI. For Kyrgyzstan investment, the government has put particular focus on allowing for financial freedom, protecting intellectual property rights and guaranteeing national treatment;
    6. Kyrgyzstan has a liberal legal framework that aims at protecting the foreign investors from expropriation and nationalization in the country. In addition, the country provides several investment incentives to foreign entrepreneurs such as i) providing them with the proper infrastructure; ii) offering loan subsidies, guarantees or cash grants to kick-start their business; and iii) providing subsidized training programs to source qualified and skilled professionals for their companies.

    Disadvantages of Kyrgyzstan company registration

    1. Kyrgyzstan suffers from high corruption which can act as a barrier to completing many standard business practices and Kyrgyzstan company formation. Kyrgyzstan is ranked 132nd in the 2018 Corruption Perceptions Index by Transparency International. Entrepreneurs should expect under-the-table bribes in order to expedite business operations or during Kyrgyzstan company incorporation;
    2. Despite laws designed to protect foreign investment, any investment in Kyrgyzstan is risk-laden due to poor infrastructure and weak rule of law. Many foreign businesses have suffered destruction and other business expenses at the hands of local villagers when starting a company in Kyrgyzstan;
    3. English is spoken by only a small minority of Kyrgyzstani, with Kyrgyz and Russian being the official and most commonly spoken languages. Most official documents must be translated in to either Kyrgyz or Russian;
    4. Though property rights protections are emerging, the current judicial system is underdeveloped with little capacity to enforce. Licensing and registration are often a source of dispute during Kyrgyzstan business setup;
    5. Kyrgyzstan lacks investment and financial freedom, being ranked 79th in the 2019 Index of Economic Freedom by Heritage Foundation. Kyrgyzstan’s failing are due to a failure to consistently apply laws introduced to allow for increased financial freedom;
    6. Kyrgyzstan’s economic success has been strongly tied to the price of gold. Economic growth has been inconsistent, with negative GDP growth over consecutive quarters twice in the past 5 years.
    7. Kyrgyzstan free zone company is not available;
    8. There are certain bureaucratic bottlenecks related to obtaining licenses and permits by foreign investors from the local regime. The Kyrgyz government often tends to i) renegotiate previously concluded contracts; ii) carry out long and time-consuming audit checks; and iii) charges large retroactive fines, which hinders the businesses of foreign investors.
  • Best uses for a Kyrgyzstan company

    1. Kyrgyzstan has a wealth of natural resources. One of the world’s largest gold deposits and healthy reserves of coal allow the mining industry to make up 20% of the economy. Though all of the gold mines in Kyrgyzstan are state-owned, most operate through joint ventures with foreign companies.

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For additional information on our company registration services in Kyrgyzstan, please contact our in-house country expert, Mr. Petar Chakarov, directly:
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  • Mr. Petar Chakarov
  • Client Engagements Manager
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