Business entities in Kyrgyzstan in 2022
The most commonly registered business entities in Kyrgyzstan are the limited liability company (LLC) and the joint stock company. Additionally, our corporate Clients may choose to register a either branch office or a representative office in the country. Healy Consultants will assist our Clients with choosing the optimum corporate structure based on their business needs.
The Kyrgyzstan Limited Liability Company
- The Kyrgyzstan LLC can be setup with 1 director and 1 shareholder, who can be of any nationality. However, corporate entities are not allowed to be sole shareholders of an LLC. There is no minimum share capital requirement for setting up this entity;
- An LLC must not have more than 30 shareholders; otherwise, it must be re-organized into a Joint Stock company within 1 year or face liquidation.
The Kyrgyzstan Joint Stock Company
- Like an LLC, a Joint Stock company may be 100% owned. Furthermore, a corporate entity may not be the sole shareholder in this entity. A minimum share capital amount of US$1,465 will be deposited at incorporation, which must be entirely paid-in;
- A Joint Stock company may be closed or open. A closed JSC will have between 3 and 50 shareholders and will not offer shares to the public. However, an open JSC is allowed to issue shares to the Kyrgyzstan public.
- This Kyrgystan business setup can be used by foreign companies for operating in the country. To setup this entity, the foreign company must be registered with the Ministry of Justice. A branch office of an international bank must additionally be registered with the Central Bank;
- A branch office can only pursue business activities within the scope defined by the parent company. However, it is allowed to invoice local customers, sign local sales contracts and receive income from customers.
This Kyrgyzstan business setup is not permitted to make direct sales in the country. Such an office must however only engage in activities which will not amount to carrying on business, for example market research. Like a branch office, a representative office will also be registered with the Ministry of Justice.
Table of common Kyrgyzstan entity types
|LLC||Joint Stock Company||Branch Office||Rep Office|
|How long to set the company up?||4 weeks||8 weeks||6 weeks||6 weeks|
|How long to open the bank account?||4 weeks||4 weeks||4 weeks||4 weeks|
|Does the Client need to travel?||No||No||No||No|
|Can legally trade in Kyrgyzstan and issue invoices||Yes||Yes||Yes||No|
|Can open a bank account in Kyrgyzstan||Yes||Yes||Yes||Yes|
|Enjoys limited liability in Kyrgyzstan||Yes||Yes||No||No|
|Minimum number of shareholders required||1||3||NA||NA|
|Minimum number of directors required||1||1||NA||NA|
|Kyrgyzstan resident director required||No||No||No||No|
|Kyrgyzstan company secretary required||No||No||No||No|
|Audited financial statements required||No||Yes||No||No|
|Submit annual tax return||Yes||Yes||Yes||Yes|
|Corporate directors allowed||No||No||No||No|
|Kyrgyzstan tax payable||10%||10%||10%||0%|
|Office premises mandatory||No||No||No||No|
|Allowed to hire staff||Yes||Yes||Yes||Yes|
|Average Engagement costs||US$14,410||US$14,410||US$16,100||US$16,100|
|Draft Invoice||View invoice PDF||View invoice PDF||View invoice PDF||View invoice PDF|