How do you establish a sole corporation with 1000 EGP?
With the state’s efforts to facilitate and support the business sector, investors and youth, the state issued a new amendment to the executive regulations for joint stock companies, sole corporations and limited liability companies at the end of last week.
The regulations for a sole corporation in Egyptian law stipulated that the minimum amount should not be less than 50 thousand pounds.
The amendment included reducing the minimum capital of a sole corporation to only one thousand pounds.
This amendment is a great initiative that encourages investment opportunities and motivates more young people and entrepreneurs to open sole corporations.
Perhaps you have already started searching for a way to establish a sole corporation to create your first steps to practising trade and investment, so we have prepared this article to make it easier for you. It is a comprehensive guide to establishing a sole corporation.
The Sole corporation in Egyptian Law
Since 2018, the Egyptian government has recently added a new form of money company; a limited liability company called a sole corporation.
A sole corporation is a company established by one person whose name is derived from his name.
The founder can be a person or a legal entity such as companies, and the founder cannot establish another sole corporation. Still, he can participate in companies of another type.
The founder may be an Egyptian or a foreigner, as long as the type of activity is general and not intended for Egyptians.
The capital of a sole corporation was a minimum of 50 thousand, but it has been modified these days to only one thousand pounds.
- Determine the activity of the company that you decided to establish.
- Choose a distinctive trade name that has not been used before, in addition to the company’s logo.
- Determine the company’s available capital for investment.
- Submit the registration application with all the required papers and certificates related to the activity.
- Fill out your company incorporation form, in which the following are specified:
- Company Address.
- Company name and logo.
- The company’s capital.
- Type of activity.
- Members of the company’s board of directors or managers.
- The name and details of the private legal advisor.
- Pay the sole corporation fee.
- Complete the procedures, review the papers, and approve the activity.
Documents required to issue a contract of incorporation for a sole corporation
To establish a sole corporation you need:
- A certificate proving that the trade name is not similar to another.
- A certificate of deposit for the company’s capital specified in the form.
- If there is an agent, a copy of the official power of attorney for incorporation.
- A copy of the valid identity card or the passport.
- A security inquiry form and the approval of the security authorities in case the founder is a foreigner.
- Auditor’s document.
The fee for a sole corporation includes:
- Contract documentation fees.
- Certification fees from the lawyers’ syndicate.
- Commercial registration fee.
- Business practice fee.
- Trade union fees.
- Incorporation fees.
- Special fees for issuing true copies of the articles of incorporation.
- Fee for issuing a certificate of non-consistency in the trade name.
A strong start will ensure a strong continuation. The correct beginning of your company while ensuring its rapid growth will only be achieved in cooperation with a distinguished accounting company with significant experience in this field, such as the “Egyptian Certified Public Accountants” company, the largest accounting office in Egypt and the Middle East.
Why do clients prefer dealing with ECPA in establishing a sole corporation?
Because establishing companies is not a simple matter, we have provided many services that will help you bypass the incorporation stage and achieve the financial success you seek.
This is what we have already achieved in establishing hundreds of successful companies; We help you in:
- Establishing various types of commercial and industrial companies.
- Choosing the legal entity compatible with the type of your company’s activity.
- Determining the appropriate capital value for practising the activity.
- Representing your company in front of government and official agencies such as the Egyptian Tax Authority and the Investment Authority.
- Opening a bank account for the company.
- Administrative support from a specialized work team.
- Preparing feasibility studies for various activities and sectors.
- Establishing the company legally while avoiding falling under the law.
- Preparing the documentary, accounting and financial cycle compatible with your company.
- Work following Egyptian and international accounting and tax laws.
- Finishing all the procedures necessary to establish the company and obtaining all the legal certificates and licenses to start practising the activity.
- Opening a tax and insurance file for the company and preparing the commercial registry.
- Electronic registration of the company within the sales tax system.
- Preparing records of exporters, importers and cards for contractors.
- Enabling non-Egyptian founders to obtain work and residence permits.
- Make periodic reviews of the company’s accounts.
- Rapid detection of any defect within the accounts through advanced accounting programs.
- Make many monthly and periodic reports on all types of company revenues and expenses.
- Preparing the budget and the company’s final accounts.
- Analyze workflow and make reports to discover and analyse strengths and weaknesses.
- Seven days a week, technical support around the clock to receive your inquiries and provide all legal and accounting advice.
We have always strived for excellence in our services and accomplish all tasks with the highest efficiency, quality and speed.
We have the strongest accounting team in the Egyptian and Arab world, with enough knowledge and training to help you establish, succeed and advance your company. Reserve your seat now and be one of our unique customers.