- July 5, 2021
- Posted by: Ajmal
- Categories: International, News
One of the fastest-growing economies in the Middle East, Qatar prides itself on its liberal business environment, social and political stability and state-of-the-art infrastructure. An ideal place to invest in your business, you will enjoy excellent business opportunities with entrepreneurs and foreign investors. Since 2015, the government of Qatar has permitted 100 percent business ownership for foreign investors in certain segments, often with an agency agreement as well.
You must comply with the legal business registration requirements as demanded by the Qatari government, as all the company information, businesses and industries are regulated under the Commercial Companies Law that enforces all business-related legal regulations and compliances in Qatar. You choose your kind of business, available capital, number of founders and plans of future expansion. Before setting up an organisation in Qatar, the entrepreneur and/or investor must be familiar with:
- Available business vehicles
- Local business environment
- Different types of licences
- Government incentives
- Rules and regulations
Here are ways to a company set up in Qatar that you can explore:
Working with a local agency in Qatar for business
- Qatar Joint Venture Company
Foreign-based employers can register their business in a joint venture, and foreign shareholding is allowed up to 49 per cent without the approval of the Ministry of Business and Trade. Ideally, the owners must have a capital of US$55,000 for the joint venture, which varies as per company requirements.
- Wholly Foreign-owned Company in Qatar
Foreign-based employers based in Qatar can register with The Ministry of Business and Trade, only if they meet the industries listed by The Qatar Foreign Investment Law of 2010. You need not have a basic capital at hand apart from the minimum amount specified by the Ministry.
The industries permitted by the Qatar Foreign Investment Law of 2010 for foreign direct investment are education, healthcare, tourism, agriculture, telecommunication, consultancy, natural resources, entertainment and manufacturing.
Working with an agency agreement in Qatar for business
For clients who are not interested in investing capital or working with Qatari shareholders, can work with a commercial agent. Under the legal option, you need not set up a new organisation.
Working with a foreign agency in Qatar for business
- The Qatar International Engineering Foreign Office (IECO)
Foreign agencies can only be registered temporarily, but the government permits them to register after the authorities’ approval. The IECO is a permanent organisation, and customers need not deduct the withholding tax from their payments.
- Qatar Representative Office
Foreigners can register the offices representing them under the Qatari government, which would promote the company’s interests but not generate income. Agencies must seek permission from The Ministry of Business and Trade, before even starting the business.
Setting up a foreign business needs planning and guidance from the right agency, who works the company’s interests. For optimum business set up in Qatar, contact us at Federal Experts Consultancy for counselling.