Uzbekistan has a business climate that is ripe for investment. The country has made significant strides in recent years to improve the ease of doing business in the country. The government has implemented policies that are aimed at attracting foreign investors to the country.
One of the benefits of starting a business in the country is the low cost of labor. The country has a large pool of skilled and educated workers who are willing to work for lower wages than their counterparts in other countries. Additionally, the nation has enforced tax inducements for foreign companies. If you plan to register your firm in the country, make sure to read this article thoroughly.
Types of company structures
In Uzbekistan, there are three main types of corporate structures: sole proprietorship, limited liability company (LLC), and joint-stock company (JSC).
Sole Ownership
The sole proprietorship is the simplest and most common type of corporate structure in the country. It is easy to set up and manage, and the owner has complete control over the business. However, the owner is also personally liable for any debts or legal issues that arise.
Limited liability company
LLCs are another popular choice for entrepreneurs in Uzbekistan. They offer limited liability protection, which means that the owners are only liable for the amount of money they have invested in the enterprise. LLCs also have a more formal structure than sole proprietorships, with a board of directors and regular meetings.
Joint stock company
JSCs are the most complex type of corporate structure in Uzbekistan. They are typically used for large, publicly traded companies. JSCs offer limited liability protection and allow for the sale of stocks to raise capital. However, they also require a significant amount of paperwork and legal compliance.
Registration process
When it comes to company registration in Uzbekistan, there are a few important steps to follow. First, it is necessary to apply to the Ministry of Justice, along with all required documents. These documents include a copy of the firm’s charter, a list of founders and their personal information, and proof of payment of the state fee. Once the application is submitted, it typically takes around 5-7 business days for the Ministry of Justice to review and approve it.
After the application is approved, the firm must then register with the tax authorities and obtain a tax identification number. This is done by applying to the State Tax Committee, along with the syndicate’s charter, registration certificate from the Ministry of Justice, and other required documents. Once the tax identification number is obtained, the firm can begin operating legally in the nation.
Capital and documents required for registration
In Uzbekistan, the minimum capital required for company registration is 50 times the minimum wage. As of 2021, the minimum wage in Uzbekistan is 712,000 som per month. Therefore, the minimum capital required for company registration is 35,600,000 som.
To register a company in the nation, the following documents are required:
- A notarized copy of the firm’s charter,
- A copy of the founder’s identification document, and
- A notarized copy of the decision to establish the corporation.
Obtaining permits
When registering a firm in the country, there are several types of corporate licenses available. The first type is a general license, which allows a firm to operate in any industry. The second type is a special license, which is required for companies operating in certain industries such as telecommunications or banking. Finally, there is a simplified license, which is available for small businesses with fewer than 15 employees.
Obtaining a corporate license in the nation requires applying to the Ministry of Justice. The application must include a business plan, financial statements, and other supporting documents. The process can take up to three months, but once approved, the license is valid for five years.
