Libya has started to provide amazing business chances with a lot of potential rewards. Libya is the appropriate place for enterprises looking for exposure and financial benefit, with practically every industry in the country demanding investment, from tourism to technology, infrastructure to education. The country is ready for any type of investment or business, and now is the moment to get your company off to a great start. Doing business in Libya is quite easy. In this article, you will find the step-by-step process of getting your company registered in Libya.
Company Registration Procedure in Libya
Company registration in Libya takes the following process;
Choosing a creative business name
At the notary office, the business owner fills out the official form with name ideas, company type, and other details. The notary then examines the availability of the company name in the Ministry of Economy’s company registry. An official name reservation certificate is then issued by the registrar. The procedure takes two days and is free of charge.
Memorandum of Association
The notary will get copies of the founders’ identification cards, and the memorandum and articles of organization will be created, detailing the company’s bylaws. The procedure takes 7 days and costs 1% of the company’s capital or 1,000 LYD, whichever is more.
Creating and funding a business bank account
While the notary drafts the Articles of Association, the applicant creates a bank account. To accomplish this, the applicant receives a letter from the notary verifying the name reservation, capital, and names of the founders. The procedure takes three days to complete. Depositing capital can either be free or cost 5,000 LYD depending on the bank.
Paying stamp duty
The notary’s office delivers the name reservation, IDs, bank receipt, and internal company paperwork (ownership structure, headquarters location, bylaws, etc.) to the Ministry of Economy’s tax department, where they are stamped. It takes up to 7 days to complete and costs 0.5 percent of the capital, or 25 LYD.
Registering your business with the Commercial Registry
The notary’s office delivers stamped paperwork to the registrar. The certificate of registration is then issued by the register. The procedure takes up to 4 days and costs 150 LYD and 0.5% of the startup capital.
Making an appointment with the Chamber of Commerce
A certificate from the chamber of commerce is required. It takes two days and costs 162.5 LYD to complete.
Registering with the bank
The public notary will write a letter to the bank to activate the bank account and delegate the client to do so after acquiring the chamber of commerce and certificate of incorporation of the firm. The client gives the bank the incorporation paperwork and fills out the bank’s applications for the signatory on the Company’s bank account.
Registering with the Social Security Fund and the Ministry of Labor
The customer acquires and notarizes a lease. The business is then registered with the Social Security Administration and the Ministry of Labor.
Getting a business license
The lease, the final bank account, and all preceding paperwork are required at this point in the procedure. Depending on the nature of the firm, the client may require Ministry approval (e.g. Health, Food, Drug Administration, etc.). The procedure takes approximately ten days and costs 100.5 LYD.
Getting a business stamp
For 20-70 LYD, business owners can get a company stamp at the Printing Shop. For the stamp to be issued, a letter from the management and a copy of the company’s commercial extract must be supplied.
