Establishment of money companies

The General Authority for Investment and Free Zones is affiliated with the Ministry of Investment and International Cooperation in Egypt .

The General Authority for Investment and Free Zones is the governmental authority concerned with regulating and facilitating investment in Egypt .

The authority encourages and promotes investment, facilitates and reconciles Egyptian businesses and expatriates, events, sponsors investors, conducts research and market investigation missions.

Address: No. 3, Salah Salem Street, Nasr City, Cairo, 11562 Egypt

Phone: +202 240 55 452

Fax: +202 240 55 425

Hotline: 16035

Website: WWW.GAFI.GOV.EG

E-mail: INFO@GAFINET.ORG

money companies:

​Investors can establish all types of money companies within one working day after completing the required documents. The companies are obligated to register in the commercial register with the regulatory authority, namely the General Authority for Investment and Free Zones (quotthe Authorityquot), and the Companies Law sets out the rules to be included in the companies' articles of association. .

1. Limited Liability Company

Limited liability companies cannot engage in insurance, banking, saving, or deposit-taking, but foreigners have the right to own all of them, and no minimum capital is required for these companies.

The minimum number of partners is (two) and does not exceed (fifty) natural persons or legal persons with the availability of legal capacity for natural persons .

The minimum capital is determined by the partners in the company's articles of incorporation and is divided into equal shares, paid in full upon incorporation .

It is permissible for the partners, or some of them, to offer shares in kind, provided that the cash part of the capital is not less than 25%. The in-kind shares included in the capital are evaluated by an expert appraiser .

The participation of foreigners may be (100%) - with the exception of companies that practice activities restricted to Egyptians, or for which a minimum percentage of their participation is required .

At least one of the directors must be Egyptian .

If the number of partners is more than ten, a supervisory board must be formed whose members are not less than three of the non-managing partners .

The company may take the name of one of the partners as its title, and it may take a special name or a name derived from its purpose .

In light of Law No. 68 of 2009 amending Article 116 of Law No. 159 of 1981 promulgating the Law of Joint Stock Companies, Partnerships Limited by Shares, and Limited Liability Companies: This provision does not apply to companies existing at the time this law comes into force .

2. Company Limited by Shares

At least one of the partners shall be a joint partner, and it shall take the name of the joint partner as its title and entrust its management to him .

The minimum number of founders (two), whether they are natural persons or legal persons, with the availability of legal capacity for natural persons .

The minimum issued capital is quottwo hundred and fifty thousand poundsquot - 10% is paid upon incorporation, and the percentage is completed to 25% within 3 months at most from the date of the company's registration in the commercial registry. And the maximum authorized capital (ten times the issued capital) .

The participation of foreigners may be (one hundred percent) - with the exception of companies that practice activities restricted to Egyptians, or for which a minimum percentage of their participation is required .

The minimum number of supervisory board members is “three.” Some or all of the supervisory board members may be partners who are not managers or others .

The minimum share value (ten piasters) and the maximum share value (one thousand pounds).

The minimum value of cash shares (a quarter of the issued capital). The maximum value of the shares in kind (three quarters of the issued capital) .

The company shall have a commercial name derived from its purpose, and the name of the joint partner may be included in its name .

The in-kind shares included in the capital are evaluated by a committee formed for this purpose at the General Investment Authority .

3. Joint Stock Company

Joint stock companies are obliged to notify the Financial Supervisory Authority of every issue of securities issuance in order to be approved by it, and an independent auditor submits and reviews the financial statements in accordance with Egyptian accounting standards that correspond with slight differences with international financial reporting standards and international accounting standards.

The minimum number of founders (three), whether they are natural persons or legal persons, with the availability of legal capacity for natural persons .

The minimum issued capital is quottwo hundred and fifty thousand poundsquot - 10% is paid upon incorporation, and the percentage is completed to 25% within 3 months at most from the date of the company's registration in the commercial registry. And the maximum authorized capital (ten times the issued capital) .

The participation of foreigners may be (one hundred percent) - with the exception of companies that practice activities restricted to Egyptians, or for which a minimum percentage of their participation is required .

The minimum number of members of the board of directors is “three.” Some or all of the members of the board of directors may be non-shareholders, and all of them may be foreigners .

The company’s articles of association may provide for the multiplicity of representatives of the legal person in the board of directors, and each representative is counted in the formation of the board and the quorum for holding its meetings and in voting .

The minimum value of the share is (ten piasters), and the maximum value of the share is (one thousand pounds) or its equivalent in foreign currencies .

Minors may participate in the company as underwriters under the guardianship of their natural guardian with money donated by this guardian to the minor, and in the case of the minor’s participation from his own money, permission must be obtained from the competent court .

The in-kind shares included in the capital are evaluated by a committee formed for this purpose at the General Investment Authority, provided that their percentage does not exceed 75% of the total capital.

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The registration process can be completed through the website of the General Authority for Investment

https://www.gafi.gov.eg/Arabic/eServices/Pages/default.aspx

The incorporation process can be completed through the branches of the General Investment Authority in all governorates of the Republic :

3 Salah Salem Road - Fairgrounds

Nasr City - Cairo - p . Box 11562 - Egypt

Documents required for money companies:

The documents required for the establishment of capital companies (joint stock companies - limited partnership shares - limited liability) in accordance with the provisions of Laws 72 of 2017 and 159 of 1981 in general :

• Certificate of non-ambiguity of the name approved by the Commercial Register. next one
• Bank certificate: By depositing at least 10% of the value of the issued capital for joint stock companies and partnerships limited by shares, and it is completed to 25% within 3 months and completed to 100% within 5 years, taking into account the activities that the law regulating the practice of which requires a minimum value of the capital It also takes into account that the issued capital shall not be less than 250 thousand pounds
• A copy of the agencies (see the original)
  • From all founders in the case of joint stock companies (the number of founders is not less than three) .
  • Or from all partners in the case of limited liability companies (the number of partners is not less than two, and the company must have an Egyptian director) .
  • The power of attorney shall provide for the establishment of companies and the signing of the articles of incorporation before the Investment Documentation Office .
• Photocopies of identification (clear valid) for founders or partners: (with the permission to request access to the original): (National number for Egyptians. \ Passports for foreigners.)
• An official extract from the register of accountants and auditors stating the eligibility of the company’s auditor to audit and approve the budgets of the money companies, and submit a copy or acknowledgment of accepting an appointment in the event that this certificate was previously submitted to the Authority .
• A copy of the registration card in the Bar for the lawyer who ratifies the contract before the Bar Association. (At least a primary lawyer, and the lawyer’s card is valid to date)
• Security inquiry forms for founders or foreign partners .
• Determine the name and address of the company's legal advisor, provided that the degree of registration is not less than an appeal attorney .
• Photocopies of ID proof (valid and clear) for the agent (see the original) :
  • Egyptian national number
  • Foreigner's passport (valid residence is required)
• Approval of the competent authority if any of the company’s purposes requires obtaining a special approval in accordance with the provisions of the applicable laws (prior approval) .
• In the event of an in-kind share upon incorporation :
  • In the case of joint stock companies / limited by shares: the original report of the committee formed by the General Authority for Investment and Free Zones to evaluate the in-kind share shall be submitted
  • In the case of a limited liability company: it is permissible only to submit a report from experts from professionals regulated by law, according to the nature of each share
• In the case of establishing a company to operate under the free zone system in accordance with the provisions of Investment Law No. 72 of 2017, the same documents previously presented, in addition to :
  • In the case of a public free zone: the approval of the Authority is required prior to the establishment, and the approval is issued by the board of directors of the free zone in which the project is to be established .
  • In the case of a private free zone for a joint stock company or a limited liability company: Obtaining the approval of the Council of Ministers before incorporation .
• In the case of establishing a money company resulting from changing the legal form of a persons company established in accordance with the provisions of the Commerce Law to a money company in accordance with the provisions of Laws 72 of 2017 and 159 of 1981, the same documents previously presented in addition to :
  • Evaluation report of the in-kind share (net of assets and liabilities of the persons company) - The report shall be from the committee formed by the decision of the Chairman of the Authority if the transformation into a joint stock company, and it shall be from the experts if the transformation into a limited liability company .
  • The partnership contract and its summary, as well as all contracts of subsequent amendments thereto and their summaries are legally proclaimed by the court
  • Minutes of the meeting of the partners group, which includes the partners’ approval to change the legal form before the evaluation .
  • Minutes of the meeting of the group of partners, which includes the approval of the partners on the value of the valuation product, which also includes the approval of the basic terms of the company after the transformation (the capital and its distribution among the partners and the activity ........etc)
  • In the event that the partners desire to add a cash share, a bank certificate must be submitted, and the certificate is to deposit 10% of the cash share if the transformation into a joint stock company, and 100% of the cash share if the transformation into a limited liability company.
  • A preface that includes the history of the company from the beginning of its formation contract, passing through the amendments thereto, up to the minutes of the group of partners, provided that it is on CD
  • The commercial register of the persons company .
• In the case of establishing one or more money companies through the division of an existing company into more than one :
  • The decision of the chairman of the board to divide
  • In-kind share evaluation report
  • The commercial register of the dividing company and indexed by the division
  • A copy of the minutes of the extraordinary general assembly meeting of the company approving the division and approved by the Authority
  • A copy of the minutes of the company’s extraordinary general assembly meeting approving the evaluation outcome and approved by the Authority
  • Partition contract project approved by the authority .

Steps to establish via the electronic portal:

1. Register and create your account and workspace on the portal www.gafi.gov.eg , then choose the service and submit the required documents, and we will review them .
2. Pay fees using credit cards, and sign documents electronically .
3. We will send all your company documents to your workspace on the portal .
4. In the event that you encounter any problem during the establishment of your company electronically, please call the hotline on 16035 from 8 am to 8 pm Cairo local time, or send an email to e-services@gafinet.org.eg

Establishment of the Investor Services Center:

• Choose the service and get the waiting number, and we will review the documents .
• Go to the incorporation lawyer to prepare the establishment incorporation form and pay the incorporation fees in cash or with your credit card .
• Receive your facility documents .

Fees for performing services for money companies:

• Value for service in accordance with Law 72/2017:
  • Registration in the commercial registry: 56 pounds, and in the case of a branch, the registration fee in the commercial registry for the branch is added 261 pounds
  • Bar Association attestation fee: one percent of the issued capital, with a maximum of 25000 pounds, and a minimum of 250 pounds + 50 pounds of attorney's stamp.
  • Fee for documenting the company’s contract: none.
  • Issuance of shares for joint stock companies and limited by shares: half per thousand of the issued capital, with a maximum of ten thousand pounds .
• Value for service according to Law 159/1981:
  • Registration in the commercial registry: 56 pounds, and in the case of a branch, the registration fee in the commercial registry for the branch is added 261 pounds
  • Bar Association attestation fee: one percent of the issued capital, with a maximum of 25000 pounds, and a minimum of 250 pounds + 50 pounds of attorney's stamp.
  • Fee for documenting the company’s contract: a quarter of a percent of the issued capital, with a maximum of 1,000 pounds and a minimum of 10 pounds.
  • Issuance of shares for joint stock companies and limited by shares: half per thousand of the issued capital, with a maximum of ten thousand pounds .

Payment methods:

• Electronically: Through the Authority's website when submitting an application for incorporation electronically .
• In cash: at the Investors Service Center

liquidation of companies

• Investors can liquidate capital companies after two days of notifying the concerned department at the Investors Service Center and completing the form and some required documents .
• The liquidator - or the agent who has been authorized by a proxy - can obtain the documents confirming the liquidation of the company and its removal from the commercial registry from the Investors Service Center.
• Click here to download the required documents regarding joint stock companies. The service is provided one working day after submitting the required documents.

Institutions that help establish companies for businesswomen

Institutions that assist in the establishment of companies for businesswomen The body responsible for establishing companies within the Arab Republic of Egypt in general is the General Authority for Investment and Free Zones, but there are some bodies that provide technical advice in starting businesses with regard to businesswomen, including:

• The National Council for Women.
• Micro, Small and Medium Enterprises Development Agency