The process of setting up a company in Qatar is based on business zones in the country and legal requirements. Entrepreneurs have to choose whether to open their company inside or outside the free business zones since every area has different laws, policies, and compliance regulations. The free business zone avails quite many advantages, such as full foreign ownership of shares, no corporate or income taxes, and foreign currency transactions unrestricted. This region is particularly attractive to the marine, technological, manufacturing, logistical, and petrochemical corporations.
Apart from the incentives of the free business zone, there are several more reasons Qatar has to attract foreign entrepreneurs. All exports made by businesses in Qatar are tax-free on income, and the corporate tax is below 10%. In terms of low-cost, skilled labor and developed corporate infrastructure, it is also regarded as strong support for business operations. More importantly, foreign entrepreneurs can freely repatriate their profit.
The company registration procedure in Qatar involves the following steps. First, companies must register with the Ministry of Commerce and Industry (MOCI) using proper legal contracts drafted in both Arabic and English languages. Moreover, there should be at least two owners, who have to own 51% of the ownership position in the company, that is, Qatari shareholders. Another requirement is the minimum share capital should be at least QAR 200,000.
Examples of such documents consist of a commercial residence, trade license, and computer card. Companies are also required to open a corporate account through a bank, acquire residency permits for foreign owners, register with tax authorities and Ministry of Labour.
Generally, Qatar's free business zone with tax policies makes it so attractive regarding business ventures, especially to foreign entrepreneurs while navigating companies and Qatar company formation.