Specifically, when it comes to individual investments. In simple terms it is the least complex business structure. It also offers a possibility to a foreign entity to enter as a shareholder into a limited-liability company under the Egyptian Companies Law. Under Common Law Limited-Liability Company gathers certain aspects of both the partnership and corporation. Limited liability is enjoyed by the shareholders, however, at the same time, the management decisions are affected by a number of managers in some cases governed by a management committee. The right to purchase shares first belongs to the rest of the shareholders. The number of shareholders may fluctuate from 2 to 50. Youssry Saleh law firm in Egypt consults the client on the structuring, legal requirements, required documents, and incorporation details related to establishing a limited liability company LLC in Egypt.
The following rules and limitations apply:
- The registration with the Commercial Registry is required with the registration being supervised by GAFI
- Insurance, banking, savings and investment management are the areas which are prohibited from to operate for a limited-liability company
- The ownership of the LLC may fully belong to foreigners with the condition of minimum two shareholders. With regards to management, it shall be appointed by the shareholders. At least one of the managers is required to hold an Egyptian citizenship. The shareholder’s meetings are held for the undertaking of the main decisions of the company. The rules of simple or super majority apply.
- For the expatriation of funds same rules as under the Branch establishment
- For the Import/export same rules as under the Branch establishment
- Taxes on company profits apply