Setting up an LLC in Georgia has become increasingly popular among Russian entrepreneurs due to the favorable business climate and simplified procedures. One of the most convenient options is remote company registration with the help of specialists and consultants. This guide outlines all the necessary steps for opening an LLC in Georgia with professional assistance.
Advantages of Remote Registration LLC in Georgia
- Time-saving: Experts handle most bureaucratic procedures, allowing you to save time.
- Risk minimization: Professionals help avoid mistakes related to incorrect document processing and non-compliance with local laws.
- Cost optimization: Consultants assist in choosing the best tax regime and tariffs, significantly reducing business expenses.
Registering a company in Georgia remotely requires issuing a power of attorney to specialists and having documents notarized.
Step 1: Collecting and Preparing Documents
Required Documents
A consulting firm will provide a list of required documents, which typically includes:
- Passport details of the founders and director
- Founding documents (charter, decision to establish the company)
- Proof of the company’s legal address
- Signature samples of authorized persons
Translation and Notarization
Documents must be translated into Georgian and notarized. Consultants can arrange document translation and notarization through their partner notary offices.
Step 2: Registration of LLC
Submitting an Application to the National Agency of Public Registry
The consulting company will handle the application submission to Georgia’s National Agency of Public Registry. This includes:
- Preparing and uploading all required documents
- Paying the state registration fee
- Tracking the application status
Step 3: Opening a Bank Account in Georgia
Choosing a Bank and Opening a Temporary Account
Consultants will help select a bank and open a temporary account for depositing the authorized capital. They will also arrange for fund transfers to this account.
Opening a Permanent Bank Account
Once the company receives its registration certificate, consultants will open a permanent business bank account. This process includes:
- Providing the registration certificate and other required documents to the bank
- Activating online banking for convenient account management
Important Note:
Currently, opening a business bank account in Georgia requires in-person presence for most of the countries. If remote account opening is a key factor in choosing a jurisdiction, alternative options include:
- LLC in Kyrgyzstan – the country with the lowest corporate tax rate.
- LLP in Kazakhstan – the jurisdiction with the most advanced banking system after Russia.
Step 4: Tax Registration
Obtaining a Taxpayer Identification Number (TIN) and Registering with the Tax Authorities
The consulting firm will assist in obtaining a Taxpayer Identification Number (TIN) and registering with the Georgian tax authorities. This step is essential for tax reporting and payments.
Step 5: Finalizing Tax Registration
After the successful company registration, obtaining a Taxpayer Identification Number (TIN) is mandatory for tax compliance and reporting.
Step 6: Opening a Permanent Business Bank Account
After receiving the registration certificate and TIN, the final step is to open a permanent business bank account in Georgia.
Banking Options for Businesses in Georgia
Different banks offer various service packages and tariffs. Below, we will explore these packages and their benefits in more detail.
Banking Options for LLCs in Georgia
TBC Bank
TBC Bank is one of the largest banks in Georgia, offering a wide range of business services.
Bank Fees for LLCs in Georgia:
- Account opening: Free
- Monthly maintenance: 20 GEL – 50 GEL, depending on the selected package
- Domestic transfers: 0.2% – 0.5% of the transfer amount
- International transfers: 0.3% – 0.6% of the transfer amount
- Internet banking: Free
- Corporate card maintenance: 15 GEL – 30 GEL per month
Bank of Georgia
Bank of Georgia is also a leading financial institution in Georgia, offering competitive conditions for businesses.
Bank Fees for LLC in Georgia:
- Account opening: Free
- Monthly maintenance: 25 GEL – 60 GEL, depending on the service package
- Domestic transfers: 0.15% – 0.4% of the transfer amount
- International transfers: 0.25% – 0.5% of the transfer amount
- Internet banking: Free
- Corporate card maintenance: 20 GEL – 40 GEL per month
Liberty Bank
Liberty Bank provides services for small and medium-sized businesses, focusing on accessibility and simplicity.
Bank Fees for LLCs:
- Account opening: Free
- Monthly maintenance: 15 GEL – 40 GEL, depending on the package
- Domestic transfers: 0.2% – 0.3% of the transfer amount
- International transfers: 0.3% – 0.5% of the transfer amount
- Internet banking: Free
- Corporate card maintenance: 10 GEL – 25 GEL per month
ProCredit Bank
ProCredit Bank focuses on business clients, offering customized solutions for different industries.
Bank Fees for LLCs:
- Account opening: Free
- Monthly maintenance: 30 GEL – 70 GEL, depending on the package
- Domestic transfers: 0.2% – 0.4% of the transfer amount
- International transfers: 0.25% – 0.55% of the transfer amount
- Internet banking: Free
- Corporate card maintenance: 20 GEL – 35 GEL per month
BasisBank
BasisBank provides flexible conditions for businesses, including services for startups and small enterprises.
Bank Fees for LLCs:
- Account opening: Free
- Monthly maintenance: 20 GEL – 50 GEL, depending on the package
- Domestic transfers: 0.1% – 0.3% of the transfer amount
- International transfers: 0.2% – 0.5% of the transfer amount
- Internet banking: Free
- Corporate card maintenance: 15 GEL – 30 GEL per month
Required Documents for Opening a Bank Account for an LLC in Georgia
To open a business bank account, you will need the following documents:
- Company’s founding documents (charter, resolution on company establishment)
- Registration certificate issued by the National Agency of Public Registry of Georgia
- Taxpayer Identification Number (TIN)
- Passport details of the company’s founders and director
- Proof of the LLC in Georgia legal address
- Signature samples of authorized persons
Visiting the Bank
Booking an Appointment
After selecting a bank and preparing all the necessary documents, you need to schedule an appointment. This can be done via the bank’s website or by phone. Many banks offer pre-consultation services to clarify all details and requirements.
Filling Out the Application Form
During the appointment, you will need to complete an application form to open a bank account. The form typically includes information about the company, business activities, expected turnover, and details of the beneficial owners.
Document Verification and Approval
Data Verification
The bank will review the submitted documents and verify the provided information. This process can take anywhere from a few days to a week. It is essential to ensure that all documents are correctly completed and free of errors to avoid delays.
Agreement on Terms
During the verification process, the bank may request additional information or documents. At this stage, you can also discuss additional banking services such as corporate cards, credit lines, and other financial products.
Account Opening
Signing the Service Agreement
Once all documents have been successfully verified, the bank will provide a service agreement for signing. Carefully review the terms and clarify any unclear points before signing.
Depositing the Authorized Capital
In some cases, opening an account requires depositing the company’s authorized capital. This is done by transferring funds to a temporary account, which later becomes the company’s permanent account.
Access and Initial Setup
Receiving Account Details
After signing all required documents and opening the account, the bank will provide account details that can be used for financial transactions.
Setting Up Internet Banking
Most banks in Georgia offer convenient internet banking services. Set up access and configure your account to efficiently manage finances online.
Additional Aspects
Accounting and Tax Compliance
Maintaining proper accounting records in Georgia requires strict compliance with all legal regulations. It is advisable to hire a qualified accountant or use the services of an accounting firm.
1. General Taxation System
The general taxation system is suitable for most companies, especially those planning significant turnover.
Key Taxes:
- Corporate Income Tax: 15%
- Tax is applied only when profits are distributed (e.g., dividend payments). If profits are reinvested into the business, no tax is levied.
- Value Added Tax (VAT): 18%
- VAT applies to most goods and services, except for specific categories that are exempt.
- Dividend Tax: 5%
- Charged when dividends are paid to shareholders. However, if there is a single founder, this tax can be avoided by registering as an Individual Entrepreneur (IE) in Georgia.
2. Simplified Tax System
The simplified tax system is designed for businesses with Small Business Status, applicable to companies with an annual turnover of up to 500,000 GEL.
Key Taxes:
- Income Tax: 1% of turnover
- Businesses with an annual turnover of up to 500,000 GEL pay a 1% tax rate. If the turnover exceeds this amount, the company transitions to the general taxation system.
- VAT Exemption:
- Companies under the simplified tax system are exempt from VAT.
Contact us, and we will help you start a business in Georgia.
