Company Formation in Georgia

Minimize Your Tax Liability to Nearly 0%

The formation of a company in Georgia is one of the fastest and most efficient incorporation processes in the world. With minimal bureaucracy and low registration fees, you can establish your business in just 2–3 working days.

Georgia’s pro-business environment offers simplified regulations, a competitive tax system, and streamlined accounting procedures. The most common legal entity is the Limited Liability Company (LLC), but foreign investors can take advantage of additional tax incentives through specialized structures such as:

• Individual Entrepreneur with Small Business Status – Only 1% tax

• IT Company with Virtual Zone Status – Just 5% tax

• Free Zone Company – Enjoy significant tax exemptions

• International Company – Optimized taxation for global operations

By incorporating in Georgia, you gain access to a thriving economy, a business-friendly legal framework, and opportunities to significantly reduce your tax burden. Get started today!

Georgia’s 2022 Corporate Law: Key Updates for Business Formation

On January 1, 2022, Georgia introduced a new Law on Entrepreneurs, modernizing corporate governance, enhancing transparency, and simplifying company formation procedures.

Key Changes in Company Registration

• Legal Address Requirement – Every registered company must have a legal address in Georgia, with the property owner's written consent submitted to the registration agency.

• Beneficial Ownership Register – Companies must maintain records of their ultimate owners, including names, addresses, and shareholding percentages, to increase transparency and combat financial crimes.

• Mandatory Shareholders Agreement – This legally binding document must define shareholder rights, obligations, dispute resolution mechanisms, and share transfer procedures, improving corporate governance and stability.

Georgia allows companies to be established in various organizational and legal forms, ensuring flexibility for entrepreneurs and investors.

With its business-friendly environment and simplified regulations, Georgia remains one of the easiest places in the world to start and operate a company.

The Limited Liability Company (LLC)

The Limited Liability Company (LLC) is the most popular and versatile business structure in Georgia. With no minimum capital requirement and the ability for foreigners to own 100% of the company, setting up an LLC is fast, efficient, and accessible. Plus, you can incorporate remotely without traveling to Georgia. By registering an LLC in Georgia, you benefit from 15% Corporate Income Tax, 5% Dividend Tax and 0% Tax on Reinvested Profits.

Key Advantages of Setting Up a Georgian LLC

✅ No minimum capital investment required

✅ 100% foreign ownership and directorship allowed

✅ Company owners and directors do not need Georgian residency

✅ Employees can be Georgian or international hires

✅ Limited liability protection – personal assets are safeguarded

Maximize Your Tax Savings with a Georgian LLC

Georgia offers one of the most business-friendly tax systems in the world, allowing entrepreneurs to minimize tax burdens and maximize profits. By registering an LLC, you benefit from competitive tax rates and flexible taxation rules.

Key Tax Advantages for Georgian LLCs

✅ 15% Corporate Income Tax (CIT) – Profits are only taxed when distributed.
✅ 5% Dividend Tax – Enjoy low taxation on profit withdrawals.
✅ 0% Corporate Tax on Reinvested Profits – Keep more capital for business growth.

Additional Tax Considerations

• 20% Personal Income Tax – Only applies if you take a salary; not required for dividends.

• 20% Withholding Tax on Employee Salaries – Plus an additional 4% pension contribution for Georgian employees.

• 18% VAT – Mandatory if your taxable turnover exceeds 100,000 GEL in 12 months. Voluntary registration allows VAT refunds on business expenses.

• Tax-Free Profit Transfers – No tax when reinvesting or distributing profits to another Georgian legal entity.

Set up your LLC today and take advantage of Georgia’s low-tax, high-growth business environment!

Individual Entrepreneur With « Small Business Status » (IE + SBS)

Freelancers and self-employed professionals are the most welcome in Georgia. Whether you're a resident or non-resident, Georgia offers exceptional tax advantages for sole proprietors through the IE + SBS. If you operate alone and earn income from foreign or local sources, this structure allows you to legally minimize your tax burden while benefiting from a simple and efficient business setup.

Why Opening a Georgian IE + SBS?

✅ 1% Tax Rate – Applies to annual gross turnover between 30,000 GEL (≈10,800 USD) and 500,000 GEL (≈180,000 USD).
✅ 0% Tax – If your turnover is below 30,000 GEL (≈10,800 USD).
✅ 3% Tax – On income exceeding 500,000 GEL, applicable only to the amount above this threshold.
✅ Easy Accounting – Simplified financial reporting requirements.
✅ Employee Hiring Allowed – Subject to a 20% withholding tax on salaries plus an additional 4% pension contribution for Georgian employees.

Important Considerations

• VAT Registration – Mandatory if your taxable turnover exceeds 100,000 GEL (≈36,000 USD) within 12 months, requiring you to charge 18% VAT on applicable transactions.

• Status Cancellation – If your turnover exceeds 500,000 GEL for two consecutive years, your SBS will be revoked. In that case, transitioning to an LLC is recommended.

How to Obtain « Small Business Status »?

✔ Register as an Individual Entrepreneur (IE) in Georgia
✔ You must be the sole business owner and director
✔ Your business activity must not fall under the excluded sectors
✔ You do not need to be a Georgian resident or citizen

Take advantage of Georgia’s pro-business environment and low-tax policies to grow your freelance or small business with ease. [Learn more about setting up an IE + SBS company in Georgia here.]

IT Virtual Zone Company

Establish a Tax-Exempt IT Company in Georgia with Virtual Zone Status

Georgia’s government introduced the Virtual Zone to position the country as a global IT hub. This special status allows IT companies registered as a Georgian LLC to benefit from a near tax-free regime, making it an ideal destination for tech entrepreneurs and software developers looking to expand internationally.

Key Tax Advantages of Virtual Zone Status in Georgia

✅ 0% Corporate Profit Tax – Keep all your profits when reinvesting.
✅ 0% VAT – No value-added tax on international business income.
✅ 0% Export Tax – Sell IT products and services worldwide tax-free.
✅ 5% Dividend Tax – Only applies when distributing profits.

The only requirement to maintain Virtual Zone Status is that your IT company must provide its services and products exclusively to clients outside Georgia.

How to Obtain Virtual Zone Status in Georgia?

✔ Register an LLC in Georgia
✔ Engage in an approved IT-related business activity
✔ Apply for the Virtual Zone license through the Ministry of Economy
✔ No residency requirements – Foreigners can fully own and operate the company from anywhere

With minimal bureaucracy, full foreign ownership, and unbeatable tax incentives, Georgia’s Virtual Zone is one of the best opportunities for IT businesses worldwide. [Learn more about setting up a Virtual Zone company in Georgia here.]

Free Industrial Zone Company (FIZ)

Unlock Maximum Tax Savings with a Free Industrial Zone Company in Georgia

While Georgia already boasts an attractive tax system, Free Industrial Zones (FIZs) take business incentives to the next level. Companies operating within these zones enjoy unparalleled tax and customs benefits, making Georgia a strategic hub for expansion into the EU, CIS, Asia, and the Middle East markets.

The Zero-Tax Edge : Key Tax Advantages of a FIZ in Georgia

✅ 0% Corporate Income Tax – Keep all your business profits.
✅ 0% Dividend Tax – Maximize shareholder returns.
✅ 0% Personal Income Tax – No tax on salaries paid within the zone.
✅ 0% Property Tax – Reduce operational costs.
✅ 0% VAT – No value-added tax obligations.
✅ 0% Foreign Income Tax – Full exemption on international earnings.
✅ 0% Import & Export Tax – No duties on raw materials, machinery, or finished products.

How to Set Up a Company in a FIZ?

✔ Register an LLC in Georgia
✔ Engage in an approved business activity
✔ Apply for the relevant FIZ license
✔ No residency requirements – Foreigners can fully own and operate the company

With a business-friendly regulatory environment, full tax exemptions, and global market access, Georgia’s FIZs offer one of the best opportunities for international investors.

[Learn more about setting up a company in a FIZ here.]

The International Company Status

Expand Globally with Georgia’s International Company Status

Strategically located between Europe and Asia, Georgia has introduced the International Company Status to attract businesses in IT, logistics, and shipping. This special status significantly reduces tax liabilities, making it an ideal solution for companies looking to operate in a cost-efficient, business-friendly environment.

Key Tax Benefits of International Company Status

✅ 5% Corporate Profit Tax – Drastically lower than the standard 15%.
✅ 0% Tax on Dividends – Maximize shareholder returns.
✅ 0% VAT on International Business Income – No value-added tax obligations.
✅ 0% Export Tax – No duties on cross-border transactions.
✅ 5% Wage Tax – Reduced from the standard 20%, making it easier to attract top talent.
✅ 0% CIT on Reinvested Profits – Keep capital in your company without tax penalties.

How to Obtain International Company Status in Georgia?

✔ Register an LLC in Georgia
✔ Engage in an approved business activity
✔ Apply for International Status through the Ministry of Economy
✔ No residency requirements – Foreigners can fully own and operate the company from anywhere

With lower corporate and wage taxes, full foreign ownership, and a simplified business environment, Georgia’s International Company Status is a game-changer for IT, logistics, and shipping businesses looking to scale globally.

[Learn more about setting up an International Company in Georgia here.]

Why Should You Register a Company in Georgia?

Nestled between Europe and Asia and graced by the stunning Black Sea coastline, Georgia has undergone a remarkable transformation over the past two decades. With its strategic location, pro-business environment, and exceptional safety, it has become a prime destination for entrepreneurs looking to establish a business—whether locally or internationally.

Georgia stands out as one of the most business-friendly nations: its territorial tax system, competitive tax rates for both individuals and corporations, minimal bureaucracy, and highly efficient banking sector make it an attractive hub for global investors. Furthermore, its seamless integration into European and Middle Eastern markets provides unmatched opportunities for growth.

Beyond business, Georgia is experiencing a surge in tourism, drawing more and more visitors each year to its unique cultural and natural treasures. Whether you're looking for a dynamic market, a strategic location, or a tax-efficient jurisdiction, Georgia is the ideal place to establish your company.

Ready to take the next step? Get in touch with our experts today.

How Fast Can You Register a Company in Georgia?

Georgia’s streamlined and efficient registration process allows you to establish an LLC within just one to three business days.

What Are the Requirements for Company Formation in Georgia?

Setting up an LLC—the most common legal entity in Georgia—is a straightforward process. To register your business at the Public Service Hall (PSH), you will need to provide the following:

✔A Company Charter, outlining your business activity (bilingual: Georgian-English)

✔Passports of the owner(s) and director(s)

✔A legal address in Georgia

✔A Georgian phone number

✔A valid email address

Our team will guide you through each step to ensure your registration is seamless and hassle-free.

Can You Register a Company in Georgia Remotely?

Yes! You don’t need to be physically present in Georgia to register your company. Whether you’re setting up an LLC or an Individual Entrepreneur (IE) business, the process can be handled remotely through a Power of Attorney (PoA). Your trusted representative in Georgia can take care of all legal formalities, including registering your company with the Revenue Service.

Let us simplify your business setup—contact us for remote registration assistance.

Can You Open a Business Bank Account for Your Company in Georgia?

Once your company is registered, a corporate bank account is essential for your business operations. Kartvelite has strong partnerships with leading banks in Georgia and will personally introduce you to a bank manager to facilitate the process.

We will also assist with the Know Your Customer (KYC) requirements, ensuring a smooth and efficient account opening process.

Can You Open a Business Bank Account Remotely?

Yes, you can open a corporate bank account in Georgia without being physically present. By granting PoA to your trusted representative, they can complete the entire process on your behalf, ensuring compliance with all banking regulations.

Kartvelite – Your Trusted Partner for Company Formation in Georgia

At Kartvelite, we provide end-to-end business setup services, ensuring a smooth and efficient company registration process. From legal compliance to banking introductions, we handle everything—so you can focus on growing your business.

Most companies are incorporated within 2 to 3 business days, and we take care of all formalities, including your company’s registration with the Revenue Service.

Ready to start your business in Georgia? Contact us today for personalized assistance.

Georgia: A Strategic Gateway Between the World's Leading Economic Zones

Positioned at the crossroads of Europe and Asia, Georgia serves as a vital hub for global trade and commerce. Its strategic location makes it a key transit route for the exchange of goods between some of the world’s most powerful economies.

With direct rail connections, Georgia is just nine days away from China, while exports to Europe can be delivered in as little as two days. This exceptional logistical advantage is further strengthened by Georgia’s extensive network of Free Trade Agreements (FTAs), providing businesses with duty-free access to a market of 2.3 billion consumers.

Georgia’s Free Trade Agreements Include:

✔ China, including Hong Kong
✔ Turkey
✔ CIS Countries (Commonwealth of Independent States)
✔ EFTA Countries (Iceland, Norway, Switzerland, Liechtenstein)
✔ European Union – under the Deep and Comprehensive Free Trade Agreement (DCFTA)
✔ United States, Canada, and Japan – under the Generalized System of Preferences (GSP)

By establishing a business in Georgia, entrepreneurs and investors can seamlessly access major global markets while benefiting from the country’s low taxes, minimal bureaucracy, and pro-business policies.

Ready to expand your business in a thriving international hub? Contact us today to explore the opportunities Georgia has to offer.

Georgia: One of the Most Business-Friendly Countries in the World

With a transparent, stable, and pro-business environment, Georgia has built a strong reputation as one of the most attractive destinations for entrepreneurs and investors. Its low taxes, efficient banking sector, and minimal bureaucracy make it a highly competitive jurisdiction for setting up a company. Additionally, the country is actively developing its transport infrastructure, further enhancing its role as a global trade hub.

Why Choose Georgia for Your Business?

✅ Liberal Labor Legislation & Competitive Salaries

• Flexible employment conditions

• Competitive salaries (average monthly salary in 2023: 1,750 GEL ≈ 630 USD – Source: Geostat)

✅ Affordable Energy Costs

• Georgia benefits from low energy prices, reducing operational expenses for businesses.

✅ Low-Tax Economy

• Ranked among the Top 10 lowest-taxed economies worldwide for individuals and companies.

• Only 5 types of taxes, compared to the OECD high-income countries' average of 10.3.

✅ A Thriving Financial Hub

• Ultra-modern and reliable banking sector with easy account opening for businesses.

With its strategic location, business-friendly policies, and strong economic fundamentals, Georgia is the perfect destination for entrepreneurs looking to expand internationally.

Thinking of starting a business in Georgia? Contact us for expert guidance on company formation and financial solutions.

Georgia: A Low-Tax Haven for Entrepreneurs

Georgia is among the global leaders in economic growth, and is ranking first in the Europe and Central Asia region for both 2024 and 2025 (World Bank Report 2025) and offers exceptionally competitive tax policies for individuals, investors, and businesses. Its flat-rate tax system ensures simplicity and predictability—regardless of income level, the same rate applies to all taxpayers within a given tax category.

Georgia: The Only European Country with Territorial Taxation

Unlike most European nations, Georgia follows a territorial taxation system, meaning only locally sourced income is taxed. This presents major advantages for foreign entrepreneurs, digital nomads, and remote business owners:

✅ No tax on foreign-sourced income (for residents and non-residents).
✅ Dividends from non-resident companies & foreign pensions are tax-free.
✅ Flat 20% personal income tax, with special statuses reducing it to 1%-5%:

• Small Business Status

• Virtual Zone (for IT companies)

• International Company Status

By strategically structuring your business or tax residency in Georgia, you can legally minimize your tax burden while benefiting from a stable, business-friendly environment.

Interested in optimizing your tax strategy? Contact us for expert guidance!

Georgia: One of the Most Open and Welcoming Countries in the World

Georgia stands out as one of the most open countries globally, offering a visa-free stay of up to one year to citizens of over 100 nations, including those from the European Union, North America, and the GCC countries. This unparalleled policy allows foreigners to reside, work, and start a business without needing a visa or residence permit—an approach that sets Georgia apart as a truly progressive and investment-friendly nation.

A Visa-Free Policy to Attract Foreign Investment

✅ Visa-Free Stay for One Year – No restrictions on work or business setup.
✅ Georgia ranks among the world’s top 20 safest countries (Numbeo Safety Index 2024), outperforming nearly all EU nations, the UK, Canada, the US, and Australia. – A secure environment for living and investing.
✅ Free Media & Freedom of Expression – A democratic and open society.

Whether you're looking to relocate, invest, or start a business, Georgia’s pro-business policies and welcoming atmosphere make it an ideal destination.

Interested in making Georgia your new business hub? Contact us today.