Egypt's Investment Law No. 72 of 2017 removed the statutory minimum capital requirement for LLCs entirely and opened most sectors to full foreign ownership, a genuinely investor-friendly combination. Here's what it takes to start a business in Egypt in 2026.
1. Which business structure fits you?
Before you register anything, it helps to know what you're actually choosing between.
- Sole Proprietorship. Only available to Egyptian citizens or residents, not a standalone option for a non-resident foreign founder.
- LLC. The ideal balance of flexibility and legal protection for most foreign investors: 2 to 50 shareholders (local or foreign), no statutory minimum capital, though banks will expect a reasonable deposit and you should state a realistic figure in your Articles of Association, often starting around EGP 1,000.
- JSC (SAE). Designed for larger businesses raising capital or listing on the stock exchange, minimum 3 shareholders and a board of at least 3 directors.
One requirement worth planning around: an LLC must appoint a general manager who resides in Egypt and holds a valid residency permit, even though the shareholders themselves don't need to.
2. Register your business
Registration runs through GAFI (General Authority for Investment and Free Zones) via its One-Stop Shop: reserve your name through the Commercial Registry, prepare and notarize your Articles and Memorandum of Association, and for an LLC or JSC, deposit your initial capital into an Egyptian bank account to receive a bank certificate confirming the transaction, a required document before registration completes. The GAFI state fee runs $100 to 300 depending on entity type. A basic LLC can be incorporated in 3 to 7 business days once documents are complete, but total operational readiness, commercial registration, tax card, and bank account together, typically takes 4 to 8 weeks, and complex or foreign-owned structures with extensive document legalization can stretch to 6 to 10 weeks.
3. Declare your investment for repatriation rights
Egypt allows 100% foreign ownership in most commercial, industrial, and service activities, with restrictions on land ownership, certain import categories, media, and defense-related industries. There's also a small but easy-to-miss recurring cost: an annual Chamber of Commerce subscription fee of 0.002% of declared capital (minimum EGP 24, maximum EGP 2,000), plus an EGP 100 certificate fee, separate from your actual taxes and required to keep your Commercial Registry status current.
4. Check licenses and permits
Egypt doesn't issue a single national business license. What you need depends on your industry; certain activities require special licenses and approvals from the relevant government departments.
5. Understand Egyptian taxes
Corporate income tax is a standard 22.5% on net profits. VAT is 15% on taxable supplies, with mandatory registration once annual revenue exceeds EGP 500,000. Withholding tax on dividends paid to foreign shareholders runs 5% to 10% depending on the applicable tax treaty. Companies operating in free zones and Special Economic Zones can access significant tax reductions or holidays.
6. Stay compliant
Once registered, you'll obtain a Tax Identification Number and register separately for corporate taxes, VAT, and payroll withholding as applicable, along with social insurance registration if you hire staff. Ongoing obligations include annual corporate tax filings, VAT reporting if registered, statutory accounting records, commercial registration renewal, and annual general assembly requirements.
Egypt business costs at a glance
| Item | Cost |
|---|---|
| LLC minimum capital | None statutory (often from EGP 1,000) |
| GAFI state registration fee | $100 to $300 |
| Corporate income tax, standard | 22.5% |
| VAT, standard rate | 15% |
| VAT registration threshold | EGP 500,000 revenue |
| Dividend withholding tax (foreign shareholders) | 5% to 10% |
Frequently asked questions
Does Egypt require a minimum capital for an LLC?
No statutory minimum since Investment Law No. 72 of 2017, though banks expect a reasonable deposit, often starting around EGP 1,000.
Can a foreigner own 100% of a company in Egypt?
Yes, in most commercial, industrial, and service activities, though land ownership, certain imports, media, and defense-related industries carry restrictions.
How long does it take to register an LLC in Egypt?
A basic LLC can be incorporated in 3 to 7 business days, but total operational readiness, including bank account and tax card, typically takes 4 to 8 weeks.
What's the corporate tax rate in Egypt?
A standard 22.5% on net profits.
Does an Egyptian LLC need a local general manager?
Yes. The LLC must appoint a general manager who resides in Egypt and holds a valid residency permit, even though shareholders don't need to.
Fees and rates above come from GAFI (General Authority for Investment and Free Zones) and the Egyptian Tax Authority as of 2026, and they do change over time, so double check before you file. None of this is legal or tax advice. Talk to an Egypt-qualified accountant or lawyer about your specific situation.