Company registration

Company registeration in Georgia

Almost everyone wants to start a business and increase their income in this area. However, we all know that setting foot in this field is not just a desire, and its successful implementation requires proper planning and decision of a number of issues. Among these issues to be considered, it is especially important that the case is legally sound and refined. To know what documents we need to collect, what legal procedures we need to go through, etc.

• Its registration is simple and can be established by several or only one person, in this case the company’s founder/partner and director/managing and representative person are one and the same. (At least 2 founders are required for the registration of a joint liability company, a limited partnership and a cooperative); the partner/founder is not liable to creditors with his property, hence the name limited liability company, since the liability is limited only to the property of the LLC, unlike other legal entities of entrepreneurial entities of forms (an individual entrepreneur is fully liable with all his property for the obligations undertaken, as well as the founders of a joint liability company); the existence of the charter capital is not required for the registration of the LLC; the legislator grants the founder the authority to determine the form of governance, the governing body and other important issues by the charter.
• LLC is a legal entity, and as it has independent rights and obligations, it is necessary to be registered in the business register, since the action taken before registration is not considered to be taken by the company, and the persons performing this action and the founders of the limited liability company are personally responsible with all their property for its consequences.
• How is LLC registration done? In order to register an LLC, citizens must apply to the National Public Registry Agency (House of Justice), which reflects the registration data of the LLC in the register of entrepreneurs and informal legal entities. Data and protected documentation reflected in the register of entrepreneurs and non-entrepreneurial legal entities are public and available to any interested person, both on paper and in electronic form.
• Necessary documentation for registration an identity document; – an agreement/statute signed and duly certified by all partners/founders; – in the event that a legal entity is registered at an address different from the address specified in the identity document of the partner/founder, head/representative, which is not the property of the above-mentioned persons, In addition, it is necessary to submit to the registering authority the consent of the owner of the immovable object at the mentioned address or a duly drawn up and certified agreement on the use of this object (lease, rent, requests or others); , for the registration of the LLC, it is necessary to have his written consent to the appointment as a managing person duly drawn up and certified.

What activities can be carried out by LLC?

LLC can carry out any legal activities, however, there are types of activities, for the implementation of which it is necessary, the relevant license/permit, the acquisition of which is a necessary prerequisite for the implementation of these activities.

Is the LLC obligated to pay taxes?

Frequently asked questions about LLC taxes. In each case, the LLC pays the income tax of the employees in accordance with the salaries paid to them. At the end of the year, it establishes the annual balance according to the income and expenses, and if the income exceeds the expenses, 20% of their difference represents the profit tax. In addition, if the annual turnover of the LLC exceeds 100,000 GEL, the LLC is registered as a VAT payer and is obliged to pay the corresponding VAT tax every month.