Legal Information and Questions

Out of commitment to educating and empowering our clients, Edara Plus provides a dedicated platform to answer key legal and procedural inquiries related to the business environment in the State of Qatar, helping you understand procedures and make your decisions with confidence and clarity.

Can the percentage of a foreign partner in the company exceed the 49% stipulated in the Foreign Investments Law?

Can a Gulf company open a branch with a foreign partner if the parent company owns a 30% stake?

A foreign partner may enter into a partnership with a citizen of a GCC country only in any sector permitted by Qatar Investment Law No. 13 of 2000.

Can a sole proprietorship become a partner in the business of an existing company?

Yes, this can be done by purchasing shares in the company.

What are the requirements for establishing a foreign recruitment agency?

The owner must be Qatari.
The company must not engage in any other commercial activities.

What are the requirements for opening company branches?

The branch to be established must have the same name as the main branch and the same activities stipulated in the articles of incorporation.

What is the minimum capital required to set up a business?

There is no minimum or maximum capital requirement to start a company.

What happens when a foreigner (whose name is on the commercial register) leaves the country? Can the register be deleted or just his name deleted?

Yes, a commercial registration can be cancelled if not renewed within 90 days. The system will notify the registrant of the cancellation and deregister the business. A partner may also be removed by virtue of a share sale agreement or through the courts.

What are the requirements for establishing a limited liability company with one person?

Proof of the founder’s identity.
Register proof of identity on the company’s articles of incorporation form certified by the Ministry of Justice.
A copy of the authorized signatory’s identity card.
If the applicant is a legal representative, a notarized power of attorney is required.
A letter from the company if the founder is a legal entity.
Approval from the relevant authority for the activity (for certain activities).
Registration of the trade name with the Department of Business Registration and Permits.

What are the requirements for establishing a Qatari company with foreign capital?

Additional documents required for companies with foreign capital are:
Curriculum Vitae (CV).
Professional license for the partner (for professional activities).
Applicant’s passport.
Partner’s passport.
Project business plan.
Non-Qatari commercial registration authenticated by the Ministry of Foreign Affairs.
Certificate of good conduct from the home country.
Letter of authorization to represent the company.