Many have always dreamed of establishing a simple partnership company in Egypt, to keep pace with the progress and prosperity experienced by industry and trade. But procedures often stand in the way of this.
This article explains the steps for establishing a limited partnership company in Egypt, in addition to the papers and documents required to complete the task.
What is alimited partnerships company?Copy
It is one of the types of companies in Egypt, which is divided into two main types, each type represents a specific team.
The first type is the limited partners, which consists of two or more partners, who participate in the capital of the company, without any administrative powers. Moreover, they are bound by all the debts and obligations of the company, according to their share of the total capital.
The second type is represented by the general partners, which is a group of partners who have great administrative powers, in addition to practicing many activities within the company. They are also obligated to bear the company’s debts.
Characteristics of a simple partnership companyCopy
Before we get to know the steps for establishing a simple partnership company in Egypt, let us first learn about the characteristics of the company, and delve into the powers of both parties in the company. The characteristics of a simple partnership company are:
The name of the company must include the name of one of the general partners, with the addition of the phrase “and his partners”.
The limited partner does not have the right to sell and buy goods, but the general partner acquires this capacity.
The company shall continue to operate normally, even after the death or bankruptcy of one of the general partners.
The limited partner may assign his share of the company’s capital to another individual, while the general partner is not entitled to do so without the consent of the partners.
The establishment of a simple limited partnership in Egypt gives the right to the general partners with full management, unlike the limited partners.
Steps for establishing a simple limited partnership in EgyptCopy
It has become easy to establish a simple limited partnership in Egypt; Thanks to a lot of advantages and customs exemptions. The steps include:
- The company founders write the contract, which includes the formula that was previously agreed upon. The contract includes the purpose of the company, the parties, and the management, and must be signed by all parties.
- The lawyer pleads before the Court of First Instance; To confirm the validity of the contracts, and stamp them in the commercial registry .
- He also signs it, and the sub-union ratifies his signature.
- The lawyer shall submit the original contract and the original summary to the Court of First Instance; to register contracts.
- The investment authority employee signs the due registration fees and makes sure that the fees are paid to the court treasury, then submits the original contract summary and a copy of it to the court; To use the copy on the bulletin board.
- The summary of the contract is returned to the competent court official; To add it to the company’s contract file, and sign the original contract and summary.
- The owner of the company and his partners shall receive an official copy of the contract summary, completely identical to the original. The owner has the right to obtain more copies after paying the fees due.
- The company’s founders publish a copy of the contract summary in two newspapers designated for publishing judicial announcements. The contract summary contains the names, titles, qualities, and addresses of the owners of the company and the address of the company.
- An application is submitted to the Tax Authority to obtain the company’s tax card. The documents required for establish a limited partnership in Egypt include:
- A copy of the company contract.
- A copy of the company headquarters contract.
- Copies of the partners’ personal cards.
- Copies from the power of attorney.
- Submitting a request to open a tax file; To obtain a tax card.
- Obtaining a license to practice the profession, and requesting registration in the Chamber of Commerce, by submitting the following documents:
- Company headquarters contract.
- A copy of the company contract.
- The tax card issued.
- Request to obtain a certificate of practicing the profession.
- Criminal status.
- A copy of an official power of attorney.
- A copy of the electricity meter installation and a receipt from the Electricity Department.
- Finally, the company owners go to the Commercial Registry Office; To complete the steps of establishing a limited partnership in Egypt, and obtain the commercial registration of the firm, after preparing the following papers :
- Company contract summary.
- The original and copy of the company contract.
- Newspapers in which the contract summary was published.
- A license to practice the profession.
- Original and copy of the personal identity card.
Fees for establishing a simple limited partnership in EgyptCopy
The steps for establishing a limited partnership company in Egypt involve paying the fees due as follows:
- 56 Egyptian pounds: for the commercial registry.
- 261 Egyptian pounds: for the commercial registry, if the firm has a branch.
- 10,000 Egyptian pounds: as a maximum fee for the issuance of limited partnership shares.
- 200 Egyptian pounds: to obtain a certificate of practicing the profession.
- The steps for establishing a simple limited partnership in Egypt need a legal expert, who .
- can draft contracts, register the company, and extract its commercial registry.
- Assistance in choosing the right place to establish the company.
- Registration of the company, its headquarters, and phone numbers
- .Assistance in choosing the company’s activity.
- Preparing all papers and documents required for company registration
- .Formulating the company’s contracts.
- Preparing contracts for employees, and setting behavioral and disciplinary regulations within the institution.
FAQs about establishing a simple limited partnership company in EgyptCopy
What are the types of companies in Egypt?Copy
The types include limited partnership companies, joint stock companies, private joint stock companies, holding companies, andlimited liabilitycompanies LLC.
How do I register a simple limited partnership company in Egypt?Copy
By completing the required papers to obtain the commercial register, tax card, and certificate of practicing the profession.
How much does it cost to open a company in Egypt?Copy
Nearly 20,000 EGP in addition to the company's capital.
Can foreign start a business in Egypt?Copy
According to the law Yes, he can have a business, but after fulfilling 4 conditions, namely the approval of the General Investment Authority, and to be an Egyptian partner, and his share does not exceed 49%, to obtain a commercial register for those who practice the profession of export.
What are the advantages of establishing a simple limited partnership company in Egypt?Copy
Flexibility in managing the company, the ability to invest money optimally, and constant development of the corporate.
What are the disadvantages of establishing a simple limited partnership company in Egypt?Copy
The possibility of manipulating the financial accounts of the corporate.
In summary, establishing a limited partnership company in Egypt requires a set of steps and procedures approved by the Egyptian government; To facilitate the procedures for registering companies, reduce the fees payable to them, obtain a certificate of practicing the profession easily, and recognize the company as one of the important economic entities in the country.
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