Establishing individual companies in Egypt

Establishing a sole proprietorship in Egypt usually refers to a sole proprietorship or sole proprietorship, which is the simplest type of legal entity for conducting commercial, industrial, or service activities. The owner is a single person, who bears full responsibility for the company's obligations from his own funds.

1- Choosing a trade name: It must be unique and not already used by another establishment. It can be reserved electronically through the commercial register.

2- Determining the business activity: The type of activity must be specified (commercial, industrial, service, etc.), as this affects the required licenses.

3- Preparing the required documents:

* A copy of your national ID card or passport (valid and clear).

* A lease or ownership contract for the company's headquarters, with the date shown.

* A recent utility bill (electricity, water, or gas).

* A tax registration application.

* An investor identification form (for foreigners).

* Approval from the competent authority if the activity requires prior approval.

4- Going to the General Authority for Investment or the Chamber of Commerce: You can apply electronically through the Authority's portal or through the Investor Services Center.

5- Submitting documents and paying fees: Documents will be reviewed within 24 business hours, then fees will be paid electronically and documents will be signed electronically.

6- Obtaining a tax card: After tax registration, the tax card is issued by the Tax Authority.

7- Registering the establishment in the commercial registry: Submit the documents to the commercial registry office, and the establishment is registered under the chosen trade name.

8- Obtaining the necessary licenses: Depending on the type of activity, additional licenses may be required (environmental, health, industrial, etc.).

9- Opening a bank account in the establishment's name: Preferably after completing the basic procedures.

The owner is personally and unlimited liable for the debts and obligations of the sole proprietorship.

The difference from a one-person company: A sole proprietorship does not have a legal personality separate from its owner, while a one-person company is an independent entity with limited liability.

Procedure duration: The procedure often takes a few days if the paperwork is complete.

How to acquire a sole proprietorship: Sometimes companies face a crisis due to their desire to acquire a sole proprietorship, as this requires reevaluating the sole proprietorship as a share in the capital of a joint-stock or personal company.

Unlimited liability: The owner bears all debts from his own funds.

Difficulty in expanding and attracting investors: Due to the lack of a corporate structure.

Establishing a sole proprietorship in Egypt has become easier thanks to electronic services. It is always advisable to consult a legal advisor to ensure proper procedures and compliance with the laws.