| LLC | PLC | Free Trade Company | Branch Office | Rep Office | |
|---|---|---|---|---|---|
| Local Name | सिमित दायित्वको सँस्था | सार्वजनिक दायित्व कम्पनी | विशेष आर्थिक क्षेत्र कम्पनी | शाखा कार्यालय | प्रतिनिधि कार्यालय |
| Company Setup Time | 15 days | 20 days | 10 days | 20 days | 20 days |
| Bank Account Opening | 10 days | 10 days | 10 days | 10 days | 10 days |
| Government Grants Available | Yes | Yes | Yes | No | No |
| Government Contracts Bidding | Yes | Yes | Yes | No | No |
| Limited Liability | Yes | Yes | Yes | No | No |
| Client Required to Travel | No | No | No | No | No |
| Inquiry | Inquiry | Inquiry | Inquiry | Inquiry |
Corporate Structure Explained
Nepal Limited Liability Company (LLC)
- An LLC must appoint one director and one shareholder of any nationality. The minimum share capital must be US$ 1 to complete the incorporation process.
- The LLC must keep an account book in its registered office, in English or Nepalese languages.
- Also, it has to submit audited financial statements every year. The LLC must appoint a certified auditor.
Nepal Public Limited Company (PLC)
- A PLC company requires a minimum capital of US$100,500. The required capital can increase for financial or banking related companies. It must appoint at least three directors and seven shareholders of any nationality. The PLC must appoint a resident secretary.
- The PLC must hold an annual general meeting within the first year of its incorporation. Thereafter, every year within 6 months of the end of the financial year. The Board of Directors must meet at least six times a year.
- The PLC must submit an auditor’s report and financial statements every year.
Nepal Branch Office
- A foreign entity can open a branch office in Nepal and can have 100% foreign ownership. The scope will be defined by the parent company. The branch must have a registered address and appoint a resident agent.
Nepal Representative Office (Liaison office)
- This entity is not permitted to conduct direct income generation activities. It can only be involved in market research and promote the parent company business. All of the representative office’s expenses must be through foreign currency remittances inward.