A company is characterized as any individual or organization that wishes to conduct business and has formed a “private limited” or “public limited” company in line with the Companies Act, 2063, and has a perpetual succession that is an autonomous and organized organization.
The company can acquire moveable and immovable property, sell or undertake any type of business like a natural person, and sue or be sued in its name.
- Private companies,
- public corporations,
- and limited liability firms are the three types of companies that can be registered/incorporated in Nepal under the Companies Act of 2063.
The Private Corporation
According to the Companies Act of 2063, a private business is defined as one with less than 101 shareholders and a name that includes the words “private limited” as the last word.The minimum paid-up capital of a private business is NRs. 1,000,000.
The Public Company
A public company, according to the Companies Act of 2063, is one that requires a minimum of seven promoters and a maximum of any number.. The last words of a public company should be “limited.” The minimum paid-up capital of a public business is NRs. 1,000,000.
Company that does not distribute profits
Profit not distributing companies are those that are not entitled to distribute or pay to their members any dividends or money produced or saved for the achievement of any goals. For the incorporation of a firm that will not distribute profits, there must be at least 5 promoters.
Company Registration in Nepal: Process and Procedure;
Step 1: Reserve the Company Name at office of the Company Registar
(OCR)
Step 2: Submit a physical copy of the papers to OCR.
Step 3: OCR examination of provided documents
Step 4: OCR issues an incorporation certificate.
Documents necessary for company registration in Nepal;
- Application for registration
- Memorandum of association and articles of association of the proposed company
- Certificate of Citizenship
- Shareholder agreement (if applicable)
- In general, the following are the main and most important company law services given by our law office to Nepalese and foreign clients for doing business in Nepal;
- In Nepal, you can register or incorporate a private, public, or non-profit company.
Company conversion, i.e. to a Public Limited Company from a Private Limited Company to Public Limited Company - Annual Compliance for any type of company registration in Nepal
- Filing at the Company Registrar’s Office
- ISO Certification Company pertains to any legal services;Specifically, sell and acquire Company stock.
Should you have any questions relating to company registration/startups in Nepal then do not hesitate to contact us.
