How to Register an LLC in Georgia in 2026

Most foreigners who start a business in Georgia set up an LLC: around 98% of foreign-owned companies take this form. There is no minimum share capital, you don't need a resident partner, and one founder is enough.

LLC or Individual Entrepreneur: Which One Fits

If you already have individual entrepreneur status in Georgia and have outgrown it, an LLC is the obvious next step once you need staff, investors or limited liability. The founder's personal assets are protected from the company's debts, while an individual entrepreneur answers for them with everything they own.

An LLC works better when you hire people, bring in investors or share ownership with partners. If the business is just you, with no employees or co-owners, staying an individual entrepreneur is usually simpler and cheaper.

An LLC is also the standard route to a residence permit in Georgia on a business basis. Under the rules that took effect on July 9, 2026, the company must turn over at least 50,000 lari a year for each foreign employee.

Where and How to Register

Companies are registered by the National Agency of Public Registry at the Public Service Hall, the building with eleven white "petals" on the bank of the Mtkvari (2 Zviad Gamsakhurdia Embankment). It is the same place where individual entrepreneurs register and residence permits are issued, and a foreign founder can own 100% of the company without any special permission.

What Documents to Bring

• the founder's passport (and the director's, if the director is someone else)
• the company charter (the standard template is fine)
• a legal address in Georgia
• a notarized power of attorney if someone files on your behalf

How Long It Takes and What It Costs

The National Agency of Public Registry charges 200 lari for standard registration, which takes one business day. Same-day registration costs 400 lari. That is more than an individual entrepreneur pays (26 and 75 lari), but the process is still quick and free of the red tape you find in many other countries.

Profit Tax and the Estonian Model

Georgia taxes company profit on the Estonian model. While profit stays in the company and goes into reinvestment, salaries or running costs, the rate is 0% and nothing is owed. The 15% tax kicks in only when profit is distributed, and it is grossed up: to pay out 85,000 lari, the company pays 15,000 lari in tax.

When dividends actually reach the founder, a further 5% is withheld. Taking profit out of the company therefore costs noticeably more than 15%, so build that into any estimate of what the business really earns you.

When You Have to Register for VAT

VAT in Georgia is 18%. You must register once taxable turnover goes over 100,000 lari in any rolling 12-month period, and the application is due within 2 business days of crossing that line. You can also register voluntarily before then if it makes life easier with partners who pay VAT.

Tax Breaks for IT Companies

An LLC that sells IT services to clients abroad can apply for one of two statuses in place of the standard rates. Virtual Zone Person status brings profit tax down to 0%, compared with the usual 15% on distribution, but only on profit from IT services supplied to clients outside Georgia. The Financial-Analytical Service issues the certificate in about 10 business days, and you don't need any track record in Georgia.

International Company status lowers profit tax to 5% and income tax on staff salaries to 5% from 20%. It calls for at least two years of documented activity and a genuine presence in Georgia, which makes it a later stage for most companies, not a place to start.

Whichever status the company holds, services exported to foreign clients carry effectively zero VAT under the standard place-of-supply rule.

Opening a Company Bank Account

Opening a bank account in Georgia for an LLC usually involves more paperwork and more waiting than for an individual entrepreneur. Banks are more likely to ask for a business plan, the ownership structure and the source of funds, especially when the founders are foreigners. Leave time for this when you plan your launch.

Bookkeeping and Reporting

An LLC keeps its books all year. Under the Estonian model, it files a profit tax return only for months in which it actually distributes profit: the return and the payment are due by the 15th of the following month, and months with no distribution usually need no profit tax return at all.

Companies registered for VAT also file a monthly VAT return by the same date, whatever their turnover.

Separately from tax reporting, an LLC must file annual financial statements with the Registry of Entrepreneurs. These are due by October 1 of the year after the reporting year, and the format (simplified, IFRS for SMEs or full IFRS) depends on the size of the company.

Individual entrepreneurs don't have to do this. Most foreign owners hire a local accountant: the law doesn't require one, but keeping up with the rules on your own is hard.