Company Registration in Qatar from India

Company registration in Qatar, commonly known as Commercial Registration (CR), is the legal process for establishing your business with the Ministry of Commerce and Industry (MOCI). The MOCI serves as the primary authority for approving and overseeing company formation in the country.

Once your business is registered, it becomes a separate legal entity under Qatari law. This allows it to enter into contracts, own assets, sue or be sued, and operate independently within Qatar’s growing economy.

Qatar is undergoing rapid development, creating exciting opportunities for Indian businesses seeking global expansion. Its great location, top-notch facilities, and strong business environment make it an attractive place for investing and trading.

Qatar's economic landscape offers significant advantages for Indian enterprises, such as:

1. A Thriving Economy Fuelled by Qatar National Vision 2030

Qatar's economy is experiencing substantial growth, driven by its National Vision 2030. This ambitious plan aims to transform the country into a knowledge-based economy, significantly reducing its reliance on hydrocarbons. This vision has spurred substantial investments across diverse sectors, including:

• Technology: Embracing new digital solutions.
• Logistics: Advanced port and airport facilities for global supply chain management.
• Manufacturing: Building more things locally.
• Tourism: Attracting more visitors.

This ongoing investment makes it a fertile ground for new businesses and diverse economic opportunities.

2. The Gateway to the Middle East and Global Markets

Qatar is perfectly located where three continents meet, giving unmatched access to markets across:

• The Middle East
• Asia
• Europe
• Africa

Its modern Hamad International Airport and Hamad Port are vital hubs for trade and supply chains worldwide.

3. A World-Class Infrastructure and Business Environment

Qatar has modern and continuously improving facilities. This includes:

• Advanced transportation networks: Easy ways to move around.
• Cutting-edge telecommunications: Fast and reliable communication.
• High-speed digital services: Such as nationwide 5G and 1GB/ps internet speeds.

Additionally, the smart city of Lusail stands out as a flagship project showcasing Qatar’s commitment to innovation and sustainability. The Qatari government permits 100% foreign ownership in designated areas, easing business setup with clear rules and strong support.

4. Strong Bilateral Ties and a Large Indian Expatriate Community

India and Qatar share strong historical and economic ties, with trade between the two nations exceeding USD 16 billion. Qatar is home to the largest Indian expatriate community in the Gulf, with over 800,000 Indians living there.

The presence of a large and vibrant Indian expatriate community in Qatar provides:

• A familiar cultural context
• A readily available talent pool

This significantly eases the transition for Indian businesses looking to establish operations in the country.

5. Favourable Tax Environment of Qatar

Qatar offers attractive tax conditions for businesses, such as:

• Corporate Tax Rate: For companies on the mainland, there's a standard corporate tax rate of 10% on profits.
• Free Zone Benefits: Businesses set up in Qatar Free Zones can enjoy 0% corporate tax for up to 20 years.
• No Personal Income Tax: Individuals do not pay income tax in Qatar.

Other Exemptions: Several other taxes are also not applied, including capital duty, property tax, transfer tax, and stamp tax.

Indian citizens planning to register a company in Qatar need to meet specific requirements, which change based on the type of business structure chosen.

1. General Requirements for All Company Types

No matter the business type, certain basic rules apply to all Indian applicants.

• Valid Passport and Personal Identification

• • All directors and shareholders must provide copies of their valid passports.
  • If you already live in Qatar, copies of your valid Qatar ID are also a must.

• Proof of Funds/Capital (as per company type)

• • Minimum share capital requirements differ based on the company type and where you register it.
  • For example, a main Limited Liability Company (LLC) usually needs a minimum share capital of QAR 200,000. While some say there's no strict minimum, QAR 200,000 is often suggested for approval.

• Clear Criminal Record

• • Applicants may be asked to provide a clear criminal record certificate from their home country.

• Compliance with Qatari Laws and Regulations

• • All businesses must strictly follow relevant Qatari laws and rules, including:

• • Labor laws (how you hire and manage staff).
  • Tax laws (how you pay taxes).
  • Health and security laws.

2. Specific Requirements for Mainland LLC

Setting up an LLC (Limited Liability Company) on the mainland has its own set of distinct rules, including:

• The 51% Qatari Partner Rule

• • In the past, for a mainland Limited Liability Company (LLC), a Qatari person or company had to own at least 51% of the shares.
  • However, since 2019, the Foreign Direct Investment Law now allows 100% foreign ownership in most business sectors under the Ministry of Commerce and Industry (MOCI). This needs official approval and must fit with Qatar's development plans.
  • It's important to know that some specific industries, like banking, car dealerships, and insurance, might still require a local Qatari partner.

• Minimum Share Capital Requirements

• • While there's some flexibility, an LLC usually needs a minimum share capital of QAR 200,000.
  • This money is typically put into a temporary bank account during the registration process and can often be used or taken out after about a week.

• Physical Office Address Mandate

• • A physical office address in Qatar is a requirement for mainland LLC registration.
  • You'll need a valid lease agreement or proof of property ownership.

3. Specific Requirements for Free Zone Company

Establishing a company in one of Qatar's Free Zones involves distinct criteria:

• Business Activity Alignment with Free Zone Focus

• • Companies in Free Zones must match their planned business activities with what the chosen Free Zone focuses on (e.g., technology, logistics, manufacturing, aviation).

• No Minimum Share Capital (often)

• • Free Zones generally do not have a strict minimum share capital requirement, giving you more financial freedom.

• Business Plan Requirement

• • A full business plan showing your planned activities, money forecasts, and long-term goals is usually required for Free Zone applications.

4. Specific Requirements for Qatar Financial Centre (QFC)

The QFC caters to a specialized sector with unique demands:

• Focus on Financial and Professional Services

• • The QFC mainly helps financial and professional services firms.
  • Businesses must make sure their activities are allowed within the scope set by the QFC Authority.

• Specific Capital Adequacy Requirements

• • Depending on the regulated financial services activity, specific rules about how much money you must have (capital adequacy) might apply to companies registered with the QFC.

• Adherence to QFC Regulations

• • Companies registered with the QFC operate under their own special legal and regulatory system, which is different from the mainland.

Indian investors have three primary options for company registration in Qatar, each with its own advantages and regulatory framework.

Option 1: The Qatar Mainland Company (LLC)

This is the most common and flexible choice. A mainland LLC lets companies operate anywhere in Qatar and directly deal with the local market. While the 51% Qatari partner rule was common, recent changes (since 2019) allow 100% foreign ownership in many sectors, making it more appealing for international investors.

Option 2: The Qatar Free Zones (QFZ)

Qatar has two major Free Zones: Ras Bufontas (Airport Free Zone) and Umm Alhoul (Port Free Zone). These zones offer significant benefits and are a popular way for foreign companies to register in Qatar.

Option 3: The Qatar Financial Centre (QFC)

It is best suited for financial and professional service firms and provides an onshore environment with international legal standards. QFC also allows 100% foreign ownership with competitive tax rates.

Comparison: Mainland vs. Free Zone vs. QFC

Here’s the key difference between them:

A full set of documents is needed for Indian applicants to complete company registration in Qatar. Here’s the list of documents:

1. Required Personal Documents for Indian Directors and Shareholders

For each Indian director and shareholder, you need these personal documents:

• Valid passport copies (passport should be valid for at least six months).
• Qatar ID copies (if the person already lives in Qatar).
• Curriculum Vitae (CV) or a detailed business profile.
• Signed Declaration and Consent Form.
• No Objection Certificate (NOC) from their current employer (if the person is employed in Qatar and will be involved in the new company).

2. Attested Corporate Documents for Indian Parent Companies

If the Qatar company is a branch or subsidiary of an existing Indian parent company, these corporate documents are necessary:

• Certificate of Incorporation/Registration of the parent company.
• Constitutional documents of the parent company (e.g., Memorandum and Articles of Association).
• Board Resolution approving the setup of the Qatar company and appointing people to sign documents.

Important Note on Attestation and Legalization:

All corporate documents must first be officially approved in India.

• Then, they must be officially validated by the Qatari Embassy or Consulate in India.
• Finally, further validation might be needed by the Ministry of Foreign Affairs in Qatar.
• Documents not originally in English must come with a certified English translation.

3. The Importance of a Detailed Business Plan

A detailed business plan is crucial for approval, particularly for Free Zone and QFC registrations. It should clearly outline:

• The company's proposed activities
• Detailed market analysis
• Financial projections (for at least three years)
• Operational strategy

4. Power of Attorney and Other Legal Documents

You might also need documents that authorize someone to act on your behalf, such as a Power of Attorney (POA).

• A Power of Attorney (POA) may be needed to let a local representative or legal consultant act for the Indian applicant during the registration process.
• Other legal documents might include:

• Lease agreements for office space.
• Bank statements to prove financial ability.
• Pre-approvals are needed for specific business activities (e.g., from health or environmental authorities).

For Indian nationals opting for a mainland LLC, the following steps generally apply:

Step 1: Finding a Qatari Partner or Sponsor

While 100% foreign ownership is now permitted in many sectors, some business activities still require a Qatari partner holding 51% ownership. Even where full foreign ownership is allowed, companies may still choose a local sponsor to help explore the local market.

Sectors where 100% foreign ownership is typically permitted include:

• Information Technology
• Consultancy and Engineering
• Manufacturing
• Education and Training
• Healthcare Services
• Tourism and Hospitality

However, obtaining ministerial approval is mandatory for setting up a 100% foreign-owned business in Qatar.

Step 2: Reserving a Company Name and Drafting the Articles of Association

Choose a unique company name and reserve it with the Ministry of Commerce and Industry (MOCI). This typically takes one working day. Subsequently, draft the Memorandum of Association (MoA) and Articles of Association (AoA), outlining the company's objectives, structure, ownership, and internal governance. These documents must be in Arabic or bilingual and notarized.

Step 3: Opening a Temporary Bank Account and Depositing Share Capital

Obtain a letter from the MOCI to open a temporary bank account in Qatar. Deposit the minimum share capital (e.g., QAR 200,000 for an LLC) into this account. The bank will issue a certificate of deposit.

Note: This requirement is not applicable for all business structures, such as Free Zone entities or QFC setups, which may not mandate a fixed share capital.

Step 4: Obtaining a Commercial Residence (CR) from MOCI

Submit the necessary documents, including the MOA/AOA, bank certificate, and passport copies, to the MOCI to obtain your Commercial Registration (CR). This is a crucial step and usually takes a few working days. The CR is usually valid for one year and requires annual renewal.

Step 5: Securing a Trade License and Other Necessary Permits

After getting your CR, you'll need operational licenses.

Once you have your CR, apply for a Trade License from the Ministry of Commerce and Industry and the Ministry of Municipal Affairs. This involves submitting documents such as:

• Your CR.
• Your office lease agreement (the office space must comply with municipal regulations, including location and minimum size).
• Photos of your office space.

Step 6: Registering with the General Tax Authority

Register your company with the General Tax Authority (GTA) to obtain a Tax Identification Number (TIN) and ensure compliance with Qatar's tax regulations. The Dhareeba system is the official digital tax platform used for registration, filing, and tax management in Qatar

The Qatar Free Zones Authority (QFZA) aims to make the registration process easy, acting as a single point of contact for businesses. The registration process generally involves:

• Business Plan Submission: Applicants submit a detailed business plan outlining their proposed activities, financial forecasts, investment amounts, and long-term goals.
• Online Application via QFZA Portal: Companies complete and submit application forms through the QFZA’s official online portal. This portal centralizes all steps, making it easier to track progress and communicate with the authority.
• Activity Alignment Review: The QFZA assesses whether the proposed business activity fits the strategic focus of the chosen Free Zone (e.g., technology, logistics, manufacturing, aviation).
• Pre-Approval and Due Diligence: After initial evaluation, the authority conducts due diligence checks before granting pre-approval for company registration.
• License Issuance and Registration: Upon approval, the business receives its commercial registration (CR) and operating license, enabling it to begin operations within the Free Zone.

Permitted Business Activities and Licensing in the Free Zones

Each Qatar Free Zone is designed to attract specific industries that support Qatar’s broader economic diversification and development plans. The permitted business activities vary depending on the Free Zone location and its sector focus.

Below are some common categories and examples of allowed activities:

1. Technology and Digital Services

• Software development and IT services
• Data centers and cloud computing
• Cybersecurity firms
• Digital marketing and e-commerce platforms
• Research and development (R&D) in technology
• Telecommunications services

2. Logistics and Supply Chain

• Freight forwarding and customs clearance
• Warehousing and distribution centers
• Shipping and maritime services
• Cold storage and temperature-controlled logistics
• Supply chain management and consultancy
• Import-export trading companies

3. Manufacturing and Industrial

• Light manufacturing of electronics, textiles, and consumer goods
• Assembly and packaging services
• Food processing and packaging
• Industrial machinery maintenance and repair
• Production of construction materials
• Automotive parts manufacturing

4. Aviation and Aerospace

• Aircraft maintenance, repair, and overhaul (MRO)
• Aviation support services
• Aircraft leasing and charter operations
• Aerospace research and development
• Airport logistics and cargo handling

5. Professional and Consulting Services

• Legal and financial consultancy
• Management consulting
• Engineering and architectural services
• Environmental and sustainability consulting
• Training and education services

Businesses must ensure their planned operations strictly fall within the permitted activities of their chosen Free Zone to obtain licenses and legally operate.

The Qatar Financial Centre (QFC) offers a streamlined and investor-friendly company registration process with full foreign ownership and a strong legal framework.

1. Online Application

Begin by applying through the QFC portal. Choose your legal structure and business activity, and pay the non-refundable application fee (QAR 5,00).

2. Document Submission

Submit key documents, including:

• Business plan and 3-year financial projections
• Details and IDs of shareholders, directors, and senior managers
• Ownership structure and supporting documents (e.g., MOA, incorporation certificate)

3. Due Diligence

The QFCA (Qatar Financial Centre Authority) and, if applicable, the QFCRA (Qatar Financial Centre Regulatory Authority) will conduct thorough due diligence on your business model, compliance practices, and key personnel.

4. Required Forms & Declaration

As part of the approval process, you must fill out specific QFC forms, such as:

• Form Q01: Application for Incorporation or Registration
• Form Q02: Details of Shareholders
• Form Q03: Details of Directors/Senior Managers
• Declaration of Beneficial Ownership
• Compliance confirmation statement

5. License & Incorporation

Once approved, you’ll receive your QFC License, Certificate of Incorporation, and CR number. You can then open a bank account, lease office space, and apply for employee QIDs.

Permitted Activities for QFC Registered Firms

The QFC allows a wide range of activities.

• Financial Services (Regulated Activities): Such as banking, managing investments, and insurance.
• Professional Services (Non-Regulated Activities): Including legal services, accounting, consulting, and corporate headquarters.

The company registration cost in Qatar can vary a lot depending on the type of business, where it's registered, and how complex the business is. The volume of services and transactions needed will also affect the total cost. Here's the breakdown of fees:

1. Government Fees for Licenses and Registrations

These are official fees paid to the government bodies of Qatar:

2. Vendor Registration in Qatar and Its Associated Fees

To supply goods or services to major Qatari companies like QatarEnergy or Ashghal, vendors must complete a registration process that includes submitting documents and paying administrative fees.

These fees range from QAR 1,000 to QAR 5,000, depending on the company and service type. Here are the details:

Vendor registration is essential for participating in contracts and maintaining credibility with clients in Qatar.

2. Professional Fees for PRO Services and Legal Consultancy

It's highly recommended to hire professional PRO (Public Relations Officer) services and legal consultants. This is especially true for Indian citizens not familiar with Qatari rules.

• These fees can vary a lot based on how much help you need.
• A full package might include company setup, help with opening a bank account, finding an office address, and getting residency for directors.
• Average professional fees for the first year can be above QAR 10,000, depending on how complex your case is and which service provider you choose.

3. Costs for Office Space and Commercial Residence

The cost of renting office space will vary greatly based on the following factors:

• Rental costs for office space will change based on the location and size.
• A physical office is a must for mainland and QFC setups, requiring a valid lease agreement.
• Free Zones offer more flexible office solutions, including virtual offices, shared desks (flexi-desks), and dedicated office spaces, which can affect this cost.

4. Annual Renewal and Compliance Costs

Companies in Qatar have ongoing yearly costs for renewal and compliance. Here’s the details:

Notes:

• All costs are indicative and may vary depending on the business activity, company structure, and service providers.
• Monthly filing is required under the contract reporting regime of the General Tax Authority (GTA) for large contracts, and penalties apply for non-compliance.
• Taxable companies in Qatar must submit audited financials annually if their revenue exceeds QAR 2 million.

Securing the correct visas and permits is a critical step for Indian investors and their employees when establishing a business in Qatar.

1. Investor Visa After Company Formation

Once your company is successfully registered, Indian investors can apply for an investor visa. This visa grants them the right to live in Qatar.

• This process is usually handled through the Ministry of Interior.
• Qatar also offers a Residency by Investment program through real estate. Options start from USD 200,000 (about QAR 728,000) for a temporary residence permit.

2. Residence Permits for Your Employees

Companies can sponsor residence permits for their Indian and other foreign employees.

• This involves getting an establishment ID and labor quotas from the Ministry of Labor and Social Affairs.
• After that, applications for work visas are submitted through the Ministry of Interior.
• Free Zones often have simpler visa processes, making it easier to bring in international staff.

3. Qatar Labour Law and Regulations

Businesses operating in Qatar must strictly comply with the Qatar Labour Law (Law No. 14 of 2004), which governs all employment-related matters in the private sector. Key areas include:

Employment Contracts

• Every employee must have a written contract in Arabic (or a bilingual version) outlining job role, salary, duration, working hours, and benefits.
• Contracts can be fixed-term or open-ended and must be approved by the Ministry of Labour.
• Probation periods cannot exceed 6 months.

Working Hours

• Standard working hours are 48 hours per week (8 hours/day over 6 days).
• During Ramadan, working hours are reduced to 36 hours per week (6 hours/day).
• Employees are entitled to a weekly rest day, typically Friday.

Wages and Benefits

• Qatar follows the Wage Protection System (WPS) to ensure timely salary payments through authorized banks.
• QAR 1,000/month basic salary + QAR 300 for food + QAR 500 for housing, if not provided by the employer.
• Employees are entitled to annual paid leave (at least 3 weeks for those with one year of service).

Termination Procedures

• Employers must provide valid reasons and notice before terminating an employee.
• Notice period:
  • 1 month for employees with less than 5 years of service.
  • 2 months for those with more than 5 years.
• Unlawful termination can result in fines and compensation orders from the Labour Court.

End of Service Gratuity

• Employees completing at least 1 year of service are entitled to end-of-service gratuity.
• Gratuity is calculated as 21 days of basic pay per year of service.
• It is payable in addition to any unpaid salary, unused leave, or other benefits.

To find out the registration status of your company in Qatar, follow these simple steps:

1. Visit the Ministry of Commerce and Industry (MOCI) website: Go to the official portal at moci.gov.qa.
2. Find the Business Services section: Look for options related to company registration or business inquiries.
3. Enter your company details: Input the company’s name, commercial registration number, or license number as required.
4. Check the registration status: The system will show whether your company is registered and provide details about its current status.
5. Contact support if necessary: If you need further help, you can reach out to MOCI’s customer support via phone or email.

A Company Registration Certificate (CRC) is an official document issued by Qatar’s Ministry of Commerce and Industry. It confirms that your business is legally registered and authorized to operate in the country. This certificate is important for various legal, financial, and business activities.

The CRC contains essential details such as the company’s legal name, registration number, date of registration, business activities, and validity period. It serves as proof of compliance with Qatar’s commercial laws and is often required when opening bank accounts, entering into contracts, or applying for permits and licenses.

How to Download the Qatar Company Registration Certificate?

Here’s how you can download your company’s registration certificate online:

1. Visit the MOCI e-Services portal: Head to moci.gov.qa and log in using your business account details.
2. Go to the Certificates section: Find the part of the portal related to certificates or commercial registration.
3. Select your company: Choose the company for which you want the certificate.
4. Download the certificate: Click the option to download or print the certificate, which will usually be in PDF format.

Save your certificate securely: Keep a copy safe, as you’ll need it for official transactions and banking purposes.