How To Start A Business In Kuwait As A Foreigner?
With 1.4 million citizens, 3.3 million expatriates, and 6 percent of the world’s oil reserves, Kuwait is a rich country with a wealth of natural resources, and it is among the world’s top ten oil exporters.
Although the economy is mainly dependent on oil. But there is a high opportunity to start a company in Kuwait in multiple sectors.
In this article we will answer, how to start a business in Kuwait as a foreigner? So, let’s get started without any delay!
Setting up a company in Kuwait is not that stressful. It costs 323 Kuwaiti dinars (about 1000 USD) and takes about a month. The steps involved are nearly the same regardless of company types and include
Submit an application that includes details of your company’s capital, shareholding and other information to the Companies Department of the Ministry of Commerce and Industry (MOCI) for registration.
Background check by the Ministry of Commerce through the local municipality and the Ministry of Interior.
- Reserve a unique company name and submit it to the company registry for name approval.
- Retrieval of the letter addressed to the bank by the management of companies.
- Deposit the paid-up capital of your company in the bank and receive the receipt.
- Scheduling the inspection by the local municipality and obtaining a no-objection certificate within two weeks.
- Submitting the articles of incorporation to the companies’ management and approving it.
- Notarizing the notarial contract before the notary public.
- Depositing a signed and notarized copy of the Memorandum of Association with the Companies Department.
- Register in the commercial registry and receive a registration certificate (CR).
- Obtaining a commercial license from the Companies Department.
- Registration in the Kuwait Chamber of Commerce and Industry.
- Registration with the Public Authority for Civil Information.
- Registration in the Department of Labor and Social Affairs.
Every company registered in Kuwait must hire local Kuwaitis based on the applicable sector specific requirements which may vary from 3 to 60 percent of the total number of employees.
Social security contributions are mandatory for all employees at a rate of 10.50 per cent. While the employer is required to contribute an amount equivalent to 11.5 per cent of the employees’ monthly salary, up to a maximum of KD 2,750 to the financial rewards fund.