Introduction:

Starting a business in the Republic of Azerbaijan involves clear, structured steps designed to streamline the process for entrepreneurs, both local and foreign. Whether you're planning a new venture or expanding internationally, understanding these essential steps will ensure a smooth entry into the Azerbaijani market.

1. Company Registration

The first and most critical step is registering your company. While Azerbaijan recognizes various commercial entities, the Limited Liability Company (LLC) is particularly favoured by entrepreneurs due to its simplified structure and flexible management.

Required documents include:

Application form

Decision document on LLC establishment

Charter of the LLC

Identification documents of founders and directors

Proof of payment of state duty

The application process typically takes two business days.

2. Temporary Residence Permit (TRP) for Foreign Directors

For foreign citizens acting as company directors, obtaining a Temporary Residence Permit (TRP) is essential. Necessary documentation includes:

Passport (valid for at least three months beyond the requested TRP period)

Constituent documents of LLC

Medical certificate

Photographs

Proof of residential address

This process typically takes 15 to 20 business days.

3. Registering "ASAN Imza" (Mobile Digital Signature)

"ASAN Imza" is crucial for digital interactions with Azerbaijani state institutions. Registration requires:

A SIM card supporting "ASAN Imza"

LLC constituent documents

TRP for the foreign director

Important Consideration: If your director hasn't yet received a TRP, it's advisable to appoint a temporary "E-representative" with an existing residence permit or Azerbaijani citizenship. This allows your LLC to operate without interruptions.

4. Registering the Director as an Employer

Upon obtaining a TRP and registering "ASAN Imza," your director must be registered as an employer via the "e-gov.az" portal. Employment contracts become legally valid only after electronic registration with ASAN Imza.

5. Opening a Bank Account

A simplified procedure has been implemented since October 2023. Entrepreneurs now apply directly to their chosen bank without needing a duplicate certificate from tax authorities, significantly streamlining the account opening process.

Conclusion:

Understanding these steps helps entrepreneurs navigate Azerbaijani business regulations effectively. With clear guidance, starting your LLC in Azerbaijan can be both straightforward and efficient, paving the way for successful business operations.