Ethiopia - Establishing an Office Ethiopia-Establishing an Office
According to the World Bank’s Doing Business 2019 report, starting a new business in Ethiopia takes 32 days, one day less than in 2018 and three days less than in 2017. A foreign company seeking to open an office in Ethiopian must go through the following procedures: one procedure fewer than the 12 procedures required in 2018 and three procedures fewer than the 14 procedures required in 2017.
- Reserve a unique company name or authenticate a company’s international name.
- Authenticate the company documents and the office lease agreement at the Documents Authentication and Registration Office (DARO) under the Ministry of Justice: http://www.daro.gov.et/?lang=en
- Obtain a Tax Identification Number (TIN)
- Register and obtain the commercial registration certificate from the Ministry of Trade and Industry.
- Make a company seal.
- Register the company and employees with the Private Organization Employees' Pension Fund.
- Register with the Ethiopian Revenue Authority for Value Added Tax (VAT).
- Publish the trade name in a nationwide newspaper.
- Reserve a unique trade name.
- Obtain a business license from the Ministry of Trade and Industry.
- Install a cash registration machine (if you generate over 500,000 Birr – roughly $18,350 - in annual revenue).
- A notarized copy of the registration of a parent company in the United States
- A copy of the U.S. Memorandum and Articles of Association.
- An authenticated decision of the parent company's board of directors or a similarly authorized body for the establishment of a branch in Ethiopia. The decision should indicate the types of activities of the branch, the individuals appointed by the parent company to act on its behalf, and the capital allocated for its operation.
- An authenticated power of attorney issued by an authorized organ of a company for the permanent representative in Ethiopia.
- A letter of financial reference from the company's bank.
- A notice published in a local newspaper announcing the establishment of a branch company in Ethiopia.