Belarus is a member of the EAEU, which provides the resident with great opportunities, primarily in the field of trade in this market. Having decided to open a company in Belarus, a foreign investor must decide on the organizational and legal form of doing business.
When opening a company in Belarus, a foreigner can obtain a permit to work on the territory of Belarus, as well as a temporary residence permit in Belarus for 1 year with the possibility of its extension. Consider the most popular organizational and legal forms for foreign investors:
- Limited Liability Company (LLC).
- Private unitary enterprise (PE).
- Closed Joint Stock Company (CJSC).
- Open Joint Stock Company (OJSC).
Brief step-by-step instructions on how to register a legal entity:
Choosing and agreeing on the name of your company. You can check whether your name is unique on the website of the Unified State Register. It is necessary to agree with the registration authority (depending on your city). At the moment, this can only be done online or by mail. Since May 2020, personal approval has been suspended due to the pandemic.
- Choosing the legal address of your organization.
- Determination of the size of the authorized fund (the minimum size of the organization’s property).
- Drafting and approval of the organization’s charter, selection of a director, decision, or protocol on the establishment of an enterprise
Collection of documents
Application for state registration (you can use this service, with the help of which various applications are filled in an online form for their further submission on paper to the registering authority), 2 copies of the charter (+ digital version of this document, the format must be. doc or .rtf) and a receipt confirming payment of the state fee.
- Submission of documents to the registration authority (be sure to have identity documents with you).
Advantages of doing business in Belarus
In the World Bank Group’s Doing Business 2020 report, Belarus ranks 49th among 190 countries.
Thanks to the measures taken to create an attractive business climate – improving the tax system, simplifying the procedures for registering property and companies, etc. – Belarus in the world ranking “Doing Business” since 2006 has risen from the 120th line to several dozen positions, and takes leading positions in several indicators.
Today the state continues to implement plans so that by 2025 Belarus will enter the top 30 countries with the most comfortable conditions for doing business. The improvements cover many areas: administrative procedures, taxation, pricing, licensing, preferential treatment for investors, and protection of their rights.
In 2020, foreign investors invested $ 8.7 billion in the real sector of the Belarusian economy (except for banks) (in 2019 – $ 10 billion). Among the main investment partners of Belarusian entities are companies from Russia, Cyprus, Austria, the United Kingdom of Great Britain, and Northern Ireland.
The main trading partners are:
- United Kingdom
- The increase in the number of foreign companies in Belarus is determined by:
- Geographical position
Located on the eastern border of Europe, Belarus occupies a strategic position; the main trade route between Europe and the CIS runs through it.
During the global economic crisis, the Belarusian economy suffered less than other countries. Economic experts predict positive economic growth in Belarus.
Favorable investment climate
For the development of business in Belarus, free economic zones, the Hi-Tech Park, and the Chinese-Belarusian Industrial Park “Great Stone” have been created, there are special tax incentives for companies operating in rural areas or small towns.
Since January 24, 2014, the Law of the Republic of Belarus “On Investments” has been in effect, which has accumulated the main wishes of investors to protect investments, provide guarantees for the use of profits, and protect against interference in the private affairs of the investor.
Investors’ rights guarantees and investment protection in the Republic of Belarus are also provided by several international agreements. Since 2006 (during the country’s participation in the World Bank’s Doing Business rating), 39 reforms to improve the business environment have been recorded in Belarus.
Highly qualified workforce
Almost 50% of employees and workers in Belarus have higher education.
The industry of Belarus provides about a third of the country’s GDP.