Armenia is a vibrant and rapidly developing country with a rich heritage and culture, stunning natural beauty, delectable food, and a low crime rate. It is one of the safest countries in Europe.
The Armenian people are known for their hospitality and openness and this is clearly reflected by the economic reforms that have been implemented by the government since 2018.
The economic reforms implemented by the Armenian government have created various incentives for foreign investors to engage with the Armenian market to create opportunities and jobs that benefit the entire country.
One of these reforms is the ability to open a legal business entity in Armenia even if you are not of Armenian origin or whether or not you are currently residing in Armenia.
As a foreign investor, you can also take advantage of tax benefits and other government assistance programs, especially if you do not speak Armenian.
Low-cost and Ultra-fast Registration
Registering a company in Armenia can take a single day if you are currently present in Armenia and up to 3 days if you are registering it from abroad through legal counsel.
Upon approval, you will receive a registration certificate with a taxpayer ID number which grants you full access to rent an office, hire local employees, and open a bank account.
There are no government fees for registering a company and the capital requirement can be as low as $1 USD.
As a foreign investor, you are eligible to own 100% of the company you registered in Armenia, no local partners needed. All the directors and employees of the company can be foreigners. They are not required to reside in Armenia or have local addresses.
Residency and Citizenship
If you own or manage an active business in Armenia, you and your family are eligible for residency (temporary, permanent, or special). Through exception, international business owners and businessmen may petition the Prime Minister directly for citizenship. A foreigner may become eligible for Armenian citizenship after three years of residence, according to general naturalization laws.
Depending on the type of business you plan on starting, you might be eligible for a zero-tax status. These types of businesses include micro-business, IT start-ups, companies operating in free economic zones, industrial zones, certain border towns, and villages.
If your business generates less than 115 million drams (approx. $240,000) annually then you are taxed at only 1.5-5% of sales turnover.
Other tax incentives exist for every type of business to help you get up and running.
Trained, skilled, and educated employees are abundant in Armenia. The literacy rate is 99.7% and universities in Armenia offer courses in Russian, English, and French.
The GPD grew by 7.6% in 2019 in Armenia — the highest in all of Europe.
Armenia is a member of a Russia-led block called Eurasian Economic Union (EEU), it is a single market of 180 million people. Armenia is also a member of the WTO, has free-trade agreements with ex-Soviet (CIS) countries, and benefits from preferential status (GSP) with the EU, Canada, Japan, Norway, and Switzerland.
Armenia ensures that investment capital and earnings are repatriated freely. Foreigners may possess property. Tax incentives and financial assistance programs are promoted for investment projects. Armenia has a vast network of double taxation arrangements and international investment rights agreements.
Interested in any of these investment options? At Kingsmen Investments, we have many real estate and agricultural investment projects in Armenia. Check out our investment opportunities here or give us a call at (+374) 95 110 301. High return on investment guaranteed!