Business Setup in Qatar: A Comprehensive Guide for Entrepreneurs
18 May 2025

Qatar's strategic location, robust economy, and investor-friendly policies make it an attractive destination for entrepreneurs and businesses looking to establish a presence in the Middle East. Understanding the nuances of setting up a business in Qatar is crucial for success. This guide provides an in-depth look into the processes, legal requirements, and strategic considerations involved in business setup in Qatar.
1. Understanding Qatar's Business Landscape
1.1 Economic Overview
Qatar boasts a diversified economy with significant investments in infrastructure, education, and technology, aligning with its National Vision 2030. The country's commitment to economic diversification offers ample opportunities for various sectors.
1.2 Legal Framework
The legal environment in Qatar is conducive to business, with clear regulations governing company formation, taxation, and foreign investment. The Ministry of Commerce and Industry (MOCI) oversees business registrations and licensing.
2. Choosing the Right Business Structure
Selecting the appropriate legal structure is pivotal. Common business entities in Qatar include:
- Limited Liability Company (LLC): Requires a Qatari partner holding at least 51% shares, or 100 % foreign ownership depending on the selected activities.
- Foreign Company Branch: Allows 100% foreign ownership but limited to specific activities.
- Representative Office: Permits market research and promotion but no commercial activities.
- Free Zone Company: Offers 100% foreign ownership within designated zones.
- QFC: Offer 100% ownership by foreign investors mainly service activities are eligible.
Each structure has its advantages and compliance requirements. HLB AG provides tailored advice to help you choose the most suitable entity.
3. Steps to Establish a Business in Qatar- LLC legal structure
3.1 Business Plan
Arrange a simple Business Plan, then the regulator can review the strategy of the founders and data projection
3.2 Start the application
Secure a unique trade name through the MOCI, QFC, or QFZ
Fill all information (name of the partners, number of employees, trade name, etc and information related to your business plan
3.3 Drafting the Articles of Association (AOA)
Prepare the AOA outlining the company's structure and operations.
3.4 Capital Deposit
Deposit the required capital in a local bank, obtaining a certificate for registration purposes. Capital is not required to be paid yet under any jurisdiction but you need to allocate the authorised and issued. If the business activity of the company is required to be regulated under QFCRA or QCB, then capital is required to be paid and capital value will be allocated according to the business activity.
3.5 Commercial Registration (CR)
When the the approval of the regulator is confirmed, the company will obtain a commercial registration.
For a more detailed breakdown, check out our in-depth guide on how to start a business in Qatar as a foreigner which covers everything from ownership rules to operational planning.
3.5 Trade License Acquisition
Apply for a trade license to legally conduct business in Qatar. For companies that are registered under the MOCI.
QFC regulator does not require a Trade license, companies registered under QFC will automatically get a license, if the founder wants to keep the company dormant , then the founder cannot do any operation and cannot open a bank account or generate a commercial registration.
3.6 Office Space
Secure a physical office space, as it's mandatory for most business types. For QFC entities, offices must be selected from QFC approved buildings.
For detailed assistance, refer to HLB AG's Business Plans service page.
3.7 Computer Card
After completing the above processes, the company can apply to get a computer card, and after obtaining the computer card, the company needs to register in the Ministry of Labor to get a quota for visas and start the recruitment process.
4. Navigating Free Zones in Qatar
Qatar offers several free zones, such as the Qatar Free Zones Authority (QFZA), providing benefits like:
- 100% Foreign Ownership
- Tax Exemptions for 20 years
- Simplified Import and Export Procedures
- State-of-the-Art Infrastructure
These zones are ideal for businesses in logistics, technology, and industrial sectors.
5. Compliance and Regulatory Considerations
5.1 Taxation
Qatar imposes a corporate tax rate of 10% on foreign entities. However, entities in free zones may enjoy tax exemptions.
Special Features
- Different tax regimes are available in Qatar. Those are GTA, the QFC including Qatar Media City permitted activities, QFZA and QSTP.
- Tax indicators are outlined are as:
Aspect | QFZ | QSTP/GTA | QFC | MOCI/GTA |
Corporate Tax | Exempt for 20 years | Exempt from the tax | At rate of 10% on sourced profits. There are criteria for Qatari citizens to be exempted. | 10% on the foreign partners profit. Qatari and GCC nationals resident in Qatar are exempt. |
Withholding tax | Not Applicable | 5% on payments to foreign service providers for services “used, exploited, or consumed” in Qatar. | Not Applicable | 5% on payments to foreign service providers for services “used, exploited, or consumed” in Qatar. |
Audit Requirements | Audited financial statements required (Branches are exempted from audit, but they are required to file management accounts.) | Audited financial statements required | Audited Financial statements required | Audited Financial statements required |
Dividend Repatriation | No Tax | No Tax | No Tax | No Tax |
Capital Gain Tax | No Tax | No Tax | No Tax-but depends Particularly in relation to qualifying shareholdings. | 10% |
Tax system | QFZ portal | Dhareeba system for tax processes, filing returns, and compliance obligations | QFC tax portal | Dhareeba system for tax processes, filing returns, and compliance obligations |
- The GTA introduced new Dhareeba system (Electronic tax administration system) that streamlines the tax processes, filing the return and audited financial statements, other compliance obligations, and undertake any correspondences
- The GTA introduce transfer pricing rules that aligns with the OECD in a manner to move the current tax system into an advanced one.
5.2 Employment Regulations
Companies must adhere to labor laws, including employment contracts, working hours, and end-of-service benefits.
5.3 Annual Reporting
Businesses are required to submit annual financial statements audited by a licensed auditor.
HLB AG offers comprehensive Audit & Assurance services to ensure compliance.
6. Strategic Business Planning
Developing a robust business plan is essential for success in Qatar's competitive market. Key components include:
- Market Analysis
- Financial Projections
- Operational Strategy
- Risk Assessment
HLB AG's Business Advisory Services can assist in crafting a strategic plan tailored to your business goals.
7. Leveraging Professional Services
Engaging with professional service providers ensures a smooth setup process. Services include:
- Legal Advisory
- Tax Consulting
- Human Resources Management
- IT Infrastructure Setup
HLB AG offers a suite of services to support your business at every stage.
8. Why Choose HLB AG for Your Business Setup in Qatar
- Expertise: In-depth knowledge of Qatar's regulatory landscape.
- Customized Solutions: Tailored services to meet specific business needs.
- Global Network: Access to international resources and best practices.
- Comprehensive Support: End-to-end assistance from planning to execution.
Visit our Homepage to learn more about our offerings.
Let HLB AG Help You Start Smart in Qatar
Setting up a business in Qatar presents lucrative opportunities, provided you navigate the legal and regulatory frameworks effectively. Partnering with experienced professionals like HLB AG can streamline the process, ensuring compliance and strategic alignment with your business objectives.
For personalized assistance, reach out through our Contact Page.
Note: This article is intended for informational purposes and does not constitute legal or financial advice.
©2025 Antonio Ghaleb and Partner CPA and HLB AG-Members of HLB. All rights reserved. These highlights have been prepared for general guidance on matters of interest only and do not constitute professional advice. You should obtain professional advice before taking action on the information contained in these highlights. Antonio Ghaleb and Partner CPA and its employees do not give any representation or warranty (express or implied) regarding the accuracy or completeness of the information contained in these highlights. Antonio Ghaleb and Partner CPA and its employees do not assume any responsibility, liability, duty of care for any negative consequences that may result in reliance to these highlights and for any decision based on them.

