Company registration in Madagascar

Name of service Bronze Silver Gold
Check and reserve of the company name Obtaining approval from the registrar for the company name
Company registration, including state fees Preparation of a full package of documents, depending on the chosen form of ownership, cooperation with the relevant authorities prior to obtaining information on company registration
Legal address for 1 year Provision of legal address for your company in a given jurisdiction, eliminating the need to purchase or rent real estate
Assistance in opening an account Collection, preparation and submission of the necessary documents for opening a corporate account
Services of local director for 1 year Providing a resident director of a given jurisdiction or the EU, which is necessary for registering a company and opening an account at a local bank
Total cost
On request On request On request
Accounting services
On request On request On request
Annual renewal (paid from the second year)
On request On request On request

Deal of the month

If you will register a company until 31 January,
opening a bank account is for FREE

6 easy steps to get started
  • 1

    Select your
    preferred jurisdiction

  • 2

    Choose a bank
    that meets your
    company's needs

  • 3

    Pay for our services
    using a convenient
    payment method

  • 4

    Receive all necessary
    corporate documents

  • 5

    Receive details
    for your newly opened
    bank account

  • 6

    We'll deliver the original
    documents directly
    to you

Madagascar is an island nation located in the Indian Ocean off the eastern coast of Africa. The country is rich in natural resources, including graphite, coal, salt, gemstones, and quartz. Unique flora and fauna, a warm climate, and beautiful beaches contribute to tourism development. The opportunity to buy a company in Madagascar will be of interest to investors who plan to do business with the countries of Africa. With them, the state has signed many agreements. The presence of six major ports also facilitates active international trade. In addition, entrepreneurs who intend to register a company in Antananarivo or any other city in Madagascar can receive tax-free income outside the country.

Advantages of registering a company in Madagascar

  • To register a company in Madagascar. It is enough to have one shareholder and one director of any nationality;
  • The minimum amount of capital to start a company is $1;
  • The cost of doing business is low because of the cheap labor force and the affordable price of renting office space;
  • A developed system of road, rail, air, and sea communications makes it possible to develop trade relations with partners both within the country and abroad.

Main forms of legal presence and doing business in Madagascar

  • Limited Liability Company (Société anonyme);
  • Limited Liability Company (Société à responsabilité limitée);
  • a branch or representative office (Société de Droit Etranger).

What form an investor decides to open a company in Madagascar will depend on the requirements for the amount of share capital and management bodies, the cost of setting up a business, the timing of opening a firm, and the amount of taxes.

Registration procedure in Madagascar

The L'Economic Development Board of Madagascar is responsible for issuing permits for new companies. To open a business in Madagascar, you have to:

  • Obtain a taxpayer identification number (NIF);
  • Submit the documents for registering a company in Madagascar at the LDBM single window;
  • Legalize the articles of association at the town hall;
  • Fill out the application form at the Bureau des Sociétés;
  • Submit the data for publication in a national daily newspaper;
  • Register your staff with the Social and Health Security System;
  • Notify the Labor Inspectorate of the beginning of the activity.

Opening a company in Madagascar in the EDBM single window seems easy at first glance. However, bureaucratic red tape can take up to 4 months.

Legislation and Regulatory Environment of Madagascar

Foreign investors and resident individuals can buy a company in Madagascar and equitably engage in all remunerated activities. In addition, non-resident owners can own a wholly owned business and repatriate their income without any limit on the amount. The exception is the telecommunications sector, where the share of foreign investors can be at most 66%.

If you decide to open a company in Madagascar and operate in banking, insurance, mining, oil and gas, medicine, and pharmaceuticals, you must consider the additional regulations. They apply to both foreign and local entrepreneurs.

Madagascar's tax system

Resident companies are subject to income tax, regardless of where they do business. Non-residents - only if they receive income in the territory of the state. The amount of income tax is:

  • 5% of 70% - for resident corporations with an annual turnover not exceeding 200 million MGA, depending on the field of activity;
  • 20% - for companies registered in Madagascar with a yearly turnover of more than 200 million MGA;
  • 10% - for foreign enterprises earning income in the country (except for credit institutions - for them, the tax rate is 20%).

There is also a tax on imports and property ownership, VAT, excise taxes, and social and parafiscal payments.

Open a business in Madagascar: how the lawyers of Aotopay can assist

An investor must familiarize himself with the legal regulations and determine if the planned activity is regulated before establishing a company abroad. To buy a business in Madagascar and get the maximum benefit, it is necessary to understand the differences between the existing organizational-legal forms of companies and learn in detail about the tax system and regulatory authorities.

Aotopay lawyers will provide detailed advice and help you choose the best option regarding the comfort of doing business and tax optimization. Our staff will assist in preparing and submitting a package of documents that will quickly register the company and begin the planned activities. In addition to full support of opening a company, we provide accounting services.

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