Company Registration Fees in Nepal: Updated Pricing Guide

If you are a foreign company planning to enter South Asia, understanding the cost of company registration in Nepal is one of the first and most important steps. Nepal offers competitive setup costs, strategic market access, and a growing talent pool. But registration fees vary based on company type, capital structure, and foreign investment approvals.

This guide gives you the most accurate, up-to-date, and practical breakdown of company registration fees in Nepal. It is written specifically for foreign founders, investors, and executives who want clarity before committing capital.

What determines the cost of company registration in Nepal?

The cost of company registration in Nepal is not a single flat fee. It depends on several legal and structural factors.

Key cost drivers

• Type of company being registered

• Authorized capital amount

• Foreign Direct Investment (FDI) involvement

• Legal and professional support required

• Industry-specific approvals and licenses

Foreign companies typically register either a Private Limited Company, Branch Office, or Liaison Office.

Company registration options for foreign companies in Nepal

1. Private Limited Company (FDI company)

This is the most common structure for long-term operations.

• Separate legal entity in Nepal

• Eligible for profit repatriation

• Can hire local and foreign employees

• Governed by Office of Company Registrar and Department of Industry

2. Branch Office

• Extension of the foreign parent company

• No separate legal personality

• Limited scope of activities

3. Liaison Office

• Non-commercial presence

• Cannot generate revenue

• Used for market research or coordination

Cost of company registration in Nepal (government fees)

Official registration fees at the Office of Company Registrar

Government fees are primarily based on authorized capital.

These fees are prescribed under the Companies Act 2006 and remain among the lowest in South Asia.

Foreign Direct Investment (FDI) related costs in Nepal

Foreign companies must comply with Nepal’s FDI framework.

Minimum investment requirement

• Minimum FDI threshold: NPR 20 million

• Applicable under Foreign Investment and Technology Transfer Act 2019

FDI approval costs

While the government does not charge high filing fees, foreign companies incur professional and compliance costs for:

• Investment approval application

• Company incorporation structuring

• Share subscription documentation

• Capital inflow coordination

Professional and legal fees (real-world costs)

Government fees are only a small part of the total cost of company registration in Nepal.

Typical professional costs for foreign companies

• Legal drafting and incorporation support

• FDI approval management

• Tax registration and PAN/VAT

• Bank account setup and capital repatriation structuring

Average professional fee range

These costs vary based on complexity and industry.

Hidden and ongoing compliance costs to plan for

Foreign companies often underestimate post-registration costs.

Common ongoing expenses

• Annual company renewal fees

• Audit and tax filing costs

• Payroll compliance and social security

• Regulatory reporting to authorities

Annual compliance estimate

• Small FDI company: USD 1,200 – 2,500 per year

• Medium operations: USD 3,000+ per year

Cost comparison: Nepal vs other South Asian markets

Original insight: Nepal combines low government fees with clear FDI repatriation rights, making it attractive for service-based foreign companies.

Step-by-step company registration process in Nepal

1. Name reservation at OCR

2. FDI approval from DOI

3. Company incorporation filing

4. PAN and VAT registration

5. Bank account and capital injection

6. Business license and sector approvals

This process typically takes 3–6 weeks with proper documentation.

Why foreign companies choose Nepal despite compliance costs

Strategic advantages

• Cost-efficient workforce

• English-speaking professionals

• Favorable time zone for Australia, Europe, and Asia

• Legal guarantee of profit repatriation

Nepal is especially attractive for IT, outsourcing, consulting, and shared services businesses.

Common mistakes that increase company registration costs

• Choosing incorrect capital structure

• Incomplete FDI documentation

• Delayed bank coordination

• Ignoring sector-specific approvals

Avoiding these mistakes can save weeks and thousands of dollars.

FAQs: Cost of company registration in Nepal

How much does it cost to register a company in Nepal for foreigners?

The total cost of company registration in Nepal for foreign companies typically ranges from USD 1,500 to USD 5,000, including government fees, legal support, and FDI approvals.

Is there a minimum investment requirement for foreign companies?

Yes. Foreign investors must bring a minimum investment of NPR 20 million under Nepal’s FDI regulations.

Are government registration fees expensive in Nepal?

No. Government registration fees are relatively low, starting from NPR 1,000 and capped below NPR 20,000 for most companies.

How long does company registration take in Nepal?

With complete documentation, company registration and FDI approval usually take between 3 and 6 weeks.

Can foreign companies repatriate profits from Nepal?

Yes. Nepalese law allows full repatriation of profits, dividends, and capital, subject to tax clearance and regulatory compliance.

Conclusion: Is the cost of company registration in Nepal worth it?

For foreign companies, the cost of company registration in Nepal is highly competitive compared to regional alternatives. Low government fees, a growing talent market, and clear FDI protections make Nepal a compelling destination. With the right advisory partner, the process is smooth, predictable, and cost-efficient.

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