Understanding the cost of company registration in Nepal is one of the first and most critical decisions foreign companies must make before market entry. Nepal offers multiple legal structures. Each comes with different government fees, capital thresholds, compliance duties, and timelines. Choosing the wrong structure can delay approvals, inflate costs, or restrict future operations.
This guide breaks down the actual cost of registering different company types in Nepal, with clear comparisons, legal references, and practical insights for foreign investors. It is written for decision-makers who want clarity, not complexity.
Not all entities are treated equally under Nepali law. Costs vary due to:
Minimum capital requirements
Government registration and stamp fees
Foreign investment approval processes
Ongoing compliance and audit obligations
Repatriation and tax treatment
For foreign companies, the cost is influenced as much by regulatory complexity as by government fees.
Foreign companies can operate in Nepal through the following structures:
Private Limited Company (FDI-based)
Public Limited Company (PLC)
Branch Office
Liaison Office
Partnership Firm
Sole Proprietorship
Each structure serves a different strategic purpose.
A Private Limited Company is the most common choice for foreign investors seeking full operational control.
Separate legal entity
Can generate revenue in Nepal
Allows profit repatriation
Eligible for 100 percent foreign ownership in most sectors
NPR 20 million minimum foreign investment threshold
Company registration fee: NPR 9,500 to NPR 25,000
Name reservation: NPR 100
Stamp duty: NPR 2,000
PAN and VAT registration: No government fee
Local ward registration: NPR 5,000 to NPR 20,000
Legal drafting and filing
FDI approval documentation
Industry-specific licensing if required
NPR 150,000 to NPR 350,000, excluding paid-up capital.
This structure offers the best balance between cost, control, and scalability.
A Public Limited Company is designed for large-scale operations and capital markets access.
Minimum seven shareholders
Mandatory board structure
Higher disclosure and audit standards
NPR 100 million
Registration fee: NPR 40,000 to NPR 100,000
Stamp duty and filings: NPR 5,000 to NPR 10,000
Mandatory statutory audit
Ongoing compliance filings
Securities regulation if publicly listed
NPR 300,000 to NPR 600,000, excluding capital.
PLC registration is rarely suitable for first-time foreign entrants due to cost and complexity.
A Branch Office is an extension of a foreign parent company.
Not a separate legal entity
Can generate revenue
Parent company bears liability
No fixed minimum capital
Operating budget must be justified
Industry authority approval
Company registrar filing: NPR 15,000 to NPR 25,000
Tax registration: No fee
NPR 200,000 to NPR 400,000
Branch offices are popular for project-based or short-term operations.
A Liaison Office is strictly non-commercial.
Market research and coordination only
No revenue generation
No profit repatriation
Approval and registration: NPR 50,000 to NPR 100,000
Annual renewal fees apply
NPR 100,000 to NPR 200,000
This is the lowest-cost option for market exploration.
Partnerships are primarily for local businesses.
Foreign ownership restrictions
Unlimited partner liability
Registration fee: NPR 2,000 to NPR 5,000
Ward registration: NPR 3,000 to NPR 10,000
NPR 25,000 to NPR 50,000
Not recommended for foreign investors due to legal exposure.
A sole proprietorship is the simplest structure.
Generally limited to Nepali citizens
Not FDI-friendly
NPR 10,000 to NPR 30,000
This structure is unsuitable for foreign companies.
| Company Type | Minimum Capital | Revenue Allowed | Estimated Setup Cost | Best For |
|---|---|---|---|---|
| Private Limited (FDI) | NPR 20M | Yes | NPR 150k–350k | Long-term operations |
| Public Limited (PLC) | NPR 100M | Yes | NPR 300k–600k | Large enterprises |
| Branch Office | None fixed | Yes | NPR 200k–400k | Project-based work |
| Liaison Office | None | No | NPR 100k–200k | Market entry |
| Partnership | None | Yes | NPR 25k–50k | Local firms |
| Sole Proprietorship | None | Yes | NPR 10k–30k | Individuals |
Many investors underestimate the true cost of company registration in Nepal due to hidden expenses.
These include:
Industry licensing fees
Environmental approvals
Annual audit costs
Payroll and social security compliance
Bank compliance documentation
Planning for these early avoids delays and budget overruns.
Faster incorporation usually means higher professional fees. Delays often increase indirect costs like rent, staffing, and opportunity loss.
Choosing the right company type minimizes both cost and time.
A practical approach includes:
Choosing the simplest compliant structure
Preparing complete documentation upfront
Avoiding unnecessary licensing categories
Using experienced local advisors
Strategic planning reduces both setup and long-term compliance costs.
A liaison office is the cheapest option. However, it cannot generate revenue. A private limited company offers the best value for operations.
No. Paid-up capital is an investment requirement. Registration cost covers government and professional fees only.
Yes. Most sectors allow full foreign ownership through a private limited company.
Typically 3 to 6 weeks. Complex licensing can extend timelines.
Government fees are non-refundable. Proper documentation reduces rejection risk.
The cost of company registration in Nepal depends less on government fees and more on choosing the right legal structure. For most foreign companies, a private limited company delivers the best balance of cost, control, and growth potential.
Making an informed decision at the start prevents regulatory friction later.
Planning to register a company in Nepal?
Speak with a Nepal-based incorporation specialist to receive a cost-accurate structure recommendation and compliance roadmap tailored to your business.