Foreign company registration in Nepal is no longer niche. It is now a strategic move for global companies seeking cost efficiency, regional access, and long-term growth.
Yet one question dominates boardroom discussions.
How much does it really cost to register and operate legally in Nepal?
This guide answers that question with precision. It breaks down official government fees, professional costs, compliance expenses, and often-missed budget items. You will also learn how costs differ by entry route and investment size, so you can plan with confidence.
Nepal has quietly become an attractive FDI destination across technology, manufacturing, consulting, education, and services.
Key drivers include:
Competitive operating costs compared to South Asia
English-speaking, educated workforce
Liberal foreign ownership rules under FITTA 2019
Guaranteed profit and capital repatriation
Strategic location between India and China
Foreign investors can enter Nepal through multiple legally recognised structures, each with different cost implications.
Foreign investment and registration costs are governed by a defined legal framework. Understanding this avoids compliance risks and budget overruns.
The key laws include:
Foreign Investment and Technology Transfer Act 2019
Companies Act 2006
Industrial Enterprises Act 2020
Income Tax Act 2002
Nepal Rastra Bank foreign exchange directives
These laws collectively regulate entry approval, company formation, capital inflow, taxation, and profit repatriation.
Costs depend heavily on how you enter Nepal. There is no one-size-fits-all route.
FDI-funded Private Limited Company
The most common structure for long-term operations.
Branch Office
Suitable for executing parent-company contracts.
Liaison Office
For market presence only. No revenue generation.
Each route has a distinct fee structure and compliance cost.
This is paid to the Office of the Company Registrar.
| Authorized Capital (NPR) | Government Fee (Approx.) |
|---|---|
| Up to 1 million | NPR 1,000 |
| 1–10 million | NPR 4,500 |
| 10–100 million | NPR 9,500 |
| Above 100 million | NPR 16,000 |
This fee is relatively low. Most costs arise elsewhere.
FDI approval is mandatory before registration.
Application processing fee
Sectoral review and approval cost
Investment threshold compliance
For investments above NPR 500 million, approval shifts to the Investment Board Nepal, increasing procedural complexity.
Under current regulations:
Minimum foreign investment: NPR 20 million
Capital must be remitted through a Nepal Rastra Bank-approved channel
Currency conversion and bank charges apply
While capital is not a “fee,” it impacts cash flow planning and foreign exchange costs.
Government fees are only a fraction of total cost. Professional support is where accuracy matters.
Investment structuring and feasibility
FDI approval drafting and submission
Company incorporation documentation
Banking and capital remittance coordination
Tax registration and compliance setup
Professional fees vary by complexity, sector, and investor jurisdiction.
| Entry Model | Typical One-Time Cost Range | Compliance Burden | Revenue Allowed |
|---|---|---|---|
| FDI Private Limited Company | Medium | High | Yes |
| Branch Office | Medium-High | High | Yes |
| Liaison Office | Low-Medium | Moderate | No |
Insight:
A liaison office looks cheaper initially, but many companies later restructure. That adds cost and delays.
Foreign company registration in Nepal is not a one-time expense.
Accounting and bookkeeping
Monthly tax filings
Audit fees
Company renewal fees
Labor compliance and payroll filings
Social Security Fund contributions
These costs scale with employee count and turnover, not just revenue.
Opening a foreign-owned bank account in Nepal involves:
Bank due diligence charges
SWIFT and remittance fees
Foreign exchange conversion spread
Compliance documentation cost
Delays here often create hidden opportunity costs.
Many first-time investors underestimate these.
Document notarization and legalization
Translation of foreign documents
Visa and work permit costs for expatriates
Sector-specific licenses
Local office registration and municipal fees
Planning for these early avoids unpleasant surprises.
Time is money.
Average timelines:
FDI approval: 2–4 weeks
Company registration: 3–5 working days
Bank account and capital inflow: 2–3 weeks
Full operational readiness: 6–8 weeks
Delays usually increase advisory and holding costs.
Smart investors manage costs without cutting corners.
Choose the correct entry structure initially
Phase capital injection where allowed
Bundle compliance and accounting services
Work with advisors experienced in NRB procedures
Align tax planning at incorporation stage
Upfront planning saves far more than it costs.
This jurisdiction is particularly attractive for:
Tech and SaaS companies
Professional services firms
Outsourcing and shared services centers
Manufacturing with export orientation
Education and training institutions
Each sector has unique cost and compliance nuances.
Foreign company registration in Nepal is affordable, but not simplistic.
Government fees are modest. The real cost lies in structure, compliance, and execution. Companies that budget holistically avoid delays, penalties, and restructuring expenses.
With the right partner, Nepal offers a compliant, scalable, and cost-efficient base for South Asian operations.
Planning to register a foreign company in Nepal?
Book a strategic consultation to receive a tailored cost map, compliance roadmap, and timeline aligned to your business goals.
Total cost varies by structure and scale. Government fees are low, but professional, banking, and compliance costs form the majority.
The minimum foreign investment is NPR 20 million under current FDI regulations.
Yes. Most sectors allow 100 percent foreign ownership, subject to sectoral restrictions.
Typically 6–8 weeks from FDI approval to operational readiness.
Yes. Nepal allows full repatriation of profits, dividends, and capital after tax compliance.