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Understand the Jurisdictions Setup Requirement Before Proceed Your Register Company in Bhutan

Register Company in BhutanThough it may be one of the smaller economies in the world, Bhutan has an economy and GDP growth rate that has still managed to make strides. A member of the South Asian Association for Regional Corporation, or SAARC, has also given Bhutan’s economy the boost it needs to keep it moving forward and keep it growing.

Bhutan also has a free trade agreement with India which allows the transit of imports and exports to Bhutan through India. This small country’s economic backbone lies in its agriculture sector.

Bhutan has been rated the “happiest country in Asia” according to a report in Business week and ranked 142 in the world for the ease of doing business by the World Bank. The ranking by the World Bank is because registering a company in Bhutan is not as easy as it is compared to other countries.


How to register a company in Bhutan

To begin the registration of a company in Bhutan, potential investors have to do what almost every country requires when embarking on setting up a business – conduct a name search for the company and submit an application to verify the uniqueness of the name.

The registration of the company name is the first thing that needs to get sorted. If a company name is already in existence, you would not be allowed to use a similar company name and you must source a new one before you can continue with the registration process.

Once the company name has been confirmed with the approval to go ahead, the rest of the steps to registering a company in Bhutan are as follows:

  • To get a Security Clearance Certificate, or SCC, from the Royal Bhutan Police
  • Submit the business proposal to the Industrial Department Division (IDD) of the Ministry of Economic Affairs
  • Register at the Office of Registrar
  • Get a business license from the Regional Trade and Industry Office of the Ministry of Economic Affairs
  • Make an official company seal because all companies must have a seal within one year of the company’s incorporation
  • Open a bank account for the business. The bank account needs to be solely for business purposes


The requirements for registering a business in Bhutan

To register a business in Bhutan, potential investors would need to meet certain requirements to be considered eligible to register a business. Among some of the requirements that must be met are:

  • Citizens of Bhutan who are registering a business must be at least 18 years old and willing to register an entity as a company under the Companies Act of the Kingdom of Bhutan.
  • Foreign investors seeking to register a business in Bhutan can register or incorporate an enterprise if the capital of investment is in the currency of USD.
  • Foreign investors must acquire the proper work permits and visas which allow them to reside in Bhutan for the purpose of their business.

The overseas employment rules in Bhutan may vary depending on the size of the enterprise.

Register Company in Bhutan

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