Added advantages intrinsic to establishing a company in Georgia encompass:
- Strategic geographical locale: Georgia's geographic juncture at the crossroads of pivotal trade and logistics corridors connecting Europe, Asia, and the Middle East offers a strategic vantage point for businesses.
- Political constancy: the nation sustains a stable political environment, furnishing a secure backdrop for business enterprises.
- Resilient banking infrastructure: Georgia boasts an evolving and robust banking sector, proffering a supportive financial backdrop.
- Business-friendly ambiance: Georgia has consistently ranked among the top ten nations in the World Bank's Ease of Doing Business index over several years, underscoring its business-friendly policies.
- Proficient workforce: the nation maintains a pool of qualified and adept professionals, facilitating skilled labor for businesses.
- Cost-effective operational oversight: companies in Georgia enjoy cost-effective operational management, minimizing expenses.
- Visa facilitation and residence privileges: the country offers a streamlined visa regime and a pathway for company founders and foreign employees to secure residence permits.
- Infrastructure development: Georgia presents a well-developed infrastructure that supports businesses in their operations.
- Economical rental expenditure: rental costs for businesses remain notably affordable.
Despite its status as a developing nation, Georgia has consistently demonstrated steady economic growth. Recent years have witnessed notable accomplishments in the fight against corruption and the enhancement of the investment climate. Pertinent achievements include:
- An impressive 11.2% GDP growth in 2022, positioning Georgia among the highest-growing economies worldwide.
- In Transparency International's Corruption Perceptions Index (CPI) for 2022, Georgia secured the 42nd position, marking a substantial improvement from previous years.
The Kutaisi Free Industrial Zone (IZ) operates in the well-defined regulatory framework established by the Georgian Law on Free Industrial Zones. This legal structure is the bedrock upon which businesses in the IZ build their operations, benefiting from a business-friendly environment featuring a multitude of incentives and advantages. The law assures businesses in the IZ enjoy the best conditions for their growth and prosperity.
Free IZ Kutaisi (Georgia)
Entrepreneurs of foreign origin possess the opportunity to establish a corporate entity in the Free Industrial Zone (IZ) of Kutaisi, Georgia. This zone was inaugurated in 2009 with a primary mandate of fostering export-driven industries, assimilating advanced technological facets for goods production and service delivery, generating fresh employment prospects, and, consequently, advancing the economic prosperity of Georgia.
Since its inception, IZ Kutaisi has successfully attracted investments exceeding $100 million. In 2022, exports from this zone reached $100 million, marking a 20% increase from the previous year. IZ Kutaisi accommodates a diverse array of industries, including manufacturing, trade, and services:
- production (automotive, food, light industry)
- trade (logistics, warehousing, distribution)
- services (IT, engineering, financial services)
Steps for registering a company in Kutaisi IZ
Choosing a corporate form of business.
Document compilation: application for registration, charter, business plan, documentation validating the identities of founders and directors, documentation verifying the fulfillment of the license fee payment.
Registration of a company at the House of Justice of Georgia, with the allocation of a legal address in Kutaisi IZ.
Confirmation of company registration: this validation is conducted by FIZ regulators.
Setting up a bank account in Georgia.
License fee disbursement.
What you should know about investment prospects
Georgia as an investment destination has been experiencing rapid development and strengthening over the past five years. The latest fDi Intelligence study on global FDI dynamics places Georgia in 10th place in the international FDI performance index, and in fifth place in the world ranking of FDI in relation to GDP.
Manufacturing leads among investment sectors. Next comes trade, as well as transport. In third place is construction.
Particular attention of investors is focused on logistics and production of free industrial zones. So, in FIZ Kutaisi, this is the production of solar panels and electric vehicles.
What businesses are welcome in Kutaisi?
Enterprises can engage in trade, provide consulting and logistics services, but are limited to banking, insurance and government-regulated activities.
Which organizational and legal structure is preferable?
Non-residents can choose between LLC, JSC, partnership or branch.
Is it possible to hire foreign workers?