Includes steps involved in establishing a local office.

Foreigners are allowed to register business entities by opening a fully-owned subsidiary, acquiring shares of an existing company, or creating a joint venture with local partners.  Foreign companies are also permitted to operate in Azerbaijan without creating a local legal entity by registering a representative or branch office with the Ministry of Taxes.  Representative offices and branch offices are not considered Azerbaijani legal entities, but are subject to taxation.  An Azerbaijani legal entity can take the form of a Joint Stock Company, a General Partnership, a Limited Partnership, a Limited Liability Company, an Additional Liability Company, or a Cooperative.

Most frequently, U.S. companies enter the market by selecting a well-established distributor who provides logistical support, including customs clearance, warehousing, and inventory management.  U.S. businesses should take care to monitor their advertising and marketing efforts to ensure success, since distributors often service multiple product suppliers.  A representative office allows for greater contact with clients and control over marketing and distribution.  A fully-owned subsidiary affords even greater control.  Local partners often encourage U.S. companies to establish joint ventures.

Under the government’s “single window” process, the Ministry of Taxes is authorized to register all types of commercial legal entities and is legally obligated to do so within three business days.  Online registration is available at http://taxes.gov.az/modul.php?lang=_eng&name=birpencere&bolme=registration and works adequately.  The following documents should be submitted to the Ministry of Taxes to register a branch or a representative office:

  1. Application for registration as a commercial (for-profit) legal entity;

  2. Charter of the legal entity (2 notarized copies);

  3. Original or a notarized copy of the company letter establishing the local entity and appointing the head of the local legal entity or its legal representative;

  4. Notarized copies of the original incorporation papers from the United States.  The documents must be certified by the Consular Section of the Azerbaijani Embassy in the United States and then presented to the Ministry of Taxes;

  5. A copy of a lease agreement or other document certifying the entity’s legal address in Azerbaijan; and

  6. Other documents depending on the type of business and/or the applicable tax regime.


To register a commercial entity with foreign capital, the foreign legal entity, in addition to completing and submitting items 1, 2, 4, 5, and 6 mentioned above, also should submit the following documents:

  1. A resolution from the foreign legal entities’ authorized body stating its intent to open an office in Azerbaijan and approving the charter of the local entity;

  2. Additional information on and identification of all shareholders, with copies of identification documents for individual shareholders;

  3. If a shareholder is a foreigner or a person without citizenship, they must submit appropriate documents verifying the person’s identity and entrepreneurial activity;

  4. Resolution by the founders identifying the Supervisory Board, the Executive Board and other company principals, as well as their identification information and other required documents copies; and

  5. If required by the type of business, copies of documents indicating contributions towards charter capital.


There is a registration fee for a branch office of approximately $130 (220 Azerbaijani manat) payable to the Taxes Ministry.

U.S. firms should remember that all documents from the foreign legal entity must be notarized and legalized in the United States.  It is compulsory to accompany any document written in English with a notarized translation into the Azerbaijani language. 

Laws and regulations are subject to change.  For detailed registration, legal, and tax counseling, U.S. firms are advised to contact tax and legal professionals resident in Azerbaijan to receive expert advice (see the Local Professional Services section).  A U.S. firm experiencing registration problems should contact the U.S. Embassy in Baku (see contact information in the Business Travel section). 

Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.