The concept of joint venture companies with Qatar residents as partners is allowed in all sectors of the economy excluding commercial agencies and real estate.

The foreign partners in partnerships must pay the full amount against their share of share capital to an authorized financial institution in cash prior to obtaining the Companies’ Commercial Registration. There is a minimum share capital for a Limited Liability Company in Qatar that should be there at the time of registering a company in Qatar. However, the amount may change with time. As per the rules, the Company needs to put aside a sum of 10 percent of its net profit until the reserve stands at 50 percent of the total share capital amount. However, it must be noted that the company’s profit shares do not necessarily have to reflect its shareholdings. This implies the fact that since this is a Limited Liability Company, the profit sharing, and the loss sharing may vary in percentages. There may be contractual partnerships wherein the partners only share the profits and not the losses.

If you are a foreign investor who is looking forward to investing in Qatar, we suggest you to invest through a joint venture company in a Limited Liability Company format. The LLC format has the basic ground rules of having Qatar residents as partners must be adhered to.

We also extend our complete assistance in the WLL company formation in Qatar (WLL Qatar).