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AzAzerbaijan Subsidiary.






Country Capital



Manat (₼) (AZN)

Opening a new company location in Azerbaijan is something for your company to celebrate. You’ll soon benefit from new business relationships, product opportunities, and relationships with employees, all while pushing your company across borders. However, expansions also bring certain challenges, such as hiring employees, adding them to your payroll, and providing compensation and benefits.

G-P is a global PEO offering a suite of expansion services to companies looking to grow. Choosing Azerbaijan subsidiary outsourcing through us means you can start working in the country without your own entity. We’ll make everything easier, from ensuring you meet Azerbaijan’s subsidiary laws to hiring employees who work on your behalf.

How to Set Up an Azerbaijan Subsidiary

Companies expanding on their own need to learn how to set up an Azerbaijan subsidiary before tackling any other tasks. We recommend meeting with other company executives to discuss a few factors of incorporation first, including where you should establish a subsidiary, what kind of subsidiary is best for your business goals, and similar considerations.

Separate regions or cities may have different Azerbaijan subsidiary laws that make your incorporation easy or difficult. If you’re not familiar with the region surrounding your desired office space, you should work with a lawyer or consultant who can help you pick an area friendly to foreign investment.

Your subsidiary structure is another important part of the incorporation process. Azerbaijan allows companies to choose their structure, such as a limited liability company (LLC), branch, representative office, or joint-stock company. Every entity allows companies certain freedoms within Azerbaijan, so you should choose the structure that best fits your business goals. Companies often choose to incorporate as an LLC because the structure is tax-friendly and allows them to provide a wide range of services in Azerbaijan.

The steps to set up your Azerbaijan subsidiary as an LLC include:

  • Opening an in-country bank account
  • Depositing your minimum share capital
  • Drafting the articles of association
  • Signing the articles of association through a power of attorney
  • Drafting any other required documents, including special forms provided by the Company Registration Office in Azerbaijan
  • Arranging public notary procedures
  • Registering your office space
  • Hiring an accountant to help with the new business registration process

Azerbaijan Subsidiary Laws

Your company must follow Azerbaijan’s subsidiary laws to stay compliant and avoid any fines or delays. However, these laws aren’t the same for every entity. For example, LLCs need one or more founding individuals or legal entities that are limited in liability by how much money they invest. You cannot transfer participatory interests freely, but partners can purchase withdrawing participants’ interest.

Benefits of Setting Up a Azerbaijan Subsidiary

Although it takes a significant amount of time to set up an Azerbaijan subsidiary, you’ll benefit from working legally in the country. Every subsidiary structure comes with its own benefits, including LLCs. The limited liability structure of an LLC can protect your parent company from the subsidiary’s decisions, and your subsidiary will get a degree of independence.

While these benefits are great, the lengthy Azerbaijan subsidiary setup process means you won’t recognize them for months. By the time your subsidiary is set up, you might have lost talented job candidates along with time you could have spent growing your company. G-P understands the struggles of incorporation, which is why we offer Azerbaijan subsidiary outsourcing. You can use our subsidiary to start working in only a few days, and you won’t have to worry about Azerbaijan subsidiary laws.

Other Important Considerations

You can make your expansion easier if you prepare for how to set up your Azerbaijan subsidiary ahead of time. Most companies will need an expert in the country’s subsidiary laws, tax code, and employment regulations if they’re not working with a global PEO. You can assign a current employee to learn these laws, but it’s better to work with a lawyer or consultant who’s an expert in the field.

While some steps of the Azerbaijan subsidiary setup process can be done online, you’ll need to travel back and forth for a few months. Try to make sure your schedule is clear for this travel, and also work with your finance team to see how much money you’ll need to comply with various fees.

Let G-P Help With Your Expansion

G-P can help you expand faster without the risk through Azerbaijan subsidiary outsourcing. Contact us today to learn more.


THIS CONTENT IS FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSTITUTE LEGAL OR TAX ADVICE. You should always consult with and rely on your own legal and/or tax advisor(s). G-P does not provide legal or tax advice. The information is general and not tailored to a specific company or workforce and does not reflect G-P’s product delivery in any given jurisdiction. G-P makes no representations or warranties concerning the accuracy, completeness, or timeliness of this information and shall have no liability arising out of or in connection with it, including any loss caused by use of, or reliance on, the information.

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