Business Forms According to the Egyptian Law
This type is usually used when the investment is large. The management of this type of companies is more organized than other types of companies.
Limited Liability Company
This type is often used for projects that do not require significant funding.
Stock Limited Partnerships
The partners ’obligations are limited to their contribution to the company’s capital, which is in the form of shares.
Also read: A Simplified Definition of Commercial Law
Rules and Requirements for Doing Business in Egypt
The company must maintain its accounts and financial data and publish them annually or semi-annually. These reports must be audited by a qualified Egyptian auditor.
The shareholding company is managed by at least three directors appointed by the general assembly for a period of three years.
Limited partnerships are managed by one or more persons. Whereas, limited liability companies are managed by at least one person, provided that at least one of them must be Egyptian.
The company can own the assets, rights or shares of another company, or the two companies can merge. However, for companies whose annual sales volume exceeds fourteen million US dollars, they must notify the authorities first, otherwise, a fine of fourteen thousand dollars to one hundred and forty thousand dollars is imposed.
Consumers have certain basic rights, and they may not participate in any activity that might violate their rights. The Egyptian Commercial Law sets out some obligations on suppliers to guarantee consumer rights, including:
- The supplier must provide the consumer with all the correct information and details of the products he intends to sell.
- In case there are any defects in the products that can cause harm to the consumer, the supplier must notify the consumer to stop using these products and must allow the consumer to replace them without any additional costs.