What are the procedures and documents necessary for establishing a company in Libya?

  • Company’s foundation application.
  • Title deed.
  • A copy of the ID card, or passport of foreigners.
  • The company’s registered capital.
  • Obtaining a license.

Types of Companies in Libya

Joint Venture Company

It is a company that does not have a legal personality and is not subject to registration and licensing procedures.

This company stops with the end of the work agreed on and mentioned in the contract.

Limited Partnership Firms

Consist of two types of partners:

  • Joint Partners: who manage this company are responsible for its debts.
  • Limited Partners: they are not responsible for company’s management duties, but participate with their capital, and are obligated to pay a percentage of the debts of the company, depending on their share.

The minimum capital required is thirty thousand Libyan Dinars.

Partnership Limited by Shares

Consists of joint partners and limited partners. The minimum capital required is one hundred thousand Libyan Dinars, and it is divided into shares. The partners bear the losses only by the amount of their shares in the company.

Limited Liability Company

The limited liability company consists of at least three partners, and the number of partners should not exceed twenty-five partners. The value of the capital ranges between five thousand Libyan Dinars and thirty thousand Libyan Dinars.

Joint Stock Company

Its capital is divided into shares of equal value, and each shareholder is responsible for the company’s debts and obligations according to the amount of his contribution to its capital. The minimum capital is one hundred thousand Libyan Dinars. The number of shareholders must not be less than ten people, and each one’s contribution must not exceed ten percent of the value of the capital.

Holding Company

This company participates in founding other companies or owns shares in them, and works to manage them and provide the necessary support.

The term “Holding Company” is added to all documents issued by the company. The minimum capital is one million Libyan Dinars.

Incubator Company

It is a company that undertakes other projects, such as economic and public-service projects. In addition to establishing and sponsoring projects, it also undertakes some activities such as providing additional funding in various fields.

Leasing Company

It is a company that leases various assets, such as real estate, equipment and vehicles. The beneficiary of these assets must take care of them throughout the lease period, and must inform the grantor of any problems encountered during this period.