Registration of Business Organization
Operating in Myanmar can by carried out through one of the following business organization.
- Companies limited by shares. i.e. joint venture companies; local companies, foreign companies.
- Branch or Representative Offices of a foreign company.
- Associations not for profit
The partnership's rights and obligations are based on the agreements between the partners and the Partnership Act of 1932. In accordance with the Act, the number of partners is limited to twenty. A partnership firm may be registered, but registration is not compulsory. All partnerships formed in Myanmar are of unlimited type. When no provisions are made for the period of time, the partnership will be dissolved when all partners willing to do so.
Companies Limited by Shares
A company limited by shares is required to register. For Foreign enterprises the most normal method of doing business in Myanmar is through a limited company. Such a company could be a foreign company registered in Myanmar or a branch office or representative office of a company formed outside Myanmar. If one share is owned by a foreign partner, the company shall come under the definition of a foreign company, and shall apply and obtain a Permit before registration. There are two main types of company: a private and a public limited liability company.
- In a private limited company, the transfer of shares is restricted, the public cannot be called upon to subscribe for shares, and the number of members is limited to fifty.
- In a public limited liability company, the number of shareholders must be at least seven. The company, after registration, must apply for a Certificate of Commencement of Business to enable start the business operation.
- The governing law for the limited companies is the Myanmar Companies Act 1914. A company with share contribution of the State shall be registered under the Special Company Act 1950 and the Myanmar Companies Act 1914.
- There are generally no minimum share capital requirements. However, minimum requirements do exists for banking and insurance companies and foreign companies and branches of all businesses. For foreign companies and branches, the minimum capital to be brought in are as follows;
Industry company - foreign currency equivalent to kyat 1,000,000
Services company - foreign currency equivalent to kyat 300,000
For Export / Import
Enterprise whose operations involve foreign trade has to apply for registration as an exporter or importer with the Export Import Registration Office under the Ministry of Commerce.