Business
The Law on Entrepreneurs recast in 2021 to align with EU company law
A new Law on Entrepreneurs entered into force on 1 January 2022, replacing the 1994 statute and modernising company law in line with EU directives. The limited liability company remains the standard form and registration is completed through the Public Service Hall within a day.
Key rules
- Jurisdiction — National. Commercial disputes are heard in the common courts.
Governing law
- Law of Georgia on Entrepreneurs2021, in force 1 January 2022
- Law on Insolvency Proceedings (2020) — rehabilitation and bankruptcy
- Law on Free Industrial Zones2007
In practice
The 2021 recast introduced clearer rules on directors' duties, shareholder rights, capital maintenance and group structures, and was driven by approximation commitments under the EU Association Agreement. Companies register with the National Agency of Public Registry through the Public Service Halls, typically in one working day, with no minimum capital for an LLC. The 2020 insolvency law introduced a modern rehabilitation procedure. Free industrial zones in Poti, Kutaisi and Tbilisi offer exemption from corporate profit tax, VAT and customs duty for qualifying activity, and are widely used for re-export operations.