FAQ

A differentiated approach is maintained through the integration of legal compliance, financial advisory, and regulatory navigation under one operational framework. While many consultants in Kathmandu limit their scope to documentation, CorporateNP collaborates directly with top corporate law firms in Nepal and government bodies such as the Office of the Company Registrar (OCR), the Department of Industry (DOI), and the Investment Board Nepal (IBN). This multi-disciplinary model ensures that clients receive not only procedural support but also strategic guidance on FDI approval in Nepal, tax structuring, and post-incorporation compliance. A track record of serving 100+ clients across the globe is maintained, and expertise is demonstrated across complex sectors including hydropower, tourism, infrastructure, and manufacturing. The firm's physical presence at the World Trade Center, Kathmandu, further signals institutional credibility and accessibility for both local and international stakeholders.

Although headquartered at the Anamnagar  in Kathmandu, CorporateNP operates as a nationwide business advisory firm in Nepal with service delivery extended to Pokhara, Butwal, Chitwan, Biratnagar, and other major cities. Remote consultation capabilities are maintained for clients in secondary markets and rural development corridors. For foreign investors, virtual advisory sessions are conducted prior to physical establishment, ensuring that company registration in Nepal and FDI approval processes are initiated without geographic constraints. Local compliance requirements specific to provincial governments — such as Koshi Province, Bagmati Province, and Lumbini Province — are navigated with region-specific expertise. This broad geographic coverage positions CorporateNP as a scalable partner for businesses seeking uniform service quality across Nepal's seven provinces and 77 district

The FDI approval process in Nepal is governed by FITTA 2019 and administered primarily through the Department of Industry (DOI) for investments up to NPR 6 billion, and the Investment Board Nepal (IBN) for larger projects. The process is initiated with sector eligibility confirmation, followed by company registration at OCR or branch office authorization. A formal FDI application is then submitted to DOI/IBN with project documentation, financial credibility proof, and joint venture agreements where applicable. Upon approval, an industry registration certificate is issued, and foreign investment must be injected according to a mandated schedule: 25% within one year, 70% before commercial operation, and the remaining 30% within two years. Post-injection, the investment is recorded with Nepal Rastra Bank (NRB) within six months. CorporateNP manages this entire workflow, ensuring alignment with Nepal's automatic route for eligible sectors and reducing approval timelines significantly.

Yes, 100% foreign ownership is permitted in Nepal across a wide range of sectors under the Foreign Investment and Technology Transfer Act (FITTA) 2019. The automatic route — expanded in February 2026 to cover 102 sectors — allows foreign investors to establish wholly-owned subsidiaries without prior Nepali equity participation. Sectors such as information technology, tourism, manufacturing, and consulting services are fully open to 100% foreign-owned company registration in Nepal. However, certain restricted sectors — including defense, real estate trading, and select agricultural activities — remain subject to caps or prohibitions. CorporateNP conducts preliminary sector feasibility analysis for every foreign client to confirm ownership eligibility before application submission. This proactive verification prevents regulatory rejection and ensures that the chosen business activity qualifies for full foreign control under Nepal's current negative list and liberalized FDI policy framework.

Comprehensive documentation is required for FDI registration with the Department of Industry (DOI) in Nepal. For corporate investors, certified copies of the parent company's incorporation certificate, memorandum and articles of association, board resolution authorizing the investment, and audited financial statements for the past two years must be submitted. Individual investors must provide a passport copy, curriculum vitae, bank reference letter, and source-of-funds declaration. Additionally, a detailed project report covering investment amount, employment generation, technology transfer plan, and environmental impact assessment (where applicable) is mandatory. All foreign documents must be notarized and apostilled in the country of origin. CorporateNP's FDI advisory service in Nepal includes document preparation, translation, notarization coordination, and direct liaison with DOI officials. This structured approach minimizes delays and ensures that every submission meets the OCR and DOI documentation standards required under Nepal's foreign investment regulations.

Under standard procedures, private company registration in Nepal through the Office of the Company Registrar (OCR) is completed within 7 to 15 working days when all documents are properly prepared. The timeline is divided into three phases: name reservation (1–2 days), document verification and MOA/AOA submission (3–5 days), and certificate issuance (2–3 days). Delays are commonly caused by name similarity conflicts, incomplete director documentation, or MOA clauses that deviate from the Companies Act 2063 template. CorporateNP utilizes the CAMIS (Company Registration Management Information System) portal for electronic filing, which accelerates processing compared to manual submissions. For urgent engagements, expedited processing can be arranged. Clients in Kathmandu, Pokhara, Butwal, and other cities are supported with local document collection and submission services, ensuring that OCR registration in Nepal is achieved within the shortest legally permissible timeframe.

The minimum capital requirement for a private limited company in Nepal is determined by the nature of business activity and applicable regulatory thresholds. Under the Companies Act 2063, no statutory minimum paid-up capital is mandated for general trading or service companies. However, sector-specific regulations impose capital floors: NPR 1 million for construction licensing (D-class), NPR 5 million for data center registration, and higher thresholds for banking, insurance, and aviation activities. For FDI companies in Nepal, the automatic route previously required a minimum investment, but this floor was eliminated for IT and select service sectors in recent policy amendments. CorporateNP advises every client on optimal capital structuring that satisfies both regulatory requirements and operational credibility. Capital must be deposited into a Nepalese bank account post-registration and verified through statutory audit before full operational commencement.

Yes, foreign branch office registration in Nepal is permitted under the Companies Act 2063 and FITTA 2019 without the need to form a separate Nepalese subsidiary. A branch office is treated as an extension of the foreign parent company and may undertake permitted business activities — including market research, liaison functions, and project execution — subject to approval from the Department of Industry (DOI) and registration at OCR. The parent company must submit its incorporation documents, board resolution, audited financials, and a local representative appointment letter. Unlike a subsidiary, a branch does not have independent legal personality, and the parent company retains full liability. CorporateNP facilitates branch office setup in Nepal for foreign corporations in sectors such as engineering, aviation, trading, and consulting, ensuring compliance with NRB foreign exchange reporting and annual filing obligations.

Every company registered in Nepal must adhere to a structured annual compliance calendar under the Companies Act 2063. Mandatory obligations include: holding an Annual General Meeting (AGM) within six months of the fiscal year-end; filing annual returns with OCR within 30 days of the AGM; maintaining statutory registers (members, directors, charges); and appointing a statutory auditor within three months of incorporation. Additionally, Income Tax Act 2058 requires annual tax returns, while the VAT Act 2052 mandates periodic VAT filings depending on turnover thresholds. The Social Security Fund (SSF) contribution — totaling 31% of basic salary (11% employee, 20% employer) — must be deposited monthly. CorporateNP's company secretarial services in Nepal manage this entire compliance lifecycle, ensuring that clients avoid penalties ranging from NPR 1,000 to NPR 20,000 for late filings and maintain good standing with OCR, IRD, and labor authorities.

Payroll management in Nepal is governed by the Labor Act 2074, the Social Security Fund Act 2074, and Income Tax Act 2058 provisions on TDS (Tax Deducted at Source). CorporateNP's professional payroll management service ensures full compliance through automated salary processing, SSF contribution calculation (11% employee + 20% employer), gratuity accrual tracking, and TDS withholding at source. Monthly salary slips, tax deduction certificates, and SSF deposit receipts are generated and archived for audit readiness. The firm also manages labor audit preparation — a mandatory requirement for employers with ten or more staff — by maintaining attendance records, leave registers, and employment contracts in accordance with Nepal labor law. By outsourcing payroll to CorporateNP, employers reduce administrative overhead by up to 70% while eliminating the risk of statutory penalties for non-compliance with Nepal's evolving labor and social security framework.

Upon incorporation, every company must obtain a Permanent Account Number (PAN) from the Inland Revenue Department (IRD) within 30 days. VAT registration in Nepal becomes mandatory when annual turnover exceeds NPR 5 million for goods or NPR 2 million for services. The standard VAT rate is 13%, and registered entities must issue tax invoices, maintain Kharid Khata (purchase register) and Bikri Khata (sales register), and file returns on a monthly, bi-monthly, or trimester basis depending on turnover classification. CorporateNP handles PAN and VAT registration in Nepal as part of its post-incorporation compliance package, ensuring that new businesses meet IRD deadlines and understand their input tax credit entitlements. For foreign-invested companies, additional advance tax obligations apply — 40% by mid-January, 70% by mid-April, and 100% within three months of the fiscal year-end — which CorporateNP schedules and monitors proactively.

A construction license in Nepal is issued by local municipal offices (ward offices and municipalities) under the Local Government Operation Act 2074 and relevant building bylaws. For a D-class construction license, the minimum capital requirement is NPR 1 million, and the applicant must employ a sub-engineer or overseer as technical personnel. Essential equipment — including a concrete mixer, water pump, vibrator, and leveling instrument — must be procured and documented. The process begins with OCR company registration, followed by PAN/VAT enrollment, ward office business registration, equipment verification, technical staff verification, and final municipal license issuance. Total investment typically ranges from NPR 508,600 to NPR 985,600. CorporateNP's construction licensing advisory service guides contractors through municipality-specific requirements in Kathmandu, Pokhara, Butwal, and other cities, ensuring that equipment lists, personnel credentials, and application formats align with local government standards.

Aircraft lease registration in Nepal requires coordination with the Civil Aviation Authority of Nepal (CAAN), the Department of Industry (DOI) — if foreign lessors are involved — and compliance with Nepal's aviation regulations. The process begins with a wet lease or dry lease agreement between the foreign lessor and the Nepalese airline operator. The agreement must be vetted for CAAN compliance, insurance adequacy, and airworthiness certification. For foreign lessors, FITTA 2019 compliance and DOI notification may be required depending on the lease structure and payment flows. CorporateNP provides specialized aircraft lease and registration advisory to aviation clients, managing document preparation, regulatory correspondence with CAAN, and foreign exchange clearance through Nepal Rastra Bank. This niche expertise distinguishes CorporateNP from general business consultants, as aviation leasing involves intersectional compliance across corporate law, foreign investment rules, and international aviation treaties.

The cost of FDI advisory services in Nepal varies based on entity complexity, sector, and capital size. Government fees for company registration at OCR range from NPR 9,500 to NPR 25,000 depending on authorized capital. DOI/IBN application fees range from NPR 5,000 to NPR 30,000. Professional advisory fees for end-to-end FDI setup — including document preparation, government liaison, and compliance structuring — typically range from NPR 300,000 to NPR 1,000,000+ for complex multi-sector projects. The timeline for FDI approval in Nepal is generally 1 to 2 months from initial consultation to operational readiness, though expedited processing can compress this further. CorporateNP provides transparent pricing plans and milestone-based engagement models, ensuring that clients in Kathmandu, Pokhara, Butwal, and international markets receive predictable costs without hidden charges. A detailed quotation is prepared after the initial consultation and sector analysis.

International clients may initiate engagement with CorporateNP through multiple verified channels. The primary office is located at the Anamnagar, Kathmandu, Nepal, with an additional accessible point at Anamnagar, Kathmandu. Direct communication is available via email at adv.rojen@gmail.com , telephone at +977 9768717747, and WhatsApp at +977 9768717747. The website features a contact form for structured inquiries, and newsletter subscriptions are available for regulatory updates on FDI policy changes in Nepal. CorporateNP serves clients from India, China, the Arab world, Europe, and North America, with multilingual support and timezone-accommodated consultation scheduling. An initial free consultation is typically offered to assess sector eligibility, ownership structure, and compliance roadmap before formal engagement. All client data is protected under a GDPR-compliant privacy policy, reinforcing the firm's commitment to transparency and professional confidentiality in cross-border advisory relationships.