Armenia is one of the easier places in the region to set up a business. Registration is fast, most businesses need no minimum capital, and foreign citizens can own and run a company. The details still matter, though, especially the structure you choose and the tax regime you pick in your first weeks.
In short
- Most foreign businesses open a subsidiary LLC: no minimum capital (except in some licensed sectors), no state registration fee, and registration usually takes one or two business days.
- A branch can trade on behalf of your company. A representative office can only do marketing and liaison work.
- You don't have to travel to Armenia to register. A local representative can file for you.
- Your first 20 days matter: that's when you choose your tax regime.
1Choose the right structure
There are three common ways for a foreign company to start operating in Armenia:
Subsidiary (LLC)
A separate Armenian company that can do any legal business. Your risk stays inside the company. The most popular option.
Branch
Part of your foreign company, not a separate entity. It can sign contracts and sell, but the parent company is liable for its debts.
Representative office
For marketing, market research and liaison only. It can't run regular commercial activity.
If you plan to sell, invoice or hire in Armenia, an LLC is usually the simplest and safest choice. A branch can make sense when contracts must stay with the parent company.
2What you'll need
For an LLC, you'll typically prepare:
- A company name, checked for availability
- A registered address in Armenia
- A director (a foreign citizen is fine)
- The charter and the founder's decision
- Passports of the founders and the director, with notarized Armenian translations
- For a company founder: an extract from its commercial register, certified and translated
- A power of attorney, if someone files for you
Plan for paperwork: documents issued abroad usually need an apostille (or legalization) and a notarized Armenian translation. This is often the slowest part, so start early. For a branch, you'll also need your parent company's decision to open it, the branch charter and the appointment of its head.
3Registration, step by step
- 1Prepare the documents. Check the name, draft the charter and arrange translations and certifications.
- 2File with the State Register. Applications go to the State Register of Legal Entities under the Ministry of Justice, online or in person. A local representative can file on your behalf.
- 3Get registered. An LLC is often registered the same day with the standard forms, or within two business days with a custom charter. There's no state fee for an LLC, and the tax ID (TIN) is issued at registration. Branches and representative offices take longer and pay a state duty.
- 4Open a bank account. Banks run their own checks on the owners and the director, so ask your bank in advance what they need.
- 5Meet the first deadlines. Choose your tax regime within 20 days of registration and file beneficial ownership information within 40 days.
4Taxes at a glance
Here are the main rates to plan around as of 2026:
18%
Profit tax
On taxable profit under the general regime. A branch is taxed on its Armenian profits on the same basis.
20%
VAT
Mandatory once annual turnover exceeds AMD 115 million.
10%
Turnover tax
An option for smaller businesses (up to AMD 115 million a year) instead of profit tax and VAT. 10% is the basic rate for trade and most services, 7% for production. Not every activity qualifies.
20%
Income tax on salaries
Withheld by the employer, along with pension contributions and, since 2026, health insurance for higher earners.
5%
Dividends abroad
Withholding tax on dividends paid to a foreign parent. A tax treaty may lower it.
5The decision that matters most: your tax regime
New companies have 20 days after registration to choose between the general regime and turnover tax. That choice affects your tax bill for the whole year, and you can usually only switch at the start of the next one.
✕Common mistake
“Let's register first and think about taxes later.”
The deadline passes, and you end up on a regime that doesn't fit your business.
✓Better approach
“Let's compare both regimes before we register.”
Based on your expected revenue, margins, costs and whether your clients need VAT invoices.
6After you launch
Once the company is running, the main recurring obligations are:
- Accounting records kept in line with Armenian law
- VAT returns every month, if you're VAT-registered
- Turnover tax returns every quarter, if you chose that regime
- Profit tax advance payments and an annual return by 20 April
- Payroll taxes and reports for your employees
- Up-to-date beneficial ownership information
How we can help
- Choosing the right structure and tax regime
- Preparing documents and registering your company or branch
- Accounting, tax reporting and payroll after launch
- Support in English, Russian, German and Armenian
This article is for general information only and isn't legal or tax advice. Rules and rates are current as of November 2026 and can change. For guidance on your specific situation, speak to a specialist.