1. Why Start a Business in Cambodia?

Cambodia’s growing economy, strategic location, and investor-friendly policies make it a prime market for startups and SMEs. Industries like real estate, tourism, and manufacturing continue to show steady growth.

2. Types of Legal Entities

Common structures include sole proprietorships, private limited companies (LLCs), branch offices, and representative offices. Most foreign entrepreneurs choose LLCs for liability protection and full control.

3. Step-by-Step Registration Process

1. Choose a company name and check its availability via the Ministry of Commerce (MOC).
2. Prepare documentation (passport, address lease, business objective, articles of incorporation).
3. Register your company with the MOC.
4. Obtain a Tax Identification Number (TIN) from the General Department of Taxation.
5. Apply for relevant licenses (sector-specific if required).

4. Required Documents

You’ll typically need: valid passport, local lease agreement, business purpose outline, incorporation documents, shareholder identities, and nominee agreements (if applicable).

5. Costs, Timelines, & Red Tape

Expect to spend between $300–$700 depending on the entity type, documentation, and whether you hire a local service provider. Timelines typically range from 7 to 21 working days.

6. Tax Registration & Ongoing Compliance

After MOC registration, your business must be registered for tax and adhere to monthly or quarterly filings. VAT registration and audited financials may be required based on your revenue and business type.

7. Hiring Employees & Local Registration

Businesses must register with Cambodia’s National Social Security Fund (NSSF) and submit labor contracts to the Ministry of Labor if hiring staff locally.

8. Common Mistakes to Avoid

• Failing to secure a legal lease before registering.
• Using a nominee without proper documentation.
• Delaying tax registration, which can lead to penalties.