Azerbaijan is a strategic location for logistics and transportation due to its unique geographical location, connecting Europe and Asia. With major infrastructure developments such as the Baku International Sea Trade Port and the Baku-Tbilisi-Kars railway, Azerbaijan is an attractive destination for logistics businesses. If you are planning to register a logistics company in Azerbaijan, this guide will help you understand the process, legal forms, and necessary licenses.
Company Formation and Forms
When registering a logistics company in Azerbaijan, you must choose a suitable legal structure. The main business structures available are:
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Limited Liability Company (LLC) – The most common form of company in Azerbaijan. It offers flexibility and limited liability for its owners.
- Joint-Stock Company (JSC) – Suitable for larger logistics businesses that may require investment through shares.
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Individual Entrepreneur – A simple structure for small-scale logistics businesses.
Each business form has different legal and tax implications, so selecting the appropriate structure depends on your business goals.
Branch, Subsidiary, and Independent Company in Azerbaijan
Foreign logistics companies looking to operate in Azerbaijan have three main options:
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Branch – A branch is an extension of a foreign company. It does not have a separate legal identity but operates under the parent company’s name.
- Subsidiary – A subsidiary is a separate legal entity, registered under Azerbaijani law, and can be fully or partially owned by a foreign company.
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Independent Company – A company established by a foreign investor in Azerbaijan without ties to an overseas parent company.
Each option has distinct advantages and compliance requirements, so it’s important to choose based on your operational and financial strategy.
Company Registration Steps in Azerbaijan
The process of registering a logistics company in Azerbaijan involves several steps:
- Choose a Business Name – The name must be unique and comply with Azerbaijani regulations.
- Prepare Required Documents – Includes passport copies (for individuals), articles of incorporation, and proof of legal address.
- Notarization and Translation – Documents need to be translated into Azerbaijani and notarized.
- Submit Application to the Ministry of Taxes – The company is registered with the State Tax Service of Azerbaijan.
- Obtain a Tax Identification Number (TIN) – This is essential for legal operations.
- Open a Bank Account – A corporate bank account is required for financial transactions.
- Register for VAT (if applicable) – Businesses with a turnover exceeding AZN 200,000 must register for VAT.
- Obtain Necessary Permits and Licenses – Depending on your logistics services, specific permits might be required.
Getting a License for Logistics Activity
Logistics companies in Azerbaijan must obtain the relevant licenses for specific services, such as:
- Freight Transportation License – Required for domestic and international cargo transport.
- Warehousing License – If your business involves storage and distribution.
- Customs Brokerage License – Needed if providing customs clearance services.
- Dangerous Goods Transportation Permit – If handling hazardous materials.
The licensing process typically involves an application to the relevant government authorities, submission of required documents, and compliance with safety and regulatory standards.
As ASCON, How We Can Help You Register a Company in Azerbaijan
At ASCON Consulting, we specialize in business registration and legal support for foreign investors in Azerbaijan. Our services include:
- Company Registration Assistance – Ensuring compliance with Azerbaijani corporate laws.
- Legal Consultation – Helping you choose the right business structure for your logistics operations.
- Licensing and Permits – Assisting with obtaining the necessary licenses for logistics activities.
- Tax and Accounting Services – Supporting financial management and tax compliance.
- Business Expansion Guidance – Helping you establish and grow your logistics business in Azerbaijan.
With our expertise, we make the company registration process smooth and efficient, allowing you to focus on growing your logistics business.
Conclusion
Azerbaijan’s strategic location and well-developed transport infrastructure make it an ideal destination for logistics businesses. Whether you plan to establish a branch, subsidiary, or independent company, following the correct registration steps and obtaining the necessary licenses is essential. Our partner professional lawyers is here to guide you through the process, ensuring legal compliance and a hassle-free setup.
If you are ready to start your logistics company in Azerbaijan, contact ASCON Consulting today
📞 Call us at +994 51 946 83 49
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