Nepal’s legal and regulatory framework has evolved significantly in the past three years, making it one of the most improved investment destinations in South Asia. With fully digital company registration, fast-track FDI approvals, and clear licensing pathways for high-demand sectors, entrepreneurs and foreign investors can now establish operations within 30–90 days. This article provides a concise yet authoritative overview of five critical areas: company registration, the FDI process, law firm establishment, travel agency licensing, and education consultancy registration.
1. Company Registration in Nepal
All profit-oriented businesses in Nepal must be incorporated through the Office of the Company Registration in Nepal (OCR) using the online portal camis.ocr.gov.np. The Private Limited Company remains the preferred structure for both domestic and foreign investors because of limited liability, perpetual succession, and ease of raising capital.
Current procedure (3–7 working days):
- Reserve a unique name (instant approval if available)
- Upload digitally signed Memorandum and Articles of Association (MOA/AOA)
- Submit citizenship or passport copies, photographs, and a lease agreement for the registered office
- Pay capital-based registration fees (NPR 9,500–45,000+)
- Receive e-Certificate of Incorporation and auto-generated PAN
Post-incorporation compliances (within 60 days) include VAT registration (if applicable), corporate bank account opening, and local ward office registration. Total cost for a standard private limited company with NPR 10 million authorized capital is approximately NPR 45,000–60,000 including professional fees.
2. FDI Process in Nepal
The Foreign Investment and Technology Transfer Act 2019 (amended 2024) allows 100% foreign ownership in most sectors. The Department of Industry (DOI) is the single point of contact.
Fast-track FDI process in nepal approval (15–30 days):
- Submit online application at fdi.doi.gov.np with:
- Parent company’s incorporation certificate and audited financials (last three years)
- Board resolution and power of attorney
- Business plan and investment schedule
- Passport copies of foreign shareholders/directors
- DOI issues FDI approval letter
- Register the company at OCR (foreign investment is auto-flagged)
- Open foreign currency and repatriation accounts at a commercial bank
- Remit paid-up capital (no statutory minimum except in banking, insurance, and airlines)
Key 2025 updates:
- Investments above USD 5 million qualify for single-window clearance
- Full repatriation of dividends, capital gains, and loan interest permitted after 5% withholding tax
- Negative list reduced to only eight sectors (casinos, arms, real estate trading, etc.)
3. Establishing a Law Firm in Nepal
Nepal permits three structures for legal practice: sole proprietorship, partnership (including LLP), and private limited company (corporate law firm model introduced in 2018 and now widely adopted).
Regulatory bodies:
- Nepal Bar Council (licensing of individual advocates)
- Office of the Company Registrar (firm registration)
- Local District Bar units
Mandatory requirements:
- Every practicing member must hold a valid Nepal Bar Council license
- Minimum experience: 2 years for partners, 3+ years for directors in corporate firms
- Physical office with minimum prescribed area
- Professional indemnity insurance (mandatory since 2024)
- Foreign lawyers may only act as foreign legal consultants; they cannot appear in Nepali courts
Leading corporate Law Firm in Nepal such as Pioneer Law Associates, Neupane Legal, Gandhi & Associates, and Pradhan & Associates dominate FDI, hydropower, banking, and international arbitration practices. Many have tie-ups with global networks while maintaining full Nepali ownership as required by law.
4. Travel Agency Registration in Nepal
Tourism contributes over 7% to GDP, making travel and trekking agencies among the most registered businesses annually.
Two mandatory licenses:
- Travel agency registration in nepal at OCR (object clause must include tourism activities)
- Tourism Industry License from Department of Tourism (DoT)
License categories and minimum requirements (2025):
- General Travel/Tour Agency: NPR 2 million bank balance + NPR 300,000 deposit
- Trekking Agency: NPR 5 million bank balance + NPR 1 million deposit
- Mandatory membership in TAAN (trekking) or NATTA (general tour operators)
- Managing Director must have at least three years’ experience or relevant qualification
- Office in a tourist area (minimum 300 sq ft)
New 2025 regulations require all licensed agencies to implement an online booking platform and obtain Sustainable Tourism Certification within 24 months. License renewal deadline is the last day of Ashoj each year.
5. Education Consultancy Registration in Nepal
With more than 120,000 Nepali students studying abroad annually, education consultancies are lucrative but among the most regulated businesses.
Current licensing authority: Provincial Ministry of Social Development (central Ministry of Education has suspended new licenses since 2023).
Requirements (Bagmati Province – Kathmandu):
- Private limited company registration with education consultancy in objectives
- Minimum 400 sq ft office in a commercial area
- At least two counselors with Bachelor’s degree + certified training
- Bank solvency certificate of NPR 500,000+
- Refundable security deposit NPR 300,000
- Clean police report of all directors
All Education consultancy registration in nepal must be members of ECAN and adhere to the maximum service-charge ceiling (NPR 80,000–120,000 per student depending on destination). Annual renewal is mandatory, and non-renewal leads to automatic cancellation.
Conclusion
Nepal in 2025 offers one of the fastest and most transparent business registration ecosystems in the region. A private limited company can be incorporated in under a week, FDI approved in 15–30 days, and sector-specific licenses (law, travel, education) obtained within 45–90 days with proper documentation.
The government’s digital single-window initiatives, combined with full profit repatriation rights and competitive tax rates (25% corporate tax with multiple holidays in priority sectors), make Nepal an attractive hub for both regional offices and new ventures. Professional local counsel remains essential—particularly for law firms and FDI projects—to ensure compliance and expedite approvals.
Whether you are establishing a corporate law firm, registering a trekking agency, opening an education consultancy, bringing in foreign investment, or simply incorporating a new company, Nepal’s streamlined processes provide a solid foundation for sustainable growth.