Understanding Outsourcing Business in Nepal
Outsourcing companies in Nepal provide services like:
✔ IT development ✔ Customer support ✔ Digital marketing ✔ Data entry
✔ Accounting services ✔ Content creation
The registration process follows the Companies Act with additional requirements for technology businesses.
Step-by-Step Registration Process
1. Business Structure Selection
| Option | Best For | Requirements |
|---|---|---|
| Private Limited | Most outsourcing firms | 1 director, NPR 100k capital |
| Branch Office | Foreign companies | Parent company documents |
| IT Service Company | Tech-focused firms | Special IT industry benefits |
2. Name Reservation (1 Day)
- Submit 3 name options to Office of Company Registrar (OCR)
- Fee: NPR 300 (online via ocr.gov.np)
3. Document Preparation
Required Documents:
- Memorandum & Articles of Association
- Board resolution (if applicable)
- Citizenship/Passport copies of directors
- PAN copies of shareholders
- For IT companies: Proof of technical capacity
4. Capital Deposit
- Minimum NPR 100,000 for Private Ltd
- Must show bank deposit certificate
- Foreign investment: Requires NRB approval
5. Registration Submission (3-5 Days)
- Online via OCR Portal
- Fee: NPR 10,000 + NPR 500 per 100k capital
- Physical submission at Kathmandu/Birgunj OCR office
6. Post-Registration Requirements
- PAN/VAT registration (within 15 days)
- Social Security Fund enrollment (for employees)
- Industry-specific licenses (if applicable)
Special Provisions for IT Outsourcing
✔ Tax holiday for first 5 years (in certain tech parks)
✔ 100% foreign ownership allowed in IT sector
✔ Easy forex facilities for international payments
Compliance Requirements
| Requirement | Frequency | Authority |
|---|---|---|
| Financial audit | Annual | IRD |
| VAT filing | Monthly (if registered) | IRD |
| SSF contribution | Monthly | Social Security Fund |
FAQs About Outsourcing Registration
1. Can foreigners register outsourcing companies?
→ Yes, with 100% ownership in IT sector, others need 51% Nepali stake
2. What’s the minimum capital requirement?
→ NPR 100,000 for Private Ltd companies
3. How long does registration take?
→ 5-7 working days for complete applications
4. Are there special tax benefits?
→ Yes, IT companies get 5-year tax holiday in approved tech parks
5. Do I need physical office space?
→ Yes, but can be home-based initially for small operations
Pro Tips for Success
✔ Register under IT category for maximum benefits
✔ Use digital payment systems for international transactions
✔ Maintain proper project documentation for tax audits
Need Help? Contact:
- OCR Helpdesk: ☎ 01-5970037
- IT Industry Association: ☎ 01-4424526
💡 Start your global outsourcing venture from Nepal today! 🌍
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