Company Formation FAQ:

What types of entities can be formed in Mongolia?

Non-governmental organizations (NGOs), limited liability companies (LLCs), joint stock companies (JSC) and representative offices can be formed in Mongolia.

What is the required capital fund of a foreign-invested company in Mongolia?

Foreign-invested companies are required to have a capital fund of USD100,000.  This money must remain in the company’s Mongolian bank account for the duration of registration but can then be transferred out once the registration process has been completed.

Can a Mongolian company be 100% foreign owned?

Yes, a Mongolian company can have 100% foreign shareholders.

Are branches allowed to be established in Mongolia by foreign companies?

Branches cannot be established in Mongolia by foreign companies.  Established companies in Mongolia may open branches within the country, but a LLC must exist in Mongolia before a branch can be formed.

What is the difference between an LLC and a representative office in Mongolia?

The main difference is that a representative office cannot earn revenue.  In Mongolia representative offices are intended more for non-profit or non-governmental organizations.

Can the Executive Director of a Mongolian company be an expatriate?

Yes, the Executive Director of a Mongolian company can be a foreign worker.

Is the USD100,000 capital fund required to stay in Mongolia after registration is complete?

No, once registration has been completed the capital fund can be transferred elsewhere.

What does the service fee include?

The service fee is a one-time flat fee that covers all translation costs, notary fees and registration and government fees.

How many companies has ICMC formed?

ICMC has been working in Ulaanbaatar, Mongolia since 2005 and has done over 100 company formations since that time.