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Private Limited Company 100% Foreign Owned

Cambodia offers one of the most open business environments in Southeast Asia, especially for foreign investors. If you’re looking to establish a presence in the Kingdom, forming a Private Limited Company (Ltd) is the most popular and flexible legal structure. Better yet, it can be 100% foreign-owned.

This guide explains what that means and how to get started.

✅ What Is a Private Limited Company in Cambodia?

A Private Limited Company (Ltd) is a legal entity registered under the Law on Commercial Enterprises. It is distinct from its shareholders and directors, meaning personal assets are protected from business liabilities.

🔑 Key Features of a Cambodian Ltd Company:

Feature	Description
Ownership	100% foreign ownership allowed (except in restricted sectors)
Minimum Shareholders	1 (can be an individual or legal entity)
Maximum Shareholders	30
Minimum Capital	No official minimum, but $1,000+ is common
Legal Status	Separate legal personality
Taxation	Subject to Cambodian tax laws (standard 20% corporate tax)
Setup Time	2–4 weeks (if documents are in order)

🌍 100% Foreign Ownership: What It Means

Unlike many countries in the region, Cambodia does not require a local partner or equity stake for foreigners in most sectors.

You can fully own your Ltd company in areas such as:

Renewable Energy
Manufacturing & Assembly
Import-Export & Trading
Consulting & Services
Real Estate Development (excluding direct land ownership)
Tech, Software & Digital Media

⚠️ Note: Some sectors, like media, natural resources, or direct land ownership, may require local ownership or special approval.

🧾 Legal Requirements to Register an Ltd in Cambodia

To register a private limited company, you’ll need:

Unique company name (reserve it online at the Online Business Registration Portal)
Business address with lease agreement
Company statutes (Articles of Incorporation)
List of shareholders and directors
Bank account for capital deposit
Company seal and tax registration

📌 Step-by-Step Registration Process

Reserve Company Name – Check availability and book online (2–3 days)
Register with Ministry of Commerce (MoC) – Submit company info, capital structure, and documents (7–10 days)
Obtain Tax Identification Number (TIN) – From the General Department of Taxation (GDT)
Register for VAT (if required) – For companies exceeding $62,500 in turnover/year
Register with Local Authorities – Commune and district office for signage and approval
Apply for Sector Licenses – Only if operating in regulated industries

🔗 Related Reading:

📈 Why Foreign Investors Prefer Ltd Companies

Complete control over operations and finances
Protection of assets with limited liability
Eligibility for contracts with both local and international clients
Flexibility to bring in foreign staff and issue work permits
Eligible to open Cambodian bank accounts and secure credit facilities

💼 Best Use Cases for 100% Foreign-Owned Ltd in Cambodia

Tech startups and SaaS businesses
Renewable energy developers
Trading companies managing cross-border export
Real estate and infrastructure consulting
Foreign-owned assembly or light manufacturing plants

💡 Pro Tips Before You Register

Use a local legal consultant to navigate Khmer documentation
Make sure to register a lease for your business address (photos required)
Appoint a resident director (not legally required, but beneficial for communication with authorities)
Keep clean accounting and tax records to avoid penalties

❓ Frequently Asked Questions

Q: Can I open a bank account in Cambodia with a 100% foreign-owned Ltd?
Yes. After registration, you can open a corporate account in banks like ABA, ACLEDA, or Canadia Bank.

Q: Do I need a work permit as a foreign shareholder?
Yes, if you plan to work actively in the business (not just as an investor).

Q: Can I own land through the company?
No. Foreigners cannot own land directly in Cambodia, but they can lease it (up to 50 years) or enter into legal joint ventures.

✨ Final Thoughts

Forming a Private Limited Company in Cambodia gives you full control of your business while meeting local legal requirements. It’s the preferred structure for foreign investors in sectors like clean energy, trading, tech, and manufacturing.

If you’re serious about entering Southeast Asia, Cambodia offers a gateway—with less red tape and more opportunity.

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📞 Get Expert Support

We help foreign investors set up Private Limited Companies in Cambodia—from name reservation to licensing.

📧 Email: info@vichetruon.com
🌐 www.vichetruon.com/contact