Qatar Financial Centre Slashes Business Setup Fees by 90% to Boost Market Entry

In a major move to enhance Qatar’s appeal as a global business hub, the Qatar Financial Centre (QFC) on February 17, 2025, announced a substantial reduction in its application fee for licensing an entity on its platform.

QFC cuts 90 percent off application fee to attract businesses

Effective immediately, the fee has been slashed by 90 percent, dropping from US$5,000 to just US$500. This new pricing structure applies to all applicants seeking to conduct non-regulated activities in the QFC, with the exception of Single Family Offices.

The decision aligns with QFC’s broader strategy to foster an optimal business environment and underscores its commitment to simplifying business setup procedures. By lowering financial barriers, the QFC aims to facilitate market entry for startups, SMEs, and global corporations looking to establish operations in Qatar’s dynamic economy.

Yousuf Mohamed Al-Jaida, CEO of QFC, emphasized the importance of this initiative: “This significant reduction in our application fee is one of many steps we are taking to make the QFC an even more attractive platform for businesses looking to establish operations in Qatar and the region. We expect this initiative to further enhance Qatar’s position as a leading business destination and encourage more entrepreneurs to take the first step towards launching their ventures.”

Source: Qatar Financial Centre Media

Enhancing Qatar’s business ecosystem

This pivotal initiative follows QFC’s streamlined company-incorporation process, which enables applicants to establish an entity and obtain a license for non-regulated activities almost instantly, provided they meet the necessary requirements. As a leading onshore financial and business center, QFC continues to invest in strengthening its regulatory framework and business support services.

Key advantages of operating within the QFC framework include:

• An onshore jurisdiction with legal and judicial systems based on common law.
• Up to 100 percent foreign ownership and full repatriation of profits.
• A competitive 10 percent corporate tax on locally sourced profits.
• Double taxation agreements with over 80 jurisdictions.
• Freedom to trade in any currency and a transparent regulatory environment.

Step-by-step business setup in QFC

QFC offers a straightforward process for business registration, making it easier for companies to establish operations in Qatar. The process includes:

1. Expression of interest: Applicants begin by submitting an expression of interest form to determine if their business activities align with QFC’s permitted activities. The Business Development Team assesses whether the proposed business operations fit within the scope of the QFC Financial Services Regulations (FSR) and add strategic value to Qatar’s economic growth. Interested applicants can contact QFC’s business development team – key information is provided on the QFC official website.
2. Regulatory review and authorization: If the proposed activities are approved, a member of QFC’s Financial Services Sector (FSS) guides applicants through the process of obtaining required authorization from the QFC Regulatory Authority (QFCRA) before proceeding with incorporation.
3. Online application submission: Approved applicants receive access to the secure QFC Portal, where they complete an online Application for Registration and License. Upon submission, QFC reviews and assesses the application and all supporting documentation. A dedicated QFC Business Development Representative coordinates any necessary follow-ups.
4. Issuance of license and registration certificates: Once all requirements are met, applicants receive their Licensing and Registration Certificates, their QFC entity’s Scope of License, and a Licensing Letter, officially allowing them to operate in Qatar.
5. Post-registration compliance: Newly registered businesses must complete a series of onboarding and compliance steps, including:
   • Ensuring access to the QFC Client Portal
   • Completing tax registration and setting a start date
   • Registering with the Employment Standards Office (ESO)
   • Providing Professional Indemnity Insurance coverage
   • Appointing a QFC-approved auditor
   • Submitting annual returns, audited financial statements, and tax filings
   • Complying with Ultimate Beneficial Ownership (UBO) reporting requirements
   • Submitting the employees list to the ESO

QFC’s role in Qatar’s economic growth

Established under Law No. 7 of 2005, the Qatar Financial Centre serves as a world-class platform for companies looking to expand in the region. It supports Qatar’s economic diversification strategy, as outlined in Qatar National Vision 2030, by attracting a diverse range of businesses across industries. QFC operates as an onshore business and financial center, offering a legal, regulatory, tax, and business environment aligned with international best practices.

The QFC is governed by four independent bodies that ensure its regulatory framework remains transparent, efficient, and business-friendly. These bodies oversee operational, regulatory, and judicial matters to provide companies with optimal support.

Growth momentum in 2024

The QFC’s latest move comes on the heels of strong business growth in 2024. During the first half of the year, 505 new firms joined the QFC platform, with the technology sector accounting for the largest share—38 percent of total registrations. The financial services sector contributed 10 percent of new registrations, with the majority of firms originating from the U.K., France, Jordan, India, and the U.S. These companies span a range of industries, including advisory services, fintech, IT, and innovation.

By lowering entry costs, QFC is positioning itself as an even more attractive gateway for businesses looking to tap into Qatar’s expanding economy. The revised fee structure is expected to encourage more foreign investment and strengthen Qatar’s status as a premier financial and commercial hub in the region.

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