How a foreign company can start a business in Uzbekistan: LLC, rep office or IT Park

A foreign company can operate in Uzbekistan in three main ways: set up its own LLC (a subsidiary), accredit a representative office or — for an IT business — obtain IT Park resident status through a local entity. You can also sell online services to people in Uzbekistan without a local entity, but you will then have to register for tax and store users' personal data on servers inside the country. Below we explain how these options differ and where to start.

What forms of presence are available?

• An LLC (subsidiary) — a full legal entity that signs contracts, hires staff and earns revenue. Suitable for sales, manufacturing, software development and services.
• A representative office — not a legal entity but the company's "embassy": it studies the market, maintains contacts and represents the head office. It is not meant for trading or earning income in Uzbekistan.
• IT Park resident — not a separate form but a status granted to a local entity (usually an LLC) engaged in IT activities. It brings substantial tax benefits.
• Operating without an entity — possible for online services, but with tax and personal data obligations (see below).

How to register an LLC with a foreign participant

The procedure is the same as for any LLC and is governed by the new Law "On Limited Liability Companies" No. ZRU-1137, in force since 22 July 2026. Applications are filed through a Public Services Centre or my.gov.uz.

1. Choose the name, registered address and line of business.
2. Prepare the founder's decision to establish the LLC and the charter (with several participants, also a founding agreement).
3. Collect the foreign founder's documents: an extract from the trade register of its home country, documents confirming the signatory's authority, and a power of attorney for the representative in Uzbekistan.
4. Have them apostilled and get a notarised translation into the state language.
5. Appoint a director — a foreign national or a citizen of Uzbekistan; the director does not have to be a participant.
6. After registration, open a bank account and pay in the charter capital contribution.

Note the restriction in Article 8 of the law: an LLC cannot have as its sole participant another company that itself has only one member (the exception is a joint-stock company with one shareholder). If your parent company is owned by a single person, discuss the structure in advance.

Apostille, capital and foreign-invested enterprise status

Apostille. Uzbekistan is a party to the 1961 Hague Convention abolishing the requirement of legalisation for foreign public documents; it entered into force for Uzbekistan on 15 April 2012. Documents from member states (Japan, for example) only need an apostille — no consular legalisation. Documents from non-member states go through consular legalisation.

Charter capital. The law sets no minimum charter capital for an LLC; one may be required only under licensing rules for specific activities (Article 15 of Law No. ZRU-1137). The contribution must be paid in full within the period set in the founding documents, but no later than one year after registration.

Foreign-invested enterprise. Under the Law "On Investments and Investment Activity", a company is a foreign-invested enterprise if foreign investment makes up at least 15% of its shares or charter capital. The law guarantees foreign investors, among other things, free repatriation of income and prohibits state bodies and banks from imposing extra requirements on them beyond those set by law.

Representative office: when does it make sense?

Representative offices of foreign commercial organisations are accredited under the Regulation approved by Cabinet of Ministers Resolution No. 76 of 7 February 2024. Under this Regulation:

• the application is filed through a Public Services Centre or the Unified Portal of Interactive Public Services;
• it is reviewed within 5 working days;
• the accreditation certificate is issued for one to three years, and renewal must be requested at least one month before it expires;
• the state duty is paid after a positive decision;
• the share of foreign employees is capped.

A representative office is the right choice while you are exploring the market, looking for partners or supporting distributors. If you plan to sign contracts with customers and earn revenue in Uzbekistan, you need an LLC.

IT Park: conditions and benefits

For a company that develops software or provides IT services, especially for export, the most efficient route is to register an LLC and apply for residency of IT Park. Residents are legal entities registered in Uzbekistan; the application, with a business plan, is filed online and reviewed by the park's expert council.

The main benefits:

• until 1 January 2028, residents are exempt from corporate profit tax, VAT and social tax, and their employees pay personal income tax at 7.5% instead of 12%;
• from 1 January 2028 to 1 January 2040, residents are exempt from all taxes except VAT — but only if exports account for more than 50% of their income (Article 483 of the Tax Code);
• until 1 January 2040, dividends paid to non-resident founders of exporting residents are taxed at the rates that apply to residents.

Example. Suppose a Japanese group opens a software development LLC in Tashkent that works only for clients abroad. Once it becomes an IT Park resident, it pays no profit tax, and from 2028 it keeps its benefits for as long as exports make up more than half of its income.

Can you operate without a local entity?

Yes, if you provide electronic services to individuals in Uzbekistan — access to software and databases, e-books and media content, online advertising, hosting, marketplaces (the list is in Article 282 of the Tax Code). However, under Article 279 of the Tax Code, a foreign company that collects payment from users itself must register with the tax authorities within 30 calendar days of starting to provide services and pay VAT (standard rate 12%). The rules for foreign e-service providers are being updated: amendments to these articles take effect on 12 December 2026, so check the current wording.

There is also a permanent establishment risk (Article 36 of the Tax Code): if the company acquires staff, an office or an agent concluding contracts on its behalf in Uzbekistan, the tax authority may treat it as doing business in the country and claim profit tax (standard rate 15%). Where you work regularly with local clients, a local entity is usually simpler and safer.

Personal data: server localisation

This requirement is often overlooked. Under Article 27-1 of the Law "On Personal Data", when the personal data of citizens of Uzbekistan is processed using information technologies, including over the internet, the owner and operator must collect, systematise and store it on technical means physically located in Uzbekistan, in databases registered in the State Register of Personal Data Bases.

If your website collects names, phone numbers, addresses or payment details of users in Uzbekistan, you cannot keep them only on servers abroad — you need a server or cloud inside the country and a registered database. This applies to companies without a local entity as well.

Taxes and a bank account after registration

• The standard profit tax rate is 15% and VAT is 12%; with small turnover a business may use turnover tax instead, while IT Park residents have their own benefits.
• The account is opened with an Uzbek bank after registration. The bank will check the ownership structure and ultimate beneficial owners, so prepare group documents in advance, apostilled and translated.
• A foreign investor may freely transfer abroad the profit remaining after taxes.

When should you bring in a lawyer?

You can register a simple LLC yourself, but mistakes cost a foreign company more: documents have to be apostilled and translated again, and a poorly chosen structure can be changed only through reorganisation. Legal help is especially important if:

• you are choosing between a representative office, an LLC and operating without an entity and want to assess the tax consequences, including permanent establishment risk;
• you plan IT Park residency — the activities and export model must be described correctly;
• your website or app processes personal data of users in Uzbekistan;
• your group has several tiers of ownership, or the participant is a single-member company.

The international law and investment team can help you choose the form, prepare the documents and handle the registration.

In brief

• You need an LLC to sell and hire; a representative office only represents the company's interests.
• A foreign founder's documents are apostilled and translated — Uzbekistan has been in the Hague Convention since 2012.
• There is no minimum LLC capital; a foreign stake of 15% or more makes the company a foreign-invested enterprise.
• IT Park residents are exempt from the main taxes until 2028, and from 2028 to 2040 if exports exceed 50%.
• Online services without an entity require tax registration within 30 days and storing users' data in Uzbekistan.

Photo: Guidecity, Wikimedia Commons (CC BY-SA 3.0)