Algeria

Starting a Business in

Algeria

Below is a detailed summary of the bureaucratic and legal hurdles faced by entrepreneurs wishing to incorporate and register a new firm in Algeria. It examines the procedures, time and cost involved in launching a commercial or industrial firm with up to 50 employees and start-up capital of 10 times the economy's per-capita gross national income.

This information was collected as part of the Doing Business project, which measures and compares regulations relevant to the life cycle of a small- to medium-sized domestic business in 185 economies. The most recent round of data collection was completed in June 2012.

Compare Algeria to 184 other economies.

YearNew business densityNumber of new limited liability companies
2011 0.194,711
  • Standardized Company

  • Legal Form: Société à Responsabilité Limitée (SARL) - Limited Liability Company
  • Paid in Minimum Capital Requirement: DZD 100,000
  • City: Algiers
No. Procedure Time to Complete Associated Costs
1 Obtain an attestation on the uniqueness of selected company name from the Centre National du Registre du Commerce (CNRC); pick up registration forms

The applicant must fill out a form, listing the four proposed company names, and pay a fee for the name search and the fiscal stamp. The Commercial Registry (Centre National du Registre du Commerce, CNRC) conducts a name search and issues a name certificate on the same day.
1 day DA 490
2 Deposit the start-up capital with the notary public

The notary deposits the capital in a bank and obtains a deposit certificate before drawing up the statutes.
1 day no charge
3 Draw up and notarize the company constitution documents, submit specimen of managers’ signatures, and prepare and submit the lease for the registered office of the company

According to Executive Decree n° 08-243 fees are:

• 5% if the company capital is between DZD 1 and DZD 200,000
• 1% if the company capital is between DZD 200,001 and DZD 300,000 DA
• 0.7% if the company capital is between DZD 300,001 and DZD 400,000
-0.6% if the company capital is between DZD 400,001 and DZD 500,000
• 0.5% if the company capital is between DZD 500,001 and DZD 1.000,000
• 0.5% if the company capital is DZD 1.000,000 and above

7 days see comment
4 Obtain the criminal record and birth certificate of manager

Since 2003, one can apply for the criminal record (extraIt de casier judiciaire) at the CNRC without visiting the Clerk of the Court in the manager’s birthplace. The managers must file the criminal record with the Trade Register and also provide a copy of the birth certificate, obtained at the birthplace. It is assumed that the managers already hold a birth certificate.
2 days DA 30
5 Publish the company constitution on the legal journal (B.O.A.L.) and a nationally circulated newspaper

The two newspapers are in Arabic and French language, respectively. The fees vary by newspaper. For a daily newspaper, the fee is DZD 280 per line of 24 characters. For the official journal, the Official Bulletin of Legal Announcements (BOAL), the fee is DZD 48 per line.
3 days DA 1960
6 File for company registration with the commercial registry within two months of the formation of the company

According to Law No. 04-08 (April, 14 2004), registration is completed within 1 day. However, in practice, it still takes 2 days to obtain the final registration certificate.
Registration fee (Arrêté du 10 juillet 2004 portant révision des tarifs applicables par le centre national du registre de commerce au titre de la tenue des registres de commerce et des publicités légales):

• DZD 9,120 if the company capital is between DZD 30,001 and DZD 100,000
• DZD 9,520 if the company capital is between DZD 100,001 and DZD 300,000
• DZD 9,760 if the company capital is more than DZD 300,000
2 days DA 9760
* 7 Pay for the stamp duty and obtain a receipt

Fiscal stamps are sealed at the fiscal administration. Other stamps are paid at the CNRC.
1 day simultaneously with previous procedure DA 4000
8 Register for income tax (Impôt sur le revenu global des personnes physiques, IRG), corporate tax (Impôt sur les bénéfices des personnes morales ou des sociétés, IBS), and VAT with the local tax inspectorate


2 days no charge
9 Register for the Caisse Nationale des Assurances Sociales des Travailleurs Salariés (CNAS)

The following three departments handle social security matters:

1. The Caisse Nationale des Assurances Sociales des Travailleurs Salariés (CNAS) receives employee declarations.
2. The Caisse Nationale de Sécurité Sociale des Non Salariés (CASNOS) receives employer declarations.
3. The Caisse Nationale d’Assurance Chômage (CNAC) is the competent authority for unemployment matters.
The employer must report any new employee within 10 days of hiring.
1 day no charge
10 Open the company’s bank account with a commercial bank

The bank account can be opened only following commercial registration (a receipt by the Commercial Registry suffices). The bank requires the following documents: company statutes, tax registration, statistical ID, copy of director’s birth certificate. Documents are deposited in one day, but the time needed for bank accounts to be operational and receive check books varies from bank to bank.
1 day no charge
11 Register for the Caisse Nationale de Sécurité Sociale des Non Salariés (CASNOS)


1 day no charge
12 Register with the Unemployment Insurance Fund (CNAC)


1 day no charge
13 Make a company seal

The cost of obtaining a company seal depends on the type of seal, its quality and the price established by the private sealmaker. The prices vary from DAR 1,500 to DAR 3,500 .
2 days DA 1800
14 Have company’s accounting books stamped at the court

The accounting and inventory books must be stamped when the company starts its business activity. The fees amount to about DZD 2,000 per book (4 books in total).
1 day DA 8000
* Takes place simultaneously with another procedure.

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