Starting a Business in


Below is a detailed summary of the bureaucratic and legal hurdles faced by entrepreneurs wishing to incorporate and register a new firm in Madagascar. It examines the procedures, time and cost involved in launching a commercial or industrial firm with between 10 and 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 189 economies. The most recent round of data collection was completed in June 2015.

Compare Madagascar to 188 other economies.

  • Standardized Company

  • Legal form: Socièté a Responsabilité Limitée (SARL)
  • Paid-in minimum capital requirement: MGA 0
  • City: Antananarivo
No. Procedure Time to Complete Associated Costs
1 Obtain a provisional fiscal identification number
Agency: Tax registration - NIFONLINE

Prior to registration of the company, the entrepreneur has to obtain a provisional fiscal identification number. In order to do so, the entrepreneur has to apply online and then submit the registration form together with other documents to the EDBM fiscal.
1 day no charge
2 Stop at the front desk with the NIF and the necessary forms for registration
Agency: EDBM

Upon arrival at the one stop shop, the entrepreneur needs to stop at the front office for verification of the documents. The front office verifies whether the forms were correctly filled and no information is missing (these forms are available online and the entrepreneurs either print them at home or obtain them at the registry).
1 day no charge
3 Tax authority gives the amount to be paid
Agency: EDBM

Once the front office clears the documents and makes sure everything is compliant to the rules, the entrepreneur proceeds to the tax authority desk. There, they will analyze the information provided and then issue a bill.
1 day no charge
4 Obtain a nominal check at any commercial bank
Agency: Bank

Once the tax authority issues the carnet with the value, the entrepreneur goes to any commercial bank and obtains a nominal check with the amount owed.

The cost is typically 0.5% of share capital. The provisional income tax is around 320,000 and the bank usually charge 10,000 for the issuing of the check.
1 day see comments
5 Deposit registered statutes, apply for license (carte professionnelle), obtain a final fiscal identification number, and obtain statistical identifications
Agency: EDBM

Once the entrepreneur has the receipt confirming payment to the tax authority, she/he goes back to the front office to lodge the application for registration and payment of administrative fees to EDBM

Fee schedule:
• Commercial registration fee: MGA 16,000
• Deed registration costs: MGA 2,000
• Institut National de la Statistique Malgache (INSTAT) registration costs: MGA 40,000
4 days see comments
6 File a notice of constitution to be published in a French newspaper
Agency: EDBM or French Newspaper

Entrepreneurs must publish a legal notice of constitution in a French newspaper.

The publication can be requested at the EDBM or at a local French newspaper. The cost varies depending on the size of the ad. If contracted through EDBM, it will cost approximately MGA 18,000 as the ad will be shared with other companies. However, most companies prefer to do it directly at the newspaper so they can choose the size of publication that best suits them. In this case, it will cost approximately MGA 40,000.

The entrepreneur must provide the information from the tax ID, the statistics ID and the company registration number.
2 days MGA 18,000
7 Obtain the K-Bis
Agency: EDBM

The K-Bis is the document that compiles all the relevant information regarding the company. It shows the tax ID, the statistics ID, the registration number and the date of the newspaper publication.
1 day MGA 2,000
8 Register employees with Social Security
Agency: EDBM

The company must register its employees with the National Social Security Fund (Caisse Nationale de Prevoyance Sociale), and file two copies of an application form (bulletin d'adhesion nouveau membre) along with a list of names of all employees and their identity cards to enroll for health insurance.
1 day no charge
9 Register employees for health insurance
Agency: OSTIE

Registration with an insurance scheme is mandatory.

OSTIE is the public insurance scheme and registration is free of charge. However, companies can choose to offer the services of a private insurance scheme. In case they chose to do so, the additional cost is not deductible from taxes.
1 day no charge

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