Obtain Business Licenses in Kazakhstan

Many investors have to obtain business licenses in Kazakhstan when they engage in an economic activity. According to the law, operating in specific industries implies, by default, that the owners of the company have to hold proper licenses, which certify that the business meets the legal requirements in order to offer its services/products to the local consumer market.

Our specialists in setting up companies in Kazakhstan can provide legal support to investors who, besides the incorporation process, need to apply for and obtain certain licenses, permits and any other authorizations issued by the local competent authorities.

What types of companies need to hold a license?

The obligation to obtain business licenses in Kazakhstan appears based on the type of activity an economic operator will engage in. Therefore, the need to apply for a license can appear for any type of company that can be set up in Kazakhstan, such as:

1. natural person engaging in a business activity;
2. legal person incorporated as one of the business forms recognized here;
3. branch office of a foreign company.

What types of entrepreneurial activities require licensing?

Obtaining business licenses in Kazakhstan is an obligation for certain types of entrepreneurial activities. Thus, investors who complete the process of company incorporation in Kazakhstan that will operate in such fields will have to initiate the licensing formalities with the responsible authorities (which are different than the ones involved in the registration process).

In the list below, our consultants present some of the activities that require the issuance of a business license:

• healthcare;
• education;
• construction, architecture;
• gambling;
• production of tobacco products and alcohol;
• financial industry;
• military-related activities (weapons, explosives, military equipment).

The same obligation appears for investors who open a company in Kazakhstan in the transportation sector, agriculture, veterinary medicine, forensic activities, etc.

Licensing framework in Kazakhstan

Please know that it is possible to obtain business licenses in Kazakhstan by completing an online application procedure, on the online platforms provided by the Kazakhstan government. Concerning this, we mention:

• the main rule of law concerning licensing obligations is the Law of the Republic of Kazakhstan dated 16 May, 2014, No. 202-V On Permits and Notifications;
• according to the Kazakhstan authorities, the obligation to apply for a license can appear for around 500 entrepreneurial activities;
• these documents can be issued in a period of up to 25 days since the applications have been submitted;
• those who have set up a company in Kazakhstan and need to hold proper licenses but operate without these documents can be fined with fines ranging from $800 to $15,000 (the value of the fee varies based on the nature of the company – individual entrepreneur/legal entity, the activity the company carries out and the nature of the violation).

These fees and legal consequences are enforced in accordance with the rules of the Code of Administrative Offences of Kazakhstan. Besides the application of fines, companies can have their activities temporarily suspended and the local authorities can confiscate equipment/corporate assets.

We invite you to address our specialists for advice on the documentation that must be prepared for the issuance of a business license (the documentation varies based on the type of license an applicant needs, but in all cases, the company’s registration certificate and other incorporation documents are required). Please contact our specialists in company registration in Kazakhstan for further advice.