What are the exact steps and timeline to legally register a small business in Nepal from start to finish?

In Nepal
Last Updated: Dec 2, 2025
I'm planning to set up a small cafe in Kathmandu and I'm unsure whether to register as a sole proprietor or a private limited company. What documents are required by the Department of Industry, the Office of Company Registrar, and for VAT/trade license registration? Also, how long do these registrations typically take and what ongoing compliance will I need to maintain?

Lawyer Answers

Elite Legal Associates

Elite Legal Associates

Dec 8, 2025
Hello,

You may register at the Department of Cottage and Small Industry if you are establishing a cafe with a small capital. But if you are planning to invest a large amount, we suggest you go with the company model. A copy of Citizenship and National ID card is all it takes, along with a few documents such as a rent agreement, details of the landlord, etc. It takes about 3 days to register at the Department of Cottage and Small Industry and 5-6 days at the Office of the Company Registrar.
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