Study of Small and Medium Enterprises in Azerbaijan - IFC

However, depending on circumstances, the overall registration process can be completed
even faster. Confirmation of the legal address, notarization of documents,
deposit of the charter capital in a bank and payment of the state registration fee (steps
1-3) sometimes can be completed in one day. Moreover, the help desks at the onestop-shop
were established at each registration office to provide entrepreneurs with
detailed information on required documents and filling the application forms.
Box 3.3 Entrepreneurs need only seven documents to register their business with registration office
1. Application form. The following shall be stated in the application form:
• If the founder is an individual: name, surname, patronymic name, information on place of residence, identity card (series, number,
the date of issue and issuing authority, address);
• If the founder is a legal entity: name, legal address, and registration number;
• If the application form is signed by authorized representative: name, surname, patronymic name, information on place of residence,
identity card (series, number, the date of issue and issuing authority, address), and power of attorney.
2. Founding documents – the charter of the entity approved by the founder or his/her legal representative, resolution on establishment
and approval of its charter;
3. Bank receipt confirming the payment of the state registration fee;
4. If the founder is a legal entity – notarized copy of the certificate on registration (extract from state registry) and the charter;
5. If the founder is an individual: copy of his/her identity card;
6. A document confirming the legal address of the entity that is going to obtain the status of legal entity (this document may be a notarized
rental agreement, lease, or free-of-charge use contract, or notarized agreement on use of legal address of object’s proprietor (owner), or
document confirming the ownership over the object).
7. In case of appointment of an authorized representative, a copy of his/her identity card.
3.8 Registration procedure for individual entrepreneurs
Introducing the one-stop-shop also affected positively the registration of individual
entrepreneurs. Thus to register with the local tax office, individual entrepreneurs only
need:
• Standard application form;
• Identity card;
• Information on place of residence.
According to the Tax Code, the registration of individual entrepreneurs must be completed
within two days from the date of acceptance of the application form. However,
the Tax Code does not provide for any formal procedures in respect of sanctions for
non-observance of deadlines by issuing authority during the application process nor
does it establish the “silence is consent” principle.
As with legal entities, the taxpayer identification number (TIN) has been introduced
as a unique ID for all individual entrepreneurs. This means that entrepreneurs do
not need to go through the various government agencies and only have to apply to
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St u d y o f Sma l l a n d Me d i u m Ent e r p r i s es in Az e r b a i j a n