The most common forms of business organizations operating in Lebanon

A limited company is a popular type of business structure; this is because the financial liability of the partners  is limited to the value of the parts of the partners. This means that the company owners are not liable for any business debt beyond the values of their parts.

Below is a brief of the main requirements for the constitution of a Joint Limited Liability Company « SARL »:

• Minimum number of Partners is (3) three and a maximum of (20) Partners.

• Minimum initial capital is LBP/5,000,000/ (approximately USD/3,300/) and should be always determined in Lebanese  Pounds.

• Managed by one or more “Managers”, who may or may not be Partners (Does not have a Board of Directors).

• No restrictions on foreign participation except for certain regulated sectors.

• Must necessarily have headquarters in Lebanon.

• Appointment of an auditor is mandatory in case (i) the number of partners exceeds (20) twenty and/or (ii) the  Company’s capital exceeds LBP/30,000,000/ and/or (iii) A request is made by one or more partners representing at least 20% of the Company’s capital.

• Must necessarily appoint a lawyer.