Most “company in Armenia for $1” headlines ignore the running costs. Here is the honest, complete picture for 2026 — setup and the recurring costs that follow.
Armenia is genuinely one of the cheapest places in the region to open and run a company — but the “register a company for free” headlines only tell half the story. State registration of an LLC really is free and usually takes one to two working days. What costs money is everything around it: translations, notarization, a legal address, accounting, and — if you are not in Armenia — a power of attorney. This guide breaks down every cost line, in real 2026 numbers, so you can budget the true first-year cost before you commit.
1. One-off setup costs
| Item | Typical cost | Notes |
|---|---|---|
| State registration of an LLC | Free | Filed with the State Register; 1–2 working days |
| Notarized translation of passport | $10–20 per document | Required for every founder and director |
| Power of attorney (remote setup) | $50–150 | Notarized and apostilled in your country if you register without traveling |
| Company seal (optional) | $10–15 | No longer legally required, but many banks still ask for it |
| Social card (public services number) | Free–$10 | Needed for the director; see our social card guide |
| Legal address (first year) | $100–300 / year | Mandatory; a virtual office is the cheapest compliant option |
If you handle everything yourself and you are physically in Yerevan, a bare-bones setup can cost under $100. A realistic budget including translations, a legal address and a bit of professional help is $300–700. Our company registration package is a $690 fixed fee that covers the entire process end to end, including remote registration by power of attorney.
2. Recurring costs you should plan for
| Item | Typical cost | Notes |
|---|---|---|
| Accounting and tax filing | from $129 / month | Monthly and annual filings are mandatory even at zero turnover — see our accounting service |
| Legal address renewal | $100–300 / year | Must stay valid continuously |
| Bank account maintenance | $0–10 / month | Varies by bank and account type |
| Payroll taxes (if you hire) | 20% income tax + social payments | Flat 20% personal income tax; social payment 5–10% with a monthly cap |
The single biggest recurring line for most small foreign-owned companies is accounting. Armenian filings are monthly, in Armenian, through the tax authority’s online system — which is why almost every foreign founder outsources it rather than hiring in-house.
3. Taxes: what your company will actually pay
Armenia has three main regimes, and picking the right one at registration matters more than any setup fee:
- Micro-business: 0% tax on annual turnover up to AMD 24,000,000 (≈ $61,000), limited to specific activities. The cheapest legal structure in the country when you qualify.
- Turnover tax: a simplified regime instead of VAT and profit tax — 10% for trade, 7% for production, 12% for public catering, and lower rates for some other activities. Available up to AMD 115,000,000 annual turnover.
- General regime: 18% corporate profit tax plus 20% VAT once you cross the VAT threshold (AMD 115,000,000, ≈ $291,000/year).
Certified IT and high-tech companies keep a special incentive package through the end of 2031, including a 1% turnover tax option — one of the reasons Armenia has become a popular base for software businesses. Dividends paid to foreign owners are taxed at a flat 5% withholding, which most double-tax treaties reduce or credit at home. Full details in our Armenia tax guide for foreign-owned companies.
4. Change fees and the costs nobody mentions
If you later change shareholders, directors, company name or legal address, each amendment is a new filing. The state fees are small (typically $10–25 per change), but if you are abroad you will again need notarized, apostilled documents — which is where the real cost sits. Two other lines founders forget:
- Liquidation: closing a company properly takes 2–4 months and typically costs $300–600 in professional fees. Walking away without liquidation leaves you accumulating filing obligations and penalties.
- Non-filing penalties: even a dormant company must file. Missed filings generate fines that grow monthly and will surface exactly when you try to open a bank account or sell the company.
5. Registering remotely vs. in person
You do not need to visit Armenia to open a company. With a notarized and apostilled power of attorney, the entire process — registration, tax registration, social card, even the bank introduction — can be completed on your behalf. In-person registration saves the POA cost (roughly $50–150 depending on your country) and lets you open the bank account the same week; remote registration trades that for convenience. Most of our clients register remotely and travel later for the bank interview if their bank requires one — see how non-residents open a bank account.
6. Realistic first-year budgets
| Scenario | First-year total |
|---|---|
| DIY, in Yerevan, micro-business, no employees | $250–500 |
| Remote setup with professional help, turnover-tax LLC | $1,200–2,500 |
| General-regime company with employees and VAT | $3,000–6,000+ |
These totals include registration, legal address, accounting and basic compliance — not your actual taxes, which depend on revenue.
Frequently asked questions
Is there a minimum share capital?
No practical minimum. An LLC can be registered with a nominal charter capital, and there is no requirement to deposit it in a bank before registration.
Can a foreigner own 100% of an Armenian company?
Yes. There are no local-partner or local-director requirements, no restrictions on foreign ownership, and profits can be repatriated freely after the 5% dividend withholding.
Does a company give me residency?
Running a business in Armenia is a recognized basis for a residence permit — see every route to residency in Armenia and our residency support service.
Want an exact quote for your case instead of ranges? Book a consultation or message us on WhatsApp — we will map your setup, regime and first-year budget in one call.