If you are looking to establish operations in Cambodia, you must secure several mandatory and operations specific licenses and permits. These permits are necessary to operate your business in your planned industry and to ensure compliance with local regulations.
In this article, we will walk you through different types of business licenses in Cambodia and their requirements.
Mandatory Business Licenses and Permits in Cambodia
Business licenses in Cambodia can vary depending on the type of business and activities. However, there are some licenses that are required by all businesses regardless of the industry or activity. These mandatory licenses include:
- Business Registration: All businesses operating in Cambodia must register with the Ministry of Commerce to obtain a Certificate of Incorporation. This serves as the official recognition of the business and allows you to acquire specific licenses needed for your business.
- Tax Registration: All businesses are required to register with the General Department of Taxation for tax purposes. This includes acquiring a Patent Tax, VAT Number and Transfer Tax.
- Location Approval License: Businesses will need this license to ensure that the business premises comply with local regulations and zoning laws. The license is issued by the local municipality or Sangkat (commune) and confirms that the chosen location is suitable for the type of business being conducted.
- Declaration to the Ministry of Labor and Vocational Training (MLVT): Businesses that plan to hire employees need to register with MLVT to declare their workforce and comply with labor laws.
Industry Specific Business Licenses in Cambodia
In addition to mandatory licenses, several businesses require specific licenses to conduct their planned business activities in Cambodia.
Your business will require additional licenses if it falls under the following industries:
- Food and Beverage
- Financial Services
- Tourism
- Construction
- Manufacturing
Depending on the industry of operations, here are some of the most common industry specific licenses business need to acquire:
A. Health Inspection Certification
Businesses that deal in food production require this certificate from the Ministry of Health to keep in compliance with health regulations. Furthermore, businesses in the food and beverage industry need to have a Food Safety License to comply with regulations on food safety.
B. Commercial Bank License
This is a license that applies to businesses in the financial service industry and issued by the National Bank of Cambodia (NBC). It allows these businesses to operate as commercial banks, which can provide a full range of banking services including accepting deposits, providing loans, and facilitating payment services.
C. Tourism Licenses
All businesses in the tourism sector, including hotels and travel agencies need a tourism license obtained from the Ministry of Tourism. The two types of licenses your business will need are:
- Tour Operator License
- Travel Agency License
D. Construction License
A construction license is required to carry out construction activities. It is issued by the Ministry of Land Management, Urban Planning, and Construction and in accordance with the Construction Law and other relevant regulations. There are four categories for this license:
E. Manufacturing Permits
Manufacturing businesses need specific permits, certificates, and licenses to operate. These credentials include:
- Permit on Small and Medium Factory & Handicraft Establishment
- Certificate of Operation on Small and Medium Factory & Handicraft
- License for the Use of Product Registration Mark
- License for the Use of Product Certification Mark CS
How to Secure Business Licenses in Cambodia
To apply for necessary business licenses in Cambodia, you must register your company and secure the Certificate of Incorporation. After that, all businesses are required to secure mandatory and operational licenses from relevant authorities.
Emerhub’s local experts will identify the mandatory and operational licenses based on your planned business activities and handle necessary submissions on your behalf to streamline the process.
Fill out the form below to book a free consultation and we will connect you with one of our business advisors in Cambodia.
