"Is it true I can start a company with zero capital?" This is the most common question we hear from foreign entrepreneurs. The technical answer is Yes. The practical answer—if you want a bank account—is No. Under the Companies Law No. 159 and Investment Law No. 72, the Limited Liability Company (LLC) has no minimum [...]
The first decision you make in Egypt is often the most expensive to undo. When entering the Egyptian market, foreign companies typically hesitate between two legal structures: the Limited Liability Company (LLC) and the Foreign Branch Office. While both allow you to operate legally, they are fundamentally different vehicles regarding Liability, Taxes, and Commercial Scope. [...]
The Challenge: Cross-Border Financing Meets Local Reality When a leading Swiss banking institution approached Consortio Law Firm, the mandate appeared straightforward: "Can we safely finance an €11 million shipment destined for our client’s Egyptian subsidiary—and take enforceable collateral in Egypt?" Behind this question lay a complex, high-stakes cross-border structure: Lender: Swiss Bank. Borrower: Swiss Parent [...]
Case Study: Malaysian Exporter vs. Egyptian Importer In cross-border trade, the most dangerous contract is the one that assumes everything will go well. A Malaysian supplier learned this lesson the hard way. Engaged in a commercial relationship with an Egyptian importer, they shipped goods based on a contract drafted for "cooperation," not "enforcement." When the [...]
Egypt offers a fertile environment for investment, but navigating its procedural and regulatory landscape often requires deep legal expertise. In this article, we examine the legal framework of the "Golden License" and share a success story of how we helped a strategic client transform a project threatened with suspension into a tangible industrial reality. I. [...]
Case Study: International Airline vs. Major Sports Club (1982–Present) In the Egyptian market, the most complex disputes are not always about breach of contract. They are about the evolution of the law itself. A contract signed in 1982 does not exist in a vacuum. It survives through changing regimes, shifting civil codes, and ground-breaking Constitutional [...]
Case Study: Danfoss Fire Safety vs. Local Distributor In corporate litigation, the most expensive resource isn't money—it's time. A $6 Million claim can drag on for a decade in the courts, draining resources and paralyzing management. Unless you know how to stop it on Day 1. This case study examines a high-stakes dispute involving Danfoss [...]
Case Study: 10 Foreign Investors vs. Luxury Nile Resort Management In international contracts, Arbitration is often sold as the "faster, cleaner" alternative to local courts. The Reality: If your arbitration clause is poorly drafted, it can become a prison. This case study examines a dispute involving ten foreign property owners in a luxury Upper Egypt [...]
Case Study: Global Manufacturer vs. Local Agent Claiming "Deemed" Agency In Egypt, the most feared lawsuit for foreign investors is not tax or labor—it is the Commercial Agency Claim. Under Egyptian Law, terminating a commercial agent without "just cause" can trigger massive compensation claims, calculated on years of gross profit and "loss of investment." This [...]
Case Study: Atlas Copco Egypt vs. Local Distributor In commercial litigation, the most dangerous risks are rarely the ones you see coming. They are the ones that accumulate silently. A single delayed payment is a nuisance. Ten delayed payments, spread across multiple supply orders with partial deliveries, create a "legal fog" that can paralyze a [...]
