What types of company can you register in Lebanon?

The main forms are the SARL (limited liability company), the SAL (joint stock company), the offshore SAL, the holding SAL, and the individual establishment. Most businesses use a SARL. Companies whose clients are entirely outside Lebanon use an offshore SAL.

What is the difference between a SARL and an SAL in Lebanon?

A SARL needs LBP 5,000,000 of capital (about US$56) paid in full, takes one to twenty partners, and is managed by a manager. An SAL needs LBP 30,000,000 (about US$335) with a quarter of each share paid at subscription, requires no fewer than three shareholders throughout its life, and has a board of directors and a mandatory auditor. Both pay 17% corporate income tax and 10% withholding on dividends.

What is the minimum capital to start a company in Lebanon?

LBP 5,000,000 for a SARL, about US$56, paid in full before registration. LBP 30,000,000 for an SAL or offshore SAL, about US$335. These figures were set in Lebanese pounds in 1992 and have not been revised, so the statutory minimum is now nominal in real terms.

Can a foreigner own a Lebanese company?

Yes. A SARL and an offshore SAL can be wholly foreign owned. Certain regulated activities carry Lebanese ownership requirements, and companies holding public-service concessions must keep at least a third of their capital in Lebanese hands. Acquiring Lebanese real estate has separate rules.

Can one person own a Lebanese company alone?

Yes, in two forms. A single-partner SARL has been permitted since Law 126/2019, and a sole-shareholder offshore SAL since Law 85/2018. An ordinary SAL still requires three shareholders at all times.

What is a Lebanese holding company?

A holding SAL is governed by Decree-Law No. 45 of 24 June 1983. It exists to hold shares in other companies and to lend to its subsidiaries rather than to trade, and has its own tax treatment based on a sliding scale applied to capital and reserves.

Reference

Company types in Lebanon

Lebanon has four company forms that matter. The SARL is the default for trading inside Lebanon. The SAL is the joint stock company. Use it for transferable shares and regulated activity. The offshore SAL serves clients entirely outside Lebanon. It pays no tax on profit. The holding SAL owns shares in other companies. Client location drives the choice. Size does not.

By Gracia Hobeich, lawyer, Beirut Bar Association Last reviewed 23 September 2026

Choosing a structure

Start with your clients. Form an offshore SAL if all are outside Lebanon. The tax difference is large enough that nothing else competes. If any meaningful revenue comes from inside Lebanon, an offshore company cannot serve those clients.

Form an SAL if you need outside investors or freely transferable shares.

Banking, insurance, savings schemes and scheduled air transport are closed to a SARL. They require an SAL.

Otherwise, form a SARL. It is cheaper to form. It is cheaper to run. You need neither three shareholders nor a board.

Side by side

Feature	SARL	SAL	Offshore SAL	Holding SAL
Clients	Anywhere	Anywhere	Outside Lebanon only	Its own subsidiaries
Minimum capital	LBP 5,000,000 about US$56	LBP 30,000,000 about US$335	LBP 30,000,000 about US$335	LBP 30,000,000 about US$335
Paid at registration	In full	One quarter of each share	One quarter of each share	One quarter of each share
Owners	1 to 20	3 minimum, always	1 is sufficient	3 minimum
Corporate income tax	17%	17%	Exempt	Sliding scale on capital and reserves
Dividend withholding	10%	10%	Exempt	Exempt
Annual lump-sum tax	None	None	LBP 50,000,000 about US$560	None
Auditor	Above LBP 30,000,000 of capital, about US$335	Required	Required	Required
Management	Manager, a natural person	Board and chairman	Board and chairman	Board and chairman
Foreign ownership	Yes	Yes, sector permitting	Yes	Yes
Governing text	Code of Commerce, Law 126/2019	Code of Commerce, arts. 77 onward	Decree-Law 46/1983	Decree-Law 45/1983

SARL

This is the standard limited liability company. Most Lebanese trading and service businesses use it.

Capital must be at least LBP 5,000,000, about US$56. You must pay this in full before registration. The money must sit in a Lebanese bank. Partial payment is forbidden.

A SARL takes one to twenty partners. Law 126/2019 created the single-partner SARL. A sole-partner SARL cannot be the sole partner of another SARL.

One or more managers run the company. They must be natural persons. They can be partners or outsiders.

Share transfers require partner approval. This makes a SARL bad for outside investment.

An auditor becomes mandatory in three cases. First, capital reaches LBP 30,000,000 (about US$335). Second, partners exceed twenty. Third, partners holding at least 20% of capital request one.

A SARL cannot do everything. The law bans it from banking, insurance, savings and cooperative activities. It cannot operate scheduled air transport. It cannot invest third-party funds.

SAL

This is the joint stock company. It is a heavier structure. Use it to trade shares freely. Use it for outside investors. Use it for restricted sectors.

Minimum capital is LBP 30,000,000, about US$335. Article 83 sets this figure. It remains unchanged since 1992.

You must pay a quarter of the nominal value of each share at subscription. Law 126/2019 enforces this per share. You cannot pay a quarter of the total and leave some shares untouched.

Article 77 requires at least three shareholders. This applies at formation. It applies for the life of the company. It is a strict rule.

An SAL requires a board of directors. It requires a chairman. It requires an auditor from day one.

Some companies hold public-service concessions. Article 78 applies to them. They must keep at least a third of their capital in Lebanese hands. This means Lebanese natural persons or wholly Lebanese-owned companies.

Offshore SAL

This is a joint stock company formed under Decree-Law 46/1983. Its business activity must remain entirely outside Lebanon.

The tax benefits are absolute. It pays no corporate income tax. It pays no withholding on dividends.

It pays a flat LBP 50,000,000 a year, about US$560. It pays this whatever it earns.

You can manage it from inside Lebanon. A single shareholder can own it. It can employ people in Lebanon. Many online sources get this wrong.

It has strict limits. It cannot serve clients resident in Lebanon. It cannot carry on banking or insurance.

Full reference on offshore companies

Holding SAL

Decree-Law No. 45 of 24 June 1983 governs this structure.

A holding company does not trade in its own right. It owns participations in other companies. It lends to its subsidiaries. It holds intellectual property.

It pays tax on a sliding scale. The state calculates this on capital and reserves. Profit does not affect the calculation. Distributed dividends pay no withholding.

This is the correct structure for a group holding several operating companies. It is the wrong structure for a cheap way to run a normal business.

Individual establishment

This is a sole trader registration. It is not a company.

Registration is quick and cheap. It creates no separate legal personality. Business debts are personal debts.

Lawmakers introduced the single-partner SARL in 2019. Few reasons remain to prefer the individual establishment.

Sources

Lebanese Code of Commerce, Legislative Decree No. 304 of 24 December 1942, articles 77 to 84 and the provisions on limited liability companies.
Law No. 126 of 29 March 2019 amending the Code of Commerce.
Decree-Law No. 45 of 24 June 1983 on holding companies.
Decree-Law No. 46 of 24 June 1983 on offshore companies, as amended by Law No. 19 of 2008 and Law No. 85 of 2018.
Lebanese Income Tax Law: corporate income tax at 17%, withholding on distributed dividends at 10%.

General information, not legal or tax advice. Figures stated as at September 2026. Amounts converted from Lebanese pounds use the official rate and move with it.