Setting up a business in Cambodia has become increasingly attractive due to its strategic location, pro-investment policies, and growing economy. However, understanding the legal framework, including permits and licensing requirements, is crucial for a compliant and smooth business operation.
Whether you’re an investor starting a company in Cambodia or exploring Cambodia company registration options, this guide gives you a sector-by-sector breakdown of the permits and licenses needed to legally operate in the country.
General Requirements for Company Setup in Cambodia
Before diving into sector-specific licenses, every business in Cambodia must complete the basic registration process, which includes:
- Company Name Reservation – Done via the Ministry of Commerce (MOC) online portal.
- Business Registration with MOC – This involves preparing documents like Articles of Incorporation, shareholder details, and identification.
- Tax Registration – Companies must register for a Tax Identification Number (TIN) and VAT with the General Department of Taxation (GDT).
- Obtain Patent Tax Certificate – Required annually for operational authorization.
- Register with NSSF – Mandatory registration with the National Social Security Fund if you have employees.
These steps are fundamental to any company setup in Cambodia, regardless of the sector.
Sector-by-Sector Breakdown of Permits and Licenses
1. Trading and Wholesale/Retail Businesses
Additional Licenses Needed:
- Commercial Registration – With the Ministry of Commerce (MOC).
- Import/Export License – Required if the business deals with cross-border goods trade. This is obtained from the Ministry of Commerce and the General Department of Customs and Excise.
- Customs Broker License (if acting as an agent) – From the General Department of Customs.
Note: Trademark registration is optional but recommended to protect your brand.
2. Manufacturing and Industrial Businesses
Licenses and Approvals:
- Environmental Impact Assessment (EIA) – For medium to large industries, required by the Ministry of Environment.
- Construction and Factory Operating License – From the Ministry of Industry, Science, Technology & Innovation (MISTI).
- Fire Safety Certificate – From the Fire Prevention Department.
- Sanitation and Waste Disposal Clearance – Depending on the nature of the manufacturing process.
For those setting up within Special Economic Zones (SEZs), specific procedures apply via SEZ administrators.
3. Hospitality and Tourism (Hotels, Guesthouses, Travel Agencies)
Sector-Specific Licenses:
- Tourism Business License – Issued by the Ministry of Tourism.
- Hotel/Accommodation License – Must comply with structural and safety standards.
- Food & Beverage License – If serving food, a license from the Ministry of Health is required.
- Alcohol License – For selling alcoholic beverages, apply to the Ministry of Commerce and the General Department of Taxation.
Cambodia promotes tourism, but the sector is regulated to ensure hygiene, security, and service quality.
4. Food and Beverage Businesses (Restaurants, Cafés, Bars)
Essential Permits:
- Health and Sanitation Permit – Issued by the Ministry of Health or relevant municipal authorities.
- Food Handling Certificate – Mandatory for kitchen staff.
- Alcohol Sales License – Required for bars and restaurants serving alcohol.
- Music or Live Entertainment Permit – If live shows or music are part of the offering.
Proper licensing ensures health safety and compliance with public regulations, especially in Phnom Penh and Siem Reap.
5. Construction and Real Estate Development
Key Approvals and Licenses:
- Construction Permit – From the Ministry of Land Management, Urban Planning, and Construction (MLMUPC).
- Architectural Plan Approval – Technical review of building designs.
- Environmental Clearance – For large-scale developments.
- Real Estate Business License – From the Ministry of Economy and Finance if you’re selling or managing properties.
Cambodia’s booming real estate sector is tightly regulated, particularly in urban zones and eco-sensitive areas.
6. Financial and Fintech Services
Strict Licensing Includes:
- Microfinance Institution License – From the National Bank of Cambodia (NBC).
- Payment Service Provider License – For digital wallets, money transfers, etc.
- Forex/Remittance Licenses – For currency-related services.
- Securities/Investment Licenses – From the Securities and Exchange Regulator of Cambodia (SERC).
Financial businesses face high scrutiny and must comply with AML/CFT (Anti-Money Laundering/Counter-Terrorism Financing) guidelines.
7. Education and Training Institutions
Compulsory Approvals:
- Private Education License – From the Ministry of Education, Youth and Sport (MoEYS).
- Curriculum Approval – Especially for foreign curricula or international schools.
- Teacher Qualification Screening – Teachers must meet MoEYS standards.
For vocational training, approval from the Ministry of Labour and Vocational Training may also be required.
8. Healthcare and Pharmaceutical
Tight Regulatory Framework:
- Medical Clinic or Hospital License – From the Ministry of Health.
- Pharmacy Operating License – Also from the Ministry of Health.
- Import License for Medical Equipment or Drugs – Mandatory for drug stores or wholesalers.
Licenses often require certified professionals, facility inspections, and ongoing audits.
Also Read: Timeline for Company Registration in Myanmar
Why Licensing Matters in Cambodia
Failure to obtain the appropriate licenses can result in:
- Heavy fines
- Closure of business
- Legal disputes
- Blacklisting for future applications
For foreign investors, non-compliance can also lead to visa and work permit issues.
Tips for Smooth Cambodia Company Registration
- Engage a local legal or consulting firm: They can help navigate language barriers and bureaucratic nuances.
- Use the online business registration portal launched by the Cambodian government.
- Double-check sector-specific ministries for the latest regulations, as rules may vary by province.
Also Read: Documents Required for Company Registration in Sri Lanka
FAQs: Permits and Business Setup in Cambodia
1. How long does it take to complete the Cambodia company registration?
On average, it takes 2 to 4 weeks to register a company and obtain core licenses. Sector-specific permits may take longer, depending on inspections and approvals.
2. Can foreigners fully own a business in Cambodia?
Yes, except in land ownership and a few restricted sectors. Most businesses allow 100% foreign ownership, making starting a company in Cambodia highly attractive.
3. Do I need a local partner for company setup in Cambodia?
Not always. For most sectors, a local partner is not required, but some industries like media or land development may require Cambodian majority ownership or lease structures.