Category

Category

Categories of business entities

In order to set up an entity, it is  necessary to envisage the approximate average annual income and headcount.

Citizens, oralmans, non-state commercial legal entities that carry out business activity (private business), state enterprises (public business) are considered as the subjects of entrepreneurship. (paragraph 1 of article 23 of the Entrepreneurial Code)

Subject to the average annual headcount and average annual income, the entities are categorized as follows:

- Micro scale business- up to 15 persons / 30,000 Monthly Assessment Index (MAI - KZT 2405 for 2018);
- Small scale business - up to 100 persons / up to 300,000 MCI;
- Medium-scale business - 100-250 persons / from 30,000 to 3,000,000 MCI;
- Large-scale business- over 250 persons / over 3,000,000 MCI.

The above classification is used for the purposes of:

- Public statistics;

- Provision of public support;
- Application of other norms of legislation of the Republic of Kazakhstan. (paragraph 2 of article 24 of the Entrepreneurial Code).

In order to ensure information security, it is prohibited:

- For foreign individuals and legal entities, as well as stateless persons to directly and (or) indirectly own, use, dispose and (or) manage more than 20 percent of shares (stakes, shares) of a legal entity owning mass media or carrying out activities in this area in the Republic of Kazakhstan;

- For foreign individuals and legal entities, as well as stateless persons to manage or operate main communication lines without the establishment of a legal entity on the territory of the Republic of Kazakhstan;
- To create and operate the communication networks on the territory of the Republic of Kazakhstan the control center of which is located beyond the country’s borders;
- To acquire or  receive the ownership of more than 10 percent of shares of the organization owning and (or) carrying out activities for the management or operation of the communication lines, operating long-distance and (or) international communications, without the consent of the authorized body in the field of communication and information, as well as national security authorities;
- For foreign individuals and legal entities, as well as stateless persons to indirectly own, use, dispose and (or) manage in aggregate more than 49 percent of shares of a legal entity operating in the field of telecommunications as an operator of long-distance and (or) international communications, owning terrestrial (cable, including fiber-optic, radio-relay) communication lines without an approval of the Government of the Republic of Kazakhstan, based on the conclusion of the authorized body in the field of communication and information, approved by the national security authorities. (paragraph 6 of article 23 of the Law of the Republic of Kazakhstan "On National Security of the Republic of Kazakhstan").

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