The Process for Company Registration in Astana Hub

Astana Hub, Kazakhstan's international technology park, offers businesses significant tax advantages, global networking opportunities, and infrastructure support. The registration process has been streamlined to attract both local and foreign IT companies looking to establish a presence in Central Asia. Companies seeking to register with Astana Hub must follow a structured application procedure and meet specific eligibility criteria to benefit from its preferential tax regime and other advantages.

Introduction to Astana Hub

Astana Hub is Kazakhstan's international technology park designed to foster IT startups and technology companies. Established as a hub for innovation and technological advancement, it serves as a gateway for businesses looking to expand their operations in Central Asia. The technopark currently hosts nearly 1,000 active IT companies, including 70 with foreign founders. As part of Kazakhstan's digital development strategy, Astana Hub aims to attract both domestic and international tech talents and businesses by providing a favorable environment for growth and development.

The hub operates on the principle of extraterritoriality, meaning registered companies can be based in any city within Kazakhstan while still enjoying the benefits of hub membership.

This flexible approach has made Astana Hub particularly attractive for foreign companies looking to relocate or establish operations in Kazakhstan without geographical constraints.

Current Status and Growth

As of recent data, Astana Hub has been experiencing significant growth with multiple companies registering daily. The technopark has been consulting hundreds of companies from neighboring countries about relocation possibilities, highlighting its increasing international appeal. This growth trajectory demonstrates the effectiveness of the hub's incentives and Kazakhstan's strategic position as a regional technology center.

Benefits of Registering with Astana Hub

Becoming an Astana Hub participant offers substantial advantages that make it an attractive option for IT companies and startups. These benefits create a supportive ecosystem for business development and innovation.

Tax Exemptions and Financial Benefits

The most significant advantage of registering with Astana Hub is the comprehensive tax exemption package available until 2029. Participants enjoy exemptions from:

• Corporate income tax

• Value-added tax (VAT)

• Individual income tax for employees

Additionally, dividends are taxed at a preferential rate of 5% for the first three years, dropping to 0% after this period expires. This tax-friendly environment allows companies to reinvest more of their earnings into growth and development.

Visa and Immigration Support

Astana Hub provides simplified visa requirements and procedures for foreign employees and their family members. Foreign workers can obtain a work visa category C3 for up to 5 years (instead of the standard 3 years). This immigration support eliminates significant administrative hurdles for international businesses looking to bring in specialized talent.

Infrastructure and Networking

Registered participants gain access to:

• Office spaces and infrastructure at below-market prices

• Meeting spaces and collaboration areas

• Free workspace for resident startups

• Networking opportunities with investors and other technology companies

Investment and Development Support

The hub invests up to $40,000 in early-stage startups and facilitates connections to larger investments of up to $10 million. Participants also receive PR support and image advantages through association with the technopark, enhancing their visibility in the market.

Eligibility Requirements for Registration

Not all companies qualify for Astana Hub registration. Understanding the eligibility criteria is essential before beginning the application process.

Business Activity Requirements

The primary requirement for registration is that the company must generate revenue from activities listed in the approved List of Priority Activities, which includes 19 different activities. These activities are primarily focused on the IT sector and technological innovation. Companies must demonstrate how their business model aligns with these priority areas.

Legal Structure Requirements

Only legal entities can become participants of the technopark. Individuals operating as sole proprietors are not eligible. Additionally, there are specific exclusions:

• Subsoil users cannot become technopark residents

• Free Economic Zone (FEZ) residents are ineligible

• Companies with branches cannot register

Business Plan Requirement

Applicants must prepare a comprehensive business plan that demonstrates the viability and potential impact of their project. This document serves as a key evaluation criterion during the application review process.

Step-by-Step Registration Process

The registration process for Astana Hub follows a structured pathway designed to be accessible to both local and foreign businesses.

1. Preparation Phase

Before submitting an application, companies should:

• Ensure they meet all eligibility requirements

• Register a legal entity in Kazakhstan (if not already done)

• Prepare a business plan according to the required format and structure

2. Online Application Submission

The application process is entirely digital:

• Create a personal account on the Astana Hub platform

• Fill out the online application form

• Attach all required documents

Applications can be completed in Kazakh, Russian, or English according to the applicant's preference

3. Preliminary Review

Once submitted, the application undergoes an initial review:

• Documents are checked for completeness and compliance with formal requirements

• This review takes up to 5 business days

• If any inconsistencies are found, the application is returned for corrections

4. Commission Review

After passing the preliminary review, the application is forwarded to the Commission:

• The Commission evaluates the application based on business potential and alignment with hub objectives

• This review takes up to 10 business days

• The decision (positive or negative) is sent to the applicant via email

5. Confirmation and Contract Signing

Upon receiving a positive decision:

• A certificate is issued confirming registration as an Astana Hub Participant

• An agreement specifying the terms of participation must be signed using an electronic signature

• The registered company is included in the official List of registered participants of the Technopark

Required Documentation

Successful registration requires the preparation and submission of several key documents.

Essential Application Documents

While the specific list of required documents may vary based on individual circumstances, typical requirements include:

• Completed application form

• Business plan (in any form but following the required content structure)

• Company registration documents

• Documents confirming compliance with the priority activities list

Business Plan Structure

The business plan should typically include:

• Company history and development strategy

• Description of main projects and planned developments

• Analysis of potential sales and promotion markets

• Financial projections (turnover, profit indicators, profitability)

• Workforce details and expansion plans

Companies can develop the business plan independently or seek professional assistance to ensure it meets all requirements.

Timeline and Review Process

The entire registration procedure follows a defined timeline that allows applicants to plan accordingly.

Processing Times

The complete registration process typically takes:

• Up to 5 business days for the preliminary document review

• Up to 10 business days for the Commission review1

The total period from application submission to final decision should not exceed 15 working days.

Evaluation Criteria

Applications are evaluated based on:

• Compliance with formal requirements

• Alignment with priority activities

• Business plan viability and potential impact

• Technical and financial feasibility

Post-Registration Considerations

After successful registration, participants must fulfill certain ongoing obligations to maintain their status.

Contractual Obligations

Registered companies must:

• Adhere to the terms specified in the participation agreement

• Generate revenue from the priority activities declared in their application

• Contribute 1% of their revenue to Astana Hub

Monitoring and Compliance

The technopark monitors the activities of registered participants to ensure:

• Compliance with the declared business activities

• Implementation of projects as outlined in the business plan

• Adherence to the legal regime of Astana Hub

Conclusion

The registration process for Astana Hub offers a streamlined pathway for technology companies seeking to establish or expand their presence in Kazakhstan and Central Asia. With its comprehensive tax exemptions, visa support, and business development resources, Astana Hub presents an attractive proposition for both local and international IT businesses.

The registration procedure itself has been designed to be accessible and efficient, with the entire process potentially concluding within 15 working days. Companies meeting the eligibility criteria and preparing thorough documentation can navigate the registration process smoothly, gaining access to the substantial benefits offered by the technopark.

As Kazakhstan continues to position itself as a regional technology hub, Astana Hub plays a pivotal role in attracting innovation and investment. The growing number of registered participants and increasing international interest demonstrate the success of this initiative in creating a favorable environment for technology businesses.