How to Open an Individual Entrepreneur (IE) in Georgia in 2026: the Updated Guide

Georgia remains one of the friendliest jurisdictions for a one-person business: a 1% tax regime, same-week registration, English-speaking banks. In 2026 the picture gained a work permit for foreigners: mandatory for everyone from March 1, then narrowed by the April 16 amendment to specific scenarios. Guides written before spring no longer show the real order of steps. This is the updated instruction: how to open an Individual Entrepreneur (IE) in Georgia now, with the current sequence, prices and timelines.

Quick answer

An IE in Georgia registers in one business day at the House of Justice; the state fee is 26 GEL (75 GEL for same-day). No residence permit is required to register. You need a passport with a notarized Georgian translation (50 to 80 GEL), a Georgian phone number and a legal address (rentals from 80 GEL per month). The work permit (200 to 400 GEL, up to 30 days) is no longer universal after the April 16, 2026 amendment: not required for working with foreign clients only, still mandatory as a document for the work residence permit. Then a tax status: most choose Small Business at 1% of turnover up to 500,000 GEL per year.

What an IE is

An IE (ინდივიდუალური მეწარმე) is a natural person registered as an entrepreneur. It is not a separate legal entity: you are personally liable, and in exchange you can invoice clients, hire staff and receive payments to a business account. The format fits IT freelancers, designers, marketers and marketplace sellers with turnover up to 500,000 GEL a year; teams, investor setups and EU VAT work usually point to an LLC.

The big 2026 change

On March 1 foreigners with a Georgian IE were required to obtain a work permit; on April 16 an amendment carved out remote workers serving foreign clients and company owners. Where that leaves an IE holder today: non-resident clients only, no permit needed to work; Georgian clients or income, permit required (200-400 GEL, up to 30 days, video interview, 2,000 GEL fine); planning a work residence permit, an approved work permit is a required document either way. Timeline and scenarios in the work permit guide. The point for planning: identify your scenario before you start.

Documents for registration

• passport;
• notarized Georgian translation of the passport (50 to 80 GEL);
• a Georgian phone number;
• a registration address in Georgia; a rented legal address works (from 80 GEL per month);
• the House of Justice application form;
• the fee receipt (26 GEL).

No residence permit is needed to register an IE. That is a persistent myth; a passport and an address are enough.

Six steps, updated order

Step six appeared in 2026 and does not apply to everyone; check your scenario against the guide above. When it does apply, run it in parallel with the bank account: the document packages overlap.

Tax regimes

Small Business status: the famous 1%

The most popular regime among remote workers: 1% of total turnover, no deductions, a monthly declaration by the 15th. Conditions: turnover up to 500,000 GEL a year, an activity outside the prohibited list (lawyers, consultants, private doctors, currency exchange), and an application filed with registration or later. The 1% is a TAX regime; the work permit legalizes the activity itself. One does not replace the other.

One client works, but check the contract. The question "does the 1% IE work with a single client?" comes up constantly among nomads, and the answer hangs on the nature of the relationship, not the client count. Genuine contracting, where you choose which work to take, with no paid leave, schedule or title, sits fine with the 1% status. Disguised employment (a fixed monthly amount, PTO, a position in the org chart) does not: the tax service assesses the relationship against 38 criteria and can requalify the income as salary. If you have one contract, show it to a specialist before filing for the status.

Common mistakes

• a wrong activity code at registration;
• no Small Business application filed, so the whole turnover falls under 20%;
• income taken to a personal card instead of the business account;
• a missed declaration deadline (the 15th);
• the new classic of 2026: not identifying your work-permit scenario; those with Georgian-source income risk the 2,000 GEL fine, and residency planners lose a month to an unprepared package.

Costs and timelines

Self-service registration takes 3 to 7 days, plus up to 30 days for the permit when your scenario includes it. With GeoExperts the IE is done in one business day, and we walk the permit through to the decision.

Frequently asked

Do I need a residence permit to open an IE? No. A passport, translation, phone number and address are enough. It works the other way around: an operating IE with turnover and an approved work permit is a path TO a work residence permit.

Can I register remotely without visiting Georgia? Yes, via a lawyer with a notarized power of attorney. Note that the work permit includes a video interview, held online.

When do I apply for the work permit, before or after registering? First check whether you need it at all: after the April 16 amendment, not for foreign-clients-only work; yes for residency or Georgian income. If you do, file after registering: the application needs the IE's data.

How long until I am fully legal? Realistically: a day for the IE, a few days for the bank and RS.ge; add up to 30 calendar days when your scenario includes the permit. A week to a month.

I will live in Georgia. What about tax residency? From 183 days in the country within any 12 months you become a Georgian tax resident, the closing element of the setup: both routes to the status.

IE or LLC? For a solo freelancer under 500,000 GEL turnover, almost always the IE at 1%. Teams, investors and EU VAT clients are reasons to read the IE vs LLC comparison.

A free 15-minute consultation: we will tell you whether the 1% IE fits your case and map the whole route: registration, permit, status. Telegram @GeoExpertsSaqartvelo or +995 551 278 585.