Startup Capital Deposit Required Before Company Registration?

Yes. Under Article 20 of the Egyptian Companies Law (Law No. 159 of 1981), any amounts paid toward the company's account during the foundation phase must be deposited in one of the banks designated by a ministerial decree. The company is not permitted to withdraw these funds until after it has been formally registered and its legal existence confirmed.

This requirement is designed to protect future shareholders and partners by ensuring that the subscribed capital is genuinely available and not spent before the company is legally formed. As an expat, you should confirm with your legal adviser or the Egyptian General Authority for Investment (GAFI) which specific banks are currently approved for this purpose, as the list is set by ministerial decree and may be updated.

Practically speaking, you will typically receive a bank certificate confirming the deposit, which forms part of your company registration documentation. Attempting to register without completing this step will stall your application. Factor in that the process of opening a corporate bank account in Egypt as a foreigner can itself take time, so start early and ensure all your identity and company formation documents are prepared in advance.