Registration of Trekking Agency and Obtaining Trekking Agency License in Nepal
In Nepal, a trekking agency means a licensed firm or company that arrange travel and accommodation for the purpose of viewing various natural and cultural scenery, and conduct hiking, recreational trekking races, mountain biking, memorial races, marathon races near base camps, special trekking events for festivals and holidays and mountain climbing expeditions.
This article will guide you through the process of registration of the trekking agency and obtaining a trekking agency license in Bagmati Province, Nepal as per the law of Bagmati province Nepal.
1. GOVERNING LAWS
The Following laws govern trekking agencies in Nepal:
- Province Tourism Act,207
- Tourism Act, 2035
- Companies Act, 2063
- Travel and Trekking Agency Rules,2062
2. CONCERNED AUTHORITY TO OBTAIN TREKKING AGENCY LICENSE
The following authorities are responsible for regulating entities intends to registration and obtain the trekking agency license:
- a) Tourism Office;
- Office of Company Registrar (OCR);
- Inland Revenue Office (IRD); and
- Industry and Commerce Office.
3. PROCESS OF OBTAINING TREKKING AGENCY LICENSE
In Nepal, a trekking agency license can be acquired through a Limited Liability Company or a Firm.
a) Procedure for obtaining a trekking agency license through a Limited Liability Company.
Step 1: Registration of the Company at OCR
Step 2: Registration of Business at the concerned local government
Step 3: TAX (PAN/VAT) registration at IRD
Step 4: Opening of Bank Account and inject the capital amount by the investor
Step 5: Obtain Share registry Certificate from OCR
Step 6: Recommendation letter from Tourism office
Step7: Industry registration at the Industry and commerce office (previously small and cottage industry office)
Step 8: Obtaining trekking Agency License from Tourism office
b) Procedure for obtaining a trekking agency license through a Firm.
Step 1: Submission of the application to the Industry and Commerce Office
Step 2: Obtain Recommendation letter from Tourism office
Step 3: Industry registration at the Industry and commerce office (previously small and cottage industry office)
Step 4: Registration of Business at the concerned local government
Step 5: TAX (PAN/VAT) registration at IRD
Step 6: Opening of Bank Account and inject the capital amount by the investor
Step 7: Obtaining trekking Agency License from Tourism office 
4. MINIMUM CAPITAL REQUIREMENT FOR COMPANY AND FIRM
Minimum Capital required to obtain the Trekking Agency License for the Company and the Firm are as follows:
| S.N. | Agency | Capital Requirement |
| 1. | Limited Liability Company | NPR 25,00,000 |
| 2. | Firm | NPR 15,00,000 |
5. GOVERNMENT FEE
a) Required government fee for trekking agency license:
| S.N. | Agency | Capital Requirement |
| a) | Government fee to obtain the trekking agency license | NPR 25,000 |
| b) | Application fee | NPR 100 |
b. The required renewal fees are as follows:
| Renewal Period | Within 35 days | Additional up to 3 months | Additional up to 6 months | Additional up to 1 year | After 1 year
|
| Government Fee (NPR) | 25,000 | 10% | 15% | 25% | Additional 100% per year thereafter |
6. VALIDITY OF LICENSE
The trekking agency license shall remain valid for a period of 5 (five) years.
7. REQUIRED DOCUMENTS
Followings are the required documents to obtain the Trekking Agency License.
a) Application form for registration,
b) Kabuliyatnama or Deed of Undertaking,
c) Notarized Copy of Company Incorporation Certificate, Memorandum of Associations and Article of Associations,
d) Notarized copy of the PAN/VAT registration certificate,
e) Notarized Share Certificate (Share lagat) amounting minimum capital required,
f) Notarized copy of citizenship copies of shareholders and the directors,
g) Personal details (Bio Data) of all director-shareholders along with 2 photographs each,
h) Verification letter signed before tourism office stating shareholder/directors have not been convicted of any criminal offense involving moral turpitude, have no outstanding government revenue or court fines, and are not blacklisted by any public authority,
i) A bank guarantee of NPR 5,00,000/- (Five lakh) issued for 5 (five) years by at least a Class B bank approved by Nepal Rastra Bank, in the name of the Tourism Office, Kathmandu,
j) Board resolution and Power of Attorney,
k) Latest Audit Report and Latest tax clearance certificate,
l) A commitment letter stating that the company/firm, while in the process of obtaining a license after registration, has not conducted any travel or trekking-related transactions to date, and if found to have done so, agrees to pay fines as per prevailing laws.
m) A house rental agreement in the name of the agency valid for 5 years,
n) Notarized landlord’s citizenship certificate,
o) Receipts for paid water/electricity bills.
8. TIMELINE
The process typically takes between 1 to 2 months, depending on the completeness of the submitted document and the internal processing time of the Tourism Office.
Can foreign nationals obtain a trekking agency license in Nepal?
No, schedule 1 of the Foreign Direct Investment and Transfer of Technology Act 2074, restricts foreign national's to make an investments in Trekking Agency in Nepal.