TL;DR
- Armenia recognizes two main non-profits: Public Organizations (NGOs) and Foundations, each governed by dedicated laws and different founder/governance rules (Law on Public Organizations; Law on Foundations).
- NGOs require at least two founders; a Foundation can be created by a single founder. State registration duty is 10,000 AMD (~$25) for either form (Law on State Duty).
- Volunteer programs are now regulated by Armenia’s Law on Voluntary Work (effective Oct 13, 2023); annual NGO reports track the end‑of‑year number of volunteers, not hours (EVN Report; 2023 NGO law amendment).
- Large grants/donations above the VAT threshold (~115M AMD) can trigger 20% VAT in practice, prompting sector calls for reform (Aravot).
- In 2024, Armenian state grants to NGOs totaled 728,409,200 AMD, with the largest single grant at 234,638,000 AMD (FOI.am).
Last updated October 24, 2025
Starting a non‑profit organization in Armenia is straightforward once you choose the right legal form and prepare compliant governance documents. This guide explains how to start a non‑profit organization in Armenia, the legal requirements for NGOs and Foundations, how to register, and what to include in your statutes to stay compliant.
Table of Contents
- Understanding NPO types in Armenia: Public Organizations (NGOs) vs Foundations
- Legal requirements to form a Public Organization (NGO) in Armenia
- Legal requirements to form a Foundation in Armenia
- Step‑by‑step registration process and state fees (what to file, timelines, cost)
- Drafting governance documents: statutes, boards
Understanding NPO types in Armenia: Public Organizations (NGOs) vs Foundations
Armenia’s non‑profit landscape is anchored by two primary legal forms:
- Public Organizations (NGOs) – membership‑based associations that do not distribute profits to members and operate for public benefit under the Law on Public Organizations.
- Foundations – non‑membership, asset‑based entities established to pursue public benefit goals (charitable, cultural, educational, scientific, health, environmental, etc.) under the Law on Foundations.
Key structural differences matter at the setup stage, especially the number of founders and governance.
| Feature | Public Organization (NGO) | Foundation |
|---|---|---|
| Legal basis | Law on Public Organizations | Law on Foundations |
| Founders | Minimum two founders (individuals or legal entities) (source) | Single or multiple founders allowed (source) |
| Membership | Membership‑based (source) | No members; beneficiaries defined in charter (source) |
| Top governance body | General Assembly of members (details in charter) (source) | Board of Trustees (≥3 members) (source) |
| State duty (registration) | 10,000 AMD (Law on State Duty) | 10,000 AMD (Law on State Duty) |
Legal requirements to form a Public Organization (NGO) in Armenia
To form an NGO, note these essential legal requirements:
- Founders: At least two founders (individuals or legal entities). The NGO is a non‑commercial public association that cannot distribute profits to members (Law on Public Organizations).
- Purpose: Operate for public benefit; objectives and activities must align with the NGO form as set in law and your charter (source).
- Charter: Must include the NGO’s name, address, goals, governance bodies and decision‑making rules, membership rules, sources of property, and reorganization/liquidation procedures (source).
- Liability: Members are not liable for the NGO’s obligations; the NGO is not liable for members’ personal obligations (source).
- Volunteers: Volunteer engagement is regulated by the 2023 Law on Voluntary Work; annual NGO reporting now focuses on the number of volunteers at year‑end (not hours) (EVN Report; amended NGO reporting).
Practical tip: If your NGO will hire or host foreign staff, plan for visa and residency compliance early.
Legal requirements to form a Foundation in Armenia
Foundations suit philanthropists and corporates who want a non‑membership, asset‑based vehicle with board oversight.
- Founders: One or more founders may establish a foundation (individuals or legal entities) (Law on Foundations).
- Purpose and property: Foundation property is contributed by founders and used to pursue defined public‑benefit goals; the foundation owns its assets and is liable with them (source).
- Governance: The Board of Trustees (at least three natural persons) is the supreme body; a Manager handles day‑to‑day operations as specified in the charter (source).
- Charter: Must set out name (including the word “foundation”), seat, objectives, property rules, management bodies and powers, beneficiaries, and decision‑making procedures (source).
Step‑by‑step registration process and state fees (what to file, timelines, cost)
How to apply: NGO and Foundation
- Choose the legal form (NGO or Foundation) that fits your goals, membership model, and governance preferences (NGO law; Foundation law).
- Draft the charter (statute) to include all mandatory elements under the relevant law (name, seat, objectives, governance, property, beneficiaries if a foundation) (NGO; Foundation).
- Adopt formation decisions:
- Prepare the registration package:
- Signed application for state registration
- Charter (typically two copies)
- Founders’ decision/minutes (NGO) or founder’s decision and, if multiple, founders’ agreement (Foundation)
- Founders’ and authorized person’s identification details
- Payment proof for the state duty (10,000 AMD)
Each requirement is grounded in the underlying laws governing NGOs and Foundations (NGO; Foundation).
- File with the State Register of legal entities. Upon registration, the entity acquires legal personality under the relevant law (NGO; Foundation).
- Post‑registration: Set up tax accounts and ongoing compliance processes. If you will employ staff, align with Armenian payroll and tax rules (see our overview of taxes in Armenia).
Fees and basic filing
| Item | NGO | Foundation | Source |
|---|---|---|---|
| State duty (registration) | 10,000 AMD | 10,000 AMD | Law on State Duty |
| Core documents to file | Application, charter, founders’ minutes/decision, IDs, duty receipt | Application, charter, founder’s decision (+ agreement if multiple), IDs, duty receipt | NGO law; Foundation law |
Compliance notes: volunteers, reporting, and VAT
- Volunteers: The Law on Voluntary Work (effective Oct 13, 2023) regulates volunteer engagement; align volunteer agreements and safeguarding accordingly (EVN Report).
- NGO volunteer reporting: Since 2023, NGOs report the number of volunteers at year‑end in annual reports, simplifying prior hour‑based metrics (amendment).
- VAT risk on large grants: Grants/donations exceeding the VAT registration threshold (~115M AMD annual turnover) can be treated as taxable for VAT at 20% in practice, a continuing sector concern (Aravot). Plan cash flows accordingly and consult on VAT registration timing.
- Funding context: State grants to NGOs totaled 728,409,200 AMD in 2024 (largest single grant: 234,638,000 AMD), indicating active public funding channels (FOI.am).
Need help with setup or ongoing filings? See our business registration and tax resources, or contact us for a turnkey solution.
Drafting governance documents: statutes, boards
What to include in an NGO charter (statute)
At minimum, the NGO charter should cover the following, as required by law: name, seat (registered address), goals and activities, membership rules and rights/obligations, governance bodies (General Assembly and any executive/supervisory bodies), decision‑making procedures, sources of property/funding, and reorganization/liquidation rules (Law on Public Organizations).
What to include in a Foundation charter
The Foundation charter must specify: the word “foundation” in the name, seat, objectives and beneficiaries, property management and use, whether any entrepreneurial activity is allowed in support of objectives, governing bodies (Board of Trustees and Manager), composition and powers, decision‑making, and liquidation. The Board of Trustees must have at least three natural‑person members with full capacity (Law on Foundations).
Board and internal policies: a quick checklist
- Board composition: Confirm minimums (NGO: per charter; Foundation: Board of Trustees ≥3 members) and eligibility (source).
- Decision‑making: Quorums, voting thresholds, meeting frequency, and written resolution procedures in charter (NGO; Foundation).
- Conflict‑of‑interest: Draft a clear policy for board and management consistent with charter and applicable law.
- Volunteer policy: Align with the Law on Voluntary Work (onboarding, safety, recognition, insurance if applicable) (EVN Report).
- Finance and VAT: Include controls for grant acceptance, VAT checks near the ~115M AMD threshold, and reporting calendar (Aravot).
If you plan to relocate key staff or board members to Armenia, review our guides on visas and residence permits.
Why choose us: We set up Armenian NGOs and Foundations end‑to‑end, draft compliant charters, design board policies, and advise on VAT and volunteer reporting. Explore investment and tax resources, then contact us for tailored support.
Frequently Asked Questions
Can a single person start an NGO in Armenia?
No. An NGO requires at least two founders (individuals or legal entities) under the Law on Public Organizations (source).
Can a Foundation be formed by a single founder?
Yes. A Foundation may be established by one founder (individual or legal entity), with governance by a Board of Trustees (≥3 members) (Law on Foundations).
What is the state registration fee for an NGO or Foundation?
The state duty for registering any non‑profit legal entity is 10,000 AMD (Law on State Duty).
Do we need special paperwork for volunteers?
Volunteer engagement is governed by Armenia’s 2023 Law on Voluntary Work. Ensure volunteer agreements and protections align with the new framework; NGOs now report the total number of volunteers at year‑end (EVN Report; amendment).
Are large grants/donations VAT‑exempt in Armenia?
Not always. In practice, grants/donations above the VAT registration threshold (~115M AMD annual turnover) can trigger 20% VAT, which civil society groups seek to reform (Aravot). Seek tax advice early, especially if you expect major funding. Also see our overview of taxes in Armenia.
Conclusion
If you plan to start a non‑profit organization in Armenia, your first choice is between an NGO and a Foundation. NGOs are member‑driven and require at least two founders; Foundations are asset‑based and can be launched by a single founder, both under clear statutory frameworks (NGO law; Foundation law). Align your charter, board structure, and volunteer policies with current laws, and plan for VAT risks on large grants. For a smooth, compliant setup with ongoing reporting and tax support, contact us.
