Short answer: you don’t need a licence to open a travel company in Azerbaijan; the licence was abolished in 2015. Instead, the Law “On Tourism”, in force since 2022, gives tour operators and travel agents three core obligations: take out civil liability insurance, enter the insurance details in the Tourism Register within 15 days of starting work, and sell to tourists under a written contract. This article walks through every step, from registering the company to the first sale.
Last checked: 31 October 2026. This article is general information, not legal advice. Legislation can change, so confirm your obligations with a lawyer.
Do you need a licence for a travel company?
No. The special permit (licence) for tourism activity was abolished by order of the head of state in 2015. In 2020 the Azerbaijan Travel Agencies Association proposed bringing licensing back (News.az), but Law No. 448-VIQ “On Tourism” of 27 December 2021 (in Azerbaijani) chose a different model: mandatory insurance, an electronic Tourism Register and written contracts instead of a licence. The new law repealed the 1999 law, so don’t rely on sources that still quote the old one.
One more point to know: the State Programme for tourism development for 2026–2030 plans to improve the law and set minimum requirements and control mechanisms for tour operators, travel agents and hotels. Under a Cabinet of Ministers order, the State Tourism Agency must submit its proposals for amending the law by 20 December 2026 (nk.gov.az). In other words, the requirements may change in the coming years.
Tour operator or travel agent?
The law distinguishes two roles, and the difference affects your company’s legal form:
- Tour operator: puts together tour packages (a package combines two or more tourism services) and sells them directly or through travel agents. A tour operator can only be a legal entity (Art. 1.1.12 of the law).
- Travel agent: sells tourism services or tour packages put together by tour operators, or acts as an intermediary in this field. A travel agent can be a natural person or a legal entity (Art. 1.1.13).
Step by step: how to open a travel company
- Choose your business model. Outbound tours, inbound tourism, air tickets, hotels, or selling to other agencies (B2B)? Each model needs different suppliers, contracts and systems.
- Register the company and get a tax ID (VÖEN). To work as a tour operator you need a legal entity, such as an LLC. A travel agent can also work as an individual entrepreneur. Registration is done with the tax authority, including online.
- Take out civil liability insurance. Under Art. 8.2 of the law, tour operators and travel agents must insure their civil liability for breaching contract terms. The minimum insured amount depends on the size of the company and starts at 50,000 AZN. More: liability insurance for tour operators and travel agents.
- Enter your details in the Tourism Register. Insurance details must be entered in the Register within 15 days of the date you start operating, and any changes updated within 15 days (Art. 13.2 and 13.4). More: the Tourism Register.
- Prepare a tourist contract template. The law lists the clauses every contract must contain (see the table below). Drafting the template with a lawyer is the safest route.
- Set up the tour document and voucher process. A tourist who pays must receive a “turizm yollayışı” (tour document). Settlements between the sending and receiving parties are made on the basis of a tourism voucher (Art. 8.3 and 8.4).
- Sign contracts with suppliers. IATA accreditation or a consolidator for flights, bedbanks and direct contracts for hotels, transfer and excursion suppliers. Options for selling flights: how much a flight booking system costs.
- Set up payments and accounting. A bank account, online payment on your website and bookkeeping. Confirm your company’s tax obligations and cashless-payment requirements with your accountant.
- Set up your sales channel. A website, social media, an office or an agent network. If you plan to sell online, choosing a booking system early makes the whole process much easier.
What a tourist contract must include
Under Art. 8.1 of the law, tour operators and travel agents may sell a tour package or tourism service only under a written contract. Any ambiguity in the contract is interpreted in the consumer’s favour, so these clauses need to be written clearly.
| The contract must include | What it means in practice |
|---|---|
| List and description of services | Flight, hotel, room type, board, transfer, excursions, insurance |
| Price and payment terms | Total amount, currency, deposit and final payment date |
| Start and end date of the tour | Flight and accommodation dates |
| Cancellation terms | Until when cancellation is free, and the penalty after that |
| Civil liability insurance | Insurer’s name, policy number, insured amount |
| Compensation terms | How the tourist is compensated if a service is not provided or changes |
Other terms of the contract are governed by the Civil Code. The law defines the tour document as a “strict reporting form” and treats it as an integral part of the contract (Art. 1.1.17 and 8.3).
Travel insurance for tourists
Don’t confuse civil liability insurance with the tourist’s travel insurance. Under Art. 17 of the law, tour operators and travel agents must take steps to ensure tourists have travel insurance in two cases: when the destination country’s law requires it (for example, for a visa), and in the tour packages they put together for tourists coming to Azerbaijan.
Obligations for tourist safety
Under Art. 16.5 of the law, tour operators and travel agents must:
- take safety measures when putting together a tour package and inform tourists of possible dangers during the trip;
- arrange urgent emergency assistance for tourists;
- in an emergency in Azerbaijan, immediately inform the relevant state body, the state tourism body and the diplomatic mission of the tourist’s country.
In practice this means the tourist’s contact details, itinerary and supplier contacts must be available at any moment. Keeping this data in one system, rather than in scattered spreadsheets, is far more reliable.
Checklist
- Business model and legal form chosen (a tour operator can only be a legal entity).
- Company registered, tax ID (VÖEN) obtained.
- Civil liability insurance taken out at the minimum amount for your company size.
- Insurance details entered in the Tourism Register within 15 days.
- Contract template under Art. 8.1 drafted with a lawyer.
- Tour document and voucher process in place.
- Destinations that require travel insurance identified.
- Contracts signed with flight, hotel and other suppliers.
- Bank account, online payments and bookkeeping set up.
- Website and booking system chosen.
How a booking system helps
Most of the law’s requirements are really about data: the services, price, dates and cancellation terms in the contract, the tour document, the voucher and the tourist’s contacts. When this data lives in one system, documents aren’t copied by hand, errors drop and every booking keeps its history:
- all the data needed for the contract and voucher comes from the booking;
- vouchers are sent to the tourist and the supplier automatically;
- payments are linked to bookings, and reports are exported to accounting;
- if you have an agent network, each agent’s sales and commission are tracked separately.
To work out which system you need, fill in our free technical specification template. How to choose a system: how to choose a booking system: 10 questions. Prices: pricing.
Frequently asked questions
Do you need a licence to open a travel company in Azerbaijan?
No. The licence for tourism activity was abolished in 2015. Instead, the Law “On Tourism” requires civil liability insurance, entry of insurance details in the Tourism Register and a written contract with the tourist.
Can an individual entrepreneur open a travel company?
As a travel agent, yes: the law allows a travel agent to be a natural person or a legal entity. A tour operator, however, can only be a legal entity, so you need one to put together tour packages.
When do you have to enter details in the Tourism Register?
Tour operators and travel agents must enter their civil liability insurance details in the Register within 15 days of starting work, and update them within 15 days whenever they change.
Can you sell a tour without a contract?
No. Under the law, tour packages and tourism services must be sold to tourists under a written contract that states the services, price, payment terms, dates, cancellation terms, insurance and compensation terms.
