The focus of this study is to examine the distinctions between active and inactive foreign technology companies in terms of legislation and procedures, specifically in relation to the impact of digital transformation. To provide a comprehensive analysis, the study incorporates digital aspects into the comparison of these two types of companies. The findings of the analysis highlight significant differences and similarities between active and inactive foreign technology companies. While both types of companies go through registration and document submission processes, their requirements diverge in various areas. Active companies, for instance, are obligated to obtain licenses, pay legal fees, and submit annual financial statements. On the other hand, inactive companies are exempt from these fees and are only required to submit financial statements for a period of two years. Moreover, inactive companies must ensure that 50% of their workforce consists of local citizens, whereas there is no such requirement for active companies. Inactive companies are also restricted from engaging in commercial or industrial activities, limiting their operations to coordination with their main office. The study also explores the influence of digital tools and platforms on these legislative and procedural requirements. Drawing from these insights, the study offers recommendations to enhance the legislation and procedures pertaining to foreign companies. These recommendations include the integration of digital solutions to improve transparency and efficiency in financial reporting and employment practices.