By Mark Redmond, 31st May 2016
Poland is one of the fastest growing economies in Europe and Foreign Direct Investment is at an all-time high in the country. With a perfect location fo
Registering a company in Poland is relatively easy, but at times, can be complicated and mistakes can become costly. For these reasons alone, it is usually best to outsource this task to a company formation agent.r businesses who want to access the 250 million consumers in the European Market, Poland offers attractive incentives to ambitious entrepreneurs who decide to locate in the state.
To get started, you will need to choose which company format is best suited for your business type. There are four main business entities used by foreign investors in Poland:
- Limited Liability Company (Sp Z.o.o )
- Joint Stock Company (S.A)
- General Partnership
- Sole Proprietor
Limited Liability Company (Sp Z.o.o)
The most popular legal entity amongst small and medium sized firms in Poland is the Sp Z.o.o. This company format has a minimum share capital of €1,200 (zł 5000) which must be paid on incorporation. A minimum of One Director is required on the company and there are no constraints on foreign shareholders. Annual accounts must be prepared by the company and submitted to the Companies’ Office.
Joint Stock Company (S.A)
The first choice for larger companies who plan to raid public capital is usually a Joint Stock Company (S.A). This company format has a minimum share capital of €25,000 (zł 100,000), 25% of which must be paid on incorporation. A governing body is required for Joint Stock Companies, which includes a Management Board, a Supervisory Board and a General Meeting of Shareholders. Each year, the company must allocate at least 8% of its annual profits to the reserve of the company. Annual accounts must be prepared and an independent audit is also required.
General Partnership (SJ)
A General Partnership in Poland (SJ) is a business entity composed of a number of shareholders. A general partnership is defined as a partnership which is established under its own name and does not represent another commercial company. Furthermore, each partner involved is liable for the debts of the partnership without limitation of personal assets.
A Sole Proprietor is the least regulated and most straightforward business entity in Poland and is most used by small business enterprises. Similar to a general partnership, the individual is liable for the debts of the partnership without limitation of personal assets. All profits of the sole proprietor are subject to Polish income tax.
Company Registrations Worldwide can assist you with opening a company in Poland in the quickest possible time frame. If you would like more information on incorporating any of the above business entities in Poland, contact us on + +353 1 6874518 / +49 3088789328 or alternatively you can submit a contact form on our website and an expert will be in touch as soon as possible.