Many questions arise when you want to set up a business in Poland. This problem is encountered by many investors who have started to think about Company Formation in Poland. The whole process can be shortened and significantly accelerated by knowing the answers to the questions that bother us. We invite you to read the following article from the Gurcan Journal.
1. WHAT ARE THE LEGAL FORMS OF COMPANIES IN POLAND?
The most popular types of companies in Poland are:
– Partnerships (Registered Partnership, Limited Joint-Stock Partnership, Limited Partnership, Professional Partnership);
– Capital companies (Limited Liability Company, Joint-Stock Company).
2. WHAT IS THE MOST CONVENIENT FORM OF COMPANY IN POLAND?
The most popular form of a company in Poland is LLC – limited liability company (spółka z ograniczoną odpowiedzialnością). This form of company is uncomplicated to register and conduct. A limited liability company can be integrated by only one person and a minimum capital is not so big (5.000 PLN – around 1100 Euros).
3. HOW TO SET UP A COMPANY IN POLAND?
In Poland, a corporation can now be registered both manually and electronically via the S24 IT system. The process of establishing a business in Poland traditionally begins with the creation of various types of documents, foremost the company’s agreement, which must be created for each individual in a unique manner taking into account specific needs, goals, situations, and relationships between shareholders. A journey to the notary public is typically required to sign an article of the association before the firm can be officially opened. If the shareholders can’t communicate in Polish, a sworn translation is needed. The office is still in charge of other tasks including adding the business to the Register of Entrepreneurs.
4. CAN I REGISTER COMPANY IN POLAND ONLINE?
If you want to register your firm online in Poland, you may need professional assistance. This form will provide you with the assistance of lawyers and accountants, which will allow you to start your business properly. For this procedure, you can indicate to us – Gurcan Partners and Gurcan Consultancy.
Our professional team specializes in the establishment and upkeep of foreign businesses and investments in Poland. Contact us, and we’ll assist you in registering your firm.
5. WHICH DATA DO I NEED TO REGISTER COMPANY IN POLAND ONLINE?
Prepare the information you will need to provide before starting the online registration procedure. A request for an entry in the registry must include the following information:
– name and surname, names of the parents, date and place of birth
– data of an identity document
– PESEL number
– all citizenships you have
– your residence address and other addresses related to the business activity you wish to start
name of the business activity you wish to start
– short business name
– relevant codes of the Polish Business Activity Classification (PKD)
– number of employees that you are going to employ
– beginning of your business venture
– information on being insured with the Social Insurance Institution (ZUS), KRUS or any foreign institution
– details of the tax office competent for your place of residence.
6. HOW CAN I CHOOSE A NAME FOR MY BUSINESS IN POLAND?
You must specify the name under which you will conduct business when registering as an entrepreneur with CEIDG. The name must at the very least include your first and last names in the nominative case.
It’s crucial to put your name and surname in the correct sequence.
Your name and last name may be supplemented with additional features to reflect your area or professional background. Additionally, you are free to use any term or pseudonym you like.
To read more about the business name: click here.
7. DO I NEED A LICENSE TO SET UP A BUSINESS IN POLAND?
Entrepreneurs can generally use their independence. This indicates that no permission is required in order to engage in a particular kind of activity. However, you may need particular professional credentials, equipment, or locations for some business activities. Additionally, some corporate activities can only be carried out with a permit from a pertinent public entity. While starting the procedure our professional team will check your situation and make sure whether you need a license. Be sure of a good start to your business in Poland and contact us.
8. WHAT ARE THE TAXATION FORMS IN POLAND?
You pay personal income tax when operating a sole proprietorship or another one-person firm (PIT).
There are three types of income taxes that apply to commercial activity:
– in accordance with general laws and a tax scale (17% and 32%);
– a flat rate tax (19%);
– a lump sum tax on registered revenues.
Do take note! Only those taxpayers who maintain this taxation form and computed their taxes in this way in 2021 may use the fourth form of taxation, the tax card, as of 2022. As a result, you cannot use the tax card option if your business is only getting started.
To read more about taxation in Poland: click here.
9. WHAT IS NIP?
In Poland, a NIP number is a tax number. The tax number and VAT number are equivalent.
10. DO I NEED TO PAY VAT IN POLAND?
Every time a good or service is traded, a tax known as VAT is collected. Each transaction adds to its worth.
VAT must be paid independently of personal income tax (PIT) or the method used to pay it, including general regulations, a flat rate, a lump sum tax on registered revenues, or a tax card.
In general, all business owners are required to register for VAT. However, you are exempt from filing for VAT if:
– You solely sell items and services that are exempt from VAT;
– Your yearly sales do not exceed PLN 200,000.
What is also worth knowing is that there is a 0% VAT for the delivery of certain vessels and aircraft, delivery of air and sea transportation services, and delivery of international transport services. Export of goods, which occurs when items are shipped from Poland outside the EU, is also subject to a 0% VAT rate. The buyer or the supplier (direct export) may carry out a dispatch (indirect export). It is important to get customs documentation attesting that the items have left EU territory in order to apply the 0% VAT rate.
Gurcan Consultancy will assist you with the accounting taxation part procedure.
Gurcan Partners is a corporate member of:
11. CAN A FOREIGNER REGISTER A COMPANY IN POLAND?
In Poland, foreigners may register businesses. You don’t have to be a Polish citizen or resident to participate.
12. ARE THERE ANY LIMITATIONS ON OPENING A COMPANY FOR A FOREIGNER IN POLAND?
Foreigners can register a legal entity in Poland using the same process that locals do. There is no need for additional permissions.
Any nation’s citizen may serve as the company’s founder or director. A current valid is essential.
Only the registration of Działalność Jednoosobowa, which is a lone proprietor’s equivalent, is subject to restrictions. An individual holding European or Polish citizenship, a Pole’s card, a permanent residence card, or a temporary residence card issued on the basis of family reunification may register this type of ownership.
Schedule a free initial consultation
13. HOW LONG DOES IT TAKE TO SET UP A COMPANY IN POLAND?
Getting yourself professional assistance is an essential foundation for starting a business in Poland. We will complete the registration process for your company in only 1 month.
14. DOES THE BUSINESS NEED AN OFFICE IN POLAND?
Yes, having a Polish office is crucial for the company. However, having a virtual office here is possible. It aids in cost reduction and allows for remote work.
FAQs on Setting up a Business in Poland
All rights reserved. All rights of the FAQs on Setting up a Business in Poland article belong to Gurcan Partners International Law Firm. The author has no responsibility for the information in this article. This article is prepared just to inform.
Gurcan Partners Poland
Warsaw Office: +48 22 153 03 60 (English)
Check out Gurcan Journal for more articles
13 languages/ 10 countries
As Gurcan Partners International Law Firm, we provide services with our office in five EU and five non-EU countries. Please find our articles below.
We are here to assist you at all steps of the process of starting your business in Poland.
Please contact us.
We will back to you within 24 hours.