Poland receives huge EU funding for development and infrastructure, which makes it a strategic destination that attracts foreign investors.
In addition to that, the country is located in the heart of Europe, having a resilient economy, and most importantly, having lower costs for incorporating a business. That is why Poland is an ideal opportunity for business development.
1. Before registering your company:
- Check if you need to register your company:
If you have a small business and your revenues do not exceed 50% of the minimum wage, yearly, then you can run a non-registered business.
- Choose your company taxation type:
You will have several options for taxation forms. Make sure to choose one that allows you to pay the lowest possible taxes.
Note: You will not be able to change it at any time.
- Think about your business starting time:
For your company registration application, you must mention a specific date of commencement.
- Choose your company’s name:
The name of your company should be simple and easy to remember: it must include your first and last name.
Note: Before registering, make sure to check on the Internet that no one is using the same name as yours.
- Choose your company activity and select PKD code:
You will need to report the kind of activity that you will run (you do that by entering the PKD code). Your activity type, in addition to some other things, will determine your tax rates as well as obligations.
- Create an electronic signature (or a trusted profile):
You will need to create a Trusted Profile: a free tool used to confirm your identity, register your company online, and also to deal with other official matters electronically.
2. Company Registration:
- Prepare necessary documents:
You will also need to prepare all the required documents including the articles of association and the contribution statements, etc..
If you are a sole trader, all you will need is an identity card, and if you are setting your business online, you should have a Trusted Profile or an electronic signature in addition.
- Apply for insurance:
You will need to go to the Social Insurance Institution (ZUS) to apply for insurance.
3. After Registration:
- Submit Company data to the Tax Office:
Once your company is registered, you will “automatically” receive a NIP number.
If you set up a civil law partnership or a commercial company, you will need to make an additional notification of the supplementary data to the Tax Office. That includes information such as a business address, place of keeping accounting documents, etc..
- Register as a VAT taxable person:
In case you want to be a vat payer or if you are legally obliged to be one, you will need to register with the Tax Office as a VAT payer.
- Obtain a business license:
If your business is regulated (requires additional permits, licenses, entries), you will need to report the start of your business to the appropriate institution.
- Open and register a business account:
It is always better to have a separate bank account for company settlements (although micro-entrepreneurs are not obliged to open a company account).
- Make a physical inventory
In addition to your company’s tax book of income and expenses, you will need to enter a physical inventory, as of the date of the business activity commencement.
When incorporating a company in Poland, you will need to pay an average fee per engagement amounts to 11,960 euro, including the costs of:
- Company incorporation
- Corporate bank account setup
- Legal registered office
- Government registration