.png)
In this article you will find out everything you need to know about setting up a company in Romania.
We will discuss:
the types of companies you can choose from
the pros and cons of each type of entity
and how to open a company in Romania
Continue reading:
Forms of company registration
When registering a company in Romania you have the option of choosing one of the following legal entity types:
Limited Liability Company (LLC)
Joint-Stock Company
Branches
Authorized Person (PFA)
The most common form of registration is the limited liability company. But we will go over each of these options so you have a better overview of which is the best one for your needs.
Let’s begin with:
Limited Liability Company
The LLC may be legally incorporated with a minimum of one person, who will have the quality of sole shareholder.
A limited liability company may be formed by other companies and individuals up to a maximum of 50 shareholders.
Joint-Stock Company
If you want to open a joint-stock company, you must consider that a minimum share capital value is required (90.000 RON).
A joint-stock company requires a minimum of 2 shareholders and has no maximum limit.
Branches
A branch is a representative here in Romania of your parent entity (registered in another country), and it has specific rules for its registration.
For branches there is no minimum share capital required. Also, there is no need for a minimum number of shareholders and the transfer limits are not applicable, as only the parent company has the right to transfer its shares.
Another form of activity that you can use for setting up you business in Romania is the registration of an authorized individual.
Authorized Person
An authorized person is known in common language as ”PFA”, to put it simply, it is a simplified form of a legal entity.
It is best suited for specialists in the liberal professions like: doctors, nurses, drivers and other occupations.
Even if the name of this type of entity suggests otherwise, you must know that it allows you to have up to 3 employees.
What are the steps for starting a business:
How to set up a company in Romania. Company incorporation in Romania
The first step you need to take in order to register a company in Romania is to decide on what is the best entity type for your business.
Next you will need to find a registered office location that you can use for incorporating your company.
After that you will need to prepare the list of NACE codes for the authorized activities that your company will perform.
Draft the required documentation for your company registration. The list of necessary documents can be different depending on the type of the legal entity you chose.
Submit your paperwork to the local Trade Register and other institutions based on the regulations for your company type. Once these are processed your business will be assigned with a company registration number.
And finally, get in touch with a local law firm and an accountant for specialized assistance with your new company formation.
Get help with your company registration. Register a company in Romania
Choosing the best type of legal entity and following all the local laws and regulations for company incorporation can be quite challenging.
This is why:
Incorporation involves navigating various legal frameworks, including business laws, tax regulations, and corporate governance requirements. Without a law firm, it can be difficult to understand and comply with these legal obligations;
The process of incorporation typically requires drafting and filing various legal documents, such as articles of incorporation, agreements for the corporate seat, shareholder agreements, and other regulatory filings and statements. Law firms are trained to prepare and review these documents accurately, ensuring compliance with legal requirements and avoiding potential errors.
Incorporating a company involves adhering to numerous compliance obligations, such as registering with government authorities, obtaining permits and licenses, and complying with tax obligations. Law firms can provide guidance on fulfilling these requirements to avoid legal pitfalls and penalties. They can also provide personalized advice tailored to the specific needs and circumstances of the company
You can get help with everything you need for setting up your business in Romania:
choosing the right type of company for your business model
preparing all the documentation
submitting your paperwork to the local authorities
and assistance with any other legal procedures you may need
Our team of lawyers is specialized in matters regarding commercial law and company incorporation.
Send us an email with your request at office@cristinatudor.ro or call us directly at +40766.706.561 and we will assist you with your company's registration process.
Frequently asked questions
We prepared answers to some of the most common questions we get from our clients regarding company incorporation:
What are the types of companies in Romania?
The most common company structures you can choose from are: limited liability companies (LLCs), joint-stock companies and branches.
What are the costs of setting up a company?
The average cost of setting up a company in Romania is around EUR 150 (Trade Register and notary costs).
How can I start a business as a foreigner?
In order to incorporate a company in Romania you usually need to take the following steps:
Choose the appropriate legal entity based on your business type and needs
Prepare your registration documents (you can get assistance from a local lawyer)
Submit your paperwork to the Romanian authorities
After getting your company registration number, consult with a local accountant.
How long does it take to register a company in Romania?
It takes about 3 days on average to register a company in Romania. Depending on your business structure, the entire process can take up to 30 days, including the preparation of the documents.
Can I do the business registration process online?
You can get assistance with the process of registering your business in Romania completely online from our team of specialized lawyers. Send us a message at office@cristinatudor.ro or call us directly at +40766.706.561 and we will guide you through the entire process.
Comments