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Routes to Market in Poland


Routes to Market in Poland

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Poland Routes to Market

The next important part is researching and deciding on which business type will best suit you. Here are several that you may consider:

Entry in the Business Activity Register

This is the simplest form of business and must register with "Urząd Gminy", Statistical office and tax office.

Pros: The main advantage is possibility to pay 19% tax and to use simplified accounting method what saves lots of time and money. Moreover, banks treat such entrepreneurs in a favourable way, offering bank accounts at low rates or even free of charge.

Cons: Disadvantage of such a way of doing business is that the person conducting such activity is liable for his or her debts and obligations with his or her entire property.

Civil Partnership

This type of business is set up by at least 2 individuals registered with Business Activity register and they sign a deed on the Partnership. Each of the partners can represent the company and each of partners pays his tax separately.

Registered Partnership

This type of business is similar to the civil partnership, however partners can either be people or legal corporations. Each partner is responsible for their own tax.

In order to set up Registered Partnership the partners need to sign a deed and register it with National Court Registry (KRS).

Limited partnership

This type of business is set up and run by two or more persons and no minimum capital is required. One or more partner is liable to the creditors for the debts and obligations of the partnership without limitation (the general partner) and at least one partner has a limited liability. Each of the partners pay their own tax. The partnership is based on a notarial deed and should be registered with the National Court Registry.

Pros: limited risk in case of business for a larger scale for the partner with limited liability

Cons: more complicated and time consuming.

Limited Joint-Stock Partnership

Although similar to a Limited partnership, this type of business is designated for a larger scale business. A minimum share capital requirement is PLN 50,000.

Pros: as above

Cons: more costly compared to Limited partnership

Limited Liability Company

This type of business is the most popular in the economy and requires an initial capital of PLN 50,000 and is a legal person, registered with the National Court Registry (KRS). The company is a tax payer and is obliged to run full accounting. The liability is limited to the share capital.

Superior authority of a company is Shareholders Meeting. The company is represented by a Management Board (consisting at least of one person) according to principles stipulated in a company deed.

Pros: limited liability, flexibility in managing business (possible from abroad)

Cons: high cost (bank accounts, accounting, notary), complying with legal requirements reg. corporations

Joint-Stock Company

This type of company is a legal entity. A minimum share capital is PLN 500,000 and the shareholders are not liable for companys obligations.

Pros: limited liability, suitable for large scale business

Cons: high registration and operating cost (accounting, legal responsibilities).

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Organisations that can assist with Routes to Market

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