Romania is becoming a growing-tendency destination where one can register a company. The perfect blend of a favorable Eastern Europe location and a competitive tax system makes this country promising for those tapping into the business market.
However, understanding the process of registering a company in Romania is critical to avoid pitfalls and ensure a smooth business setup. This article aims to guide you through the steps and requirements for the business registration process in Romania, considering some legal nuances. So let’s learn things close-up!
Professional Services Assistance
While the very process of registering a company in Romania seems to be simple, the bureaucratic procedure involved can still be daunting. It especially relates to foreign investors who are not quite familiar with the various Romanian regulations. That’s why, it is advisable to start the business registration process with professional consulting.
Fintech Harbor Consulting LTD has earned a brilliant reputation for efficiently assisting entrepreneurs in opening companies in Romania. Their proficiency and expertise profit abundant foreign investors. Fintech Harbor Consulting LTD will help businessmen throughout the establishment procedure, from elaborating legal documents to communicating with state institutions based on Romanian legislation.
Understanding Business Structures
- Limited Liability Company (SRL): It emerges as the most frequent business form in Romania. Due to flexibility and limited liability for its shareholders, it is ideal for small and medium companies.
- Joint Stock Company (SA): It applies more to large enterprises, especially those who would later list on the stock exchange or raise capital from a wide pool of investors.
- Branches or Subsidiaries: While subsidiaries are independent, a branch is not. Branches represent an extension of the mother company and do not enjoy a separate legal entity status.
Steps to Register a Company in Romania
Company registration in Romania is an elaborate process, where each action has its own special legal and administrative conditions. Below is the simplified guide:
- Reservation of Company Name
The initial stage is picking your unique company name. Check the name availability with the National Trade Register Office called ONRC. Once approved, you can make reservations for 3 months.
- Drafting of Articles of Association
The Articles of Association must state the main details about your future business. It has to include the description of activities to be performed, share capital, and management structure. Plus, documentation must comply with Romanian legislation and indicate the area of activity under NACE Codes, Classification of Business Activities.
- Registered Office
Every company in Romania needs to have a registered office. This means an official address for your business where all the legal correspondence is sent. You may rent or buy an office, or use the services of a virtual office in case your operation does not require a physical location.
- Deposit Share Capital
The minimum share capital for an SRL is RON 200 (approximately €40). In the case of an SA company, a statutory minimum share capital poses €25,000.
- Filing of Documents with the Romania Business Registry
With all the documents available, like Articles of Association, proof of deposit of share capital, and lease or ownership of the registered office, you can turn to the National Trade Register Office for submission. This usually takes 3-5 working days if all the documents are correct.
- Tax Identification
After the company’s incorporation, you must register for tax purposes with the Romanian Tax Authority – ANAF. In this respect, your company will acquire a unique tax identification number (CIF), which is of utmost importance in the business performance.
Conclusion
Romania is an exciting market to deal with, both for domestic and foreign investors. To recap, registering a company in Romania entails several steps, from choosing the right business structure to tackling fiscal matters. Each stage is crucial for long-term success. Still, seeking the help of experienced professionals like Fintech Harbor Consulting LTD can make the process go with ease and eventually single out your business in the Romanian market.
