Romanian Company Formation
Romania is an up and coming European location for international business, with its economic and regulatory reform creating a liberal, free-market business environment. Development of the country’s private sector, modernisation of the banking and tax systems, and liberalisation of foreign trade has significantly increased foreign investment into Romania.
Universal Company Incorporations understand the needs of our clients and will address all of your business requirements to make the incorporation process as smooth as possible. Our team will provide assistance with local language difficulties and business legalities to help your business compete successfully in the Romanian market.
Further Information
There are two major forms of company to incorporate in Romania:
- Limited Liability Company (SRL) – this is suitable for small to medium sized companies as it has low administrative and reporting requirements
- Joint Stock Company (SA) – this is suited to larger companies as the share capital is significantly greater and directorial requirements are also stricter
The other main forms of Romanian company formation include:
- Partnership
- Branch
- Representative Office
The Romanian regulatory environment has been significantly streamlined in recent years. Government regulatory requirements have been simplified and reductions made to taxation (Corporation Tax to a flat 16%) to create an efficient regulatory environment conducive to international business.
The privatisation of commercial banks in Romania and representation of major foreign banks has helped with the development of the country’s financial sector. There is now a full range of international banking facilities in the country, combining service quality and efficiency. A local bank account is required to be set up during incorporation.
Foreign investors can benefit from a number of financial incentives available in Romania across a diverse range of sectors and investment levels. These include free access to public utilities, tax reductions, and further support for investors looking to create employment in disadvantaged areas of the country.
The workforce in Romania is well educated and motivated, with low average salaries making Romanian labour cost effective. The unemployment rate is low however, as a result of the economic boost. Obtaining the help of a local recruitment agency is advised to help you advertise and interview efficiently.