Starting a Business in Romania as a Foreigner

Romania, as a member of the European Union, is an increasingly popular destination for foreign entrepreneurs looking to establish businesses. With its favorable legal framework and growing economy, the country presents an attractive environment for foreign investors. Romania’s tax system offers competitive advantages, and the ease of registering a company makes it a desirable location for starting a business.

Can a Foreigner Own a Business in Romania?

Yes, foreigners can own and operate businesses in Romania. Romanian law grants foreign citizens the same rights and obligations as Romanian nationals in the context of company ownership. Whether you are from an EU or non-EU country, you can become a shareholder in a Romanian company without additional requirements for non-EU citizens, aside from potential visa procedures if you plan to reside in Romania for business purposes.

How to Register a Business in Romania as a foreigner?

Business registration in Romania as a foreigner

Business Registration in Romania is a straightforward process, though it does involve several important steps. Here’s an overview of what’s involved:

1. Choose a Business Structure: The most common business entities are the Limited Liability Company (SRL) and Joint Stock Company (SA). The SRL is typically preferred for small to medium-sized businesses due to its lower share capital requirements and simple management structure.
2. Prepare the Incorporation Documents: You will need to draft and sign the company’s Articles of Incorporation and prepare other required documents, such as the office rental contract and declarations from the founders.
3. Submit the Application for Registration: After preparing the necessary documents, you will submit them to the National Trade Register Office (ONRC) for approval. This step includes providing identification details of shareholders, along with other relevant forms.
4. Get a Fiscal Identification Code: Once the registration is complete, your company will receive a fiscal identification code, which is necessary for tax purposes. While not required at registration, you may choose to apply for a VAT code as well.
5. Open a Bank Account: After registration, you will need to open a company bank account, with most Romanian banks requiring the company’s director to personally complete this step.

Depending on the nature of your business, you may also need additional permits or licenses before starting operations.

How Long Does it Take to Register a Company in Romania?

Business registration in Romania is typically quick, taking about 3 to 5 working days once all required documents are submitted to the ONRC. However, if additional permits are required, this process might take longer.

Costs Involved in Business Registration in Romania

The costs of opening a business can vary depending on several factors, such as the type of company and any legal or consultancy services you require. The basic costs include:

• Trade Registry Fees: 128 Lei for company registration.
• Share Capital: For an SRL, the minimum required share capital is just 1 Lei. For an SA, the minimum share capital is 90,000 Lei.
• Legal Fees: These fees will depend on the complexity of the registration process and additional services required.
• Other Costs: This may include document translation, office setup, and obtaining any required licenses.

Start Your Business in Romania Today

If you’re ready to start your business in Romania but need guidance through the registration process, Blaj Law is here to help. Our team of experienced professionals offers comprehensive legal support to ensure your business is set up smoothly and in compliance with all regulations. Contact us today to schedule a consultation and take the first step toward starting your company in Romania!