The most common structure for establishing a business in Romania is a limited liability corporation. It can be registered with even a single client and RON 200 in investment. Considering that the responsibility of the investors regarding the firm’s obligations is restricted to their financial involvement.
There can be a limit of 50 shareholders in the Romanian LLC. The stockholders of the business may be either natural persons or commercial entities. This article has disclosed additional information regarding Romanian LLC and its registration process.
Registration
Owing to the many benefits that owners enjoy, such as the investor’s minimal responsibility, the LLC is a common approach to launching a commercial venture in Romania. This can be a huge benefit when starting an enterprise because it ensures that an entrepreneur will face just several uncertainties. They will only be held accountable for the level of their financial involvement.
As long as all the paperwork is prepared in compliance with the specifications, the business can be created in just three days, saving time and money throughout the formation process.
The following credentials are among the primary ones needed to begin the precise steps for forming a firm. These papers will be included in the firm incorporation record presented to the Commercial Registrar’s Office:
- Request form;
- Registered or booked name;
- Articles of association;
- Accounting records;
- Location of the company;
- Detail about the owners;
- Power of attorney; and
- Deposited feeling.
Registration requirement
The following regulations must be abided by while creating an LLC in Romania and registering it.
Shares
To create an LLC, a least one stakeholder is needed. There can be a limit of 50 stockholders. An investor could be an overseas national who resides abroad. Investors may be natural persons or corporate bodies, but each limited liability firm may only have one stakeholder at any given time.
Minimum Capital
The present minimal investment requirement is 45 euros. 200 RON must be at least part of the stated basic allowed capital. The worth of each issued share is at least 10 RON. LLCs can choose to offer shares or social components. Shares of an LLC may not be pledged as security for the credit.
Directors
More than one director may oversee the LLC. The identities of the elected governors should be given in the constitution of the corporation. Or, they could be chosen via a general conference of investors.
Name
An LLC’s name cannot be the same as that of another Romanian business. Before filing, the Trade Registration Department may reserve a corporate name. Each firm shall have the words “Limited Liability Company” or the initials “LLC” at the end of its name.
Location
Every LLC is required to keep a regional certified physical workplace address; a P.O. Box is not acceptable. This is because Romania needs a real office address to deliver legal notifications.
Accounting
There must be an accountant appointed if the firm has more than 15 investors. Not every LCC must undertake an audit because it may be mandated by law or specific kinds of corporate activity.
Taxes
The standard business tax rate in Romania is 16%. Furthermore, the VAT in the country is a standard of 19%. It is a requirement for all businesses operating in Romania to register for a VAT identity.
Annual general meetings
A yearly general conference of shareholders is required for LLCs. At least three-quarters of the total number of units must be present for a majority to exist. Resolutions may be adopted by a simple majority.
The business’s formation papers, including the decision of the supervisor permitting the company’s operations and the incorporation record, will be issued in around 3 days.
