Opening a business abroad by foreigners is a common practice. However, this decision raises many questions about what form of business to choose and what documents will be required to prepare and register their businesses. In the example of the Czech Republic, we will consider the conditions for starting a business by Ukrainian citizens in the above country.
It should be noted that the conditions for starting a business in the Czech Republic are almost the same, both for citizens of the country and for foreigners, particularly for Ukrainian citizens .
If a Ukrainian citizen is a temporarily displaced person and has a temporary protection visa, such person may become a private entrepreneur in the Czech Republic. Among the necessary documents, it is worth noting a document that identifies a person with a temporary protection visa, as well as an address registration, the proof of no criminal record. In addition, future entrepreneurs will have to pay an administrative fee of about EUR 40. After this stage, they will be able to fill in the application for registration . Ukrainian citizens who have previously lived in the Czech Republic can also apply to become private entrepreneurs if they have other reasons to stay in the country with appropriate visas (such reasons may include study, family reunification, work, etc.), or have already received permanent residence in the Czech Republic .
As for a limited liability company, in the Czech Republic, such type of a company can have only one founder. First of all, the future founder should determine the scope of activities and choose the company’s original name, as well as the division of powers and the authorized capital (it could be started from CZK 1, but the recommended amount is about EUR 4000). It should be noted that the registration takes place at a notary. The company must be registered in the Trade Licensing Office. Consequently, the founder will need to open a temporary account in a bank with authorized capital, and after the approval by the Municipal Court, the temporary account will be closed, and the constant business account will be opened. After that, all necessary documents must be submitted to the Municipal Court. The next step is to register the company in the Tax Service .
What documents are needed to register a company in the Czech Republic?
- The copies of the passports of all founders and directors.
- The proof of no criminal record in Ukraine and the Czech Republic.
- The statements of directors agreeing to enter them in the Trade Register.
- A consent of the premises owner for registration of the legal address.
- A request for registration in the Trade Register. Notarization of the signature.
- An application for payment of the amount of authorized capital.
- A list of statutory activities of the company .
Another necessary step is to open a business account in one of the Czech Republic’s banks. Today we will consider what documents will be needed for opening a business account at Moneta Money Bank and Raiffeisenbank in the Czech Republic.
The necessary documents for the self-employed person at Moneta Money Bank are two identity documents of the founders, an ID number (an international passport or the Czech residence permit), as well as a trade license or a concession document, or a document giving the right to do business . There are two identity documents for the legal entity and an extract from the Commercial Register or another legal document confirming the legal entity . Moreover, all foreign documents have to be translated into the Czech language .
The necessary documents for private entrepreneurs at Raiffeisenbank in the Czech Republic are an ID card or a passport. Legal entities should provide an extract from the company’s register (it must not be older than six weeks, notarized, apostilled, and officially translated by an interpreter from the chamber of court-approved interpreters from this list: The Chamber of Court Appointed Interpreters and Translators of the Czech Republic (kstcr.cz). Moreover, this document must contain a legal form, a registered office address, a date of establishment, a statutory person, and an identification number .
- The information was provided by Moneta Money Bank as part of a personal consultation.
- The information was provided by Raiffeisenbank in the Czech Republic as part of a personal consultation.