Tuesday, 30 November 2021 15:23

Legal forms of companies in Romania

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Romania has managed to achieve a minor economic miracle in recent years, sweeping away the remnants of socialist planning and transforming itself into a model of free market reform.

As a member of the EU, and with a GDP that is advancing at a rate of more than 5% per year, Romania is one of the most promising places in Europe for foreign investors.  For many, however, it is unfamiliar territory, which is why we recommend you seek initial advice if you are considering incorporating a company in Romania. For more information about setting up a company in Romania visit https://CompanyRomania.com

What are the most common corporate forms in Romania?

  • The two most popular corporate forms in the incorporation of companies in Romania are the following:
  • Limited Liability Company (LLC)
  • Joint Stock Company (SA)

How much is the share capital required for a limited liability company (LLC)?

The minimum share capital for an LLC company is as low as 50 Euros, provided that the company has no more than fifty partners.

What are the other key characteristics of a limited liability company (LLC)?

  • It must have at least one owner
  • Shareholders can be Romanian or foreigners.
  • Minimum administrative and accounting requirements.

How much share capital is required for a joint stock company (S.A.)?

The minimum share capital for a joint stock company (SA) is 25.000 Euro of which at least 30% must be paid up.

What are the characteristics of a Public Limited Company (SA)?

  • Mandatory format if the company is involved in banking or insurance.
  • A minimum of five shareholders and a director.
  • Three supervisors

What other types of Romanian company are there?

The other main forms of Romanian company are:

  • Partnership (Civil Company)
  • Branch
  • Representative office