Register an IT firm in Poland from India: Benefits & Costs

In today’s interconnected world, expanding your business internationally has become more feasible than ever before. Poland is becoming a major participant in the European Union’s tech scene, and Indian businesspeople are becoming more interested in entering this thriving market to launch their IT companies. Registering an IT firm in Poland from India offers a gateway to tapping into the European market, favourable business conditions, and a skilled workforce. 

In this guide, we’ll explore the requirements, processes, benefits, and costs associated with setting up an IT firm in Poland from India.

Why Choose Poland for Your IT Firm?

Poland’s Robust Tech Ecosystem

Poland is now recognized as Europe’s centre for technological innovation. Startups and well-established tech enterprises are drawn to cities with robust tech ecosystems, including Warsaw, Krakow, and Wroclaw. Indian entrepreneurs wishing to expand internationally will find the nation’s competent labour, supportive legislation, and strong infrastructure to be ideal.

Strategic Location

Poland, which is strategically located at the meeting point of Eastern and Western Europe, provides access to the EU market, which is home to more than 450 million people. Its attractiveness as a business destination is further enhanced by its close proximity to important European cities and well-developed transit networks.

Requirements to Register an IT Firm in Poland from India

Prior to beginning the method, it’s critical to comprehend the requirements for registering an IT firm in Poland from India:

Legal Entity

To operate a business in Poland, you’ll need to establish a legal entity. Common choices include a limited liability company (Sp. z o.o.), a joint-stock company (S.A.), or a branch office.

Share Capital

For a limited liability company, a minimum share capital of PLN 5,000  is required, while a joint-stock company requires at least PLN 100,000.

Registered Address

Your IT firm must have a registered address in Poland, which may be either an actual office space or a virtual office.

Tax Registration

In order to pay Value Added Tax (VAT) in Poland, you must register for VAT and get a Tax Identification Number (NIP).

How to Register an IT Firm in Poland from India?

Choose a Business Structure

Choosing the appropriate business structure is essential. Consider factors such as administrative requirements, liabilities, and taxes. A limited liability company (Sp. z o.o.) is often preferred for its simplicity and limited liability protection.

Prepare Documentation

Obtain the required paperwork, such as copies of your passport, your proof of address, your association’s articles, and a power of attorney if you are designating a representative.

Register with the National Court Register (KRS)

Get a KRS number—which is necessary for legal recognition—by submitting your business’s documentation to the National Court Register.

Acquire Required Permits and Licenses

Depending on your IT firm’s activities, you might have to acquire particular licenses or permits from regulatory bodies.

Create a Bank Account

Once your company is registered, create a business bank account in Poland to facilitate financial transactions.

Types of Business Structures for Setting Up an IT Firm in Poland for Indian Investors

Limited Liability Company (Sp. z o.o.)

A well-liked option for small to medium-sized enterprises, granting flexible ownership and limited liability protection.

Joint-Stock Company (S.A.)

Ideal for larger companies seeking to obtain capital through IPOs. It demands more stringent regulatory compliance as well as a greater minimum share capital.

Branch Office

A branch office in Poland permits international businesses to create a presence in Poland without creating a new legal company. The parent business is still entirely liable for the actions of the branch.

Benefits of Setting Up an IT Firm in Poland for Indian Investors

The Polish IT sector offers a multitude of advantages for Indian investors, including:

• Thriving IT Ecosystem: Poland has a well-established IT infrastructure and a large pool of highly skilled and experienced IT professionals.
• Cost-Effectiveness: Poland gives developers and other IT workers competitive salaries when compared to Western Europe, which lowers operating costs.
• EU Market Access: A Polish IT company makes it simple to enter the sizable European Union market, creating avenues for growth and the acquisition of new clients.
• Government Incentives: By providing tax exemptions, grants, and other benefits to international investors, the Polish government aggressively promotes the IT industry.
• Strategic Location: Poland’s advantageous geographic location in Central Europe allows for easy logistical access to the entire continent.

Costs for Starting an IT Firm in Poland for Indian Entrepreneurs

• Registration Fees: The costs associated with registering a company in Poland include notary fees, court registration fees, and administrative charges, which can vary depending on the business structure chosen.
• Share Capital: A joint-stock company needs a minimum of PLN 100,000 to be established, whereas a limited liability corporation needs a minimum share capital of PLN 5,000.
• Operational Expenses: Include recurring operating expenditures like as electricity, office rent, payroll, taxes, and compliance fees.

Conclusion

Registering an IT firm in Poland from India opens up a world of opportunities for ambitious entrepreneurs seeking to expand their horizons. With its vibrant tech ecosystem, strategic location, and investor-friendly policies, Poland provides an ideal launchpad for Indian investors looking to scale their IT businesses in Europe.

Our area of expertise at OnDemand International is helping international business owners incorporate their companies in Poland. With our expertise and efficient processes, we can help you establish your IT firm in Poland within two to four weeks, ensuring a hassle-free experience. Get in touch with us right now to embark on your journey towards business success in Poland.