Austria offers everyone stability and attractive tax conditions. If you want to start a business there and at the same time avoid paying the planned Slovak transaction tax, it is worth considering setting up an Austrian limited liability company. How to do it, you will learn in this blog.
Gesellschaft mit beschränkter Haftung (GmbH) is the most popular form of limited liability company in Austria because it offers many advantages. However, its establishment requires strict compliance with local legislation.
Choosing a business name has strict rules
The minimum share capital of a GmbH is €10,000, with at least half (€5,000) to be paid up upon incorporation. The name of the company is subject to strict rules. For example, if you want to use the “Austria” addendum, you have to meet specific requirements. The Austrian Commercial Register will not register such a name as easily as it does for geographical additions in business names in Slovakia. Therefore, you should consult with experts beforehand in order to avoid unnecessary complications.
Watch out for regulated trades
The division of Austrian free and regulated trades differs from the division applicable in Slovakia. Differences may therefore arise from one activity to another, which should be considered in advance. For example, construction work, which is basically a free trade in Slovakia, is a regulated trade in Austria and requires proof of education or experience. If your company is to carry out regulated activities, it may take several months for the responsible representative’s professional qualifications to be recognised. However, our team of experts can also help you solve such a problem.
It may take time to access your account
If you are already clear on all the details of your company, including its registered office, you need to sign the articles of association with an Austrian notary public. You then pay the share capital into the company’s bank account. However, opening an account for a company with foreign interest can be complicated in some banks, so please allow for extra time.
After registration in the commercial register, you still have to declare the trades you want to carry out to the relevant authority. You can also do this electronically and, once you have registered your trade, you can look up your company and trade licences in the Austrian GISA system. Of course, you must then register the company with the tax office and keep your accounts in accordance with Austrian legislation.
ProfiDeCon has a team of experts who will safely guide you through the entire process of setting up an Austrian GmbH. We have been helping Slovak entrepreneurs abroad for more than 10 years. We will be happy to help you, too!