Business entities in Slovakia

Business entities in Slovakia

Healy Consultants continues to provide our Clients with the optimum corporate structures fit for doing business in Slovak Republic. There are several ways of doing business in Slovakia, the most common is setting up of a limited liability company (SRO). Entrepreneurs may also opt to establish a public limited company (SA). Foreign legal entities also have an option of setting up a branch office or a representative office in Slovakia.

The Slovakia limited liability company (SRO)

    Slovakia's different business entity types
  • The Slovakia limited liability company (LLC) is the most common business entity preferred by entrepreneurs looking to setup SMEs in Slovak Republic. A Slovak LLC can be incorporated by at least 1 director and shareholder who can either be an individual or a corporate body. The director and shareholder can be of any nationality and resident of any country. The minimum registered share capital required to start an LLC is €5,000, 50% of which must be paid up at incorporation;
  • An LLC may only be subject to statutory audit if it satisfies two of the following conditions, i) its annual net turnover exceeds €2 million ii) its total assets exceed €1 million and iii) it has more than 30 employees.

The Slovakia joint stock company (AS)

  • While the Slovakian JSC can be either private or public, it is commonly used by entrepreneurs to register the entity on the Bratislava Stock Exchange. This business entity can be established by a single director and shareholder, who need not be Slovak nationals or residents. Furthermore, this Slovakia business setup requires a minimum share capital of €25,000;
  • Just like the Slovak LLC, a JSC may only be subject to statutory audit if it meets either two of the following conditions, i) its annual net turnover exceeds €2 million ii) its total assets exceed €1 million iii) has more than 30 employees. Such audit is however mandatory when the company is listed on a stock exchange;
  • At incorporation, a Slovak JSC must set up a reserve fund of at least 10% of the company’s share capital.

The Slovakia branch

  • The Slovakian law permits foreign legal entities to setup branch offices in Slovak Republic. The branch is allowed to conduct profit making activities like any other legal entity in Slovakia although it has to fully indicate its planned activities at incorporation;
  • The branch must appoint at least one office manager to oversee the company’s operations in Slovakia. While, the manager may be of any nationality, he/she must either be resident in either Slovakia or the EU or any of the OECD countries.

Comparison table between Slovakia business entities

 LLCJSCBranch office
Business entity also known asSROASBranch
How long to set the company up?2 weeks7 weeks6 weeks
How long to open company bank account?4 weeks4 weeks4 weeks
Legal liability?LimitedLimitedUnlimited
Wholly foreign owned?YesYesYes
Minimum share capital?€5,000€25,000€0
File annual tax return?YesYesYes
Tax registration certificate required?YesYesYes
Recommended corporate bank account?Raiffeisen BankUniCredit BankSberbank
Does our Client need to travel?NoNoNo
Resident director required?NoNoNo
Resident shareholder required?NoNoNo
Minimum directors allowed?111
Minimum shareholders?111
Tax identification code (TIN) needed?YesYesYes
Slovakia resident officer manager required?NoNoYes
Corporate shareholders allowed?YesYesYes
Corporate director(s) allowed?YesYesNo
Slovakia corporate tax rate?22%22%22%
Annual financial statements required?YesYesYes
Statutory audit required?NoNoNo
Regulated by?Ministry of Justice of the Slovak RepublicMinistry of Justice of the Slovak RepublicMinistry of Justice of the Slovak Republic
Allowed to issue sales invoices?YesYesYes
Allowed to sign contracts?YesYesYes
Allowed to import and export goods?YesYesYes
Can rent an office space in Slovakia?YesYesYes
Can buy Slovakia property?YesYesYes
Can own equity in other Slovakia companies?YesYesYes
Total Slovakia business setup costs in Yr. 1€7,750€9,200€9,090
Subsequent annual costs (incl. accounting and tax fee)€4,250€4,990€4,990
Sample engagement invoiceSlovakia LLC invoiceSlovakia JSC invoiceSlovakia branch invoice

Contact us

For additional information on our business setup services in Slovakia, please email us at email@healyconsultants.com. Alternatively please contact our in-house country expert, Ms. Olivia Stanciu, directly:
client relationship officer - Olivia
Slovak Chamber of Commerce and Industry Government of the Slovak Republic MInistry of Finance of the Slovak Republic Ministry of Foreign and European Affairs of the Slovak Republic Slovak Investment and Trade Development Agency Narodna Banka Slovenska