Russia corporate bank account
Healy Consultants Group PLC will be pleased to assist our Clients with the opening of a corporate bank account in Russia. Our experienced corporate banking division will prepare the requisite due diligence documentation and submit them to our Client’s preferred bank in Russia. Kindly find below a detailed guide regarding various banking options available in Russia and Healy Consultants Group PLC’s services in this regard.
Russia corporate banking options
- Russia’s banking sector grew significantly in the past decade with current revenues of the largest banking group – Sberbank reaching US$6 billion (RUB 362 billion). This being said, 2015 began with destabilization of the Russian financial system due to two major factors, including i) the economic sanctions levied by the United States and the European Union, and ii) the fall in oil prices from US$115 per barrel in June 2014 to US$49 per barrel in January 2015;
- Most of the commercial banking institutions in the country are state-owned with most international banks not having a sizable presence in the country. Reputable Russian banks with quality corporate banking facilities include i) Sberbank, ii) VTB and iii) Alfabank. Healy Consultants Group PLC often recommends our Clients to use Russian local banks, as most of them i) offer at par online banking services in English and ii) do not have high due diligence requirements. Consequently, many of our Clients may choose to open a bank account with a local bank. Healy Consultants Group PLC recommends either Sberbank or VTB as the preferred local institution;
- Alternatively, Healy Consultants Group PLC can open a corporate bank account for our Clients with international banking groups, including i) ING Russia, ii) Citibank Russia and iii) HSBC Russia;
- Healy Consultants Group PLC always recommends our foreign Clients to open their corporate bank account with a bank with which they have a prior banking relationship in another country, thus reducing i) the total time required to open the bank account and ii) the bank’s requirements for our Client’s due diligence check.
Corporate banking services of Healy Consultants Group PLC Russia
- Please find below a detailed process of opening a bank account and the corresponding Healy Consultants Group PLC’s services:
- Our experts will be pleased to assist our Clients with the process of opening a corporate bank account in Russia. It is a time-consuming task; however, Healy Consultants Group PLC will shelter our Client from all administrative issues. Unfortunately, all bank signatories must have a face-to-face meeting with a bank officer either at the bank or at our Moscow affiliate office. During this meeting, the bank officer will certify the signature of the signatory.
- Following bank account approval, the Russian bank will directly and independently email our Client with their corporate bank account number;
- Healy Consultants Group PLC will be pleased to assist our Clients with obtaining financial support for their projects in the country. Please read below for further information:
- Healy Consultants Group PLC will be happy to aid our Clients in obtaining additional corporate finance in the form of a business loan, credit card overdraft or extended credit lines. Please contact our dedicated Russia relationship officer for inquiries regarding these services and related fees;
- Russian banks will consider providing funds to finance investment or export finance projects, provided sufficient due diligence is submitted. Local banks often require the following documentation to consider an application, including: i) industry specific business-plan, ii) availability of collateral assets, iii) qualification and experience of business owners and management, iv) audited financial statements of last 3 years and v) a detailed review of the project’s strength, weaknesses, opportunities and threats (SWOT matrix);
- Our in-house financial advisor will also be happy to provide our Clients with further assistance to secure trade finance services including i) bank guarantees, ii) letters of credit, iii) finance against trust receipt (for imported goods) and iv) document against payment and against acceptance.
Opening a corporate bank account in the Russian Federation
- To proceed with the process of opening a corporate bank account on our Client’s behalf, Healy Consultants Group PLC will advance as below:
- Before setting up a business in Russia, Healy Consultants Group PLC will help our Client to take a decision between opting for a corporate bank account with a local bank or an international bank;
- As a next step, the exact corporate structure is agreed upon with our Client, according to Russian Company Laws;
- Healy Consultants Group PLC notarizes the signatures on the registration application with Russian Notary Public and prepares company deeds and articles of association for the Russia company formation;
- Healy Consultants Group PLC successfully registers our Client’s company with the unified register at the Federal Tax Service to obtain the single number for state registration and federal tax registration, required for corporate bank account setup;
- Our Client meets the bank officer and completes all the procedures required for opening the bank account;
- Once the corporate bank account is approved, Healy Consultants Group PLC emails our Client the bank account details;
- Our Client then proceeds to transfer the share capital to the Russian corporate bank account.
Exchange controls and other regulation
- Despite the sanctions imposed by the European Union and the United States to hundreds of individuals for asset freezing and capital repartition lockdown, the Russian Federation boasts liberal foreign exchange controls. However, it is still challenging to get approval from the Central Bank to transfer the funds outside of Russia;
- Both residents and non-residents in Russia are allowed to open bank accounts in foreign currencies, including €, US$ and Ruble. There are no restrictions on the amount of foreign currency that residents may hold in their bank accounts.