How to establish a Branch in Poland?

5 years ago admin Comments Off on How to establish a Branch in Poland?

Foreign companies may lead their business in Poland in the form of a branch or representative office. According to the polish law most of the foreign entities may undertake and conduct economic activity on the same terms as Polish entities.

Branch operates under the same name as the mother company however in a different place. The branch is not a completely separate entity. It is basically an extension of the main company registered in another country.

Branch of a foreign company in Poland seems to be a good alternative to create a subsidiary. One of the main reasons is the cost of creating a branch, which is smaller than in the case of establishment of the new subsidiary company. This is because the foreign company has no obligation to bring additional capital and does not cover costs related to the preparation of an articles of association.

When planning to establish a branch in Poland please note that the branch can do business in Poland only in scope of the mother company activity.

The branch must be established by a person authorized to represent the foreign company.
What is more the branch name must consist of the original name of the foreign company with a Polish translation of the name and its legal form with a suffix “a branch in Poland”. The branch must be registered in Polish Commercial Court.

The registration process does not require the presence of foreign company representatives providing that they appointed an attorney in Poland. The branch registration will also require to appoint at least one person who will be entitled to represent a foreign company in the Branch.

After registration the branch may operate in Poland and employ employees.

Beside the branch, a foreign company may operate in Poland directly by registering a representative office that is designed only for advertisement and promotion of a foreign company goods or services.