Currently we offers 2 types of s.r.o companies for establishing in the Czech Republic.

• Type 1 - a new s.r.o. company formation. After all the paperwork is properly notarised and submitted, it takes about ten days for the new entity to be put into the country's Commercial Register (Obchodní rejstřík).
• Type 2 - a new readymade s.r.o. company - purchase a ready made (shelf) company already registered in the country.

What are the main types of company in the Czech Republic?

There are four main kinds of business entity for foreign investors and they are as follows:

• limited liability company (SRO)
• joint stock company partnership (AS)
• partnership
• branch office

What are the main features of a limited liability (SRO) company?

• total share capital to be at least CZK 200,000 (€7,000), at least 50% paid up
• each shareholder to contribute minimum of CZK 20,000 (€700)
• an individual may be sole shareholder in no more than three SROs
• a reserve fund from profits to be built up to 10% of registered capital

What are the accounting/audit requirements for a limited liability (SRO) company?

• A statutory audit is mandatory if at least two of the following criteria are met:
• balance sheet exceeds CZK 40 million (€1.4 million)
• net turnover exceeds CZK 80 million (€2.8 million)
• number of employees exceeds 50

What are the main features of an (AS) joint stock company?

• minimum share capital CZK 2 million (€70,000)
• if via a public offering, minimum share capital CZK 20 million (€700,000)
• 30% of share capital to be paid up
• two-tier system comprising management and supervisory boards
• reserve fund from profits to be built up to 20% of registered capital

What are the accounting/audit requirements for an (AS) joint stock company?

• A statutory audit is mandatory if at least one of the following criteria is met:
• balance sheet exceeds CZK 40 million (€1.4 million)
• net turnover exceeds CZK 80 million (€2.8 million)
• number of employees exceeds 50

What are the main forms of partnership in the Czech Republic?

• There are two main kinds of partnership under Czech corporate law:
• general partnership (all partners have equal and unlimited liability)
• limited partnership (at least one partner has limited liability)

What are the main features of a branch office?

• branches are not separate legal entities, but part of a foreign parent
• branch manager may be Czech or foreign national
• branch requires trade license before it can be registered
• accounting records to be prepared in Czech language

How easy is it to recruit staff in the Czech Republic?

The unemployment rate in the Czech Republic is much lower than in neighboring Poland and Slovakia. Nonetheless it remains a pressing issue and if you are seeking to hire Czech staff, you should have no trouble finding well-educated and motivated applicants. Labor laws are complex, however. For advice on the best way forward, contact one of our recruitment specialists in Prague.

What is the regulatory environment like?

The Czech Republic has made strong progress in its efforts to liberalize the business environment. 85% of the economy is now in private hands, corporate tax was cut from 26% to 20% in 2009, and foreign investment, reflecting this trend, has soared. But there’s still plenty of red tape around, which is why it is essential to secure expert advice on legal and accounting issues.

Are there financial incentives available?

Czech authorities offer a wide range of financial incentives for foreign investors:

• new manufacturing investment: ten years’ full relief of corporate tax
• technology and business investment: the state pays up to 50% of costs
• substantial job-creation and training grants

And what about banking facilities?

Foreign investors are well served by an array of international and local banks now operating in the Czech Republic. It is worth noting, however, that setting up a corporate bank account can be a complex procedure. Make it simple – talk to us and we’ll arrange everything.

• The most common form of entity established for the purpose of good salary legal job or owning real-estate is a limited liability company. A limited liability company is known in the Czech Republic as a "Spolecnost S Rucenim Omezenim" (referred to as an "s.r.o".). MORE...
• Another option is a joint-stock company, known in the Czech Republic as an "Akciova Spolecnost" (referred to as an "a.s".). These forms of companies are generally only formed for real-estate for large investments with numerous investors. MORE...

• The majority of small to medium sized enterprises operate with a limited liability company, known in the Czech Republic as a "Spolecnost S Rucenim Omezenim" (referred to as an "s.r.o".)MORE...
• Larger businesses (eg. Public) operate with a joint-stock company, known in the Czech Republic as an "Akciova Spolecnost" (referred to as an "a.s".)MORE...

• If you have an offer of employment here in the Czech Republic, we can help you through the visa application process.
• If you wish to become self employed in the Czech Republic, we can help you obtain the trade licenses, work permit that are right for you.
• If you wish to establish a company in the Czech Republic, we can help you buy or form an S.R.O. and attach the correct trade licenses for your business.

• Visa for a stay over 90 days for the purpose of employment
• Visa for a stay over 90 days for the purpose of business
• Visa for a stay over 90 days for executive manager purposes
• Visa for a stay over 90 days for the purpose of family reunification
• Visa for a stay over 90 days for the purpose of study

• Visas and/or residency permits for the Czech Republic.
• We also help with applying for business licenses (zivnostensky list) with the relevant visas.
• We can help you purchase an S.R.O. and apply for the relevant visa and residency permits and visas for company owner/directors.
• The relevant documents for employees.
• Temporary or long term residence permits.