Fewer bureaucratic hurdles are proving both time and cost-effective for companies operating in Poland.
Foreign companies looking to expand in the Central and Eastern European regions have long seen the value in establishing operations in Poland – a developing economy in an advantageous geographical location on key transit routes, competitively priced services, and a young and highly educated workforce.
There is also the added benefit of Special Economic Zones, government initiatives, tax breaks and broader support from the European Union. However, Poland's rapid economic development has led to bureaucratic challenges for some state authorities and other organisations, as changing methods of data and information transmission demand the implementation of new systems and procedures.
One bureaucratic breakthrough has come about following legislative changes to Poland's Commercial Companies Code. These have reduced the regulatory and compliance burden for businesses, and contributed to Poland losing its title as the most complex European country for business compliance in the Global Benchmark Complexity Index.
A key outcome of the changes to the Companies Code, which includes fewer formalities and a more streamlined registration amendment procedure, is the time in which incorporation and registration activities take to complete. The reduction of at least one week coupled with a drop in relevant costs is seeing foreign companies get their operations off the ground much faster and more economically.
Further easing of bureaucratic pressure is anticipated through the ability to register a general partnership and limited partnership company online, via a standard contract available on the Polish Ministry of Justice's website.
While businesses operating in Poland began the new year facing new transfer pricing rules and the potential for increased inspections, it is positive to see the amended Companies Code lessen the red tape for those that wish to join the thriving local economy.
Need more information? Get in touch today.
Our experts in Katowice and Warsaw help companies meet Polish regulatory requirements and remain compliant, freeing them up to focus on their core business objectives.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
