How to open a branch of a Ukrainian company in Poland: legal consultation

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How to open a branch of a Ukrainian company in Poland: legal consultation

Expanding business abroad is an important step for many Ukrainian entrepreneurs. Poland, as a close neighbor and member of the European Union, is often the first choice for such expansion. However, the process of opening a branch in another country can be complicated and require professional legal support. In this article, we will look at the main aspects of opening a branch of a Ukrainian company in Poland and the importance of engaging qualified lawyers to successfully complete this process.

What is a branch and how it differs from a subsidiary?

Before starting the process of opening a branch, it is important to understand how it differs from a subsidiary. A branch is a structural unit of the parent company that does not have the status of a separate legal entity. It acts on behalf and in the interests of the parent company, using its name.

The main differences between a branch and a subsidiary are:

1. A branch does not have its own authorized capital.
2. A branch cannot independently enter into contracts on its own behalf.
3. The parent company is responsible for the activities of the branch.
4. The branch does not have its own balance sheet; its financial results are included in the parent company's financial statements.

Understanding these features will help you determine whether opening a branch is the best solution for your business. To get detailed advice on the choice between a branch and a subsidiary, you should apply for a lawyer's consultation service or a lawyer's advice service.

Legal requirements for opening a branch in Poland

Opening a branch of a Ukrainian company in Poland requires a number of legal procedures and obtaining the necessary permits. This process can be quite complicated for those who are not familiar with Polish law. That is why the service of a lawyer in Poland or a lawyer in Warsaw becomes indispensable for Ukrainian entrepreneurs.

The main stages of opening a branch in Poland:

1. Preparation of the necessary documents by a Ukrainian company.
2. Translation and verification of documents by a lawyer.
3. Registration of the branch in the National Court Register of Poland (KRS).
4. Obtaining a REGON identification number and a NIP tax number.
5. Opening a bank account for the branch.

To successfully complete each of these stages, we recommend using the legal analysis of the documents or the legal analysis of a situation service. This will help to avoid mistakes and delays in the registration process.

Documents required for registration of a branch

Preparing and submitting properly executed documents is a key step in the process of opening a branch. Incorrectly prepared documents may result in a refusal to register or significant delays.

List of the main documents required for branch registration:

• Constituent documents of the parent company
• Decision to establish a branch in Poland
• Power of attorney for the branch representative
• Application for registration in the National Court Register (KRS)
• Confirmation of the address of the branch in Poland

The service verification of documents by a lawyer by a lawyer will help to ensure that all documents comply with the requirements of Polish law. In addition, the service of legal opinion of a lawyer can provide additional confidence in the correctness of the prepared documents.

Peculiarities of taxation of a branch in Poland

Understanding the taxation system of a foreign company's branch in Poland is critical to the success of your business. Polish tax legislation has its own peculiarities that must be taken into account when planning the activities of a branch.

The main aspects of taxation of a branch in Poland:

1. The branch is subject to corporate income tax.
2. The need to maintain separate tax accounting for a branch.
3. The possibility of applying the double taxation treaty between Ukraine and Poland.
4. Obligatory registration for payment of value added tax (VAT) upon reaching a certain turnover.

In order to properly organize tax accounting and minimize tax risks, we recommend using the service of legal analysis of a situation or the service of legal opinion. This will help you develop an optimal taxation strategy for your branch.

Employment relations and hiring staff for the branch

Opening a branch in Poland often involves hiring local staff. It is important to comply with Polish labor law, which has its own peculiarities compared to Ukrainian law.

Key aspects of labor relations in a Polish branch:

The need to conclude employment contracts in accordance with Polish law

Compliance with minimum standards of remuneration and social guarantees

Consideration of peculiarities of employment of foreigners, including citizens of Ukraine

Organization of social and health insurance for employees

In order to properly formalize labor relations and avoid potential conflicts with employees or regulatory authorities, it is worth applying for a legal analysis of the documents or a legal opinion. This will allow you to develop correct employment contracts and internal regulations of the branch.

Protection of intellectual property and trade secrets

When opening a branch in Poland, it is important to take care of the protection of your company's intellectual property and trade secrets. This is especially important for businesses that work with innovative technologies or have unique business models.

Steps to protect intellectual property and trade secrets:

1. Registration of trademarks and patents in Poland.
2. Drafting non-disclosure agreements for employees of the branch office.
3. Implementation of internal policies to protect confidential information.
4. Monitoring possible violations of intellectual property rights in the Polish market.

To effectively protect your intangible assets, we recommend using the service of a legal opinion of a lawyer or the service of legal analysis of a situation. This will help you develop a comprehensive strategy for protecting your company's intellectual property in Poland.

Financial reporting and audit of the branch

Financial reporting and auditing are mandatory requirements for branches of foreign companies in Poland. This is not only a legal requirement, but also an important tool for the parent company to control the activities of the branch.

The main aspects of financial statements and audit of a branch are:

1. Accounting in accordance with Polish standards.
2. Preparation and submission of annual financial statements.
3. Conducting a statutory audit (under certain conditions).
4. Consolidation of the financial statements of the branch with the parent company.

To ensure that the financial statements comply with the requirements of Polish law and international standards, it is recommended to use the service of legal analysis of the documents or the service of legal opinion. This will help to avoid reporting errors and potential problems with regulatory authorities.