In Poland, there are two types of Joint Stock entities
: a Joint Stock Partnership and Joint-Stock Company. The first one refers to a partnership created in order to run a business under its own name. The minimum share capital should be of at least PLN 50.000, and at least one of the partners must be fully liable for the company’s liabilities to creditors. Another condition is that at least one partner has to be a shareholder.
A Joint Stock Company
, on the other hand, is a limited company and its shareholders are not liable for the company’s liabilities, because the company itself is liable with its assets. In this case, the minimum share capital of the Joint Stock Company in Poland
is PLN 100 000. It is established in order to operate business on a large scale and capital may be obtained with issuance of shares. This type of company can be established by one or more persons, and it is viewed as a legal entity. In comparison to a Limited Liability Company
, a Joint-Stock one has a more formal procedure and more expensive setup costs
Company and shareholders liability of a joint stock company in Poland
When it comes to liability, a Joint Stock Company in Poland is liable for its debts and obligations without limitations. However, the shareholders of the company are not liable for the company’s obligations. As for the formation, such company is made of the following bodies: Management Board, General Assembly and the Supervisory Board.
How to open a joint stock company and needed documents
In order to open a Joint Stock Company in Poland
, one must sign and notarize the Articles of Association of the company. In regards to the documents needed, the procedure is rather complicated, therefore do not hesitate to contact our Polish attorneys
if you are in need of assistance in opening this type of company.
Extracts from the Trade Register where the foreign corporate entity is based are among the documents needed, and they must show the current status of the shareholders. In addition, it is also necessary to present the Articles of Association of the foreign shareholders, as well as the decision of the foreign corporate entity.
Procedure duration for opening a joint-stock company in Poland
Due to the special structure of such company as well as the organizational bodies, it could take a while before agreeing on a final version of the Articles of Association of the Joint Stock. There are special cases in which it can take two months instead of one month, the normal time frame for setting up a Joint Stock in Poland
. In addition, a foreign investor is obligated to register with the cantonal Statistical Office besides the Polish Trade Register, as well as notifying authorities such as Labor Inspection, the Social Security Office and so on, procedure that can take aproximately 7 days. Our law firm in Poland
has extensive expertise in setting up joint stock etities