The United Kingdom’s withdrawal from the European Union starting with 31 January 2020 has changed the manned in which companies in the Kingdom do business with other EU companies. New rules are in place for imports and exports as well as tariffs and hiring foreign staff.
In light of the new changes, some company owners have decided to move their company. Those who chose to relocate the UK company to Poland after Brexit have found that this European country offers various advantages for businesses.
The lower business costs as well as access to talented and efficient workforce have been long-standing reasons why foreign investors choose to open a company in Poland. The country offers clear advantages not only for newly incorporated legal entities, but also for companies that relocate or transfer here. Essentially, a UK business relocated to Poland can retain its business form as well as its management structure and employees (as applicable), however, it will function as per the accounting and taxation requirements applicable to Polish legal entities.
Our Polish company formation agents
highlight the main steps needed to relocate your UK company to Poland after Brexit and can provide personalized assistance to investors who are ready to take this step.
Steps for company relocation in Poland
Company formation in Poland is a simplified process and one that can be outlined in a few main steps. The documents for creating a new company are submitted in Polish, however, UK investors do not need to concern themselves with these submissions and the required translations when working with our team.
The main steps to open a company in Poland in order to relocate an existing business are the following:
Choose the business form
: this should match the one of the UK company; for example, the private limited liability company is the equivalent of the Polish Sp.z.o.o.;
Choose the name: ideally, the UK company retains its name as this will help it do business seamlessly; the company name needs to be checked for availability in Poland;
Prepare the documents: these are the Articles of Association, the ones that state the type of business, the sector in which it activates, ownership and management;
Register and license: the company is registered with the Polish National Court Register and then registered for VAT purposes as well as for obtaining other special licenses for the targeted business sector.
If you are unsure of the visa and residency requirements for UK investors in Poland after Brexit under the Withdrawal Agreement, our team can help you with information on the amount of time you are permitted to remain in the country to conclude the needed steps for incorporation. As needed, we can act on your behalf through a power of attorney to handle part of the required steps to open a company in Poland
Key facts about running a company in Poland
Poland is home to many multinational companies in various business fields. Some of the main reasons why large companies have already outsourced part of their operations, even before Brexit, include the reasonable costs for doing business, the relatively low employment costs and access to talented workforce as well as the good location within Europe are the main reasons why Poland is attractive for company relocation.
Foreign investors from the United Kingdom can read below a list of the main taxes for Polish companies:
- - Corporate income tax: 19% for most companies and 9% for small taxpayers and companies that are just starting their activities; our Polish company formation team can give you more details;
- - Value Added Tax: a standard rate of 23% followed by reduced rates of 8% and 5%; some types of services are zero-rated;
- - Real Estate Tax: 0.90 PLN/m2 for land associated with conducting a business activity and 23.13 PLN/m2 for buildings intended for the conduct of business; this is the maximum real estate tax that can apply for these two purposes and our agents can provide more details as needed;
- - Others: the withholding tax in Poland is between 19% and 20%; other taxes include the donations tax as well as the agricultural tax and the forestry tax.
The Polish Investment and Trade Agency
supports the inflow of foreign capital into the country and strives to increase Polish exports through its projects (such as those that target small and medium-sized businesses). Our team of company formation agents in Poland
can provide you with more details with information about the available support.
You can contact us
if you are looking to relocate your UK company to Poland after Brexit