Opening of the company in Austria

GLS Law Company Services: Opening a Company in Austria

If you wish to open a company in a highly developed European country, we recommend considering Austria. Here, you can count on a stable economy, making the country deservedly an attractive place to open a firm. Leave an application on the GLS Law Company website if you want to register a company in Austria.

Why We Recommend Opening a Firm in Austria

Business registration in this country has several advantages:

• The jurisdiction has a good reputation and is not included in offshore lists.
• Thanks to its geographical location, Austria provides access to the large European Union market.
• Deciding to open a business in Austria, you will not need to hire residents.
• The state has double taxation avoidance agreements with a large number of other countries.
• It’s easy for a company to open accounts in local banks, known for their stability.
• Opening a business in Austria allows company owners to apply for a residence permit, and later — citizenship of this European country.

Opening a Company in Austria: Legal Forms

There are many organizational and legal forms in which you can open a company in Austria, such as:

• Partnerships with limited and unlimited liability.
• Public limited companies.
• Joint-stock company (AG).
• Limited liability company (GmbH).
• Sole proprietorship.
• Private limited company.

AG and GmbH are particularly popular because they provide entrepreneurs with the broadest possibilities.

Business Registration in Austria: Features of Opening an AG

Main information regarding the registration of a joint-stock company:

• The share capital – 70,000 euros. It needs to be fully paid at the time of company registration.
• Both bearer and registered shares are allowed. The value of securities can be 1 euro.
• At least 1 board member is required, only a physical person. The company registration service in Austria requires a supervisory board in the structure. It elects the board for a term of up to 5 years.
• At least 1 shareholder is needed (physical or legal person).
• No requirements for a secretary.
• Information about shareholders and directors is public.
• Company registration in Austria entails that the company will hold annual shareholder meetings.
• Small firms do not need to undergo an audit. However, the rest of the companies must prepare annual financial reports.

Business Registration in Austria: Features of Opening a GmbH

Main information regarding opening a limited liability company:

• The share capital – 35,000 euros. Half of this amount needs to be contributed at the time of opening the firm.
• The minimum share size is 70 euros.
• At least 1 director is needed, who is a physical person. The executive body must be located in Austria. Otherwise, the firm will not be considered resident, i.e., it will not be able to use the double taxation avoidance agreement.
• Founders — at least 1 GmbH member (physical or legal person).
• No requirements for a secretary.
• Information about shareholders and directors is public.
• All organizations must keep and annually prepare financial reports. Regular audits are required (except for small companies).

Taxation and Company Registration in Austria

Resident companies pay tax on their entire global income, while non-residents — only on income sourced in Austria. The following tax rates apply:

• Profit tax – 25%.
• VAT – 20%. A reduced rate (10%) applies to food products, rental, tourism, and agricultural goods.
• Corporate tax – 500 euros + 20% VAT.
• Income source tax varies from 0% to 25% depending on several factors. Consult our experts for advice on this matter.

Registering a Business in Austria: How to Order the Service

If you are interested in registering firms in Austria at attractive prices, turn to GLS Law Company services. To do this, leave an application on the website or contact our experts by phone.