The costs of setting up a business
When starting a business, an entrepreneur must take into account not only the necessary formalities, but also bearing some initial costs. Even though starting a business is completely free, other costs can be relatively high. Check what are the costs of starting a business!
The first step - company registration on the CEIDG-1 application
The first step in the process of setting up a company is its proper registration. A sole proprietorship or civil partnership is registered on the CEIDG-1 registration form. The very registration of a company in CEIDG is free of charge.
The CEIDG-1 application for natural persons is also an application for entry into the national official register of national economy entities (REGON), an identification or update application to the head of the tax office (NIP), as well as a declaration on the choice of the form of taxation with personal income tax. This application also constitutes a notification or amendment of the declaration of the contribution payer to ZUS or a declaration on continuing social insurance for farmers - KRUS.
The CEIDG-1 application is submitted to the municipal or city office:
electronically using a secure qualified signature,
electronically without a secure qualified signature - ePUAP trusted profile,
by registered mail (signature notarized).
In the case of commercial law companies, it is necessary to obtain an entry in the National Court Register - the cost of such entry is PLN 500 of the court fee and PLN 100 for the announcement of the first entry in the Court and Economic Monitor.
Establishing a business and VAT
If the entrepreneur decides to be a VAT payer (or is obliged to do so), in addition to the application for entry in the economic register, he is obliged to complete and submit the VAT-R registration form to the competent tax office. On the form, the entrepreneur registers as an active VAT payer or an exempt VAT payer. On the same declaration, taxpayers can register the performance of intra-Community transactions.
Registration for VAT purposes has been free since 2015. The obligation to obtain confirmation of the registration has also been abolished. However, if the entrepreneur wants to obtain such confirmation, he should know that its issuance costs PLN 170.
The cost of reporting to ZUS
Within 7 days of registering a business, the entrepreneur should submit a form to the Social Insurance Institution in order to register a person for insurance:
ZUS ZUA - if it is to be fully insured (running a business is the only title to insurance),
ZUS ZZA - if he is to be subject only to compulsory health insurance (he works full-time and earns a salary not lower than the minimum).
The cost of registering an entrepreneur with ZUS is free of charge.
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What are the costs of starting a business?
Starting a business, however, is associated not only with the fulfillment of formal requirements provided for in legal regulations. An important issue is also the amount of initial costs that the future entrepreneur must bear.
The greatest costs relate to the choice of a company as a business. In the case of setting up a company based on the agreement and incorporation deed, tax on civil law transactions must be paid. If the articles of association are drawn up in the form of a notarial deed, the tax will be collected by the notary himself. The basis for calculating the tax is the value of contributions made to the company's property or share capital. The tax rate on the articles of association is 0.5%.
In some cases, the regulations require that the contract be drawn up in a special form, e.g. for a partnership contract, the form of a notarial deed is obligatory. There are additional costs associated with this condition, because you need to go to a notary who will draw up the act. The regulations precisely define the maximum remuneration that a notary is entitled to for performing notarial acts. Before going to a particular notary public, it is worth finding out where you will pay the least - each notary sets his own rates (however, they cannot be higher than the limit specified in the regulation).
The maximum amount of the notary's fee also depends on the amount of the share capital or contributions made to the company. The upper limit of the tax was specified in the Regulation of the Minister of Finance on the maximum rates of notary fees (Journal of Laws of June 29, 2004) and amounts to, depending on the capital:
up to PLN 3,000 - PLN 100,
above PLN 3,000 to PLN 10,000 - PLN 100 + 3% of the surplus above PLN 3,000,
above PLN 10,000 to PLN 30,000 - PLN 310 + 2% of the surplus above PLN 10,000,
above PLN 30,000 to PLN 60,000 - PLN 710 + 1% of the surplus above PLN 30,000,
above PLN 60,000 to PLN 1,000,000 - PLN 1,010 + 0.4% of the surplus above PLN 60,000,
above PLN 1,000,000 to PLN 2,000,000 - PLN 4,770 + 0.2% of the surplus above PLN 1,000,000,
above PLN 2,000,000 - PLN 6,770 + 0.25% of the surplus above PLN 2,000,000, but not more than PLN 10,000, o tax on inheritance and donation not more than PLN 7,500.
Fee for setting up an account
Having a company bank account is obligatory only when a party to the transaction is another entrepreneur, and the one-time value of the transaction, regardless of the number of payments resulting therefrom, exceeds the equivalent of PLN 15,000. euro.
The amount of the fee for setting up the account depends on the bank where the account is opened. This fee may range from a few to a dozen or so zlotys. Particular attention should be paid to the monthly costs of maintaining an account and commissions, which may vary depending on the bank.
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Having a stamp is not required by law, but it is usually necessary to conduct business and required by contractors. The cost of making a stamp varies, but usually it does not exceed PLN 30.
Other costs of setting up a business
It should be remembered that these are not all the costs that you have to take into account when setting up your own business. These are only costs required by law or custom (stamp). Apart from them, you should also take into account the purchase of a license, rental or purchase of premises, accounting costs, costs of purchasing machines, devices, computers and other necessary office supplies.
In addition, entrepreneurs who purchased commercial goods before making an entry in the records (CEIDG-1) and proper commencement of business activity, must take into account that the value of these purchases cannot be included directly in tax deductible costs. These purchases should be entered using the initial inventory as the first item in the KPiR. At the end of the year, the value of the initial inventory is compared with the value of the final inventory, and depending on the difference (positive or negative), it will increase or decrease the company's costs on an annual basis.