If a completely new case is registered, it is initially designed for the purposes of the client, and the registration process can take about 20 days.
Direction Options
Since the tourist destination is very developed in the state, the following business segments are considered to be in demand:
- hotel;
- building;
- transport;
- restaurant;
- sale of souvenirs;
- car rental;
- companies with services for foreign citizens;
- trade stalls and retail sale of small goods;
If you choose promising types of business for a foreign citizen in the Czech Republic, you can pay attention to several categories.
Travel business
Every year, about 50 million people from different parts of the world go to admire the beauties of the Czech Republic. Each of them, regardless of their financial condition, is forced to think about such expenses as:
- Nutrition. The Czech Republic has a variety of catering establishments where you can spend from $0.3 to $100.
- Accommodation. Mini-boarding houses, hostels and other budget options for tourists will cost from $10 per night, the best rooms in luxury hotels - from $300 per night.
- Transport. The costs of transport and sightseeing communications are also different, because throughout the country there are a huge number of monuments and famous places that every guest of the Czech Republic seeks to visit.
- Souvenir products. Here, the choice of direction is very large, ranging from standard printed materials with the symbols of the country to expensive products made from famous Czech glass.
- Entertainment and leisure. Places for a good rest are also very popular in the country, for example, massage parlors or discos. And even despite the fact that the competition in this area is strong, the chances of developing both a new business and an existing one are real.
Export
Czech mass consumption products have earned a good reputation all over the world, high-quality goods from the Czech Republic at affordable prices are in demand in Germany, Austria, Slovakia and other EU countries.
Import
This is a rather difficult direction for a foreign entrepreneur, as the market in the country is balanced and has long identified its leaders among local big brands. In order to break through in this area, you need to offer really attractive prices and conditions.
Domestic small business in the Czech Republic
This direction is suitable for businessmen who do not count on fabulous profits. When opening a store or other facility far from tourist areas, you need to be prepared for the fact that the maximum monthly profit from it can rarely exceed $2,000.
Hospitality
One of the best hotels in the Czech Republic - Hotel Imperial
The management of the proposed objects in the Czech Republic has its own nuances. For example:
- Small family-type establishments with 2-5 rooms are unlikely to make a profit if they are not located in the capital. Most often, this is a source for paying the costs of maintaining buildings and the personnel living in them. Sale: from 200,000 kroons - Prague; from 100,000 kroons - resort areas; from 50,000 crowns - provinces.
- Selling or buying a small family hotel or hotel can generate income if they are located in the tourist areas of the capital.
Catering business
Today, restaurant establishments are flourishing, which are located in the busiest parts of cities. Places with reasonable prices for each category of guests, pleasant atmosphere and interesting design, delicious dishes from quality products and good service are popular.
Business Forms
- Shareholding community.
- Public trading company.
- Cooperative.
- Limited Liability Company.
- Private enterprise.
Business outside the Russian Federation is becoming more and more popular. For those who wish to invest their money in a profitable business abroad, the widest opportunities are open in the Czech Republic. This is where you can do business, live and run your business. The Czech Republic is one of those countries where you can start your own business without risk, and a stable economic policy serves as an excellent foundation for any undertakings. Business in the Czech Republic is a safe and profitable investment with further development and expansion.
Do you want to buy a business in the Czech Republic?
What can attract a potential entrepreneur in a given country? Of course, the opportunity to move to a permanent place of residence, safe business and reliable safety of invested money. Do you have a desire to acquire a ready-made business in the Czech Republic and start running your own business? It is here that you can get high-quality advice on this issue, choose the appropriate option from the proposed list, arrange a purchase and sale and start your own business abroad.
Opening a business in the Czech Republic: all the nuances
On the way to opening your business in the Czech Republic, you must take into account the following factors, of which the process of forming your company will actually consist.
- Determine and name the company, appoint its director and co-founders;
- Issue and certify a certificate of no criminal record (required with a translation into Czech);
- Registration of a bank account;
- Preparation of founding documents;
- It is necessary to determine the initial legal address;
- Draw up the founders' agreement and notarize it;
- Registration of business activities in the Czech Republic.
Common types of business
As in any country in the world, in the Czech Republic there are many areas of business activity where you can build your business and make a profit. The most profitable areas for business are:
- Tourist;
- Hotel business;
- Restaurant;
- Construction business;
- Pharmacy;
- Souvenir and veterinary businesses.
Also, other areas bring good results in doing business, namely real estate, beauty salons, taxi services, online stores and the sale of essential products.
What documents are required
When you have decided on the scope of your business, you need to go through the procedure of registering a new company that will represent your business. To do this, you need to collect a list of documents on the basis of which the process of registration and registration of your business in the Czech Republic will take place. Collect and submit the following documents:
- A copy of the passport, namely the first two pages;
- A copy of the birth certificate, notarized;
- Certificate of no criminal record;
- Power of attorney for company registration from all co-founders;
- Application from the director of the company;
- Addresses and contact details of all company members;
- Variants of the proposed company name in the amount of 4 pcs.
It is worth considering the fact that most activities in the Czech Republic require a license.
Company registration procedure
In the Czech Republic, foreign persons, namely Russians, can be founders without any restrictions. It is necessary to register in the commercial register, which can be done traditionally through a court or a notary's office. Simultaneously with registration in the commercial register, it is necessary to obtain a business license. Without these processes, the company will not be able to conduct an active business and will manage only its property. Carrying out entrepreneurial activities without an appropriate license is illegal and punishable by a fine, as an administrative violation.
Tax system
A newly registered company, as in any other country, will be subject to taxes. Therefore, it is necessary to take care of the timely submission of documents to the tax service so that there are no problems in the future. The Czech Republic contributes to the decision to reduce key tax rates, which makes it very attractive for foreign residents to start a business. A new emerging company is obliged to submit documents to the tax service within a month and pay quarterly 19% of all income. It is believed that the process of taxation in the Czech Republic is very complicated, but the state contributes to the improvement of conditions and creates favorable prospects for all entrepreneurs.
Features of the economy in this country
To date, the Czech Republic is one of the most successful republics in the post-Soviet space. The Czech economy is rapidly developing and gaining momentum. Thanks to successful investments in metallurgy, engineering, light and food industries, the service sector and agriculture, the Czech Republic has become a country capable of attracting the attention of foreign entrepreneurs who are ready to conduct their business on the territory of the state.
Business immigration to the Czech Republic is the most common way to move to Europe. Opening your own company in this country provides the business owner with several important advantages: obtaining a business visa valid for one year, reducing the cost of running your own business, the opportunity to get a mortgage to purchase real estate, a chance to get a residence permit.
When submitting documents again to extend the visa, a businessman has the right to transport his family to the Czech Republic under the reunification program with relatives. After five years of successful business an entrepreneur can count on obtaining a residence permit.
Business structure
A company in the Czech Republic can be opened by any foreign citizen who has reached the age of majority. You can register an enterprise according to several structures: a joint-stock company, LLC, OJSC, branch, and so on. It should be noted that Russian citizens mainly choose such a form of business as a limited liability company (LLC).
In order to open a business in the Czech Republic according to the structure of an LLC, it is necessary to have an authorized capital of at least 200 thousand crowns. Each member of the society must contribute at least twenty thousand crowns. Both a legal entity and an individual can act as the founder of an LLC. The latter should not be a member of more than three societies.
A few years ago, in order to open your own business in this country without the personal presence of the business owner, it was necessary to provide a power of attorney certified by a notary. Before entering the company in the commercial register, you need to decide on the type of entrepreneurial activity.
In the Czech Republic, there are many affordable ideas for starting a business that do not require special permission or licenses. A special document is required in cases where the activity of the enterprise is aimed at the production of a specific material or product in the Czech Republic. The founder in this case must have a special education and at least a little experience in conducting such activities.
In the Czech Republic, hotel and restaurant business are considered to be predominantly developed. In addition, many businessmen open grocery stores or rent out their own properties. Also, in this country, no permit or license is required for work related to creativity.
Requirements for an entrepreneur for business immigration to the Czech Republic
First of all, the following condition must be met - the registered company must have a registered office in the Czech Republic. Before opening a business in the Czech Republic, you need to decide on the composition and number of founders, choose a name for the company and develop a charter.
An LLC in the Czech Republic is registered on the basis of a memorandum of association, which describes in detail all the rights and obligations of the parties. The contract must be certified by a notary. It is also necessary to notarize an application for registration of a company in the Prague Commercial Court, an application of the director with samples of signature and seal, an application of the manager of contributions. The registration process takes approximately three to four weeks.
Business Registration Documents
To open a business in the Czech Republic, you must submit the following documents to the registration chamber:
- A copy of the foreign passport.
- Certificate of no criminal record in the country of residence of the applicant. The document must be translated into Czech and certified by a court translator.
- A certified copy of the birth certificate and a translation of this document into Czech, also certified.
Activities
Depending on the type of activity you have chosen, you need to issue a special permit or license. The Czech Business Administration is responsible for issuing these documents. In this country, there is the following division of activities.
- "Free" - registration of such a business requires only a statement written on behalf of the company.
- "Professional" - in this case, it is necessary to have a responsible and not convicted representative, a citizen of the Czech Republic. In addition, it is necessary to prove professionalism in the conduct of a particular type of activity. This refers to the availability of education, work experience, qualifications and competence.
- "Concession" - registration of a business in this case is possible only with a special permit from the regulatory authorities.
It is worth noting that such an activity as renting out real estate does not require a license, but only if other services are not provided. Permission for this can be obtained from the court when the company is entered in the Commercial Register.
Czech tax system
The taxation system in the Czech Republic controls compliance with the conditions of equal competition and is quite conducive to business development. Income tax in this country is 20%. The Czech tax system has been adapted to European standards. It cannot be said that the rates in the republic are the lowest in Eastern Europe, but, nevertheless, over 150 investment projects are operating here, thanks to which 3.6 billion euros have been attracted to the economy.
The Czech Republic has entered into bilateral agreements with 37 states to avoid double taxation. That is, business in the Czech Republic for Russians and citizens of other countries is a rather promising and profitable solution. The government is slowly reducing corporate taxes. A single rate has been introduced, and income tax for legal entities has already been reduced by 9%.
How can founders obtain a residence permit?
If you are planning to open a business in the Czech Republic, then you should know that this gives you an additional advantage in the form of obtaining a residence permit in this country. This opportunity applies not only to the owner of the business, but also to members of his family if they are the founders of the company. You can apply for permanent residence in the Czech Republic after five years of successful business, if the state and the tax service have no claims against you.
Please note that after the last amendment to the Czech legislation regarding immigration laws, a primary visa can only be obtained for six months and extended on the spot. When re-registering, all details are taken into account - company data, business history, income level and living conditions of the owner. To obtain a visa and residence permit, the applicant must personally appear first at the consulate and then at the Ministry of the Interior.
Why Czech Republic
Business in the Czech Republic opens the door for Russians to many countries that are part of the European Union. In this country, there are excellent business prospects for Russian citizens with in-demand professions, such as a programmer, an IT specialist, and so on. Knowledge of languages is also welcome - English, German and, of course, Czech. In this case, there are practically no problems with employment and communication. The Czechs themselves are very loyal to the citizens of other states, who honor their traditions and way of life.
Of course, the global crisis affected the economy of this country as well, and now it has become more difficult to find a job. The Czech authorities recommend that their companies hire Czechs first, and only then turn to the services of citizens with permanent residence in this country or an EU passport.
Features of life in the Czech Republic
According to many Russian citizens living in the Czech Republic, the local mentality is very different from the Russian one, although both peoples have Slavic roots. The Czechs are slow and not used to showing excessive initiative, they do not like to be urged on in business. For Russians, this approach to business is very unusual, especially for those who have moved from large cities and are accustomed to value their time.
As in all countries of the world, the most expensive life in this country is in the capital - Prague, as well as in resorts. This is understandable, since it is in these places that most of the jobs and many tourist routes are concentrated. Citizens of Russia note that the Czech Republic attracts them with its order, calmness and slowness.
The government of this country cares about its citizens, is kind to nature and animals. Czechs are used to honoring and protecting family values and relationships, they strictly adhere to work schedules and are not distracted by work during weekends and holidays.
In general, Russian emigrants get used to the Czech reality quite well and become almost true Czechs with Russian roots.