Company Registration Global Registration

All you need to know about Registering your Company in Russia

Considering the ease of doing business in Russia, entrepreneurs from around the world are eager to set up a company there. It involves going through a dedicated set of process before you can establish a company there. If you desire to set up a company abroad, then Russia should be among your top choices. In this article, we have explained why you should apply for registration of company in Russia and also brief you about the registration process.

Why Russia?

Russia is the largest country in the world, with excellent infrastructure and slew of opportunities on offer for professionals. It’s quite a prominent place to do business, and in this segment, we tell you why you should register your company there.

• Quick company incorporation process

Due to the lack of complex formalities, companies can be incorporated easily and quickly in Russia. Registering a company there involves simple formalities.

• Appealing tax system

The taxation system in Russia is appealing for investors therefore, many international entrepreneurs are attracted to invest in this country.

• Skilled workforce

Russia is known for its highly skilled workforce which plays a major role in attracting entrepreneurs around the world.

• Export in high numbers

Russia is the leading country in exports when it comes to certain products. It is also one of the largest exporters of oil.

• Attractive incentives

The government in Russia offers different forms of attractive incentives to companies to operate there.

• Cheap utilities

As compared with many western countries, the cost of living in Russia is cheap. The cost of employing skilled labour is also low.

Types of Companies you can incorporate in Russia

The following are the types of companies:

• Limited Liability Company– This is the most common form of company in Russia. It is also called as “OOO”. It can be formed with 50 shareholders with a minimum share capital of 10000 Russian Ruble. The director of this form of Company needs to be Russian Resident^[1].
• Joint Stock Company– This Company can be formed with one shareholder and one director. The director of this form of Company needs to be Russian Resident. Minimum Capital Requirement to form this company is 100000 Russian Ruble.
• Branch Office– Branch Office is just an extension of the foreign parent company where the scope of its activities is defined by the parent company. A local representative shall be needed in order to set up a branch office in Russia. The branch office can carry out local business as well as generate invoices through sale.
• Sole Proprietorship– Sole Proprietorship is another form of company that can be established as part of Company Registration in Russia. This is the simplest form of business in Russia. There is no minimum share capital requirement.

Procedure to register Company in Russia

 As Limited Liability Company is the most common form of company incorporated in Russia, we have provided the step by step process to register a Limited Liability Company in Russia.

• Name Reservation

Firstly, the applicant needs to reserve the name of the LLC and such name should be unique and it should not conflict with any other name.

• Choose the registered Office

The applicant shall select a registered office of the business.

• Draft Charter Documents

Once the capital of the company is determined, the charter of the LLC must be drafted, which will include drafting the MOA. Additionally, the rules and the bye laws of the company will be determined in the AOA.

• Notarise Documents

All documents need to be in Russian and should be notarized by the notary. If the documents are not in Russian, then it needs to be translated.

• Fill Registration form

You can fill registration form online as well as offline. The applicant will also need to pay a specific amount for registration.

• Documents submission

All documents need to be submitted with the registration form, and it can be submitted electronically or manually.

• Register the company

When the form and documents are submitted successfully, the authority will review the application, and in case the authority is satisfied with all submissions, it will register the company.

Documents required for registering Company in Russia

The following documents are required:

• LLC Registration Form;
• Minutes of the Board Meeting;
• Charter Documents of the LLC;
• MOA and AOA;
• Invoice of the registration fee;
• Rental documents or information of leased premises;
• State trade register statement;
• Passport in case where the shareholder is a foreign citizen
• Notarized Documents.

Conclusion

The process of company registration in Russia is less complex therefore, entrepreneurs can easily register their company in Russia. As per the need of the entrepreneurs, they establish either a Limited Liability Company or Branch Office etc. However, just registering the company is not enough, but there are certain post registration compliances like opening of bank account, adhering to the local laws etc. that also needs to be done.

Read our article:Benefits of Registering Company in USA