Publication date: 26.05.2024
Lawyer
Business registration in Greece: What type of companies are most common in Greece?
Registering a business in Greece is an important step for any entrepreneur who wants to take advantage of the opportunities offered by this market. Company registration: understanding the process, company registration, knowledge of types and their features is the key to a successful start. In this article, we will look at the main types of companies in Greece, focusing on the most common of them.
Why is now the right time to open a company in Greece?
Greece today offers favorable conditions for starting a business. The country actively invests in infrastructure projects financed by the EU, which creates additional opportunities for business. Greece's economy has grown significantly since the 2004 Olympics, and the level of consumer spending per capita is higher than in many other EU countries. This makes Greece an attractive destination for investors looking for new markets for their goods and services.
What type of company is most common in Greece?
There are several main types of legal entities in Greece. The most common of these are the limited liability company (EPE) and the joint-stock company (AE). Each of these types has its own characteristics that should be taken into account when registering a business.
Limited Liability Company (EPE)
A limited liability company (EPE) is one of the most popular types of companies in Greece. Key features of EPE include:
Minimum share capital: €18,000, of which at least half must be contributed in the form of cash at the time of establishment.
Number of participants: minimum two.
Limited liability: participants are liable only to the extent of their contributions to the authorized capital.
Financial reporting: a mandatory legal requirement.
EPE is a popular form of enterprise because of its flexibility and limited liability of members.
Joint Stock Company (AE)
A joint-stock company (AE) is the standard form for large public companies in Greece. Key features of AE include:
Minimum share capital: €60,000.
Shareholders: A company can have one or more shareholders.
Governance: A board and auditors are required.
Flexibility: AE is widely used by sole proprietors and large corporations due to its structure.
AEs are often chosen for large projects because of their governance and transparency requirements.
Societies
There are two main types of companies in Greece: general (OE) and limited (EE). Key features include:
Minimum number of partners: two.
Capital: Not required, but usually around €1,000.
Low level of government intervention: especially in limited partnerships (EE).
Limited partnerships (EE) are usually chosen by foreign investors due to their simplicity and low level of government intervention.
branches
Branches of foreign companies are also a common form of doing business in Greece. The main characteristics of branches include:
Capital Requirements: The parent company must meet Greek requirements.
Liability: The parent company is responsible for the branch's legal and tax matters.
Registration: The branch must be registered with the Greek government authorities.
Management: at least one director; lack of a formal reporting requirement.
Local representative: it is necessary to appoint a person who is jointly and severally liable for the payment of taxes.
Branches are often chosen by large international companies seeking to expand their presence on the Greek market.
Conclusion
Registering a business in Greece opens up new opportunities for entrepreneurs in a growing market. Choosing the right type of company is an important step in this process. The limited liability company (EPE) and joint stock company (AE) are the most common forms of companies due to their advantages and suitability to the needs of different types of businesses.
Contact the attorneys and lawyers of Legal Marketplace Consultant LLC, which provides legal services registration of enterprises for the registration of law firms and companies. Our specialists will provide professional support and consulting at all stages of creating and running a business in Greece.
