Open Company Branch or Subsidiary in Greece

Anyone wishing to conduct business in Greece finds a welcoming environment. Another advantage in setting up a business in Greece is the high qualified workforce and limited restrictions. Entrepreneurs may set up a brand new business, usually a limited liability company or may establish a company branch. A Greek company branch is not a separate legal entity from its parent company and the liability for its debts and obligations is attributed also to the parent company.

Before registering a Greek branch the founders must establish its purpose and object of activity as well as its name and location. Also a representative for the company must be appointed through a notarized deed or consular agreement. The company branch must open a bank account and deposit the initial capital obtaining an attestation for the share capital. After these procedures are completed the branch is ready to commence the registration procedure.

After preparing all the required documents the Greek branch should register in order to be able to commence its activities. The procedure is done through submission of an application. It must contain a proof of existence of the foreign parent company consisting of a certificate issued by the competent authority of the foreign company, notarized articles of association of the branch, the branch name and registered address in Greece. All the documents must be apostilled and translated into Greek by the Ministry of Foreign Affairs or by a lawyer. Upon a few days the Chamber of Commerce and Industry of Greece issues the registration certificate or requests additional information.

After obtaining the registration certificate the Greek company branch must register for VAT. This procedure is completed through submission of an application containing information on the branch, mainly on its object of activity. The application can be submitted through mail or in person by the authorized representative.

The state of Greece welcomes foreign investment and does not impose many restrictions for foreign investors. A branch can be established by a representative authorized through Power of Attorney and must have a legal address in Greece. Many of the procedures can be completed via mail, but some need personal visit.

Setting up a Greek company branch is a rather complex process and requires a little more time than for company incorporation. Some procedures as preparing the Articles of Association and notarizing, as well as registering with the Chamber of Commerce and Industry of Greece may take up to 5 days. A Greek branch is usually established in two, three weeks.

Set up a subsidiary in Greece

To set up a subsidiary in Greece, apart from the branch, a company can establish a subsidiary. Unlike the branch, a subsidiary has the same status as any regular Limited Liability Company and has its own share capital, having the foreign parent company as sole or main shareholder.

The registration of a Greek subsidiary starts with the check of the availability of the chosen name. This is done through the Chamber of Commerce and Industry. Then, the founders have to file the documents with Athens Bar Association and go to a public notary to sign the articles of incorporation. The representative of the company must open a bank account to deposit the minimum share capital. In not more than 15 days since the day of signing the articles of association, a capital tax on the concentration of capital must be paid. At the secretariat of the court of first instance the representative of the company must submit the articles of incorporation and get a registration number. The file should contain a certified copy of the articles. A summary of the articles would be filed to the National Printing Office to be published in the National Gazette.
The founders of a subsidiary can submit the application for the Chamber of Commerce and Industry in the same time with the publishing in the National Gazette. The file needs to contain the notarized articles of association, the certificate of the availability of the name and a copy of the National Gazette with the summary of the articles. This way, the subsidiary is registered for taxes and social security contributions.

A limited liability company set up in Greece is more common among small scale businesses. The minimum capital required is EUR 4.500. To set up a Greek LLC, there must be at least two partners, either Greek of foreigners, but only one director is in charge of the management. Partners have a limited liability related to their investment. At the formation of the company, the share capital should be fully subscribed and paid up and no less than half of it must be paid in cash. Directors of the Greek limited liability company have to own shares. In case the company is set up by one person, the type of company is called "one person limited liability company".

BridgeWest offers company formation in Greece and additional services such as a local virtual office and accounting services.