OUR OFFICES ARE IN AUSTRIA

Vienna 1010, Rosenburzenstrasse 2/21

Advantages of opening a company in Austria

• Favorable tax regulation
• Qualified employees
• Access to the European market
• Goverment subsidies and grants for business development
• Favorable conditions for buying real estate

What forms of business are available in Austria?

Sole proprietorship

A sole proprietorship (Einzelunternehmen; EPU) is an individual who manages a company in his own name and at his own expense. In Austria, an individual entrepreneur is the most popular way of running a company.

• Each sole proprietor has unlimited liability for all business and personal assets.
• A residence permit in Austria is required for doing business in Austria.
• A trade license is required for individual entrepreneurs who wish to engage in trade.
• Registration in the Austrian Commercial Register (Firmenbuch) is mandatory only for private entrepreneurs whose financial turnover exceeds EUR 1 million per year or EUR 700,000 for two consecutive years. Voluntary registration in the Firmenbuch is possible.
• An individual entrepreneur pays income tax in the amount of 20%.
• An individual entrepreneur has the right to hire employees.

To register a company in Austria, the following steps must be taken:

• Trading name reservation is the first step to be completed;
• Ensuring the company has a legal address is also mandatory;
• Drafting the Articles of Association having them notarized;
• Filing the paperwork with the local office of the Trade Register;
• Obtaining tax and VAT numbers with the local tax office;
• Filing for the necessary business permits and licenses, where applicable.

What criteria must a person meet to open a business in Austria?

• The person must be at least 18 years old
• Money to pay the authorized capital
• Compliance with the laws of Austria
• Confirmation of the qualification of the entrepreneur (diploma on education, experience in this field).
• Residence permit in Austria.

OPEN A BANK ACCOUNT IN AUSTRIA

With over 700 banks in Austria, the country’s banking system is known to be a stable and low-risk place to keep your money. Furthermore, EU rules protect the money in your bank account if, for some reason, your bank collapses. This includes both savings accounts and current accounts. Your money is protected up to a limit of €100,000 or the equivalent in local currency. This limit applies per person and per bank.

Types of bank accounts in Austria

• Current accounts

The Girokonto (current account) is the most popular type of bank account in Austria. It is for personal use and is part of retail banking. Current accounts include a debit card which allows you to access ATMs. Typically, they also come with an overdraft facility. You can set up standing orders or direct debits and you can transfer money both locally and abroad from your current account. You can also have a linked savings account. Cheques are available, however, these are used less and less in Austria these days.

• Savings account

A Sparbuch (savings account) is a secure way to store your money for short-term saving. It rarely even covers inflation, but it is a good option if you want to simply squirrel away some money for a rainy day.

• Joint account

This type of bank account is designed for couples, and therefore, you will typically get two bank cards for one account you share. You can also get instant notifications when there is activity on your shared account. Noting all your transactions together is meant to make it easier to budget in the long run.

• Credit card

Usually, Kreditkarte (credit cards) are issued from a variety of companies such as Visa and Mastercard. These aren’t covered by ordinary bank account fees, so you may have to pay extra. A credit card needs to be approved by your bank and most will only issue one to a pre-existing customer.

If you are an EU/EEA national, you will find that opening a bank account in Austria is much simpler than third-country nationals. Certain banks, such as Erste, allow non-residents to open accounts. Additionally, foreigners are able to manage funds in all currencies, get the latest exchange rates, and make credit transfers in foreign currencies. However, you will need to go to the bank in person to apply for this.

Assistance in opening a bank account in Austria includes consulting a lawyer on the availability of appropriate documents for opening an account, conditions for opening an account, bank tariffs, escorting to the bank, assistance in filling out bank documents and other services in the banking sector.

Opening and maintaining an account in an Austrian bank is one of the main activities of our lawyers and economists. Sign up for a consultation and see for yourself the professionalism of our specialists.

Migration lawyer in Austria – JK “Prykhodko and Partners” Your reliable partner.