Global Expansion Resources | Romania
Romania Entity Set Up
Expand into Romania with confidence
Setting up an entity in Romania
Romania has become an increasingly attractive destination for international expansion, supported by its:
- Strategic position within the European Union (EU), providing direct access to over 440 million consumers with zero tariffs or trade barriers between member states.
- Competitive operating environment, boasting one of the lowest standard corporate tax rates in Europe (16%).
- Growing technology, engineering and manufacturing sectors.
If you’re planning to establish a presence in Romania, one of the most important decisions you’ll face is whether to set up a local company or hire through an Employer of Record (EOR).
Each option offers a different level of control, investment and ongoing administration. At Leap29, we help businesses choose the right route into the Romanian market and build efficient, compliant operations from day one.
As your trusted people partner, our Romania Entity Set Up services include:
- A bespoke solution, designed to suit your expansion into Romania.
- A smooth transition from EOR services to your own entity so you can stay with the same team.
- A full cost analysis to help you decide when to transition to an entity.
- Secure storage and management of your data on our expansion platform, LeapWorks.
- Comprehensive HR support to save you hiring an in-house team in every country.
Want to expand into Romania?
Contact us today to see how Leap29 can be the trusted PEO partner that supports your global expansion.
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What’s included:
HR software
Bespoke employee management software included in our PEO service.
Global compliance
We have expert teams across the world to ensure global compliance.
Transparent pricing
Avoid hidden costs and account for our fee with our transparent pricing.
Romania: Entity Set Up Advice & Information
Why expand my business into Romania?
Aside from its EU membership, Romania’s infrastructure and connectivity is growing fast, with competitive operating costs in many sectors.
The country also has an established manufacturing and industrial base, with commercial opportunities in both Bucharest and regional business centres.
For organisations seeking to expand across central and eastern Europe, it offers a flexible platform to build local operations and develop regional capability.
Who needs to set up a legal entity in Romania?
Any businesses that plan to do the following will need an appropriate local structure:
- Trade directly in Romania
- Employ local staff
- Maintain a permanent office
- Enter into contracts through a Romanian operation
Please note: The exact requirements depend on the nature and scale of the activities.
A branch can be used by an overseas company to operate under its existing corporate identity, while a subsidiary creates a separate Romanian legal entity.
Businesses testing the market or making an initial hire may prefer to use an EOR, or Professional Employer Organisation (PEO), before establishing a permanent company.
Which business structure will I need for my operations in Romania?
The business structure you choose will affect liability, governance, capital, taxation and reporting responsibilities. The most suitable option depends on your ownership arrangements, activities and long-term plans.
Societate cu răspundere limitată (SRL) is Romania’s version of a private limited liability company. SRL is the most commonly considered structure by businesses establishing a local operation. It creates a separate legal entity and limits shareholder liability, making it suitable for organisations intending to:
- Hire employees
- Trade locally
- Build a lasting presence in Romania
Another option is the Societate pe acțiuni (SA), which is a joint-stock company designed for larger operations that require a share-based corporate structure. It may suit circumstances where the organisation expects more complex governance or significant investment.
A third option, the branch office, allows an overseas company to extend its activities into Romania without incorporating a separate subsidiary. The parent company remains responsible for the branch’s obligations and activities.
And finally, a representative office is typically used for activities like market research, promotion and establishing ongoing business relationships.
Due to its ‘non-commercial’ main functions, it’s not intended to operate as a fully trading Romanian company.
How do I register a company in Romania?
The incorporation process is handled through Romania’s National Trade Register Office, also known as the ONRC.
Typically, the process includes:
- Choosing the appropriate legal structure and company name
- Preparing the articles of association and incorporation documents
- Establishing a registered office in Romania
- Appointing directors and identifying the shareholders or members
- Providing identification and corporate documents for the ownership structure
- Submitting the registration application to the relevant Trade Register office
- Obtaining the company’s registration and tax identification details
- Completing VAT registration where required
- Opening a Romanian business bank account
- Registering as an employer and arranging payroll and social security administration
- Obtaining any licences or approvals required for the planned activities
Applications can be submitted in person (by an authorised representative or electronically where the relevant conditions are met), but any documents prepared in another language may require an authorised Romanian translation.
The registration authority may request corrections or additional information if the application is incomplete. Leap29 can help coordinate the documentation and practical steps involved in establishing your Romanian expansion.
How do I manage my Romanian entity after incorporation?
Registering a company is only the first stage of operating in Romania, with subsequent ongoing duties including:
- Management of statutory records
- Tax filings, accounting and payroll
- Employment administration and regulatory reporting
Other continuing obligations may change depending on your business activity, employee numbers, VAT position and corporate structure. It’s important to maintain accurate records and meet filing deadlines to avoid any unnecessary disruption or compliance issues.
Leap29 provides ongoing support for businesses that need help managing their Romanian entity, employment contracts, payroll and HR responsibilities.
Why partner with Leap29 to set up an entity in Romania?
Whether you already have your own overseas entities in Romania (or elsewhere), or you’re just starting out, Leap29 can help.
We like to work as an extension of your team, supporting your global expansion from start to finish. Contact us today to see how we can help you.
Don’t take our word for it!
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Romania Entity Set Up: Frequently Asked Questions (FAQs)
How long does it take to set up a legal entity in Romania?
The timescale depends on the company structure, registered office arrangements and any additional registrations or licences required.
Applications are reviewed by the Trade Register once submitted and may be postponed if incomplete or in need of supporting documents.
What is the most common company type in Romania?
The SRL is the most common structure for many businesses establishing a Romanian operation. It provides limited liability and is suitable for companies that intend to trade locally, hire employees and develop a long-term presence.
Larger organisations may consider an SA, while a branch might suit an overseas company that wants to operate under its existing identity more.
Can a foreign company open a branch in Romania?
Overseas companies can register a branch in Romania, subject to the relevant documentation and registration requirements.
A branch isn’t a separate legal entity, so the overseas parent company remains responsible for its activities and liabilities.
Is it better to use a PEO or set up an entity in Romania?
A PEO or EOR can be a practical option for businesses making an initial hire, testing the Romanian market or avoiding the commitment of incorporation.
Whereas, a Romanian entity may be more suitable when you need a permanent office, local contracting capability or direct control over your operations.
Leap29 can help you assess both options based on your expansion plans and future business goals.
Talk to an expert today
Already have your own entities? Just starting out?
Whatever stage you’re at in your global expansion journey, we can help.
Contact us today to see how Leap29 can be the trusted PEO partner that supports your global expansion.
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Local expertise, global reach
Employ people compliantly in 180+ countries – with or without your own foreign entities. We can help you set up and manage foreign entities – or act as an Employer of Record. We can also help with multi-country payroll and all your HR management. Wherever, whenever and however you want to employ people, we can help.
180+
We make expansion into Romania simple
Employing people compliantly across international borders can be challenging but we make it simple, bringing down barriers and making light work of the complexities. We offer the full range of compliant global expansion solutions so that wherever, whenever and however you want to employ people, we can support you.
EOR Services
Employ people compliantly in 180+ countries – without setting up new entities. We’ll shoulder responsibility as Employer of Record (EOR), making sure all your international employment is fully compliant.
We can also take care of your global HR from multi-country payroll to onboarding and offboarding.
Payroll Solutions
Getting global payroll right is one of the hardest challenges for any business expanding into new countries. We can shoulder this burden, freeing up valuable in-house resource to focus on growing your business.
Consider us an extension of your HR team, ready to answer all your questions large and small.
Global Mobility
Mobilise your people across borders with ease. Relocating to work abroad can feel daunting. But with Leap29 at your side, your employees can feel safe and supported.
We’ll guide your employees through the complexities of working in another country, helping them settle in fast.
Entity Services
Follow the opportunities to grow your business – wherever they take you.
We lighten the load of establishing and managing foreign entities and can help you solve all your entity challenges from running compliant, accurate multi-country payroll to local accounting and financial reporting.
PEO Solutions
Employ international talent wherever and whenever you need it – and enjoy the peace of mind of knowing you’re fully compliant. Our Professional Employer Organisation (PEO) services allow you to focus on growing your business while we handle compliance, multi-country payroll and your global HR.
Support & Advisory
The help you need to make your global growth effortless – trusted guidance and advice on your expansion challenges large and small.
HR Support
When you’re employing people in lots of different countries, answering just a simple query can take a disproportionate amount of time for your in-house HR team. Our HR Support service reduces this burden, saving you time and money and giving you the confidence of knowing your employees are well looked after, whatever their location.
Contractor Payroll
Enjoy compliant contractor payroll that meets all local requirements for tax, social security and employment legislation. We understand the importance of compliant contractor payroll to the success of your business and will pay your contractors on time, every time.
Start hiring today – and onboard within hours.
Pricing
Budget confidently with transparent, competitive fees and no hidden costs.
Want us to shoulder employer liability and take care of your global HR through our EOR solution? No problem. Just want global payroll? You can have that too. Pick the solutions that your individual business needs.