FAQ
Company
Incorporation

Individuals from other countries who wish to establish businesses in Russia have the option to create subsidiaries using a limited liability company structure and a minimum share capital of RUB 10,000. The registration process requires the submission of several important documents, including:

• Articles of association, detailing information about the owners such as their names, nationalities, and residency.
• Notarized foundation deeds and proof of the minimum share capital being held in a Russian bank.
• Evidence of payment for the subsidiary's registration fee.
• A tax registration number provided by the Russian tax authorities.

Additionally, it is important to note that before conducting any business activities, the subsidiary must undergo registration with the Center of Quotation of Work Place in Moscow.

When foreign entrepreneurs decide to start a business in Russia, they have several legal options to choose from. These options are explained in detail below:

1. Establishing a Branch or Permanent Establishment (PE): If the foreign company already has a main business abroad, it is possible to set up and register a branch or PE of the foreign company in Russia. This option allows for a reasonable expansion into the Russian market.
2. Forming a Legal Entity with Foreign Capital: Another option is to create a legal entity in Russia with the involvement of foreign capital. This could be done through the formation of a subsidiary or a joint venture with Russian partners.
3. Registering as an Individual Entrepreneur: Alternatively, foreign entrepreneurs can choose to register as individual entrepreneurs in Russia. This option allows for running a business without the need for establishing a separate legal entity.

These three legal structures provide different avenues for foreigners to establish and operate their businesses in Russia.

To open a company in Russia, it is important to follow these steps:

• Verify and reserve the company name with the Company Registration Office in Russia.
• Prepare the specimen of signatures and the Articles of Association.
• Open a bank account to deposit the minimum share capital of RUB 10,000.
• Register with the Federal Tax Service to obtain an INN (Identification Number) as a taxpayer.
• Obtain the necessary licenses and permits, and then apply for a company seal.
• Open a permanent bank account for future financial operations of the company.
• Register for social contributions if you plan to hire staff for your firm in Russia.

By following these steps, you can successfully establish a company in Russia.

A limited liability company in Russia is known as an OOO. This type of company is well-suited for businesses with foreign capital. Foreign investors can choose to establish an OOO in Russia regardless of their business activity, but it's important to note that certain fields may require a license before practicing commercial activity.

In 2023, the minimum share capital required to establish an OOO in Russia is RUB 10,000. Out of this amount, 50% must be deposited in a temporary bank account before registering the company. Once the registration process is complete, the funds can be transferred to a permanent bank account. The capital of an OOO is divided into units that can be sold to interested parties. Russian OOO requires at least one shareholder. However, the OOO cannot have more than 50 founders, regardless of their residency or nationality. Shareholders in the company can be granted rights exceeding their initial contributions if decided through a unanimous vote by the members of the company.

For more information on how to open an OOO in Russia in 2023 and how to deposit the minimum share capital, you can reach out to our specialists. We are here to assist foreign investors in starting a business in Russia in 2023.

To register a LLC in Russia, the following documents are required:

1. Completed application on form P11001.
2. Founder's decision or minutes of the meeting of the founders of the company.
3. LLC charter.
4. Receipt of payment for state duty.
5. Documents that confirm the legal address.
6. Notification of the chosen tax system.

When companies are formed and registered in the official business register in Russia, they are assigned two unique identification numbers - the registration number OGRN/ОГРН, and the VAT number INN/ИНН. The OGRN is given at the time of registration, whereas the INN is used for all tax purposes.

Please note the estimated processing times for various steps involved in opening a business in Russia:

• Drafting the statutory documents: Approximately 1 day.
• Registration with the Trade Register: Expected processing time is between 2 to 5 days.
• Tax registration: Estimated processing time ranges from 4 to 7 days.
• Obtaining a company seal: It typically takes around 2 to 5 days to acquire a company seal.

These processing times are meant to provide a general idea and can vary depending on various factors and the specific circumstances of each case.