Romania
8 company types available โ choose the structure that fits your business.
Last verified: June 13, 2026
Why Incorporate in Romania?
Romania has rapidly emerged as one of the most attractive jurisdictions in the European Union for tech startups, freelancers, and international entrepreneurs. Offering a unique combination of low operational costs, a highly skilled multilingual workforce, and an exceptionally favorable tax regime, Romania provides a strategic gateway to the European single market.
The Microenterprise Tax Advantage
One of the biggest draws for foreign founders is the Romanian microenterprise tax regime. As of 2026, companies generating up to โฌ100,000 in annual revenue and employing at least one full-time worker can benefit from a remarkable 1% tax on revenue. For companies exceeding this threshold or opting out, the standard corporate income tax is a flat 16%, which remains highly competitive compared to Western European averages.
Business Environment and Infrastructure
Romania is globally recognized for its outstanding digital infrastructure. Consistently ranking among the top countries worldwide for fixed broadband internet speeds, it is an ideal base for digital nomads and IT businesses. The capital, Bucharest, along with cities like Cluj-Napoca and Timiศoara, are thriving tech hubs.
- Fast Incorporation: Setting up a Limited Liability Company (SRL) is straightforward, with a minimum share capital of just 1 RON.
- Remote Setup: Founders can incorporate their business entirely remotely via power of attorney.
- Talent Pool: Ranked 11th globally in English proficiency, the local workforce is highly educated, particularly in engineering and software development.
Banking and Compliance
While incorporating is fast, opening a traditional corporate bank account as a non-resident director can involve strict compliance checks. However, the ecosystem is well-adapted to modern fintech solutions, and many Romanian entities successfully operate using digital banking platforms. Accounting requirements are strict, and maintaining a local accountant is highly recommended to navigate VAT registration and payroll compliance.
Why incorporate in Romania?
- Highly competitive 1% microenterprise tax rate for businesses with revenues up to โฌ100,000.
- Standard corporate tax rate of 16%, which is among the lowest in the European Union.
- Exceptional digital infrastructure, ranking 11th globally for fixed broadband internet speed (283 Mbps).
- Access to a highly skilled, multilingual workforce with strong English proficiency (ranked 11th globally).
- Low cost of living and operational costs compared to Western European countries.
- Strategic geographic location providing access to the EU single market and the Balkans.
Key facts
- Capital
- Bucharest
- Population
- 18.8 million
- Currency
- Romanian Leu (RON)
- GDP per capita
- $25,693
- Corporate tax
- 16% standard rate, 1% for microenterprises (up to โฌ100,000 revenue)
- EU member
- Yes
- OECD member
- No
- FATF member
- No
Economy & ecosystem
- Startup ecosystem rank
- #48
- Global innovation rank
- #49
- Internet speed
- 283 Mbps
- Cost of living index
- 40.6
- English proficiency
- Very High (11th globally)
Notable industries
Choose your entity type
Different structures have different tax, liability, and compliance rules. Compare them below.
Limited Liability Company (SRL)
- Tax
- 16.0%
- From
- $30
Joint Stock Company (SA)
- Tax
- 16.0%
- From
- $50
PFA (Sole Proprietorship)
- Tax
- 10.0%
- From
- $50
Branch Office
- Tax
- 16.0%
- From
- $50
Representative Office
- Tax
- 0.0%
- From
- $1,200
General Partnership (SNC)
- Tax
- 16.0%
- From
- $50
Limited Partnership (SCS)
- Tax
- 16.0%
- From
- $35
Partnership Limited by Shares (SCA)
- Tax
- 16.0%
- From
- $100
Frequently asked questions
Can a foreigner open a company in Romania?
Yes, 100% foreign ownership is allowed. You do not need to be a resident to form an SRL (Limited Liability Company).
What is the microenterprise tax regime?
It is a special tax regime where companies with annual revenues under โฌ100,000 and at least one full-time employee pay a 1% tax on revenue instead of the standard 16% profit tax.
How long does it take to incorporate an SRL in Romania?
Once all documents are prepared and submitted to the Trade Register, incorporation typically takes 3 to 5 working days.
Do I need to visit Romania to open a company?
No, you can incorporate remotely by granting a power of attorney to a local representative or lawyer to handle the registration process.
What is the minimum share capital for an SRL?
The minimum share capital requirement for an SRL was reduced to just 1 RON (less than $1), making it highly accessible for founders.
Is it easy to open a corporate bank account in Romania?
While local banks have strict KYC procedures for non-residents, it is possible. Many founders also use digital banking platforms like Revolut Business or Wise to manage their finances.
Does Romania offer a digital nomad visa?
Yes, Romania introduced a digital nomad visa allowing remote workers to live in the country for up to a year, provided they meet specific income requirements.
Are dividends taxed in Romania?
Yes, the dividend tax rate in Romania is currently 8%, which is applied when profits are distributed to shareholders.