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Company Formation Russia



Establish a Branch in Russia

Updated on Wednesday 13th December 2017

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establish a branch in Russia.jpgThe Law 1999 on foreign investments regulates the establishment and operations of the branches in Russia.

The Russian branches are chosen by the companies which prospect the Russian market before taking the decision of opening a limited liability company or a public limited liability company.

The liability for the branch’s actions belongs to the foreign company and the branch can take very few decisions without the consent of it.

The legal requirements for opening a branch in Russia

There is an obligation to receive an accreditation from the State Chamber of Registration by the branches before starting the operations. The accreditation can be also received from the Chamber of Trade and Commerce or various Ministries of the Russian Government. There is an accreditation tax that has to be paid before registration at the State Chamber of Registration and a state duty that must be acquitted.

For registration of a branch in Russia, it’s advisable to consult a lawyer because of the big amount of documents that has to be deposited.

The below information and documents are necessary in order to register a branch with the State Registration Chamber:

- the foundation deeds and company’s charter,

- the certificate of incorporation,

- the certificate of registration,

- an extract from the foreign trade register where the company is registered (or the certificate of good standing),

- the decision of opening a branch in Russia,

- the internal rules of the branch,

- a certificate from the foreign bank, where the company is keeping its accounts regarding the good stand of it,

- the general power of attorney for the branch’s representative,

- the power of attorney for subscribing the documents in the name of the foreign company,

- tax certificate and the specific tax identification number,

- certificate of payment of the registration duty.

All the documents must be notarized and legalized in the country of origin and accompanied by a notarized Russian translation.

After accreditation, the Russian branch must register with the Tax authorities, State Committee for Statistics, pension fund, social security fund and Obligatory Medical Insurance fund.

No minimal share capital is requested for establishing a branch in Russia. The initial capital is delivered by the foreign company along with the assets.

The management of a Russian branch is assured by a representative vested by the foreign company with powers granted by the power of attorney.

Financial statements of the branch established in Russia must be deposited every year at the tax inspectorate, while the VAT reports must be deposited monthly. Also the balance sheet and the statements of losses and profits of the parent company must be presented to the State Chamber every year.

For opening a branch of your company in Russia, you may contact our  company formation agents who will handle the incorporation procedure as sson as possible.


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