In this article we will explain the requirements of founding capital in a company in Slovenia, EU. We will write about which types of companies need founding capital and when there is no need to deposit it. You can also learn about in what way you can show this founding capital and for which purposes you can use it.
When do you need to deposit founding capital?
When establishing an LTD company, you have to deposit founding capital. The minimal amount of founding capital has to be at least 7.500€. This is the amount that the shareholders have to deposit in order for the LTD registration to be successful. Each shareholder has to deposit the part of the amount of which he is shareholder. For example, if there are two shareholders and each on has a 50% share in the company, each has to deposit 3.750€.
Also, in case of establishing a subsidiary, you need to deposit founding capital. As a subsidiary is also a LTD company, where the owner is another legal entity instead of natural person, the minimal amount of founding capital is also 7.500€. When establishing a subsidiary, the parent company has to provide the founding capital through bank transfer.
When you not need to deposit founding capital?
Establishing a branch office does not require founding capital. A branch office is not a separate legal entity but a part of the parent company. Because of that it does not need funds with which it would be liable for business conduct. This is because the parent company is responsible for the branch office’s business conduct.
Establishing a sole proprietorship (s.p.) in Slovenia also does not require founding capital. This is because a sole proprietorship connects to an individual person. This means that that person is liable for business conduct with all his or her personal assets. You can establish a sole proprietorship in Slovenia, if you are an EU citizen or if you have been living in Slovenia for at least 1 year.
Ways of depositing founding capital of a company in Slovenia
LTD establishment requires that the founding capital in the minimal amount of 7.500€ is deposited, otherwise the company cannot be established. The most common way to deposit it is either in cash or through bank transfer from the shareholder’s personal bank account. You can only do this, once the act of company establishment is made and you have opened a temporary bank account at a bank in Slovenia. In case of establishing a subsidiary, the funds have to come through bank transfer from the parent company’s bank account.
There is another possibility – in-kind assets. This means that the shareholders can put in the company real estate, rights, companies or shares of companies as assets in the amount of at least the minimal prescribed founding capital. You have to register this company type at the notary and you need to do the legal assessment of the worth of the assets beforehand.
Using founding capital of a company
Once the company is officially registered, the company can use its funds for business conduct. The company can spend it for business expenses such as paying salaries, taxes and other corporate expenses. You cannot withdraw the money after company registration and the shareholders can only receive compensation after the yearly financial report. If the financial report shows profit, the shareholders can receive dividends from the company after paying corporate income tax.
The shareholders have to ensure that during the whole course of the company they can present the amount stated in the founding capital. They can do so by showing the company’s fixed assets, funds on the corporate bank account by generating income or shareholder’s loans, etc.
Establish a company in Slovenia with the support of Data!
If you have decided to open a company, Data would be happy to offer you support. We can assist you to establish any type of company mentioned in this article. Data can help you to obtain the necessary documents for company establishment. Also, you can register an LTD or s.p. at our One-Stop Shop (VEM/SPOT point) free of charge.
We also offer services of accountancy for each company type, so you can be sure that your company’s bookkeeping is done in accordance to Slovenian accountancy standards.
Our legal department would be happy explain which company type suits the needs of your business conduct best. In addition, they can draft contracts should you need them.
We also offer services of virtual office, if your company needs a business address.
If you are considering opening a company, you can write to us on our email [email protected]. You can also contact us over the phone 00386 1 6006 270 or 00386 40 530 718 (Viber, WhatsApp). You can also follow us on Facebook.