The subsidiary can be a suitable means of expanding a foreign company’s activity to Romania. Our team can help you open a subsidiary in Romania in 2026.
| Quick Facts | |
|---|---|
| Applicable legislation (home country/foreign country) |
Romanian |
| Best Used For
|
Expanding the operations of a foreign company while being able to also engage in other business activities |
|
Minimum share capital for those who open a subsidiary in Romania |
No prescribed minimum for the SRL company |
| Time frame for the incorporation (approx.) |
7 days |
| Documents to be filed by parent company | Filled in application for registration, the general meeting's decision to incorporate the subsidiary, company formation documents for the chosen business form (SRL constitutive documents), proof of name approval, documents for the subsidiary appointed representative and others which may be industry-specific |
| Legal representative required (YES/NO) |
Yes |
| Local bank account in Romania (YES/NO) |
Yes |
| Independence from the parent company | Fully independent |
| Liability of the parent company | The parent company abroad is not liable for its subsidiary in Romania |
| Corporate tax rate for those who open a subsidiary in Romania | The standard corporate income tax rate in Romania of 16% |
| Annual accounts filing requirements | As per the general accounting rules for filing and payment (quarterly submissions, a final income statement and calculation at the end of the financial year) Companies are required to keep their accounting documents at the registered address |
| Possibility of hiring local staff |
Can hire Romanian staff |
| Travel requirements for those who open a subsidiary in Romania | Not mandatory when working through a legally appointed representative with a power of attorney |
| Double tax treaty access (YES/NO) | Yes |
What is a subsidiary?
A subsidiary is a locally registered legal entity, with legal personality, incorporated as a corporation in Romania (see below). It is used by another legal entity to expand its activity.
Unlike the branch, the subsidiary is a separate legal structure from the parent company abroad.
How is the subsidiary incorporated?
The subsidiary can take the form of a:
- SRL: the Romanian private limited liability company;
- SA: the Romanian public limited liability company.
Other types of legal entities are available for incorporation in Romania, however, for the purpose of a foreign legal entity expanding its business, these two are the most used.
What are the main characteristics of the Romanian subsidiary?
The following features are relevant when discussing this business form:
- According to legal provisions, the subsidiary must be registered with the Trade Register in Romania;
- The subsidiary’s articles of association are separate from its parent company; new constitutive documents are drawn up for the purpose of opening this business form;
- The Romanian subsidiary can engage in business activities different from those performed by the mother company;
- The minimum share capital required to open a subsidiary in Romania is 500 RON (approx. 100 EUR);
- From a fiscal standpoint, the subsidiary is considered a distinct entity and it has its own management structure;
- The subsidiary must obtain special permits or licenses for functioning, such as those issued by the Financial Supervisory Authority (ASF) for engaging in various financial services.
In practice, in order to open a subsidiary in Romania in 2026 one has to follow the same steps as those imposed by the registration process of companies.
What documents do I need to register a subsidiary in Romania?
The following documents are required to open a subsidiary in Romania in 2026:
- The filled-in application for registration (original copy);
- The tax registration annex on tax registration, duly filled in;
- Standard statement regarding the fulfilment of the conditions for the operation/development of the activity for the registered office and/or secondary offices or, as the case may be, for third parties;
- Proof of company name check and reservation thereof;
- The Articles of Incorporation for the subsidiary, original copy. These are drafted according to the chosen business form, usually the SRL or the SA;
- The document certifying the right of use over the space intended for the registered office and, if applicable, the document attesting the right of use over the space intended for secondary office;
- The founder’s identification documents of the founders. Alternatively, those of the administrators, censors or auditors of natural persons (certified copy by the party) should be provided;
- As the case may be, the affidavit of the natural person who is a foreign citizen who will act in their own name as a representative of the foreign legal entity (and who is not fiscally registered in Romania). In this case, the original documents and the legalized translations will be provided;
- Information from the tax record of individuals who have the obligation to present the tax record certificate (obtained from the tax authorities).
As far as the parent company is concerned, the following will be provided for the registration of the subsidiary in Romania:
- The foreign company’s registration certificate;
- An extract from the Trade Registry in the foreign company’s country of origin. This should clearly name the shareholders, administrators, beneficiaries, and the company’s activities.
The documents above must be translated, notarized and must have an apostille (as required). Our team can give you more details about these requirements.
You can also watch the short video below for more information:
Must I open a bank account in Romania for the subsidiary?
Yes. A locally registered legal entity has a corporate bank account opened with a bank of choice.
Our team can provide a bank account opening package that includes the corporate bank account with internet banking and debit card. The cost is 450 euros.
The subsidiary’s director/appointed representative must travel to Romania to personally sign the bank account opening documents.
Contact our team of Romania company incorporation specialists if you wish to know more about the subsidiary or any other type of business form.