Registration sole proprietorship it is free and all formalities can be done online. Although the process itself does not cause much trouble at first, you have to take into account some new obligations that pass on to the owner. This legal form has an impact not only on the initial shaping of the business, but also on the way in which it is run. Important to pay attention to ZUS costs and legal responsibility for the undertaken obligations.
Economic activity (in this case, self-employment) is an organized gainful activity, e.g. manufacturing, construction, service or trade. It is also the exploration, extraction and recognition of minerals from deposits. According to the definition, it also includes the use of all things and intangible assets on one’s own behalf, regardless of the achieved result. However, it is important that the way of driving is uninterrupted and constant.
To set up an individual economic activity, several conditions must be met. The most important thing is full legal capacity and making decisions, as well as being accountable for your actions. In a word – the founder must be an adult. Minors may set up a sole proprietorship only with the consent of statutory representatives (usually parents). Citizens of the European Union Member States who are not Polish citizens undertake to run their own business on the same terms as the members of the nation. The same rules also apply to people from non-EU territories that they have permanent residence permit or temporary (for a specific purpose) or long-term EU resident.
When is it not necessary to register a business?
Before starting a business, it is worth finding out if it is necessary to register it with the national registry as it is Central Register and Information on Economic Activity (CEIDG). Entry here is made not only by self-employment applicants, but also by entrepreneurs who want to become partners of a civil law partnership. If the expected revenues are small, the activity can be carried out without additional formalities and obligations. However, for this to happen, a few basic rules set out by law must be met.
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You do not need to register a business if its income does not exceed 50% in any month. national minimum wage. Owner (a natural person) cannot perform activities within a civil law partnership or conduct business within the last 60 months. Business must be unregulated which means it does not require a license or any other appropriate permits.
How to choose a company name?
Before starting the company registration, it is important to choose a name that complies with the guidelines. Its content must include the name of the owner specified in the nominative name. Pay special attention to the order of the above-mentioned words as they cannot be interchanged. It is worth adding descriptive words to this obligatory element business profile or the place where it will be conducted. Other terms such as the owner’s nickname are also allowed. It must be remembered that you cannot have several separately registered businesses, but you can run many different forms of business under one entry.
How to set up a sole proprietorship?
Thanks to the one-stop-shop principle, registering your own company is not complicated, fast and free of charge. How to set up a sole proprietorship via the Internet? It is enough to complete the application via the form on the CEIDG website. Then you have to go to the office within 7 days of sending the documents to confirm the registration. For people who have e-PUAP trusted profile or electronic qualified signature, setting up a company is fully remote.
To start sole proprietorship, you must specify the address to which it will be registered. It can be conducted in one or more places, but it is necessary to present a legal title to each reported real estate. It is not necessary to assign a company to any specific building. Although the future owner has complete freedom in this regard, it is worth choosing a permanent delivery address to which correspondence will be sent.
One-person business activity – taxation
Each owner of a sole proprietorship is required to pay personal income tax (PIT). There are four different forms of taxation to choose from – according to the 17% scale. and 32 percent or a flat rate of 19%, lump sum on recorded revenues or according to the assumptions of the tax card. The first option means that the trader will be subject to the general rules. Second – flat rate – indicates that the subject of taxation is income, while in the case of the third – the achieved income. The last solution is to define the type and size of activities for which the decision of the tax head is issued.
Conducting a sole proprietorship involves additional responsibilities, although the registration itself is usually smooth. It must be remembered that starting your own business cannot be triggered by an impulse, so it is worth consulting a tax advisor or accountant before making a decision, and you should also follow the market beforehand.
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