A foreigner can run a business in Poland, but not always in every legal form. Your citizenship and residence document decide whether you may set up a JDG (sole proprietorship) or whether a company – most often an sp. z o.o. (limited liability company) – is the only option. In this article we explain who can start a business in Poland in 2026 and on what terms, how the two routes differ, how to get a PESEL (national ID number) and NIP (tax identification number), where to get a business address in Warsaw and how accounting works if your Polish is limited.
The rules for foreigners starting a business are set out in the Act on the Rules for the Participation of Foreign Entrepreneurs and Other Foreign Persons in Business Transactions in Poland (consolidated text Journal of Laws (Dz.U.) 2026 item 1313). Check your residence status before registering – it decides whether you can run a JDG
Who can set up a JDG in Poland
Citizens of other European Union countries and of EFTA countries in the European Economic Area can run a business on the same terms as Poles – Article 4(1) read with Article 3 point 6 of the Act. Citizens of other countries have the same right if they meet one of the conditions in Article 4(2), including if they:
- hold a permanent residence permit or an EU long-term resident permit,
- hold certain temporary residence permits (listed in the Act), refugee status, subsidiary protection or a permit to stay on humanitarian grounds or a tolerated stay,
- hold a temporary residence permit and are married to a Polish citizen living in Poland,
- benefit from temporary protection in Poland,
- hold a valid Pole's Card (Karta Polaka).
People outside these groups can only do business through a company: a limited partnership, a limited joint-stock partnership, an sp. z o.o., a simple joint-stock company or a joint-stock company (Article 4(3)). The residence rules for Ukrainian citizens have changed several times in recent years – before registering, check on what basis you are staying in Poland today.
| Foreigner's situation | JDG in CEIDG | Sp. z o.o. in KRS |
|---|---|---|
| EU or EEA citizen | yes | yes |
| permanent residence, EU long-term resident, Pole's Card | yes | yes |
| temporary protection, refugee status, subsidiary protection | yes | yes |
| other residence basis or living abroad | no | yes |
JDG or sp. z o.o.: the key differences
A JDG is registered free of charge in CEIDG (Central Register and Information on Economic Activity), and the owner is liable for the business's debts with all their assets. The owner pays ZUS (Social Insurance Institution) contributions from the business (with start-up reliefs) and settles tax under the tax scale (12% and 32%), the flat 19% tax (podatek liniowy) or ryczałt (flat-rate tax on recorded revenue). Accounting is simplified: the KPiR (tax revenue and expense ledger) or revenue records.
An sp. z o.o. requires share capital of at least PLN 5,000 (Article 154 § 1 of the Commercial Companies Code) and entry in KRS (National Court Register). As a rule, the company is liable for its obligations. A shareholder in a multi-shareholder company does not pay ZUS contributions merely for holding shares, but the sole shareholder of a single-member sp. z o.o. is insured in the same way as a person running a business (Article 8(6) point 4 of the Social Insurance System Act). The company pays CIT (corporate income tax), and profit distributions are taxed again at the shareholder level. A company must keep full accounting and prepare financial statements every year, so its accounting costs more – you will find a cost comparison in the article How much does accounting cost in Warsaw: JDG and company.
An sp. z o.o. whose shareholder is a foreigner not covered by Article 4(1)–(2) has one additional restriction: that person may not perform recurring non-monetary contributions for the company under Article 176 of the Commercial Companies Code (Article 4(3a) of the Act).
Registering a JDG: CEIDG, PESEL and NIP
A JDG is registered with an application to CEIDG. The same application serves as the identification notification to the tax office (urząd skarbowy), so the NIP is assigned as part of registration (Article 5(5a) and Article 5a of the Act on the Rules of Registration and Identification of Taxpayers and Payers). The application is also used to register with ZUS and to provide statistical data (REGON (statistical number)).
A foreigner applying to CEIDG must have a PESEL number or an EU identifier for cross-border electronic identification (Article 4(9) of the Act, added by the amendment of 13 March 2026, Dz.U. 2026 item 507). In practice this means it is worth getting a PESEL before registering the business.
The application states a delivery address (public in CEIDG) and a residential address (for the authorities). A fixed place of business is optional. Businesses should also have an address for e-Doręczenia (e-Delivery) – the authorities increasingly correspond this way. If you expect sales above PLN 240,000 a year or services excluded from the exemption, you will need to register for VAT – we describe this in the article on VAT and EU VAT registration.
Registering an sp. z o.o.: S24 or a notary
An sp. z o.o. can be set up through the S24 system (template articles of association) or before a notary. Registration via S24 is only possible if every signatory has an account in the system and an accepted electronic signature – a Trusted Profile (Profil Zaufany), a personal signature or a qualified signature. A Trusted Profile and a personal signature require a PESEL number, so foreigners often use a qualified signature or articles of association in the form of a notarial deed (with a sworn translator if they do not speak Polish).
After entry in KRS the company:
- receives its NIP and REGON automatically from the register,
- within 21 days reports supplementary data to the tax office on form NIP-8 – including bank accounts and details of the entity keeping its books (Article 5(2c) of the Act on the Rules of Registration and Identification of Taxpayers and Payers),
- reports its beneficial owners to the Central Register of Beneficial Owners (CRBR),
- registers for VAT (VAT-R) if needed.
A business address in Warsaw: virtual office
A foreigner without their own premises in Poland needs an address for the business: for a JDG – a delivery address in CEIDG, for a company – a registered office and address in KRS. One solution is a virtual office, i.e. an address with mail receipt and scanning. Remember that for a JDG the tax office is, as a rule, determined by the owner's place of residence, not by the business address, and for a company – by its registered office.
In our group the virtual office is provided by two offices: VBIURO in Wola and VSTREFA in Śródmieście. With an accounting contract at VKSIĘGOWOŚĆ, the address in the OFFICE + ACCOUNTING package costs PLN 29 net per month (accounting paid separately). You sign the address contract with the business that runs the chosen office.
Taxes and accounting if you do not speak Polish
Polish law does not allow accounting in another language. Accounting books and the KPiR are kept in Polish and in Polish currency (Article 9 of the Accounting Act, § 6 section 1 of the KPiR regulation). Documents in a foreign language – e.g. invoices from foreign customers – can be entered in the records, but at the request of an inspection authority you must provide a reliable Polish translation (Article 21(5) of the Accounting Act, Article 189 § 3 of the Tax Ordinance Act (Ordynacja podatkowa)).
Tax residence also matters. A person whose centre of vital interests is in Poland or who stays here for more than 183 days a year has unlimited tax liability in Poland (Article 3(1a) of the PIT (personal income tax) Act). Income from a business carried on in Poland is, as a rule, taxed here even for a non-resident, taking double tax treaties into account.
Example: Ms Olena, a Ukrainian citizen benefiting from temporary protection in Poland, has a PESEL number and wants to provide graphic design services. She registers a JDG in CEIDG, gives the virtual office address in Wola as her delivery address and outsources her simplified accounting to an accounting office. Her client in Germany sends an order in English, and Ms Olena passes the invoice and the transfer confirmation to the office through the client portal.
A foreigner's business at VKSIĘGOWOŚĆ
The VKSIĘGOWOŚĆ website, order form and client portal are available in Polish, English and Ukrainian. We provide accounting for businesses, sole proprietorships and companies: businesses registered in CEIDG get simplified accounting (from PLN 100 net per month), companies registered in KRS get full accounting (from PLN 200 net), depending on the number of documents. You can sign the contract with a Trusted Profile, a qualified signature or in person at our office in Wola or Śródmieście. The accounting fee covers preparing the VAT-R and NIP-8 filings. If you would rather start with a company already entered in KRS, see ready-made companies. You can place your order through the form.
