Business in Russia

Did you know that Russia is, in fact, a great place for doing business? There are several reasons for it.  
Firstly, starting a business in Russia is simple. A company can be registered within just a few business days. There are no extensive regulations and license requirements.
Secondly, starting a business in Russia is cheap. You don't need to have big capital. Rental and utility fees are rather low. Russia has many qualified professionals with lower salary expectations compared to their Western colleagues.
Thirdly, running a business in Russia is easy. The competition in Russia is not as strong as in the U.S. or the EU. Entering the market became even easier after some brands left Russia because of geopolitical tensions. There are numerous business opportunities especially in IT & high-tech sectors, education, finance & investments, farming, retail and hospitality industry.
Finally, running a business in Russia is profitable. In addition to low expenses, small businesses enjoy simplified taxation with the tax rate as low as just 6%. Vast domestic market and easy access to CIS, East Asian, South Asian and Middle Eastern markets guarantee you will always have enough clients.  

How to register a company in Russia?

When you have a business idea and a business plan, registering a company is usually the next thing you need to do to start your own business in Russia. Here is a step-by-step instruction on how to register a company in Russia.
Step 1. Find a legal address. Each company should have a legal address where it can receive mail from the Federal Tax Service. The company may be registered at a rented address or at a home address of its owner/CEO.
Step 2. Choose taxation system. Most businesses are eligible for a simplified taxation system: you may choose to pay either a 6 per cent income tax or a 15 per cent profit tax.
Step 3. Prepare the application paperwork. To register a company you will need to prepare a filled in application form, a company charter, an owner's decision to set up the company and a document confirming the legal address. Don't forget to pay the state duty for the company registration, it is just 4,000 Rub.
Step 4. Submit the paperwork to the Tax Service. Company registration takes just 3-4 business days. When your company is registered, you will get an extract from the State registry and a corporate tax ID.
Step 5. Open a bank account. Choose the bank and follow its instructions. Alfa Bank, Tinkoff Bank, Sberbank and Tochka Bank are the most popular for corporate banking.

Can I work for my Russian company? 

Any foreign citizen can register and own a company in Russia. However, not everyone can take the company's CEO position. To become a company's CEO a person needs to have Russian citizenship, residence permit or a work visa and a work permit.
A work permit can be processed by the Immigration Department upon your company's request. A temporary CEO will be required to handle this procedure.

Corporate taxes in Russia 

Russian small businesses are eligible for simplified corporate taxation. If a company has less than 100 employees and its annual income is below 150 million rubles (about $2 million), it can choose to pay either a 6 per cent corporate income tax or 15 per cent corporate profit tax (which is to be paid for the difference between income and expenses). No other taxes should be paid under simplified taxation system.
If the company doesn't qualify for simplified taxation, it should pay a profit tax (20 per cent) and a value added tax (0-20 per cent). In some special cases a property tax, water tax, mineral tax may apply.
In addition to taxes, Russian businesses are expected to make insurance payments for their employees. The rates are linked to their salaries and amount to: 22 per cent for pension insurance, 2.9 per cent for social security insurance and 5.1 per cent for medical insurance.

Our services

Consultation on doing business in Russia
We offer:
- An online call (by Skype / Zoom / WhatsApp / etc.) with our attorney;
- Consulting on business and investment opportunities, registration procedures, taxation, corporate and labor legislation;
- Answers to any of your Russia-related questions.
Cost: $119
Business registration
We offer:
- Consulting on the company type, taxation system, registration procedures;
- Preparing the application paperwork;
- Legal address;
- Temporary Russian director;
- Legal support with the employment paperwork.
Cost: From $499
Running a business in Russia
We offer:
- Legal address;
- Accounting services;
- Mailing & office services;
- HR services.
Cost: From $99 per month
Legal support for business
We offer:
- Legal consulting and legal opinions on Russian civil, labor, commercial & administrative legislation;
- Legal paperwork: service & employment contracts, sales contracts, confidentiality agreements, powers of attorney, statements of claim;
- Trademark registration & intellectual property protection;
- Translation, apostille & notary services.
Cost: $30 per hour