Setting Up a Business in Greece: A Complete Guide to Company Setup in Greece

Starting a business in Greece offers exciting opportunities, especially for international investors seeking to tap into the country’s strategic location, skilled workforce, and growing economy. However, navigating the legal, financial, and administrative landscape can be challenging without clear guidance. In this comprehensive guide, I will walk you through the essential steps and considerations for company setup in Greece, providing practical advice to help you establish your business smoothly and confidently.

Office lobby view in a modern office building in Athens

Understanding Company Setup in Greece: Key Steps and Requirements

Setting up a company in Greece involves several stages, each with specific legal and procedural requirements. Here’s a clear breakdown of the process:

1. Choose the Type of Business Entity

   Greece offers various business structures, but the most common for foreign investors are:

2. Private Company (IKE): Limited liability, flexible, and popular for small to medium enterprises.

3. Société Anonyme (AE): Suitable for larger companies, requires a minimum share capital.

5. General Partnership (OE) and Limited Partnership (EE): Less common for foreign investors due to unlimited liability concerns.




6. Reserve Your Company Name

   Before registration, you must check and reserve your company name with the General Commercial Registry (GEMI). This ensures your chosen name is unique and complies with Greek naming rules.

   
   

7. Draft the Articles of Association

   This document outlines your company’s purpose, structure, and operational rules. It must be notarised by a Greek notary.

   
   

8. Deposit the Initial Capital

   Depending on the company type, you will need to deposit the minimum required capital in a Greek bank. For example, an AE requires at least €25,000, while an IKE has no minimum capital requirement.

   
   

9. Register with the General Commercial Registry (GEMI)

   Submit all necessary documents, including the Articles of Association, proof of capital deposit, and identification documents. Registration typically takes a few days.

   
   

10. Obtain a Tax Identification Number (TIN) and VAT Number

    Your company must register with the Greek tax authorities to receive a TIN and VAT number, essential for tax compliance and invoicing.

    
    

11. Register with Social Security and Labour Authorities

    If you plan to hire employees, you must register with the relevant social security funds and comply with Greek labour laws.

    
    

12. Open a Business Bank Account

    A dedicated business account is necessary for managing company finances and transactions.

    
    

By following these steps carefully, you can ensure your company setup in Greece is legally compliant and positioned for success.

Navigating Legal and Regulatory Frameworks for Company Setup in Greece

Understanding the legal environment is crucial when establishing a business in Greece. Here are some important considerations:

• Corporate Governance: Greek companies must appoint directors and, depending on the entity type, a board of directors. Transparency and compliance with corporate governance rules are mandatory.

  
  

• Licensing and Permits: Certain industries require special licenses or permits, such as tourism, food services, and financial services. Check with local authorities to ensure you meet all sector-specific requirements.

  
  

• Employment Law: Greek labour laws protect employee rights, including contracts, working hours, minimum wages, and social security contributions. Familiarise yourself with these regulations to avoid legal issues.

  
  

• Accounting and Reporting: Companies must maintain accurate accounting records and submit annual financial statements. Hiring a local accountant or consulting firm can help you stay compliant.

  
  

• Intellectual Property: Protect your trademarks, patents, and copyrights by registering them with the Hellenic Industrial Property Organisation (OBI).

  
  

By addressing these legal aspects early, you reduce risks and build a solid foundation for your business.

Does Greece Tax US Income?

One common question for international investors is how Greece taxes income earned by US citizens or entities. Here’s what you need to know:

• Tax Residency: Greece taxes individuals and companies based on residency. If you are a tax resident in Greece (spending more than 183 days per year), you are subject to tax on your worldwide income.

  
  

• Double Taxation Treaty: Greece and the United States have a double taxation treaty to prevent the same income from being taxed twice. This treaty allows for tax credits or exemptions on certain types of income.

  
  

• Corporate Tax: Greek companies pay corporate tax on their profits at a rate of 22% (as of 2024). If you operate a business in Greece through a Greek company, profits generated locally are taxable in Greece.

  
  

• Personal Income Tax: US citizens residing in Greece must report their global income to both countries but can claim relief under the treaty.

  
  

• Social Security Contributions: If you work in Greece, social security contributions are mandatory and separate from income tax.

  
  

Understanding these tax rules is essential for effective financial planning and compliance. Consulting a tax advisor familiar with both Greek and US tax systems is highly recommended.

Practical Tips for a Smooth Company Setup in Greece

From my experience, here are some actionable recommendations to make your company setup in Greece as smooth as possible:

• Engage Local Experts Early: Lawyers, accountants, and consultants familiar with Greek business law can save you time and prevent costly mistakes.

  
  

• Prepare All Documents in Advance: Greek bureaucracy can be slow, so having all paperwork ready and correctly translated (if necessary) speeds up the process.

  
  

• Understand Cultural Nuances: Building relationships and trust with local partners and authorities can facilitate smoother interactions.

  
  

• Plan Your Finances Carefully: Account for initial capital requirements, taxes, and operational costs. Greece offers various incentives for foreign investors, so explore available grants or subsidies.

  
  

• Use Digital Tools: Many government services are now online, making registration and compliance easier. Familiarise yourself with platforms like GEMI and TAXISnet.

  
  

• Consider Location Strategically: Athens and Thessaloniki are business hubs, but regional areas may offer cost advantages and incentives.

  
  

If you want to learn more about how to set up a company in Greece, this resource provides detailed guidance tailored to international investors.

Long-Term Success Strategies for Your Business in Greece

Setting up your company is just the beginning. To thrive in Greece’s competitive market, consider these long-term strategies:

• Build a Strong Local Network: Connect with industry associations, chambers of commerce, and local business communities.

  
  

• Stay Updated on Regulatory Changes: Greek laws and tax policies can evolve, so continuous monitoring is essential.

  
  

• Invest in Marketing and Branding: Tailor your marketing to the Greek market, respecting local preferences and language.

  
  

• Focus on Quality and Innovation: Greek consumers and businesses appreciate high-quality products and innovative solutions.

  
  

• Leverage Greece’s EU Membership: Use Greece as a gateway to the European market, benefiting from trade agreements and EU funding programmes.

  
  

• Plan for Scalability: Design your business model to adapt and grow, whether through new products, services, or geographic expansion.

  
  

By adopting these approaches, you position your company for sustainable growth and profitability in Greece.

Setting up a business in Greece is an exciting journey filled with opportunities and challenges. With careful planning, expert advice, and a clear understanding of the local environment, you can establish a successful company that benefits from Greece’s unique advantages. Whether you are investing in real estate, technology, or any other sector, this guide aims to equip you with the knowledge and confidence to take the next step.

By Ioannis Grimpilas, Managing Director, BLUE WHITE CONSULTING

About the Author: Ioannis Grimpilas is the Founder and Managing Director of BLUE WHITE CONSULTING, a Greek real estate advisory firm specializing in development management and property services for international investors. With over 30 years of experience in real estate and a host of properties under management, Ioannis and his Team have helped Austrian, Canadian, French, Australian, German, American, Brazilian, just to name a few, investors successfully enter and profit from the Greek market.