Romania: Your simplified and strategic gateway to Europe
With tax advantages, a simplified registration process, and strong support for startups, Romania makes business expansion seamless. The National Trade Register Office (ONRC) ensures clear and efficient company registration, whether you’re a local entrepreneur or a foreign business looking to establish a foothold.
Situated at the crossroads of Europe, Romania offers access to a skilled workforce and competitive operating costs, making it a smart choice for businesses of all sizes. From registering your business to navigating compliance, Romania’s business-friendly environment is designed to help you grow and scale with ease.
The business benefits of registering your company in Romania
Romania is steadily becoming a strategic hub for businesses aiming to expand into Europe. Its blend of cost efficiency, progressive business frameworks, and untapped growth potential positions it as an ideal choice for forward-thinking companies.
Here’s why Romania is a great choice for your business:
- Retain more profits with Romania’s competitive corporate tax rates.
- Register your company with ease using the streamlined process managed by the National Trade Register Office (ONRC).
- Start small—Romania offers low minimum capital requirements for many business types.
- Gain access to a skilled, cost-effective workforce and a growing economy.
- Simplify compliance with clear, business-friendly regulations.
- Expand into the European Union’s single market for broader growth opportunities.
For HR professionals and business leaders, Romania offers a rare balance—streamlined compliance and operational simplicity alongside access to a skilled workforce and competitive advantages.
Next, we’ll explore your options—standard company registration, setting up a legal entity, or using an Employer of Record (EOR)—so you can choose the best fit for your goals.
What is the difference between standard company registration and EOR?
Romania provides two key pathways for establishing and managing a business, each tailored to different operational needs:
Aspect | Standard Registration | Employer of Record (EOR) |
Purpose | Create a legal entity with full ownership of operations and finances. | Hire employees in Romania without forming a local entity—EOR handles legal and administrative requirements. |
Control | Full control over operations, finances, and decision-making. | Manage your workforce directly while the EOR takes care of compliance.. |
Compliance | You’re responsible for meeting all local tax, labor, and reporting requirements. | The EOR ensures compliance with Romanian labor laws, taxes, and regulations. |
Setup Time | Time-intensive, involving documentation, legal approvals, and registrations. | Quick setup, allowing you to onboard employees almost immediately. |
Cost | Includes setup fees, legal expenses, and operational costs for maintaining a local entity. | A flat service fee to the EOR, often more cost-efficient for short-term or smaller operations. |
Scalability | Ideal for long-term investments and businesses requiring a physical presence in Romania. | Flexible and perfect for scaling your workforce without the burden of setting up an entity. |
For full autonomy, standard company registration gives you control but requires a significant investment of time and resources. For fast, compliant workforce expansion without the complexities of setting up a local entity, EOR is the ideal solution.
Next, we’ll explore how EOR simplifies onboarding and compliance in Romania.
How an EOR simplifies business setup in Romania
An Employer of Record (EOR) provides a streamlined approach to hiring local talent, ensuring compliance, and managing administrative processes—all without needing to establish a legal entity.
Here’s how an EOR supports businesses in Romania.
- Skip the complexities of setting up a local entity. An EOR acts as your legal employer, enabling you to focus on growth from day one.
- Offload payroll, tax filings, and administrative responsibilities. The EOR manages these tasks efficiently, freeing up your resources.
- Stay compliant with Romanian labor laws and tax regulations through the EOR’s expertise, minimizing legal and compliance risks.
- Save costs by avoiding entity setup and redirecting funds toward scaling your operations or workforce.
- Scale your team flexibly, adapting to market needs without the commitment of forming a local entity.
- Access Romania’s highly skilled and cost-efficient workforce without navigating the challenges of local employment practices.
- Offer attractive, locally compliant benefits to secure top talent, with all administration handled by the EOR.
- Mitigate risks and operate confidently, knowing your business adheres to Romanian regulations.
An EOR simplifies your business setup in Romania, allowing you to focus on achieving your strategic goals while staying fully compliant.
A step-by-step guide to registering a company in Romania
Romania’s structured processes and support systems make business registration clear and manageable. Follow these steps to get started:
Step 1: Choose the right business entity and name
Establishing a local entity in Romania often involves navigating a complex and time-consuming process. However, leveraging an EOR can streamline your market entry and enable you to start operations immediately.
An EOR serves as your legal employer in Romania, managing key responsibilities such as recruitment, onboarding, payroll processing, tax compliance, and adherence to Romanian labor regulations. This allows you to prioritize business growth while delegating administrative and legal tasks to the EOR.
If creating a local entity remains part of your strategy, choosing the appropriate business structure is critical. It directly impacts your legal obligations, tax exposure, and operational flexibility, shaping your capacity to adapt to Romania’s dynamic business environment.
Common business entities in Romania:
- Limited Liability Company (SRL): Ideal for small to medium-sized businesses, offering limited liability and straightforward setup.
- Joint Stock Company (SA): Suitable for larger companies planning to raise capital through public offerings.
- Sole Proprietorship (PFA): Best for individual entrepreneurs but involves unlimited personal liability.
Naming your company:
Your company name must be unique and comply with Romanian naming conventions. Check name availability using the National Trade Register Office (ONRC) portal.
Step 2: Prepare and submit the necessary documentation to the National Trade Register Office (ONRC)
Once you’ve decided on your business structure, compile the required documents and submit them to the ONRC.
Required documents:
- Articles of Association
- Identification documents for shareholders and administrators
- Proof of a registered office address
- Capital deposit confirmation (where applicable)
- Special permits or authorizations (if needed for your business activities)
Submission process:
You can register your company by visiting the ONRC office in person or through the online platform for remote submissions.
Step 3: Open a business bank account in Romania
A local bank account is essential for managing your company’s finances, including transactions, payroll, and tax payments.
Options:
- Traditional Banks: Romanian banks such as Banca Transilvania and BRD offer robust business banking services.
- Digital Banking Alternatives: Services like Revolut and Wise provide more accessible options for non-residents.
Requirements:
- Company registration certificate
- Articles of Association
- Proof of identification for company representatives
- Documentation detailing your business activities
Opening a bank account in Romania can be daunting, but an Employer of Record (EOR) eliminates the need entirely. Here’s how an EOR simplifies payroll:
- Pay your team seamlessly in Romanian Leu (RON) or other currencies without unnecessary complications.
- Stay compliant with Romania’s tax regulations and labor laws without breaking a sweat.
- Avoid the challenges of global payroll management and administrative red tape.
With an EOR managing payroll and compliance in Romania, you can focus on driving business growth while leaving the operational details to the experts.
Step 4: Register for tax and compliance purposes
To operate legally, you must register with Romania’s tax authorities for VAT, corporate taxes, and employment-related contributions.
Tax registration:
- Value Added Tax (VAT): Mandatory if your annual turnover exceeds RON 300,000 (approx. €60,000).
- Employer Registration: Required if you plan to hire employees, covering payroll taxes and social contributions.
Compliance requirements:
- Maintain accurate accounting records in compliance with Romanian standards.
- Submit annual financial reports to the ONRC.
- Ensure adherence to labor laws and employment regulations.
Once your business is registered, it’s essential to plan for operational costs and compliance. In the next section, we’ll break down the costs of registering a company in Romania.
The real cost of registering a business in Romania
For entrepreneurs considering business setup in Romania in 2025, here’s a detailed breakdown of the costs to help you plan effectively:
1. Registration costs
- State fee: Registering a limited liability company (SRL) typically costs RON 250 (€50).
- Share capital: A minimum capital deposit of RON 200 (€40) is required for an SRL.
- Legal address services: Non-residents may need to pay for a registered office address, which costs around €300 annually.
- Notary fees: For notarized document preparation, costs range between €50 and €150 depending on complexity.
2. Annual maintenance costs
- Accounting services: Starts at €50 per month, depending on the volume of transactions and company size.
- Annual reports: Filing annual financial reports typically costs €150 to €300.
- Corporate taxes: Romania’s corporate tax rate is 16% on profits, with additional VAT registration (19%) required if turnover exceeds €60,000.
- Registered office renewal: Maintaining a legal address may cost around €300 per year.
3. Additional considerations
- Banking services: Opening and maintaining a business bank account incurs fees, ranging from €50 to €200 annually.
- Payroll services: Companies managing employees may pay €100+ monthly for payroll administration.
An Employer of Record (EOR) can significantly reduce many of these expenses by eliminating the need for entity setup. With an EOR, there’s no share capital, no need for a legal address, and no separate accounting or payroll fees. Instead, businesses pay a single, predictable fee covering payroll, compliance, and employee management.
Now that you understand the costs, let’s compare the advantages of standard company registration versus using an EOR in Romania.
Cost Comparison: Standard Registration vs. EOR
Here’s a breakdown of the cost differences between traditional company registration and using an Employer of Record (EOR) for setting up operations in Romania:
While standard registration may seem cost-effective at first, the ongoing legal, administrative, and compliance costs add up, particularly for businesses unfamiliar with Romania’s regulatory landscape. An EOR simplifies the process with a single, predictable fee, eliminating the need for upfront capital or administrative overhead.
Let’s explore how a partnership with an EOR can streamline your business expansion into Romania, enabling you to focus on growth while ensuring full compliance with local laws.
Simplify your Romanian expansion with Multiplier
Growing your business in Romania doesn’t need to be complicated or burdened with administrative hurdles. Multiplier’s Employer of Record (EOR) solution lets you prioritize expansion while we manage the complexities for you.
With Multiplier you can:
- Hire locally, scale globally
Access Romania’s skilled workforce with ease. Manage compliant contracts, onboarding, and seamless talent integration to grow confidently across borders. - Effortless payroll management
Streamline payroll operations with precision and transparency. Taxes, contributions, and payouts align fully with Romanian regulations for a hassle-free process. - Streamlined HR operations
Manage onboarding, time-off, and team visibility through a centralized platform. Gain full control over distributed teams in Romania for optimized efficiency. - Compliance without compromise
Stay ahead of Romanian labor laws, tax codes, and reporting requirements. Handle every aspect of compliance while focusing on scaling your business. - Benefits tailored to attract top talent Offer competitive, fully compliant benefits to attract and retain Romania’s top talent. Provide exceptional employee support with minimal effort.
- Dedicated support and secure operations
Depend on 24/5 human-first support, GDPR compliance, SOC 2 certifications, and AWS-backed security to safeguard employees and operations every step of the way.
Multiplier is the game-changer for businesses looking to establish and grow in Romania. With our expertise in company registration, payroll management, and seamless team integration, we take the complexity out of expansion. Empower your business to scale faster, stay compliant, and achieve your strategic vision—all with a partner who makes every step effortless and impactful.
Book a Demo today and see how easy setting up or expanding your business overseas with Multiplier’s EOR services can be.
