Establish a Private Company (IKE)

Private Limited Company IKE

Easy Company Formation | All in one Solution | Detailed Summary of Procedures

Establish a Private Company in Greece with ease and without hassle!

A.TL.AS Consulting Tax Experts can help you to enter the Greek Market and start your business without hassle! There are several ways of doing business in Greece, the most common being through the setup of a Greek limited liability company, called Private Company (IKE)!

In order to set up a Greek Private Company, there is a list of bureaucratic and legal steps that a foreign entrepreneur must complete. If you want to incorporate and register a Private Company (IKE) in Greece, you can find the basic steps on the following article, along with a detailed summary of those procedures, and the estimated time and cost for each step.

To establish an IKE, there is a series of steps that must be followed until the new entity obtains a VAT number and is registered in the required Registers (General Commercial Register, Tax Register, EFKA Register).

Private Company IKE!

We can provide you with the necessary information in order to choose the right entity for your business needs. There are pros and cons to every occasion. We are here to help you choose wisely the entity that suits to your business needs. Concentrate on your business growth and allow us to take good care of your company incorporation and much more!

Private Company in one Glance

A simpler and more flexible corporate form, namely the Private Company (IKE), has been introduced by Law 4072/2012 (A’86).
IKE is a private capital company which has capital and the liability of its members for the company debts, except for those with guarantee contribution, is limited. A private capital company is established by one or more natural persons (founders). Participation to a private capital company requires the acquisition of one or more company shares. The company shares cannot be represented by shares.

The company may issue a document for the company shares, which does not have the features of a security.

A form of limited partnership and the capital consists of share parts.
Minimum capital requirements is € 1.00.
There is an administrator instead of the board of directors.
IKE is governed by its articles and memorandum of association and its accounts must be published.
Statutory audit requirements as per EU directives.
A single partner can control this form of incorporation.
Double entry accounting and reporting system.
Management’s and Partners’ Liabilities: The legal representatives (administrators) are liable with their personal property for the company’s tax and insurance obligations. In addition they are liable against third parties when the liability is proved that are made by them (administrators).
It is very similar to EPE with the difference that is not obliged to the formalities governing the EPE, it is a more flexible to administer form of company and the setup costs are lower than EPE.
Needed time for incorporation: 5 working days after the needed documentation is selected.

Law 4072 of 2012 (the “Law”) introduced in Greece a new type of company, the Private Company (“PC”) (“Idiotiki Kefalaiouchiki Etaireia” or “IKE” in Greek) in order to meet the growing need for a modern and flexible middle- sized company.

After seven years since the new law about the Private Companies, the Private Company is entitled as a huge success in terms of limiting the complexities of setting up a limited capital company in Greece. Since then, thousands Private Companies has been incorporated.

General Information & Structure

The Private Company is a company with legal personality. It is qualified as a commercial company, even if its object is not to carry commercial activities.

A Private Company may be incorporated by several persons (called “members” or “partners”) or by a single person and in such case it shall be called single-membered. The members may be natural or legal persons.

The capital of the PC is determined by the members without any restriction from the Law, as there is no minimum share capital requirement.

IKE – Private Company Incorporation Package

Business founders need to submit a certified copy or copies of their IDs or their passport. They also need to request to send notice to the Insurance Organization (EFKA) with regard to the company’s establishment.

Payment for all the provided fees required for the company establishment (General Commercial Registry, Social Insurance Registry, Chamber’s Subscription Fee, etc).
Drawing up the required documentation and declarations.
Issuance of the TIN number for the company and the founders.
Check the name and the distinctive trade name.
Drafting of the statute of the company (Articles of Association).
Establishment of the company through the General Commercial Register.
Submitting all the necessary documentation and declarations in order to register the company in the General Commercial Register.
Submitting all the necessary documentation in order to register the legal representative in the Social Insurance Registry (if needed).
Issuance of the certificate stating the absence of tax and insurance debt, if required.

Establishment

A PC may be incorporated by means of a private document (Statutes/Articles of Association), unless a notarial deed is specifically required by the Law.

The company is registered at the General Commercial Register (“GEMI”) of the Companies House, following the “One Stop Shop” procedure of incorporation.

There is no maximum limitation; it could be either limitless or registered for a specific period.

The seat of the company is in the municipality determined in its Articles, and the effective management may be abroad. Furthermore, the PC may transfer its seat to any other member state of the European Economic Area.

Finally, within a month from its incorporation, the PC must create a website, featuring certain information prescribed by law.