Setting Up a Company (s.r.o.) in Slovakia: The Expat's Guide

s.r.o. or živnosť — which is right for you?

An s.r.o. (spoločnosť s ručením obmedzeným) is Slovakia's private limited liability company — the most common company form. The biggest difference from a živnosť (trade licence) is liability: with an s.r.o. you generally risk only the company's assets, not your personal ones.

Choose an s.r.o. if you want liability protection, plan to grow, hire, or take on business partners, or your clients prefer dealing with a company. Choose a živnosť if you are a solo freelancer with modest income and want the simplest, cheapest setup — see our Živnosť guide.

What you need before you start

• Shareholders (spoločníci) — an s.r.o. can have 1 to 50 shareholders, individuals or companies. Both EU and non-EU citizens can be shareholders with no restrictions.
• Managing director (konateľ) — the person who runs the company. EU/EEA citizens can be director freely. A non-EU (third-country) national must hold a Slovak residence permit (temporary residence for business); the commercial-register court verifies this before registering them, and they submit a criminal-record extract from their home country with a certified Slovak translation.
• Registered office (sídlo) — a Slovak address for the company, with the property owner's written consent, or a paid "virtual office" service.
• Share capital (základné imanie) — minimum €5,000 in total, minimum €750 per shareholder. A single founder pays up the full amount before registration; in practice the money does not need to sit in a bank account — a written declaration by the deposit administrator (správca vkladu, usually a founder) is enough.
• Business activities (predmety podnikania) — what the company will do; most everyday activities are voľné živnosti (free trades).
• A clean record (founders) — a person with tax arrears, unpaid social-insurance contributions, or active enforcement cannot found an s.r.o. This restriction does not apply to foreign persons.

Step by step: how to set up an s.r.o.

1. Choose the company name and check it is free in the commercial register (orsr.sk).
2. Decide your business activities and obtain the trade licence (živnostenské oprávnenie). Free trades cost nothing electronically; regulated or craft trades need proof of qualification.
3. Prepare the founding documents — a foundation deed (zakladateľská listina for a single founder) or a partnership agreement (spoločenská zmluva for two or more), plus the deposit administrator's declaration, the director's written consent and specimen signature, and the property owner's consent to the registered office. Key signatures are officially verified (at a notary or the matrika).
4. Pay up the share capital — recorded by the deposit administrator's declaration.
5. File the electronic application to the commercial register (obchodný register). The court fee is €220, and the court registers the company within 2 working days if the application is complete and correct.
6. Get your company ID (IČO) and tax ID (DIČ) — after registration the company is automatically registered for corporate income tax with the financial administration.
7. Register for VAT if and when required (see Taxes below).

You can file everything yourself electronically (you need an electronic ID card with a qualified signature), or use a lawyer or a formation service to handle it for you.

Costs & timeline (2026)

The share capital of €5,000 is not a cost — it is your own money that stays with the company and can be used for its operations. The real out-of-pocket cost of forming an s.r.o. yourself is roughly €220 plus trade-licence and signature fees; with a formation service, budget €150–300 on top.

Timeline. Preparing the documents takes 1–3 days; the court then registers the company within 2 working days of a complete, correct filing. End to end, expect about a week doing it yourself — faster with a service.

Taxes for an s.r.o. (2026)

Corporate income tax (daň z príjmov právnickej osoby) is charged on the company's profit:

Most new small companies fall in the 10% band.

Minimum tax (daňová licencia) — an s.r.o. pays a minimum tax even in a loss-making year, based on its taxable income:

A newly formed company does not pay the minimum tax for the tax period in which it was established.

After registration: ongoing obligations

• Double-entry accounting (podvojné účtovníctvo) is mandatory for an s.r.o. — more demanding than a živnosť, so almost every company works with an accountant from day one.
• File an annual corporate income tax return, and deposit the financial statements (účtovná závierka) in the public Register of Financial Statements.
• Pay the minimum tax each year even at a loss (except the first tax period).
• If you employ people or pay the director a salary, register with the Social Insurance Agency (Sociálna poisťovňa) and a health insurer and run payroll and contributions.
• If you are VAT-registered, file VAT returns and control statements on time.
• Keep the commercial-register entry up to date — report changes of address, director, shareholders, or business scope.

Tips & common pitfalls for expats

• Liability protection is the main reason to choose an s.r.o. — your personal assets are shielded. You pay for it with mandatory accounting and the minimum tax even in a loss year.
• Non-EU directors: sort out the residence permit first. The court will not register a third-country national as director without it, which can add weeks or months — plan ahead.
• You need a Slovak registered office. A "virtual office" is a cheap, legitimate option if you don't have premises.
• Don't default to an s.r.o. For a solo freelancer with modest income a živnosť is usually simpler and cheaper.
• Get an accountant before you start trading, not after — an s.r.o.'s bookkeeping is not DIY-friendly.
• Company money is not your money. Taking profit out as dividends is taxed (7%), and paying yourself a salary triggers payroll contributions — plan how you'll pay yourself.