Business in Romania: 10 Rules for Success

Amazon Best Seller, #1 New Arrival in International Taxes

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From the readers: "This book will save the reader time and money, combining practicality with a bit more than just mere vision: the ingredients of a successful business in Romania."

Andrei T.

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Business Case 1: Starting a business in Romania? I like the idea, but I am temporarily outside Romania, so I begin to look for more details online. First impression: frequent and unexpected legislative changes, underdeveloped infrastructure, most documents are in a language I don't quite understand, information is not always up to date, bureaucracy seems intimidating and long waiting times seem to be the norm at all levels. On the other hand, I have heard good things about the attractive tax rates, the business opportunities, the banking sector and the educated human capital, so I want to give the idea a chance, for when the economic environment will return to normal after the crisis.

Business Case 2: I already have a business in Romania that I want to grow. But, even before the pandemic, my business had gone flat and was not growing anymore. I do not understand why; I look for solutions online and cannot find them. Although the volume of information is high, I find it difficult to select what is relevant; or, on certain topics, I cannot find what I am looking for.

Business Case 3: I made a decision and simply want to close my business in Romania. I am looking for details on how to do it in the easiest way. I would like to start over, either in a new field or in a new country. But, also to close my business in Romania, bureaucracy seems daunting. My feeling of disorientation amplifies...

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Book benefits: This book is here to help me exactly with these cases. Through the numerous practical examples, I can easily understand some of the most important rules for business success in Romania, during and after the crisis.

The book gives me a clear structure, from the beginning of a business, going through its development stage, and even as far as closing the company. From the moment I decide for Romania, it becomes very important for me to understand the practical details presented in this book, starting with the first visits to the notary or the bank. Choosing a good lawyer, accountant and tax advisor will make the difference between the success or failure of my business in Romania. The same will apply to the choice of team members. Having a good tax advisor, I will be able to keep my attention on the two levers described in the book that will ensure my stability: equity and cash. 

As additional benefits from reading this book, I will find practical solutions for tax optimisation and the list of the most common mistakes once the company is up and running which may lead to a tax inspection or even a suspension.

This book is also relevant for business students, lawyers, consultants, owners of IT companies, real estate owners, high-net worth individuals, multinational companies interested in expanding their presence to Romania.

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Main benefit and hot topics: by reading this book, I will be able to save on advisory costs because I will get to understand the following practical details:

- how to start a business in Romania;

- what is a micro company and what are its advantages over the traditional profit-tax paying company;

- how to get the VAT number - the regular one, the special one for EU transactions, or the e-commerce one;

- the most frequent mistakes in the beginning, like losing my newly-obtained VAT code and getting my company suspended at both the Trade Registry and at the Tax Agency (ANAF);

- what is a PFA and its benefits;

- what are the rules for the beneficial owner form;

- when do I need to start filing tax returns;

- how can I file tax returns online;

- what is the Virtual Private Space (SPV) and how do I access it;

- about the Environment Fund;

- about Intrastat;

- how to hire my first employee and the mandatory payroll documentation;

- how to motivate the employees - including with tax-deductible vouchers;

- why I need to constantly check my accounting;

- where do I see my revenue and profit in a Romanian trial balance;

- which expenses are tax deductible - services, protocol, transport, sponsorships etc. - and which support documents are needed;

- what is the legal reserve;

- what is equity and why is it so important;

- how can I optimise tax;

- what are the rules for drafting annual financial statements (including the informative data and the administrator’s report);

- how to read a Romanian balance sheet - both mine as well as that of my suppliers and clients, for due diligence;

- details about NIF;

- details about “declarația unică”;

- how can I withdraw interim dividends throughout the year and what is the dividend tax;

- how can I obtain a tax record online;

- how to file a VAT refund request;

- tax inspection: what to expect;

- how to reduce the tax risk profile of my business in Romania.

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From the authors: "Throughout our collaborations, many of the local and foreign business owners which have built their dreams in Romania have repeated to us that without our help and guidance they would not have succeeded - and have encouraged us to put all our knowledge into a book. We have always told them, smiling, that a book would not be enough. And they always replied, smiling, that they could hardly wait to read all of them. Well, this is the first one."

Maria Piroi, Bogdan Nastase

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From the readers: “Skipping the legalese, straight to the point, every question that comes to mind is answered. Excellent material!”

I. Urem