Prosta Spółka Akcyjna (PSA): A Flexible and Efficient Business Solution for Poland
Prosta Spółka Akcyjna (PSA) is a new form of capital company in Poland that merges the features of a limited liability company with those of a traditional joint-stock company. Designed to streamline the process of establishing and running a business, PSA significantly reduces administrative costs and complexity, making it especially attractive for startups and innovative enterprises. Is this a response to the needs of the market, which currently requires flexible and effective solutions? Let’s check!
Principles of Operation of a Prosta Spółka Akcyjna
Share Capital: PSA requires a minimum share capital of just PLN 1. Shares can be acquired through both cash and non-cash contributions, offering great flexibility.
Organizational Structure: PSA can be managed by a board of directors or a single director, eliminating the need for a supervisory board. This reduces the complexity and cost of the organizational structure.
Registration and Changes in the National Court Register: PSA can be registered via the National Court Register (KRS), with an option for online registration, significantly speeding up the process of establishing a company.
Liability: PSA shareholders are not personally liable for the company’s obligations, with their liability limited to the amount of their contributions.
Issuing Shares: PSA allows for the issuance of shares without a nominal value, enhancing flexibility in raising capital. The management board can be empowered to decide on the issuance of shares, facilitating quicker and more efficient capital acquisition.
Simpler Liquidation Procedures: PSA offers simplified procedures for business liquidation, providing a less burdensome exit strategy for entrepreneurs.
Additional Costs of Maintaining a Register of Shareholders: Maintaining a register of shareholders involves additional costs, typically ranging from PLN 2,000 to 3,000 annually, depending on the complexity of the shareholding structure.
Advantages for Entrepreneurs
The low share capital requirement, streamlined registration procedures, and flexible organizational structure make PSA an accessible and appealing option for a wide range of entrepreneurs. The simplified accounting procedures and reduced administrative costs, compared to traditional joint-stock companies, further enhance its attractiveness.
Accounting for Prosta Spółka Akcyjna
PSA must maintain full accounting records, a register of shareholders, and prepare annual financial reports for approval by the general meeting of shareholders. It is subject to corporate income tax (CIT) and may also be a payer of the goods and services tax (VAT), depending on its activities.
Despite these requirements, the simplified accounting procedures and lower administrative costs mean that accounting for a PSA, if managed well, should not pose significant challenges. Entrepreneurs can consider outsourcing their accounting needs to external experts, ensuring proper documentation and freeing up time to focus on business development. AOC – Accounting Services Center for companies – is one such option for reliable and comprehensive accounting services.
Exploring Other Business Forms
Interested in learning about other business forms? Check out our article by Dorota Kręcisz, CFO of Cafe Finance Group, where she outlines the advantages and disadvantages of limited liability companies and sole proprietorships.
