Open a Franchise business

4.8/5 - (81 votes)

Clients also ask:

10.000 rubles

To register a company in Russia, it is essential to have the amount of at least 10000 rubles to be contributed to the bank account as being the charter capital. Record setting forth the level of allocation of capital shares between all the founders of the LLC.

Company Formation in Russia

Any Russian or foreign individual (or party) can be a creator or shareholder of any number of Russian OOOs, although to be a board member or director you will have to have the required visa and/or residence permit to live in the country if you are a foreigner.

Open a company in Russia with Russianlawyers.eu

Corporate Tax Rate20.0020.00percentDec 2021
Personal Income Tax Rate13.0013.00percentDec 2021
Sales Tax Rate20.0020.00percentDec 2021
Social Security Rate30.0030.00percentDec 2021
Social Security Rate For Companies30.0030.00percentDec 2021
Social Security Rate For Employees0.000.00percentDec 2021

10 Steps to Open a Company in Russia – read more in Articles

List of documents required for registrating LLC company in Russia:

  • Passports of the founders and general director (copies);
  • Application filled in according to form P11001;
  • Decision of the founder or minutes of the meeting of founders of the LLC company;
  • Articles of Association of the LLC company in Russia;
  • Receipt for payment of state fee for registrating llc company;
  • Documents that confirm the existence of a legal address for LLC company in Russia;
  • Notification of the choice of a specific taxation system for newley opened LLC company in Russia.

How to start a business in Russia – read more in Articles

Opena c company in Russia
<a href="https://russianlawyers.eu/service/open-a-company-in-russia/">Opena a company in Russia</a>
  1. Russian traditional marketing is starting to be replaced with digital marketing and influencers using the social networks to hype sale
  2. In Russia Z generation are not brand-loyal. They are fickle, surfing the internet, following social media recommendations that reflect fashions and opinion-makers, making a disproportionate number of purchases online.
  3. they’re easily led by graphics and generally avoid text. So they are steered by Tik Tok, Instagram, YouTube, Facebook. Thus content must be well-adapted for tablets and smartphones. Accordingly shops, restaurants and service providers able to communicate with consumers via mobile apps are winning the large share of customers. This Z generation of customers only visit high-street stores and malls to physically handle the goods. Then they actually buy from cheaper suppliers online.
  4. Multi-brand franchisees are on the rise because their strategy mostly follows new type of consumers demand in Russian market.
  5. Franchises in Russia which are most popular  are those requiring an initial investment of up two million rubles, Royalties, when requested, in general, do not exceed 5%. Either this or they are generally replaced by the obligation of minimum purchases pre-established in the contract.

    Foreign and local investors are allowed to create Franchise Business in Russia.

    Possible options are:
  1. setting up new business ventures;
  2. entering into franchise agreements;
  3. purchase an existing business or a shelf company through which they can start operating as soon as possible.

Franchise business legislation – Open a company

Franchises are primarily governed by the Russian Civil Code in which these types of ventures are known as concessions. Secondly, franchises are governed by the Commercial Code as a Russian or foreign entrepreneur must carry out the franchise business’ activities through a commercial entity.
Russia has several types of franchise business which can be set up:

  1. development franchise;
  2. direct or single -unite franchise;
  3. multi- unite franchises;
  4. joint venture franchises business.

In all Franchise business types concession agreement must be signed by the parties.

Registration of Franchise business in Russia – Open a company

  1. register the company;
  2. concession agreement must be signed from franchisor (company owner of brand) and the franchisee(company selling or distributing the goods or service of the brand)
  3. With Intellectual Property office of Russian the franchisee must make registration in order to be able to use name of franchisor

Most common problem is the lack of an appropriate legal framework in the field of commercial concession.
Possibility that one of the parties can terminate the agreement by simply notifying the counterparty six months before the termination of the contract.
The need to register a franchise agreement by the body that registered the right holder, which is the franchisor.
The preservation of the contract of commercial concession in effect in that case if one of the parties changes.

Our experts are ready to provide comprehensive support for foreign entrepreneurs and businesses, they will help you at all stages, from a preliminary assessment of the situation and choosing the best solution to obtaining all the necessary registration documents and getting started.

By seeking legal advice, you will receive the following guarantees: the result will be achieved within a certain period, and any issue will be resolved as quickly and efficiently as possible, and all this for reasonable money. Besides, you will protect yourself from possible risks and mistakes, which can turn out to negative consequences.

Valen Group – Youtube channel

Welcome to the quickest service in Russia – all aspects  of legal and accounting service

Common questions on Franchise business in Russia

  • How do I start a franchise business?
  • How much money do you need to open a franchise?
  • What is the easiest franchise to open
  • Which franchise is best to open?
  • What are 3 disadvantages of franchising?

Pleas contact us to have all details on Franchise business

 

Get help starting your business.


You may also like

What Companies Need to Understand About Payroll in Russia

Russia is not only the largest country in the world, but also one of the great and influential economies. The country’s GDP is 1.6 trillion rubles, with growth of 1.3%. These indicators speak of the power of the country’s economy. Russia is one of the leading countries in procurement of energy, metals, and rare earth resources. Lately, Russia has become the center for foreign investment. However,…

Continue Reading What Companies Need to Understand About Payroll in Russia

How to import goods to Russia

The import of goods should be understood as a process characterized by the importation into a country of goods produced in another country, for domestic consumption, the subsequent sale of the imported product, or its re-import. A company that is going to expand its interests always tries to think of an optimal scheme for importing goods to Russia, which will take into account its financial benefits and, last but not least, time…

Continue Reading How to import goods to Russia

Trouble in Paradise

Life in Shanghai has been more than comfortable for Mike Graves, the general manager of a U.S. apparel company’s 50/50 joint venture with a Chinese manufacturer. His children go to the best school, he lives in a beautiful expat neighborhood, and his company pays for a chauffeur and a nanny. Mike has made the joint…

Continue Reading Trouble in Paradise

DuPont's CEO on Executing a Complex Cross-Border Acquisition

Two days before Thanksgiving 2010, Kullman got a call from the CEO of Danisco, a Denmark-based leader in industrial biotechnology and nutritional ingredients, letting her know that his company was for sale. Danisco had been on DuPont’s M&A radar screen for several years, but now Kullman had only six weeks to make an offer. DuPont’s…

Continue Reading DuPont's CEO on Executing a Complex Cross-Border Acquisition

When to Walk Away from a Deal

A recent Bain & Company survey of 250 international executives with M&A responsibilities found that only 30% of them were satisfied with the rigor of their due diligence. And a full third admitted they hadn’t walked away from deals they had nagging doubts about. In this article, the authors, all Bain consultants, emphasize the importance…

Continue Reading When to Walk Away from a Deal

LLC or LP: What's best for your business?

2000+ businesses Helping entrepreneurs turn ideas intobusinesses over 2000+ times in Russia. 1500+ consultations Providing access to our independentnetwork of attorneys over 1500 times. 90+ liquidations Helping companies to close down operations in the smooth way Companies (LLCs) and limited partnerships (LPs) are two of the most popular business entities. If you and at least…

Continue Reading LLC or LP: What's best for your business?

Businesses to start during a recession

2000+ businesses Helping entrepreneurs turn ideas intobusinesses over 2000+ times in Russia. 1500+ consultations Providing access to our independentnetwork of attorneys over 1500 times. 90+ liquidations Helping companies to close down operations in the smooth way Starting a new business can be overwhelming, and starting a new one during a recession can feel even riskier.…

Continue Reading Businesses to start during a recession

What is an EIN and how do I get one?

2000+ businesses Helping entrepreneurs turn ideas intobusinesses over 2000+ times in Russia. 1500+ consultations Providing access to our independentnetwork of attorneys over 1500 times. 90+ liquidations Helping companies to close down operations in the smooth way   An employer identification number (EIN) is essentially a Social Security number for your business. Most businesses need it…

Continue Reading What is an EIN and how do I get one?

Where is my mail? Find out with instant notifications

2000+ businesses Helping entrepreneurs turn ideas intobusinesses over 2000+ times in Russia. 1500+ consultations Providing access to our independentnetwork of attorneys over 1500 times. 90+ liquidations Helping companies to close down operations in the smooth way You may not have a superpower, but with technology, it feels like you do. From apps on your phone…

Continue Reading Where is my mail? Find out with instant notifications


Related searches:


Services of Russian lawyers in Russia and UAE

Open a Company in Russia
<a href="https://russianlawyers.eu/service/open-a-company-in-russia/">Open a Company in Russia</a>

Related searches