Starting a business in Poland is, for many foreigners, an opportunity for professional development, entry into the European Union market, and the creation of a stable future. Before commencing business activities, however, every entrepreneur must answer one of the most important questions – which legal form of business will be the most suitable?
The choice most often comes down to two options: a sole proprietorship or a limited liability Company. Although both forms allow entrepreneurs to conduct business activities, they differ not only in terms of liability and operating costs, but also in their availability to foreigners. In many cases, it is the foreigner’s immigration status or citizenship that determines whether they may establish a sole proprietorship or whether they should instead choose a limited liability company.
Increasingly, Polish companies are appointing foreign nationals to the management boards of limited liability companies (sp. z o.o.). This applies both to foreign investors establishing businesses in Poland and to international corporate groups delegating their managers to Polish subsidiaries. In practice, however, the mere appointment of a foreign national to the management board does not always mean that they are legally entitled to perform their duties in Poland.
Depending on the individual’s nationality, the legal basis for holding the position, and the scope of their responsibilities, additional requirements under Polish immigration and employment law may need to be fulfilled.
In recent years, employing foreigners has become an integral part of the functioning of many businesses. This applies not only to large manufacturing plants, but also to the construction, transport, logistics, catering, and IT sectors. At the same time, public authorities are increasingly carrying out inspections of the legality of employing foreigners, and since June 2025 new regulations have been in force that have significantly increased employers’ obligations and the level of penalties for violations of the law.
read moreIn recent years, Poland has seen a significant increase in the number of foreign workers. In practice, their employment often leads to confusion between three distinct legal institutions: the work permit, the residence card, and the posting of workers. Although all of them concern the legality of residence and the performance of work, their functions, legal bases, and application are entirely different. Choosing the appropriate route not only ensures compliance with the required formalities but also makes it possible to avoid often long waiting times for an administrative decision.
read moreYear after year, the Polish market is becoming increasingly open to foreign investors. It is therefore useful to know what forms of business activity are permitted for foreigners in Poland and what particular issues require attention. Limited liability company, joint-stock company, or sole proprietorship? Or perhaps an association or foundation?
read moreIt is important to distinguish between a residence permit and a work permit. A residence permit is a foreigner’s right to reside legally on Polish territory, and the question of obtaining such a permit remains with the foreigner.
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