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Company Formation Czech Republic



Establish a Czech Foundation

Updated on Monday 23rd January 2023

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Establish-a-Czech-Foundation.jpgInvestors who are interested in opening a Czech foundation should know that non-profit sector represents an important part of the economic environment available in Czech Republic. Foundations can be established here following the rules and regulations of several laws applicable to non-profit organisations, in which foundations are included. Our team of Czech company incorporation specialists can assist you to register a foundation according with the stipulations of the local law.


Main laws for Czech foundations 

In order to establish a foundation in Czech Republic, a person is required to respect the following rules, which offer the legal framework related to the incorporation process, management and structure or the economic aspects of a non-profit organisation:
Act No. 83/1990 coll., referring to citizens’ associations;
Act No. 248/1995 coll., referring to beneficial companies;
Act No. 227/1997 coll., related to the activities of foundations and funds
A foundation in Czech Republic is a legal entity which purposes are aiming at the benefits of a certain public; at the same time, foundations can get involved in business activities, but there are specific limitations in this sense; our Czech company formation agents can provide you with more details on this matter. 
The following video offers a short presentation on the Czech foundation


Foundations in Czech Republic 

Under the Foundation Law of 1997, there are three types of organisations which can operate under a foundation structure
the foundation – a type of asset based entity which has the purpose of serving to a certain public benefit; the endowment for this entity is established at the minimum value of CZK 500,000;
the charitable fund – a type of property based organisation establish to support public benefits;
the public benefit company – the legal entity is established to provide certain public services.
According to the Section 1 of the Foundation Law, any foundation established in Czech Republic must provide the word “foundation” in its registered name. 
Our accountants in  Czech Republic can tell you what kind of services are needed for your company in this country. Payroll is a service that involves a series of procedures related to the calculation and delivery of salaries in the company. As for bookkeeping, all financial inputs and outputs from the company are recorded in various journals. You will also need support for the preparation of annual financial statements and submission to the relevant authorities.
Persons who need further information on the registration process of a foundation in Czech Republic can receive assistance on this matter from our team of Czech company incorporation consultants.

Meet us in Brno

Call us at +420 721 565 868 to set up an appointment with our specialists in company formation in Brno. Alternatively you can incorporate your company without traveling to Czech Republic.

As an CorpexLab client, you will benefit from the joint expertize of local experts and international consultants. Together we will be able to offer you the specialized help you require for your business start-up in Czech Republic.

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