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Company Formation Czech Republic



Open a Rental and Leasing Business in the Czech Republic

Updated on Thursday 29th November 2018

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Open-a-Company-for-Rental-and-Leasing-Activities-in-the-Czech-Republic.jpgOpening a company for rental and leasing activities in the Czech Republic can be an attractive business idea for local or foreign businessmen, as the request for properties in this country is increasing (a trend which is observed in the case of foreign investors, who are searching for a suitable location that provides various available spaces). 
Companies that wish to develop leasing activities should know that most of the leasing operations carried out here are performed in the automotive sector and in the banking industry. It is also important to know that the Czech leasing sector is represented by the Czech Leasing and Finance Association, which represents the interests of leasing businesses set up here; our team of specialists in company formation in Czech Republic can provide in-depth assistance throughout all the steps included during the registration of a business

Why start a rental business in the Czech Republic? 

There are numerous reasons to invest in the Czech Republic in the rental sector. Besides the rental activities addressed to natural persons, which generally seek to rent a real estate property for residential purposes, rental companies may also provide their services to local or foreign investors. Some of the highlights of the Czech property market are presented below: 
  • 2015 represented one of the most important years for the investments carried out in the Czech property market, which had a total value of the investments of more than EUR 90 million (it represented the highest growth registered since 2007);
  • the country provides opportunities for renting industrial real estate properties and warehouses, which are mostly located in the regions of Prague, Ostrava, Plzen and Brno;
  • the office market in the Czech Republic is highly developed in the capital city and rental agreements are usually established for a period of 5 years;
  • investors can also request to rent a brownfield, which defines a type of land that is abandoned, contaminated or which can’t be used for industrial or commercial activities without the process of regeneration and lands that underwent this process can now be found in the country’s National Brownfields Database

What are the main characteristics of Czech rental and leasing businesses? 

Investors who want to open a company in the Czech Republic are first advised to study the characteristics of the local market, the competitors, the employment matters, the regulations available for this type of activity and others. Our team of specialists in company registration in Czech Republic can offer advice on any employment regulations available in this case, the business permits that can be requested and any other aspect concerning the registration of a business in this sector. 
It is necessary to know that most of the rental and leasing companies in the Czech Republic are registered as micro companies and medium sized companies, and the country has approximately 9,000 such businesses. Just like in Europe, in the Czech Republic, companies can also offer rental and leasing services for machinery, equipment and a wide category of tangible goods, but it also develops leasing services in the field of intellectual property.  

What are the main procedures for opening a Czech company?

The procedure of company formation in the Czech Republic for a leasing and rental business follows the standard registration steps. Investors should start by registering with the local Trade Register and once the procedure is completed, the next step will be to submit a set of documents with the Commercial Register. Once the registration with the latter institution is completed, the rental and leasing business will be considered a valid legal entity under the local legislation. 
The registration with the local Commercial Register will incur specific fees that will need to be paid by the applicants, which will differ based on the selected legal entity. Furthermore, it is necessary to register with the local tax authorities and our team of specialists in company registration in the Czech Republic can offer consultancy services on the required documents for this procedure. 

Are there any regulations for leasing Czech business premises? 

Companies in the Czech Republic that offer leasing services for office spaces should know that there are new regulations concerning this matter, prescribed by the country’s new Civil Code. The new regulations prescribe a simplified form of the agreement, which no longer needs to specify the business purpose for which the location is leased. Investors are invited to contact our team of representatives in company registration in the Czech Republic for more information on the updated regulations related to leasing activities

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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