Entity Formation in Austria

Ready for a permanent Austrian presence? We help you incorporate the right way, and stay alongside you for the accounting, payroll, and compliance that follow. Independent advice, including telling you when it is too early.

  • Independent advice
  • Vetted partners
  • Honest timing

What incorporating in Austria means

A GmbH (Gesellschaft mit beschränkter Haftung, limited liability company) is the standard vehicle for a permanent business presence, formed by a notarial deed and Firmenbuch entry. Larger operations sometimes use an AG (joint-stock company) or the newer FlexKapG (Flexible Company), a 2024 hybrid form aimed at startups. When you form one, you become the legal employer and operator in Austria, with full control and no per-employee EOR fees, in exchange for the setup time and the ongoing obligations.

01

Your own company

Your own GmbH makes you the legal employer and operator in Austria, with full control of employment terms and a local brand presence.

02

Lower cost at scale

No per-employee EOR fees. For permanent, proven headcount, owning the entity is more cost-effective than ongoing EOR arrangements.

03

Setup takes time

Incorporation typically takes one to six weeks depending on the route, and you cannot employ anyone until Commercial Register entry completes. Timing the move matters, which is why many companies bridge with an EOR first.

How incorporating in Austria works, step by step

From structuring the company to operating it compliantly.

01: Structure & prepare

We confirm incorporation is right for you, then prepare the foundation deed, run the company-name availability check, and arrange your registered Austrian office address.

02: Capital & notarisation

The foundation deed (Gesellschaftsvertrag, or Errichtungserklärung for a single founder) is executed before an Austrian notary, as required under section 4 GmbHG. Minimum share capital is EUR 10,000, of which at least EUR 5,000 must be paid in cash at formation. Where there is a single shareholder who is also the sole managing director, a simplified electronic founding route under section 9a GmbHG is available instead, which is faster and cheaper than the full notarial process.

03: Register the company

The company is entered in the Firmenbuch, administered by the regional commercial courts, then registered for corporate tax with the Finanzamt and for VAT if required, so you can operate and employ compliantly.

04: Operate & stay compliant

Business bank account, then ongoing accounting, payroll, filings, and annual reporting, all of which we can run for you.

What incorporating in Austria costs

Two kinds of cost: the one-off formation, and the ongoing operating obligations. Austria’s formation cost is modest; the real commitment is the ongoing compliance. We give you a clear figure before you commit.

Share capital & formation

Minimum share capital for a GmbH is EUR 10,000, with at least EUR 5,000 payable in cash at formation. The Firmenbuch filing fee totals EUR 493 (EUR 44 filing plus EUR 449 registration), waived entirely for genuine new-business formations under the NeuFöG exemption, plus separate notary fees for the deed itself.

Corporate tax

23% standard rate (Körperschaftsteuer). A minimum tax of EUR 500 a year applies even at a loss or zero profit, calculated against the statutory minimum share capital, since the capital floor was cut from EUR 35,000 to EUR 10,000 in 2024. Distributed profits additionally attract 27.5% KESt at shareholder level.

VAT

Standard VAT is 20% (reduced rates of 10% and 13% for defined categories). The Kleinunternehmer small-business exemption threshold is EUR 55,000 a year; above that, VAT registration is mandatory.

Ongoing obligations

Accounting, monthly payroll (income tax and ASVG social insurance), VAT and corporate tax filings, and annual accounts (Jahresabschluss) filed with the Firmenbuch within nine months of the balance-sheet date, all of which we can manage for you.

Why form your Austrian company through Bradford Jacobs

Why companies incorporate in Austria through us rather than a one-off formation agent.

We advise you on the best time to incorporate

We are independent: we assess what you actually need, place you with the right vetted partner, secure pricing you will not get going direct, and stay on your side to escalate or renegotiate. You get advice, not a product pitch.

  • Independent advice
  • Vetted partners only
  • On your side at renewal

End-to-end, not just the paperwork

We do not disappear after registration. We stay on for the accounting, payroll, and compliance, so your company runs, not just exists.

  • Beyond registration
  • Ongoing compliance
  • One team throughout

The right specialists, in place

Notary, tax, and accounting partners we have vetted and worked with, coordinated for you, so the process moves and nothing gets missed.

  • Vetted specialists
  • Coordinated for you
  • Nothing gets missed

Two decades of formations

Two decades forming and running entities across global markets, with the local knowledge to keep you compliant and out of the common traps.

  • Incorporations
  • Legal & tax partners
  • Traps avoided

We run it after you form it

Incorporation is the start, not the finish. We stay on for accounting, payroll, tax filings, and annual accounts, so your company operates from day one without you building a local finance function.

  • Full back office
  • Accounting & payroll
  • Annual accounts

The incorporation trap nobody flags

A growing business hits a good quarter and someone says, let us just set up a proper Austrian company. It sounds responsible. It usually is not, yet. Here is what people expect against what happens in practice.

Employment & payroll obligations

Expectation: it takes a few weeks and is just admin. Reality: a registered Austrian office, a genuine notarial deed for the Gesellschaftsvertrag, and registration with the Firmenbuch and the Finanzamt all apply, and you cannot legally employ anyone until those registrations are live.

Tax, filing & reporting obligations

Expectation: we can always reverse it. Reality: dissolving a company needs a shareholder resolution, creditor notification, and a winding-up period. And once it exists, the obligations do not stop: annual accounts, monthly payroll filings, corporate tax and VAT returns, and (for medium and large Kapitalgesellschaften) a statutory audit under section 268 UGB. None of this is a reason not to incorporate. It is a reason to do it at the right time, with the right partners already in place.

What we handle for your company

Beyond incorporation, we can run the full back office for your company.

Compliant payroll

Compliant Austrian payroll and employment administration, issued and maintained for you.

Payroll & filings

Monthly payroll run, with income tax, social security, and health insurance calculated, withheld, and filed each month.

Statutory benefits

All statutory benefits administered: annual leave, sick pay, parental leave, notice and severance.

Compliance & support

Ongoing HR compliance and a single point of contact, for the life of the engagement.

Your questions answered

Straight answers on incorporating and running a company in Austria.

How long does it take to incorporate in Austria?

Usually a few weeks once documents, the EUR 10,000 share capital, and the registered address are in place, faster where the simplified single-shareholder electronic route under section 9a GmbHG applies. You cannot legally employ anyone until the Firmenbuch entry completes, which is why timing matters and why many companies bridge with an EOR first.

EUR 10,000, of which at least EUR 5,000 must be paid in cash at formation. The Firmenbuch filing fee totals EUR 493, waived for genuine new-business formations under the NeuFöG exemption. The real cost is the ongoing accounting and compliance, which we can run for you.

Yes. There is no residency or citizenship requirement for shareholders or the Geschäftsführer (managing director) under company law; a non-EU, non-resident individual can be sole shareholder and sole managing director, managing remotely. A separate trade-law requirement can apply where the company’s activity needs a trade licence, which we advise on. You will need a registered Austrian office, which we arrange.

Incorporate when you have permanent, proven headcount and want full control, and the per-head savings justify the ongoing costs. Use EOR while you are still validating the market or need people working quickly. Most companies start with EOR and incorporate later. We advise on the crossover.

Accounting, monthly payroll (income tax and ASVG social insurance), corporate tax and VAT filings, and annual accounts filed with the Firmenbuch within nine months of the balance-sheet date (plus a statutory audit for medium and large Kapitalgesellschaften). We can run all of it so the entity stays compliant without you building a local finance function.

Yes, and it is how most companies use us. Beyond incorporation we provide ongoing accounting, payroll, and compliance, so your Austrian company operates smoothly from day one without hiring locally for back office.

Ready to form your company in Austria?

Tell us your plans for Austria and we will tell you honestly whether now is the time to incorporate, then handle it end to end if it is, usually scoped within a day. No formation-mill upsell, just the right call.

Tax, company, and labour data verified July 2026 (ÖGK, BMF, WKO, the Austrian Firmenbuch). Figures change; we confirm the current position when we scope your formation.