Planning to launch a business in the Czech Republic? An s.r.o. (společnost s ručením omezeným) is the most popular legal form for small and medium-sized enterprises, as well as for foreign founders. It offers limited liability, a straightforward setup process, and flexible management — making it an ideal choice.
In this article, you’ll find a step-by-step guide to registering an S.R.O. in the Czech Republic, fully updated to reflect the latest legal requirements, procedures, and regulatory changes coming into effect in 2025.
Why Entrepreneurs Choose an s.r.o. and Who It’s For
An s.r.o. (společnost s ručením omezeným) is the Czech equivalent of a limited liability company (LLC). As in other countries, this structure allows founders to limit their personal liability, formalize partner relationships, and give the business a solid legal foundation.
Even with the minimum share capital of just 1 CZK, you gain a fully functional legal entity — with the ability to hire employees, open business bank accounts, sign contracts, and operate throughout the European Union. An S.R.O. can be founded by a single person or multiple owners, including foreign individuals and companies. It’s a flexible legal form that suits both local startups and larger international businesses.
However, in some cases, setting up an s.r.o. may be unnecessary or even impractical.
If you’re unsure whether an s.r.o. is right for you, here’s a quick summary:
An s.r.o. is a good choice if
- You want to limit personal liability and share risk among owners
- You need to legally define your business structure
- You plan to operate officially in the Czech or EU market
- You’re a foreigner looking to start a company without needing permanent residence in the Czech Republic
An S.R.O. might not be suitable if
- You’re a solo service provider with no plans to scale
- Your business is more of a side activity — for example, you’re a student offering occasional services
- You want to avoid accounting and administrative duties
- You’re setting up a non-profit organization — in that case, legal forms like a foundation (nadace) would be more appropriate
Steps to Register an s.r.o.
Registering an s.r.o. in the Czech Republic involves several key steps, each of which must be completed properly from a legal and documentation standpoint.
Before registration, you need to:
1. Prepare the founding document (Společenská smlouva / Zakladatelská listina)
If there is more than one founder, a společenská smlouva (partnership agreement) is required.
If there is only one founder, a zakladatelská listina (deed of foundation) is used.
The founding document must be notarized and include:
- Company name with the “s.r.o.” suffix
- Registered office address (sídlo společnosti)
- Information about the founders and executive director (jednatel)
- Business activities (either volná – free trade or vázaná – regulated trade)
- Share capital amount (základní kapitál) and ownership structure
2. Prepare proof of the registered address (Souhlas vlastníka s umístěním sídla)
Stating the address in the articles of association is not enough — a separate confirmation is required.
- If the premises are rented: you’ll need a lease agreement (nájemní smlouva) and a signed consent from the property owner
- If the premises are owned by the founder: an excerpt from the Land Registry (výpis z katastru nemovitostí) is sufficient
3. Provide share capital (Základní kapitál)
The minimum required capital is 1 CZK.
- If the capital exceeds 20,000 CZK: you must open a temporary bank account (zvláštní účet) and submit a confirmation from the bank to the notary
- If the capital is below 20,000 CZK: a written declaration from the founder confirming the deposit is sufficient
4. Obtain a criminal record certificate (Výpis z rejstříku trestů) for all founders
For Czech citizens: this is requested directly in the Czech Republic
- For foreign nationals: an additional certificate from the country of citizenship is required, translated into Czech and accompanied by an apostille or superlegalization (depending on the country)
The document must be issued no earlier than 90 days before the application is submitted
During the Registration Process
5. Notarization of the founding document
The founding document must be notarized.
At the notary appointment, you’ll need to present:
- Passports of all founders
- Criminal record certificates
- Documents confirming the registered address
If the share capital exceeds 20,000 CZK, a bank confirmation of the deposit is also required.
6. Obtaining a trade license (Živnostenský list)
This is issued by the Trade Licensing Office (Živnostenský úřad) based on the company’s registered address.
The required documents include:
- Notarized founding document
- Proof of registered office
- Passport or ID
- Criminal record certificate
- Application listing the company’s business activities
If any of the selected activities fall under regulated trades (vázaná živnost) — such as construction, healthcare, or financial services — you must also provide proof of qualifications for the responsible person (odpovědná osoba). This may include a diploma, certificate, employment contract, etc.
7. Entry into the Commercial Register (Obchodní rejstřík)
Once the trade license is obtained, the company must be registered in the Commercial Register.
This can be done:
- Through a notary
- At a Czech POINT office
- Or online using a datová schránka (data mailbox)
After the entry is processed, the company receives its official registration number (IČO).
After Registration and Receiving the IČO
8. Registering with the Tax Office (Finanční úřad)
Within 15 days of being entered into the Commercial Register, the company must register with the local tax office (Finanční úřad).
You can register in person, by post, or via datová schránka (data mailbox).
During registration, you must specify:
- The nature of your business
- Estimated income
- VAT payer status (if applicable)
- Identifikovaná osoba status, if you plan to do business with EU-based partners
9. Opening a permanent business bank account (Firemní účet)
You will need:
- An extract from the Commercial Register (výpis z obchodního rejstříku)
- ID documents of the director and founders
- Proof of company registration
Banks may also request additional documentation, such as a business plan, ownership structure, or evidence of economic ties to the Czech Republic.
Requirements vary depending on the bank and whether the founder is a resident or non-resident.
10. Registration for social and health insurance (ČSSZ and zdravotní pojišťovna)
If you employ staff or if the company director receives a salary, the company is required to:
- Register with ČSSZ (Česká správa sociálního zabezpečení)
- Choose and notify one of the public health insurance providers (e.g., VZP, OZP, etc.)
The deadline is 8 calendar days from the start of the employment relationship.
11. Activation of the Datová schránka (electronic data mailbox)
Once the company is registered, the government automatically creates a datová schránka — a mandatory secure electronic mailbox.
Login details are sent to the executive director’s address.
If the director resides outside the Czech Republic, access can be obtained:
- Through a Czech consulate
- Or at any Czech POINT branch
It’s important to activate the mailbox immediately and set up email notifications — all official communication with the tax office and public authorities will be delivered there.
DoMyTax Can Help You Register and Manage Your S.R.O.
You can register a company in the Czech Republic on your own — but the process requires attention to detail and a working knowledge of Czech. You’ll need to prepare the documents correctly, follow all legal requirements, and meet important deadlines. If you want to save time and avoid mistakes, DoMyTax experts are here to help.
We can handle the full S.R.O. registration process from start to finish, or step in at any stage — for example, to draft the founding documents, provide a registered office address, open a business bank account, or submit your application to the Commercial Register.
Important: Once your company is registered, you’ll also have ongoing obligations — accounting, regular reporting, and more. You can delegate all of these tasks to us. We’ll ensure everything is accurate, on time, and handled with care, so you can focus on running your business.
💬 Chat with us online: DoMyTax
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📧 Email us: info@domytax.cz
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