Types of Business Activities in Poland

According to Polish law, the main types of business activities are as follows:

1. Sole Proprietorship (jednoosobowa działalność gospodarcza)

   – This is the most common form of conducting business, which can be registered by an individual. There is only one owner who assumes full responsibility for the business and its debts. Registration is simple and requires minimal documentation, with low administrative and accounting costs.

2. Limited Liability Company (Spółka z ograniczoną odpowiedzialnością, Sp. z o.o.)

   • There are multiple owners (shareholders), whose liability is limited to the shares they hold.
   • Requires a higher initial capital and a more complex registration process.
   • Provides asset protection and tax benefits.

3. Joint-Stock Company (Spółka akcyjna, S.A.)

   • Typically large companies with publicly traded shares on the stock exchange.
   • High initial capital and complex registration process required.
   • A separate legal entity with limited liability for shareholders.

4. Limited Partnership (Spółka komandytowa)

   • Includes two or more categories of partners: general partners (full liability) and limited partners (limited liability).
   • Flexible structure suitable for businesses needing both capital attraction and risk limitation.

5. General Partnership (Spółka jawna)

   • All partners bear full responsibility for the business and its debts.
   • Simple registration and low administrative costs.
   • Not suitable for high-risk enterprises.

6. Cooperative (Spółdzielnia)

   • Members join together to meet shared economic and social needs.
   • Democratic structure – each member has one vote regardless of their contribution.
   • Limited liability for members.

Note: Almost all of the business types mentioned above can operate in a franchise format (Franczyza). In this case, a company or entrepreneur acquires the right to use the franchisor’s trademark, operational systems, and know-how. Suitable for individuals with minimal experience or capital, but requires higher initial costs and offers limited flexibility.

Each type of business activity has its own specific features regarding registration, taxation, and management. The choice of a specific form depends on the business objectives, the level of participant responsibility, and other factors.

If you have any questions, please contact us at office@progressholding.pl.