Greece has become an increasingly attractive destination for entrepreneurs, foreign investors, digital businesses, consultants, tourism companies and international service providers that want to establish a business presence inside the European Union.
Company formation in Greece is now more structured and digital than in the past. Through the Greek General Commercial Registry, known as GEMI, and the electronic One-Stop Service, known as e-YMS, many company types can be established online, provided that the founders have the correct documentation, tax registration and professional guidance.
However, setting up a company in Greece is not just a registration process. It involves choosing the right legal form, understanding tax obligations, preparing the articles of association, opening a business bank account, setting up accounting procedures and ensuring that the company remains compliant from day one.
This guide explains the key steps, options and practical points you should know before starting a company in Greece.
Why Start a Company in Greece?
Greece offers several advantages for business owners and investors who want to operate in the EU market.
A Greek company may be suitable for:
- entrepreneurs who want to offer services within the European Union;
- foreign investors entering the Greek market;
- tourism, hospitality and real estate-related businesses;
- eCommerce and digital service providers;
- consultants, agencies and professional service firms;
- businesses that need a local Greek legal entity for contracts, invoicing or operations.
Greece also provides access to EU legal and commercial frameworks, a strategic location in Southeast Europe, and a growing digital infrastructure for company registration and tax compliance.
Main Types of Companies in Greece
Before starting the incorporation process, the founder must choose the appropriate legal form. The most common company types in Greece include:
1. Private Company — IKE
The Private Company, known in Greek as IKE, is one of the most popular legal forms for small and medium-sized businesses in Greece.
It is often chosen because it offers:
- limited liability for its partners;
- flexible structure;
- simple management model;
- suitability for both single-member and multi-member companies;
- use by service providers, consultants, agencies, eCommerce businesses and startups.
An IKE can be a good option for entrepreneurs who want a modern corporate structure without the complexity of larger company types.
2. Société Anonyme — AE
The AE is usually used for larger businesses, investment structures and companies with more complex corporate governance requirements.
It may be suitable for:
- larger commercial operations;
- businesses with multiple shareholders;
- companies seeking investment;
- businesses that require a more formal corporate structure.
3. Limited Liability Company — EPE
The EPE is an older form of limited liability company. Although still available, many new businesses now prefer the IKE because of its flexibility and simpler structure.
4. General Partnership — OE
An OE is a partnership where partners usually have unlimited liability. It may be used for smaller businesses, but it requires careful consideration because the personal liability of partners can be significant.
5. Limited Partnership — EE
An EE includes at least one general partner with unlimited liability and at least one limited partner whose liability is limited to their contribution. It may be used in specific commercial structures, depending on the needs of the business.
What Is the Best Company Type in Greece?
There is no single best company type for every business.
For many modern businesses, the IKE is often the most practical option because it combines limited liability with flexibility. However, the correct choice depends on several factors, including:
- number of founders;
- type of business activity;
- expected turnover;
- liability exposure;
- tax and accounting requirements;
- investment plans;
- need for partners or shareholders;
- future expansion plans.
Before choosing a legal form, it is important to speak with an accountant or business advisor who understands both Greek company law and Greek tax compliance.
Step-by-Step Process for Company Formation in Greece
Step 1: Choose the Legal Form
The first step is to decide whether the business will operate as an IKE, AE, EPE, OE, EE or another structure.
This decision affects taxation, liability, accounting obligations, decision-making, management and long-term flexibility.
Step 2: Choose the Company Name and Distinctive Title
The company name and distinctive title must be checked before registration. The name should not create confusion with an existing registered business.
A clear and professional company name is important not only for legal registration but also for branding, banking, contracts and online presence.
Step 3: Define the Business Activity
Every Greek company must declare its business activities. These activities are connected to the relevant activity codes and must reflect what the company actually does.
Choosing the correct activity codes is important because they affect:
- invoicing;
- VAT treatment;
- tax obligations;
- licensing requirements;
- eligibility for certain business operations.
Step 4: Prepare the Articles of Association
The articles of association define the basic rules of the company.
They usually include:
- company name;
- registered address;
- business purpose;
- partners or shareholders;
- capital contributions;
- management structure;
- decision-making rules;
- duration of the company;
- rights and obligations of members.
For simple companies, a model document may be used through the digital registration platform. More complex structures may require customised legal drafting.
Step 5: Register the Company through GEMI and e-YMS
Company registration in Greece is processed through the General Commercial Registry, known as GEMI, and the electronic One-Stop Service, known as e-YMS.
Through this process, the company can be registered without the founder needing to visit multiple public authorities separately.
After the registration is completed, the company receives its official registration details and can proceed with the next operational steps.
Step 6: Obtain a Greek Tax Identification Number
A company in Greece needs a Greek Tax Identification Number, known as AFM.
This number is required for:
- tax registration;
- invoicing;
- contracts;
- bank account opening;
- VAT obligations;
- communication with the Greek tax authorities.
Step 7: Register for VAT, if Applicable
Many businesses in Greece must register for VAT, depending on their activity and transactions.
The standard VAT rate in Greece is 24%, although reduced rates may apply to specific goods or services. VAT obligations must be reviewed carefully, especially for companies involved in cross-border transactions, eCommerce, tourism, consulting or B2B services.
Step 8: Open a Business Bank Account
After incorporation, the company usually needs a business bank account for its transactions.
Banks may request:
- company registration documents;
- articles of association;
- tax registration details;
- identification documents of the beneficial owners and managers;
- proof of business activity;
- information about expected transactions.
For foreign founders, banking procedures may require additional documentation and preparation.
Step 9: Set Up Accounting and Tax Compliance
Accounting is not something that should be left until the end of the year. A Greek company must be properly monitored from the beginning.
A professional accountant can help with:
- bookkeeping;
- VAT returns;
- income tax returns;
- payroll, if employees are hired;
- electronic invoicing requirements;
- myDATA compliance;
- financial reporting;
- communication with tax authorities.
Correct accounting setup helps the business avoid penalties, delays and compliance problems.
Step 10: Understand Ongoing Company Obligations
After the company is formed, there are ongoing obligations that must be managed.
These may include:
- bookkeeping;
- tax filings;
- VAT submissions;
- annual financial statements;
- corporate income tax return;
- payroll obligations, if applicable;
- GEMI updates when company details change;
- proper issuance and recording of invoices.
Company formation is only the first step. Ongoing compliance is what keeps the company legally and financially secure.
Taxation of Companies in Greece
Greek companies are generally subject to corporate income tax on their taxable profits. As of the latest available information, the standard corporate income tax rate for most legal entities in Greece is 22%.
VAT may also apply depending on the company’s activity, type of transactions and customer location. The standard VAT rate is 24%, although certain categories may be subject to reduced rates.
Because tax rules can change and each business model is different, tax planning should always be reviewed with a qualified accountant before starting operations.
Can a Foreigner Start a Company in Greece?
Yes, foreign individuals and foreign companies may establish a company in Greece, provided that they follow the required tax, legal and identification procedures.
In practice, foreign founders may need support with:
- Greek tax number issuance;
- documentation and translations;
- powers of attorney;
- company registration;
- bank onboarding;
- VAT registration;
- accounting setup;
- communication with Greek authorities.
A well-prepared file can make the process smoother and reduce delays.
How Long Does It Take to Set Up a Company in Greece?
The time required depends on the type of company, the readiness of the documentation, the founders’ tax status, banking requirements and whether the structure is simple or complex.
A straightforward company may be incorporated relatively quickly through the electronic One-Stop Service, while more complex cases involving foreign shareholders, special clauses, licensing or banking checks may take longer.
The most common delays usually come from incomplete documentation, unclear business activity, name issues or banking compliance procedures.
Documents Usually Needed for Company Formation in Greece
The exact documentation depends on the company type and the founder’s profile. In general, the process may require:
- identification documents of founders;
- Greek tax number, where required;
- registered business address;
- company name and distinctive title;
- business activity description;
- articles of association;
- details of managers, partners or shareholders;
- proof of legal representation, if a company is a shareholder;
- authorisations or powers of attorney, if a representative handles the process.
Foreign documents may need official translation or legalisation, depending on the case.
Common Mistakes to Avoid
Many business owners focus only on opening the company and underestimate the importance of proper planning.
Common mistakes include:
- choosing the wrong legal form;
- selecting incorrect business activity codes;
- not checking VAT obligations properly;
- opening a company without a clear accounting plan;
- using a company name without checking availability;
- misunderstanding payroll and social security obligations;
- failing to prepare for bank due diligence;
- ignoring ongoing tax deadlines.
Professional guidance before incorporation can prevent expensive corrections later.
Why Work with an Accountant Before Starting a Company in Greece?
An accountant is not only needed after the company is created. In many cases, the accountant should be involved before incorporation.
This is because the first decisions affect the company’s future tax, accounting and operational obligations.
A professional accounting advisor can help you:
- choose the appropriate company type;
- understand tax and VAT obligations;
- prepare for registration;
- avoid incorrect activity codes;
- structure invoicing correctly;
- set up bookkeeping procedures;
- understand monthly and annual compliance obligations.
For foreign entrepreneurs, accounting guidance is even more important because Greek tax and administrative procedures may differ significantly from those in other countries.
Company Formation in Greece: Practical Checklist
Before starting the process, make sure you have answered the following questions:
- What type of business will the company conduct?
- Who will be the founders, partners or shareholders?
- Will the company trade only in Greece or internationally?
- Will the company need VAT registration?
- Will the company hire employees?
- Does the company need a special licence?
- What is the expected turnover?
- Who will manage the company?
- What documents are required from each founder?
- Is the business bank account preparation ready?
Answering these questions early makes the registration process more efficient.
Conclusion
Company formation in Greece has become more accessible thanks to digital registration through GEMI and e-YMS. However, starting a company is still a serious business decision that requires careful planning.
The right legal form, correct tax registration, proper accounting setup and clear compliance procedures can make the difference between a company that operates smoothly and one that faces delays, penalties or administrative problems.
If you are planning to start a business in Greece, professional accounting guidance from the beginning can help you make informed decisions and build a compliant, well-structured company.
Need Help Setting Up a Company in Greece?
Accountwave supports entrepreneurs, professionals and foreign investors who want to establish and operate a company in Greece.
Our team can guide you through the key accounting, tax and compliance steps, from the initial planning stage to the ongoing management of your business.
Contact us to discuss your company formation needs and the right structure for your business in Greece.
