A practical guide to moving, living, working & traveling in Greece, plus tips and narratives from an American in Athens
October 26, 2007 at 18:03
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When asked by the World Bank, Greece reported that it only took 15 steps and 15 days to start a business. In reality, however, there are up to 18 steps and each has other steps that could extend the processing time to 180 days or more, unless connections and bribes are used to speed the process.
- A Greek-speaking Greek citizen said it took him four months to finish his paperwork to open a bar in Athens without using bribes (fakelakia). See “Greece ripe to axe graft culture” from The Australian.
This post combines the steps disclosed to the World Bank and the real-life experiences of myself and other Greek, EU and non-EU citizens who started businesses in the past 12 years.
If you’re looking for EU and American businesses already operating in Greece, see the category “Jobs in Greece” or take a look at links in the right column. If you’re an American or other non-EU citizen looking for a job, I highly recommend the article “How Americans/non-EU citizens can move, live and work in Greece.” Why? Because it’s vital to understand legalities of visas and permits before looking for work.
* Article last updated August 26, 2010
Introduction
Information and research in this article pertain to the bureaucracy required of everyone starting or opening a business. It does not — and never will — cover individual industries or all types of businesses and operating permits, nor advise you on how to maintain, grow or close a business. Why? Because this would require writing a full-length book in need of constant updates as laws change. It’s also impossible because every business is uniquely different.
For this reason, it is recommended you screen and consult an accountant, lawyer or other business adviser.
The point of being in business for yourself is to assume control of all associated risks, joys, successes, responsibilities and, that’s right, problems, hassles and the unknown. If you’re unwilling to do that, update your CV and get a job at a company that did.
Cost of starting a business in Greece
The cost of starting a business depends on countless variables, such as location, type of business, rental or purchase of property and equipment, bank loans, rate of interest, lawyer and accountant fees, cost of materials, whether you plan to use bribes, your tax bracket, the industry, and whether you’re an EU or non-EU citizen. Some fees and tax levies are calculated using a percentage, as illustrated in the table under “Overview.”
When the World Bank did its annual “Doing Business” survey, Greece was found to have the highest official start-up costs in comparison to all other EU countries, the USA, Canada and Australia at 23.3 percent of GNI/capita. See “Doing Business in Greece vs. other countries” for details.
Rules for non-EU business owners
Americans, Canadians, Australians and other non-EU citizens interested in opening a company or being self-employed in Greece must meet the following qualifications as the first step. If you are an EU citizen, go ahead and skip to the next section.
Investors: For non-EU citizens seeking to start a company:
a) Proof of €300,000 minimum capital;
b) Creation of at least 10 new jobs, of which 30 percent must be given to Greek citizens; and
c) An application and business proposal submitted in Greek proving that the business will “contribute to the growth of Greek economy,” which must be reviewed and approved by the Greek Ministry of Interior.
Partnering with a Greek or other EU citizen does not absolve you from these rules. The only way you can get around this is to make your Greek/EU partner the sole owner or be a dual citizen with the EU. See, “Acquiring EU citizenship through ancestry or naturalization.”
Self-employment: If you are not an investor with the intention of employing workers, but looking to be self-employed or a legal freelancer or consultant in business for yourself, you must:
a) Hold a Greek residence permit for one year in another category — i.e., a permit as the spouse of a Greek/EU citizen, or a permit as a salaried employee, or a permit secured by independent financial support from outside Greece;
b) Deposit €60,000 in a Greek bank account; and
c) Submit an application and business proposal in Greek proving that the business will “contribute to the growth of Greek economy,” which must be reviewed and approved by the Greek Ministry of Interior.
If you do not qualify, or cannot get around these requirements by becoming an EU citizen, you cannot open a business in Greece.
For non-EU investors and self-employed entrepreneurs who deposit the necessary capital, have the right permit and submit proposals in Greek, rejection or approval could take up to one (1) year or more. Currently, the only way to get fast-track approval within three months is to put up an initial investment of €200 million, create 200 jobs of which 30 percent must be given to Greek citizens, and invest a minimum of 1 million each year as long as the business remains open. A bill drafted August 2010 only lowers the initial investment to €70 million.
Because of stringent rules, corruption and heavy bureaucracy, investors of all nationalities — including Greeks — sometimes opt for another country (see, “Who really steals jobs from Greeks?“), and those seeking to take part-time side/freelance work end up accepting money under the table.
Business Licenses & Pre-screening
If opening a bar, restaurant or club, you will need a license issued by the city or municipality where the business will be located. Feel free to skip to the next section if this does not apply.
A limited number of licenses are issued per year and there may be a waiting list, so it is wise to consult the municipality’s Mayor’s office or City Hall about securing the necessary licenses before starting the steps below and renting or purchasing property. Otherwise, you risk paying costly expenses on a non-operating business. Some use connections to speed or skirt the process, as described in, “Greece, where connections are everything.”
Aside from a business license, there are also several licenses and permits required for playing music, placing tables and chairs outside, using umbrellas, parking spaces, and safety. Owners and employees serving food or drink must also get a paper from police that certifies their age, clean criminal record and disease-free, non-HIV health status.
On February 24, 2009, it was agreed that no further licenses will be issued to entertainment venues or eating and drinking establishments in Kolonaki, Gazi and Pangrati for two years. See “No new licenses for bars, eateries and clubs in the center.”
*Some information in this section comes from specific, first-hand experience of a Greek citizen.
Employers in Greece wishing to hire non-EU employees
In February 2008, the ministry of interior announced minimum annual income requirements that apply to all employers in Greece seeking to employ non-EU workers.
- A private employer or small business owner is required to show an annual income of €24,000 or more before hiring non-EU citizens.
- Companies must show a yearly profit of €60,000 before opening positions to non-EU workers.
Because tax evasion is a widespread reality and the Greek economy is struggling, this measure is seen as discriminatory.
Overview
All new business owners regardless of nationality or industry will be required to complete the following steps. Self-employed complete steps #4 and #10-15. It is assumed that non-EU citizens have deposited their capital and had their proposals in Greek approved by the Interior Ministry by this point.
There is no handbook in any language for opening, closing or doing business in Greece. This article is the most comprehensive step-by-step guide available for free since 2007.
| # |
Description |
Days |
Cost (€) |
| 1 |
Get approval of the company’s name from Chamber of Commerce and Industry |
1 |
33 |
| 2 |
File company documents with Athens Bar Association |
1 |
10 + levy % |
| 3 |
Sign Articles of Incorporation before a notary public |
5 |
up to 1320 |
| 4 |
Deposit capital in a bank |
1 |
|
| 5 |
Pay capital tax to the Eforia-DOY |
1 |
1% |
| 6 |
Get a stamp from the Lawyers’ Pension Fund |
1 |
0.30 |
| 7 |
Get certification by the Lawyers Welfare Fund |
1 |
5.80 |
| 8 |
Submit Articles of Incorporation and register with Court secretariat to get a register number |
1 |
5+ |
| 9 |
Submit Articles of Incorporation summary for publication in Official Gazette (FEK) |
26+ |
272 |
| 10 |
Register at the Chamber of Commerce and Industry |
1 |
147 + 2.4% |
| 11 |
Register with OAEE, OGA, etc. |
1 |
|
| 12 |
Get an AFM (tax no.) for the business |
1 |
|
| 13 |
Commission a vendor to make a stamp/seal |
1 |
40 |
| 14 |
Have the Eforia punch company receipt books and accounting log |
1 |
|
| 15 |
Notify Manpower (OAED) within 8 days of hiring a worker |
1 |
|
The government elected to office on October 4, 2009 announced it would revise criteria and simplify the process of securing business licenses and permits in 2010, but nothing has been officially drafted or published as law to date.
Notes for each step
It is general knowledge that anyone partaking in Greek bureaucracy will need to have identification, several photocopies of various documents, passport-sized photos, the ability to speak/read Greek and a lot of patience. Offices are located in different parts of a city and revisiting the same office (i.e. eforia/tax office) within a process is common.
Many employ a Greek-speaking attorney or accountant to assist, though some manage well on their own as I did. Finding a patient friend with a car or hiring a taxi driver for the day is sometimes a solution to public transportation delays, parking and finding a taxi on demand. I also recommend carrying spare change, an office kit (pen, pencil, liquid paper, stapler, paper clips) and a map book.
These notes are provided as a supplement to the steps listed in the table above and are based on first-hand experience. (Fees will be updated August 2010).
Step 1: Forms must be filled out in Greek, and you will be given a certified document when approved.
Step 2: All applicants pay €10 for certification of an attorney’s signature on the draft. A levy must be paid when a company’s capital exceeds €29,347, and the percentage depends on the bracket.
a) 1% up to € 44,020
b) 0.5% from € 44,020 to € 1,467,351
c) 0.4% from € 1,467,351 to € 2,934,702
d) 0.3% from € 2,934,702 to € 5,869,405
e) 0.2% from € 5,869,405 to € 14,673,514
f) 0.1% from € 14,673,514 to € 29,347,028
g) 0.05% from € 29,347,028 to € 58,694,057
h) 0.01% on capital exceeding € 58,694,057
Step 3: Found normally by recommendation of a lawyer, the notary public examines and certifies the articles. Fees vary widely.
Step 4: The minimum capital requirement is said to be € 18,000, which could be lower or higher depending on your citizenship as mentioned previously and the type of business being opened.
Step 5: Capital tax must be paid at the eforia within 15 days of signing the Articles of Incorporation at the notary public or a penalty will be assessed. Depending on the amount, the eforia may request that a payment check be drafted at your bank, then signed and certified by two tax officials at the eforia before going to the cashier for a receipt.
Step 6: The Lawyer’s Pension Fund in Athens is at Pireos and Sokratous Streets. * All municipalities have a local office.
Step 7: The Lawyer’s Welfare Fund in Athens is at Harilaou Trikoupi and Navarinou Streets. * All municipalities have a local office.
Step 8: To complete this step, you will need two copies of the Articles– one certified and one simple. See, “How to certify a document in Greece” if you need help.
Step 9: A portion of the 272 euro fee must be paid to the eforia and another portion to the National Printing Office; both issue receipts, and these must be taken to the official Government Gazette or Fyllo Efimeridas tis Kyverniseos (FEK), which will give you a protocol number. Publication of your Articles will take 30-60 days.
Step 10: To register at the Chamber of Commerce and Industry, you need:
a) Notarized copy of the Articles stamped by the eforia, the Lawyers’ Pension Fund, the Lawyers’ Welfare fund
b) certification of prior approval of company name (from Step 1)
c) an original of the Government Gazette containing the published summary of the Articles of Association (it is acceptable to file the protocol number, then replace it with the published issue)
d) * Note: My experience is that the Chamber will ask for proof of your personal AFM and official registered address at the eforia, in addition to proof of insurance, which means steps 10 and 11 should be reversed unless you have an existing policy.
Step 11: Registering with OAEE (TEBE), OGA or another insurance fund (not IKA) depends on the type of business being started. Typically, you will be asked to fill out a form, provide photocopies of your identification, previous insurance coverage, proof that you are opening a business and the location (lease), and pay a deposit and the first months’ fees. An OAEE (TEBE) office will normally require that you deposit the money at the post office or other payment location, then bring back the receipt; I have no specific info on OGA or other types.
Step 12: The Etairia Periorismenis Efthinis (EPE) must issue approval to commence operation within 30 days of submitting the Articles of Association to the Court. The statement is filed with the eforia, along with:
a) Certified copy of the company’s official Articles
b) two original copies of the Government Gazette, in which the Articles were published
c) lease agreement or agreement for the free assignment of use of the office space, certified by the eforia
d) certificate from the Chamber of Commerce that you have registered
e) certification from the relevant social security fund that you (and your partners) have registered for insurance or have an exemption
f) photocopy of the receipt of payment of capital tax (from Step 5)
g) photocopy of your identification
h) proof of an individual’s AFM
i) authorization letter from the EPE administrator to the individual who will file taxes/docs at the eforia (owner, accountant or other)
j) completed application forms provided by the eforia
After submitting the above documents, the eforia provides the EPE with a certificate for the commencement of business operations and the AFM for your business.
Step 13: A self-inking rubber stamp (sfragida) can now be commissioned from any local shop with the company name, address, phone and AFM. It is necessary for issuing official receipts/invoices, submitting tax forms and all transactions pertaining to your business at the eforia. You’ll need it immediately for Step 14.
Step 14: Purchase an accounting log and receipt books at any office or school supply store, and use the company stamp to imprint the accounting log and every single page of receipt books. Now they are ready for the eforia to punch, and a document pertaining to what was punched is issued. (You can now use them for any company-related or freelance transactions when money changes hands)
Step 15: When hiring a worker, you are obligated to provide a proper work contract (Anaggelia Gnostopoihsis oron Atomikis Symbasis Ergasias) and employer certification (Bebaiosi Ergodoti), so employees can get an AFM, sign up for IKA and apply for a residence/work permit (if applicable).
More information
For more information on joint ventures, partnerships, statements, securing the proper certificates, how to start an S.A. in Greece, and fees and documentation required by the Chamber of Commerce, see “Starting a Business” from Ermis, offered in English, French and German.
The EU has a section called “Setting Up a New Business — Greece” for EU citizens. Unfortunately, the majority of information is in Greek.
A non-profit organization called Hellenic Organisation of Small & Medium Enterprises (EOMMEX), operating under the ministry of finance, also claims to assist and support interested parties in everything needed to set up a business in Greece. Note that this may be an exaggeration of services.
Business grants
Greece does not generally offer grants to entrepreneurs wishing to start a business.
However, there are grants available from the Περιφερειακού Προγράμματος Ενίσχυσης Μικρών και Πολύ Μικρών Επιχειρήσεων (Regional Assistance Program for Small and Very Small Enterprises) to those with an established business, should the owner wish to renovate or improve a business that contributes to the local Greek economy. Periods during which owners can apply are announced in Greek by the Greek media and government-affiliated websites.
The ministry of finance also announced the ΤΕΜΠΜΕ/TEMPME loan program for existing small businesses, which runs until August 31, 2011 or until funding runs out. See, “How to apply for a TEMPME loan” (Eleftherotypia in Greek). Many complain that there are too many check-ups and bureaucratic hurdles to receive grant installments, but feel free to decide for yourself.
Other risks in doing business in Greece as a foreign company
Should your company be a brand name multinational from abroad, homegrown and successful, or perceived to represent wealth and westernization, it may also be a target for bombings and vandalism that have increased in frequency. Wealthy business owners have also been held hostage and released only upon payment of large ransoms.
This is a small sampling:
“22 Mercedes torched at dealership in affluent suburb” – Eleftherotypia (January 2010)
“Athens bomb targets McDonald’s” — Reuters (July 2009)
“Large bomb hits McDonald’s” — Kathimerini (April 2009)
“Two Citigroup branches bombed in Athens” — Bloomberg (March 2009)
“Wife pays €30 million for release of Greek shipping tycoon” — Times (January 2009)
“Automotive businessman in Thessaloniki kidnapped” – Kathimerini (Oct 2008)
“Royal Dutch Shell targeted in southern Athens” – Reuters (Oct 2008)
“Bodyguard of shipping tycoon survives car bomb” – Kathimerini (Sept 2008)
“Similar bombs detonated at luxury car showroom, research institute and German-owned businesses” – Kathimerini (July 2008)
“Kidnap Inc.” – Forbes (June 2008)
Greece vs. other countries
An article called “Doing Business in Greece vs. the EU, USA, Australia and Canada” is a straightforward comparison based on the World Bank’s Doing Business 2008 report that evaluated vital elements in setting up a business, then ranked economies according.
Other articles of interest include, “Examples of jobs and salaries in Athens” for real-life case studies of Greek and non-EU business owners.
Sources
- 2008 Doing Business Report from the World Bank
- “What Greece’s new 3386/2005 immigration law says” – Ethniko Idryma Erevnon (from 2005, but very little has changed since this major reform)
- “Creative youngsters shun bosses and go it alone” – Kathimerini ‘K’ magazine
- “Νέο καθεστώς για τις άδειες των εμπορικών κέντρων” — Ta Nea
- “Record high red tape” — eKathimerini
- Official documentation I collected then translated from Greek to English, plus personal notes taken over 5 years
- Recent experiences of Greek and EU citizens
- Experiences of non-EU citizens who started businesses before the 2005 rules came into effect, including myself
In the News
“500 Gas stations forced to close” — Ta Nea (July 2010)
“Business owners in Greece amongst world’s most highly stressed” — Kathimerini (April 2010)
“More than 400 hotels across Greece now for sale” — Kathimerini (April 2010)
“10,000 Businesses in Greece forced to close in 2009” — Kathimerini (January 2010)
Related articles
“List of eforia/tax offices in Greece“
“How to certify a dilosi, photocopy or document in Greece”
“How to get an apostille”
Photo from assignmentdesk.net
Permalink
PanosJee wrote @ October 26th, 2007 at 20:08
we suck ! unfortunately i faced too much bureaucracy when starting my business and because of delays of tax service we got a fine that we were late ! also avoid starting something in August and being in a hurry! just forget it !
A wrote @ October 27th, 2007 at 02:05
I cannot believe that you accumulated all this information. It is amazing.
After reading all of this, it reminded me of something the American Steve Martin once said:
Do you want to be a millionaire and NEVER pay taxes???
FIRST STEP: Get a million dollars..
graffic wrote @ October 27th, 2007 at 16:16
One nice thing to import from abroad: the “only office”. I don’t know how to translate it but in fact is a service to start your own business and all the papers are done there, they tell you what you need (usually a lawyer will be helpful) and that’s all. Even my friends open business when they have a new idea in order to sell it… what I can say. Should I become politician to change this? will someone vote me?
NJ Greek wrote @ October 31st, 2007 at 17:28
Thanks for posting this; I’d seen the “official” report at doingbusiness.org but it’s good to get a personal view as well.
It’s also worth thinking about “intangible wealth” (http://www.reason.com/news/show/122854.html) in addition to bureaucracy and corruption.
Though the “Reason” article did not say specifically, I’d expect Greece to rank towards the lower end of the list.
Julia wrote @ March 7th, 2008 at 23:20
How do I translate my U.S. cosmetology license? This way I can make it Greek and rent it as an adeia Askiseos Eppagelmatos Kommotikis?
jayne wrote @ March 24th, 2008 at 13:09
am hoping to open bar & restaurant in porto rafti athens but dont know much about taxes on building and rates etc can you help
great website has helped me a lot please keep it running
jayne from england x
Pat wrote @ April 10th, 2008 at 09:46
hi there. got referred to this blog by my greek co-founder. As a point of reference, in the USA being self-employed is equivalent to being unemployed… in other words you can decide not to work and be “unemployed” or say you are working on your own but not yet making an income in which case you are “self-employed”
Incorporating and starting a legal business but not one requiring special permitting (such as a restaurant) is also pretty easy. File some documents with State of California. Send in your $800 every year. File tax returns as needed. That’s it.
hi…thanks for the advise been a big help..but also alot to take in…im an EU Citizen wanting to set up a watersports business in Tsilivi Zante..specialising in jetski hire and day trips to kefalonia…would this be pretty straight forward?… Theres only 1 other watersports company and have read 1 bad review after another about the way they opperate..so plenty of business to go round…but will only be opperating May through to Oct…does this make any difference to setting it up..paying taxes etc….
FMS wrote @ July 8th, 2008 at 20:30
Simon: NOTHING in Greece is straightforward, not one solitary thing! If you think of the worst bureaucracy in the UK, France or Germany — multiply it by 10, and then add insults, illegality, corruption etc by state officials… That will give some idea of what to expect.
Sometimes, people get lucky and just don’t find this, but I describe the typical case.
KT wrote @ July 10th, 2008 at 21:56
I agree with FMS that nothing in Greece is straightforward. It might be a good idea to go live in Greece for a while and then see if it is worth investing your money!!
Vana wrote @ September 15th, 2008 at 00:30
Hi,
Any idea what happens in Greece if your profession is not regulated.
I am greek, however I have been in England for many years. I would like to return to Greece and I would like to have my own job as a hypnotherapist/psychotherapist. I have a diploma in Hypnotherapy. This is not a regulated job (no-one in Greece knows what it entails), and that is where the problem lies, as most of the Greek people think it is illegal if it is not regulated and I will not be able to get a tax code and the greek local government will shut me down. I managed to find some useful information on the Ministry of Education website (I am including a couple of links below).
Anyway, I would like to be a hypnotherapist in Greece and I would like to be legal. I am still searching for answers.
Any advice will be greatly appreciated.
Thank you
Vana
http://www.ypepth.gr/en_ec_category8073.htm
http://www.ypepth.gr/el_ec_page652.htm
Αναγνώριση Επαγγελματικών Δικαιωμάτων
Medy wrote @ September 19th, 2008 at 04:41
Hi! I have been reading your blog for a little over a year now and have learned sooo much from you! Thank you!
I have a quick question which does not seem to be directly referred to in your posts regarding existing businesses and Greece. Specifically, my employer is thinking of setting up a “representative office” of an American firm in Athens. There are other offices abroad, but none in the EU currently.
My question to you–would Greece tax and regulate such legal entities differently? Is there even such an option in Greece, and if so are the procedures involved in setting up different?
Thanks in advance for all of your help!
Val wrote @ January 5th, 2009 at 21:43
Good luck to anyone starting a business in this climate of uncertainty. A UK friend managed to open her business ( dog grooming) in Athens with lots of help through the beaurocracy three years ago. Alas, she has decided to let it go as these days, pooches are first on the list for economies. She DID it tho, with some helpful people at the local employment office. So it is possible so don’t give up if you want to set up Greece’s first hypnotherapist /water ski hire!
sarah wrote @ March 1st, 2009 at 22:17
This website has helped me out SOOOO much and I cannot thank you enough!
I was wondering if you must go through the same sort of process you posted above if you plan on giving private language lessons. Obviously you would be self-employed, but would it be considered a business? All of the people I have met who do this for a living do so illegally (without claiming their income or paying TEVE.) Also, after reading Vana’s comment, I am curious as to what sort of qualifications one would need to do so. (If anyone has had experience with this, advice would be greatly appreciated!) Finally, I read above that non-EU spouses of Greek citizens must wait a year to have TEVE. Do they ALSO need to have been a salaried worker with IKA over this time period? I always see these requirements lumped together and it has me confused. Any additional information would be very appreciated!
Sarah
Germaine wrote @ March 2nd, 2009 at 19:12
I am very impressed with your website and with you and your life experiences. This site is invaluable I see.
I don’t see anything mentioned (unless I missed it) about what happens if your business doesn’t do well and you have to shut it down. I hear that this is when you PAY! I am thinking of opening a business in Corfu based on my husband’s ornamental ironwork, but if it doesn’t go well due to the current world financial crisis, I want to know what I might be getting myself into.
Thanks in advance!
James wrote @ March 2nd, 2009 at 19:59
Hello I am British, and i am considering buying a business on the island of Zante. A Beach Bar. The previous owner has had it for three years and reckons he is selling due to family matters home in the UK? I have found that to be quite a common reason for people to be selling their businesses abroad… which i appreciate to be very genuine in some cases, but on the other hand it’s very easy to come up with little questions asked about it, nevertheless.
For example, if the business has been run badly? Or it has created a bad rep with local councils? Or has outstanding bills, i.e. sewage rates, council rates, etc? The law? Or even just blatantly been avoiding paying a genuine tax bill. Are these taken on with the business when sold to new owners?
Are there ways of getting on the right side?
You might think i ask these questions in arrogance, as it may look like i’m assuming the people there to be hard work. this isn’t the case.
People complain about other countries being difficult, but not everybody knows how to work with certain people and they burn their bridges before they start.
Any help to this matter would be wonderful.
Thanks
Germaine wrote @ March 8th, 2009 at 12:32
Thank you very much for the info and taking your time to be so helpful. If I may take advantage of your generosity a little more, I just would like to clarify your response. I didn’t think about those financial issues, like debts to vendors and such, upon closing the business, so I can add that to my business plan. But people gave me the impression that we would have to pay the government a “fine” for closing the business. Maybe they just misunderstood the debts or does the government expect payment of taxes from the liquidation of assets whether we were able to liquidate them or not? I didn’t see those stories you mentioned of others and the problems the incurred. You have so many interesting things that I kept getting sidetracked, plus I have 6 children who make sure to sidetrack me all the time. But I will check them out.
Thanks again.
Demitris wrote @ March 9th, 2009 at 00:04
James brings up some very important questions. If I can elaborate further having close to 20 years experience in the retail industry, predominantly outside of Greece. The fact that the owner of this bar is selling his business within 3 years should raise a red flag. His reasons could ofcourse be genuine but I urge you or anyone else considering buying any business to take the time to investigate that business closely.
Sadly financial statements cannot be trusted these days. Best thing for you to do if it is at all possible is to visit Zante. Ask around & see for yourself if this business is indeed performing. If this bar is not performing to satisfactory levels but you find that there’s still good potential you can ofcourse bargain with the owner to sell it to you at a more reasonable price.
A wrote @ March 12th, 2009 at 22:34
Is there no concept in Greek acquisition transactions of purchase price adjustments? that is, some portion of the payment for the business is made after the closing (and the sale is subject to a lien in favor of the seller) so that the seller bears the risks of the representations about the business not being accurate? This would mean, for example, for a business that has a volume sales revenue, a calculation of full payment based on the prior and forward looking sales term, with a portion paid 12 or 18 months after the transfer, etc. I agree with prior statements that there is no effective “due diligence” in Greece because nothing is confirmed as true, bookwise.
James wrote @ March 18th, 2009 at 15:56
Thank you for the answers given by everybody, they are a great help to me.
What can anybody tell me about Residency/ N.I no. how do i go about getting these? Do i need one/both to own run a business from Greece.
In the deal that i plan make with the existing owner (he is also british), we are talking of maybe a staggered payment scheme. There will be terms and conditions which could affect the final payment for the business, can the documents be written up by a british solicitor or does it have to be someone from greece? .
Kat mentioned about the Languge barrier, this i have been worried about, only when signing the business over and clearing the idea of no outstanding debts.
I happen to know a guy quite well who has a property company situated in Kos, he is also Greek. If i were to use the people he uses to help me with the transactions, would this be enough to hopefully secure this deal safefully, or do i need somebody there with me throughout the whole transaction, speaking there for me. I was hoping if i using his people that opperate in the same region as Zante this would help?
Is it a close knit between the professional people on the Islands would they know each other and be able to help with the transaction via telephone/email? A bit of an open question to ask, i know there is no specific answer to this, but any thoughts on this appreciated.
Perfect scenario would be for my friend to accompany me, he is also an accountant, he might offer but im not in a close enough situation to ask him.
Thanks again
James
Kate wrote @ April 4th, 2009 at 23:53
This web site is very interesting. Im EU citizen and im looking for all information to set up Recruiting Agency in Athens. Im wondering about that 60.000 euros as a deposit is that amount same to everybody who want open one person business?
Where can i find some information about tax system for Recruiting Agency?
Thank You for Youe help.
Demi wrote @ April 10th, 2009 at 09:53
Can someone please help me with this!!!!! What would be required to open an independent Travel Agency in Greece?
I would like to set up a resteraunt on an island. How do I start?
James wrote @ May 29th, 2009 at 11:24
Hi.
I’m considering opening a business here and this is invaluable.
Thank you
Ed wrote @ July 13th, 2009 at 14:38
First of all, my congratulations on putting together such a superb resource. I cannot begin to imagine the effort required to keep it going.
For that reason, I’ll keep my question short: I am an EU citizen, and I am thinking of moving to Greece with my wife in a couple of years. For the climate, to be honest (living in Northern Germany since 2000).
I am a self-employed translator (> 3 years), solvent (i.e. no debts, no house, no kids and with some modest savings) and was wondering whether the capital deposit you mention in Step #4 would also apply to me. Either the 60,000 or 18,000 you mention. Links are fine, rather than a long explanation!
Thank you very much in advance for your time.
Ed
KD wrote @ July 24th, 2009 at 23:02
Regarding step 4 and the capital of 18,000 euro as minimum– forgive me if you answered this, but I am not clear on it yet. If I understand correctly, to start a small business as a non-EU cit., I would need 60,000 euro in a Greek bank account, but in step 4 it says the minimum is 18,000. Do you know what this is based on? In other words, what are the circumstances in which someone would have to have only the minimum, and what are the circumstances in which someone would need more?
Elliott wrote @ September 17th, 2009 at 18:01
First,
Thank you for the very informative article, my aunt works for the ministry and she could only repeat what you mentioned, no new info.
Second I thought this website might help, it’s the official website of the EU on starting/setting-up a business (according to EU legislation) in Greece. http://ec.europa.eu/youreurope/business/starting-business/setting-up/greece/index_en.htm
One small question I’ve spent countless hours trying to find a list of young entrepreneur schemes in Greece…. and have come up pretty empty-handed. Do you know any good websites or places to find info for young entrepreneurs?
Once again thank you for the article and for the hours it must have took to write it.
Ak wrote @ October 2nd, 2009 at 09:33
hi,
your website is very interesting and you have deep knowledge about business in athens.
i want to set up a business in greece. set up a trading company. i have offices in india and china and i can import things from both of countries. i can import garments, jewellery , furniture. establishing my company as agent company to source the products and deliver it to the wholesaler or shopkeeper..
what do you think about it?
Richard wrote @ January 2nd, 2010 at 14:55
Hi just came across this website I am writing to you here because I wish to take a business idea I have to Greece and further into European countries.The business I have is in waste management utilising composting worms in special mechanised bedding systems to process the organic waste streams and then turn the waste into highly valuable soil and plant conditioners.I have a strong financial backer from Switzerland who can help me with EU funding etc etc and all of the relevant red tape hassles.
I am also from Australia. I am not greek, but I understand and like the people.I have a wife and a 3 year old daughter and I am willing to come over to Greece but I am equally apprehensive about the lifestyle. can you maybe get in contact with me for a possible skype chat thanks
pogor wrote @ January 5th, 2010 at 01:56
Hello Kat,
First I must say how amazing you are! I’ve been leaving living in Greece for 10 years now and I know very well how much strength, time, effort and everything was needed to collect and write down all the information you present here.
I also admire the tremendous amount of kindness and patience you show in answering all kinds of questions and dealing with different kinds of people. I know I wouldn’t.
One more thing… why did you disable “right click”? I think it want help you stop those who really want to copy something from the site. I think it only stops us who usually right click on links to open them in a new tab of doing so.
Best regards and best wishes for 2010!
Dirk wrote @ February 1st, 2010 at 14:23
Hi, congratulations with your excellent and clear site! and a big thank you for doing all this in your free time and provding people wih very valuable facts and insights! I have encountered many of the things you have mentioned and it was good to know that it wasnt just me being frustrated and amazed at how things work here in Greece. I am in the very early stages of wanting to set up a business here in greece, but I am looking for investors. Do you know about a website to contact investors or any other links?
Hello,
thanks a lot for the time and for the work you invested into this page. I hope you can answer one of my questions. Since I have a registered company in UK, according to EU rules, I should be able to supply companies based on a project contract. I am a consultant. So, do you think, it is realistic, to live here and do the work from here, and invoice it from the UK?
And the second question: What about the e-commerce possibilities? Do we have any option to use this channel to do business in Greece in cooperation with other EU country and invoice it from abroad?
Thanks a lot for your time and for your answer in advance.
Wish you the best
Gabriel
Moris wrote @ March 30th, 2010 at 15:29
Hello, i’m a non-EU passport holder married to a Greek citizen. I’ve been living in Greece for 3 years now, with a valid residence permit, which i acquired through my wife when i arrived. I’m opening a small restaurant of my own. I already received my pre approval which makes me half way there. Now i’m asked to prove that i’m allowed to be self-employed. So i have 2 questions:
1) Where can i find the article that says that i’m allowed to start my own business as a non-EU member married to a Greek citizen?
2) At what point will i be asked to show the deposit (18000 or 60000) in my bank account?
I’d like to thank you in advance, and any additional information or advice would be highly appreciated.
Marz wrote @ April 17th, 2010 at 23:14
hi, all the information here is wonderful. As an Australian who came to greece and opened a business in 2004, I give this advice: DONT DO IT!!!
For the first year my business was very successful, and I suppose that was my downfall. You see, Greeks (not all, but most) don’t like to see foreigners succeed in their country. I had people con me, rob me, government officials harass me all because they could get away with it and I was a stupid gullible foreigner. I was far from gullible, but what do you do when you get a whole town that stops buying from you because “you make enough money and we should spend our money in a Greek shop”? Or when you have the tax office saying, “Oh you owe this much money, pay me 5,000 euros and it will go away.” Never mind that you have already paid.
I lost everything in Greece and regret every single day that I was there, except when I met my husband and he was clever enough to move to Australia with me. Until he died, but that’s another story.
john wrote @ May 9th, 2010 at 15:47
wow. after reading all this i dont know if i want 2 open a business in greece,i want 2 open a fishing and hunting shop but don’t know what licenses i would need or where 2 start, can u point me in the right direction?
Notkat wrote @ May 31st, 2010 at 23:31
You are sooooo far up your own bottom.
You DO get it wrong sometimes like all of us. Please don’t suggest that everything you say is right and everything anyone else says is wrong because life isn’t that straightforward.
Thanks for the info . . . but cut the pedantry!
Rustam wrote @ July 17th, 2010 at 10:21
Hello,
I found your website 1,5 year ago.
It is always helpful for me, and I am keep coming back here every time I need some information.
Kimberly wrote @ July 18th, 2010 at 15:04
Hi,
I have thought about living and opening a business in Greece for only about 16 years. Got sidetracked to Germany and have a permanent residency permit to live in Germany. I am American with my dad’s side of the family being German (grandparents and uncles immigrated to the US in 1927). I am writing all of this as I have read your info on getting a visa to live in Greece. Is the permanent residency enough to get the visa for Greece? Or should I try the German ancestry connection ?
Thanks
Serena wrote @ August 23rd, 2010 at 18:48
would you plse help me: I am Italian, my boyfriend and I would like to open a small bar in Samos. We do not have too much income, so we should ask for some loans: do you think it is possible to get loans in this period of crisis? How much money do you think we may need to start such a business? Is it possible to import coffee and coffee machines directly from Italy (maybe this question should be posed to Italian companies producing coffee). Do you recommend any contacts for this kind of information?
Thank you very much!!!
This site is very useful!
Estee wrote @ August 26th, 2010 at 12:52
I just stumbled onto your website and have been reading about everything for the past 3 hours,
Alot of your information is extreamly helpfull.
I am an South African citizen who came to Greece about four years ago and coming and going untill I met my husband. We have been happily married for two years now. And most of my paper work went pretty smoothly, so so far we havn’t had any problems or red tape.
So my question is this: My mom has taken ill and she and her husband would like to join us here in Greece. We would like to open a small bussiness a street vending like bussiness and have them come and help us with it.
Firstly can I obtain such a bussiness license. It will be for a customized trailer that we will be selling food from and then be able to move it around following the busy spots. If that is even allowed? Well I cant really tell you the idea cause it is actually very cool and no one has it anywhere in Greece. I also read that maybe these type of licences are not issued any more? Is that true??
I know all the procedures for visa’s but because Im married to a Greek citizen do my parents qualify for a residence permit allowing to work a little?? And can someone like me obtain this kind of licence? or do I still have to follow all the points that you layed out?
I just need a little insight and any info will help.
Kind Regards
Estee
Michelle wrote @ August 26th, 2010 at 17:21
Well i have to admire you for this effort, kindness and generosity of spirit. You don’t often find people to work so hard and give so much for no money.
Just a quick question, myself and my husband are Greek citizens, i moved here 6 months ago from Australia. We want to import costume jewelery from Egypt. We are planning to rent a showroom/office and sell as wholesalers.
Do you recommend that if we want the least hassles is it better to get a logistics company or accountant to do the work involved in starting a small import business? And do you know how complex and involved starting this kind of business is?
Thank you very much
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Pedantry? That word alone makes me sad because I think I know who you are. Seek professional help.
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Kat Reply:
October 30th, 2007 at 22:52
P – Doesn’t it suck sometimes to own a business? I’m glad I never need to pay FPA, fill out the same form different ways depending on who is manning the desk or get audited ever again.