Slovak Holding Company

Updated on Tuesday 08th December 2015

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Holding companies are a special kind of companies, in the way that they own stocks in others, but they do not interfere directly with their operations. 
 
The holding company is a business that is charged with owning other companies which are called subsidiaries. The holding company’s board of directors usually controls the other companies. In case you want to open a holding company in Slovakia, you can ask our experts in company formation for advice.
 

Various aspects of a Slovak holding company

A holding company in Slovakia is allowed to be registered as:
If a legal structure is 100% owned by the holding company, then it becomes a wholly owned subsidiary. Furthermore, a big corporation might decide on structuring itself as a holding company with many subsidiaries for different purposes: one can own its trademarks; another one can own its real estates and another can operate each franchise. In this way, every subsidiary has limited legal as well as financial liability. This limited liability also applies to the holding company itself. 
 

Advantages of opening a Slovak holding company

There are many advantages when forming a holding company in Slovakia and some of the most important benefits are the following: 
  1. Tax exemption for dividend income (if the profits are being paid to one of the shareholders, a supervising member, or a member of the executive body).
  2. There is no restriction to the nationality of the Slovak companies’ owners.
  3. The holding company is protected from the losses of its subsidiaries and it cannot be pursued for remuneration.
  4. Lower tax rates (if some parts of the business are strategically based in sectors with lower taxes).
  5. Another advantage in a Slovak holding company formation is that the managers of the subsidiaries are responsible for their own operations and therefore the holding company is not liable for them.
 
In order to receive complete information on how to startup a holding company in Slovakia, you can contact our company incorporation specialists in Slovakia. You may also ask for further details about the advantages of forming this type of legal structure.
 
 
 
 

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