How to Open an R&D Office in Poland
Companies that aim to stay at the forefront of the technological wave are constantly searching for IT talents and ways to optimize expenses. Opening an R&D office in an economically attractive region provides an opportunity to kickstart development without being weighed down by high salaries and operational costs. Poland emerges as a prime choice in this regard. Ranking 21st among the world's major economies, the country attracts businesses with its reliability and financial affordability. If you're considering opening an offshore or nearshore R&D office in Poland, this article will guide you through the essential procedural aspects.
Why open an R&D office in Poland?
Opening an R&D office in Poland offers numerous compelling advantages for companies seeking to enhance their research and development capabilities. Several aspects which make Poland such an attractive destination are:
Thriving technology and innovation ecosystem. The country is home to renowned research institutions, universities, and startups that drive cutting-edge discoveries and advancements across various sectors. By establishing an R&D office in Poland, companies gain access to a rich pool of expertise and collaboration opportunities.
Skilled and educated workforce. The country strongly emphasizes education, producing specialists with the latest industry knowledge and technical skills. This talent pool gives companies the expertise to fuel their R&D initiatives and achieve impressive business results.
Favorable business environment. Poland provides attractive financial incentives, tax benefits, and government support programs to promote research and development activities. Such initiatives reduce organizations' costs, shorten time-to-market, and facilitate innovation.
Cost optimization. The costs of operations in Poland, including salaries and overhead expenses, are lower than those in the majority of European countries. Thus, you can allocate resources efficiently and invest more in research and development efforts.
Convenient location. Poland is located in the center of Europe and has excellent connectivity and transportation infrastructure which simplifies your traveling to the team, or inviting team members to attend conferences and business meetings, if such a need arises.
Partnership opportunities. Poland has various networking platforms and events that facilitate collaboration and knowledge exchange. Partnering with universities and research institutions opens doors for joint projects, access to specialized facilities, and leveraging academic expertise.
Intellectual property protection. Poland has robust intellectual property laws and regulations. You can be sure that intellectual assets developed within the R&D office are safeguarded and shielded from unauthorized use.
Ways to start an R&D center in Poland
When you open an R&D center, you're actually assembling a dedicated in-house team that operates remotely. This team is solely focused on your project, maintaining continuous communication, sharing progress updates, addressing challenges, and embracing your corporate culture.
For organizations looking for top-notch development quality at affordable prices, establishing an R&D center in Poland is a smart choice. If you're thinking about hiring Polish programmers to develop your product, here are a few strategies to help you get started
Open your own company
To open a company in Poland you are required to:
1. Choose the company's legal form. Any foreigner can open a company in Poland, and being physically present in the country is not even necessary. Even if you don't have Polish citizenship or a residence permit, you can still form a:
Limited partnership
Limited joint-stock partnership
Limited liability company (LLC)
Stock corporation
2. Select the company's name. Choose a unique name for your company and check its availability with the National Court Register (Krajowy Rejestr Sądowy - KRS).
3. Identify shareholders and appoint a management board. For LLC companies, you should have a management board consisting of at least one director. For joint stock companies, there are no specific requirements regarding the board's composition, but it should be noted that there must be an absolute majority of votes to make all critical decisions. For example, a 2/3 majority is required for share buybacks, while a 3/4 majority is required for company liquidation.
4. Prepare the Articles of Association. Outline the company's purpose, share capital, shareholders' rights and obligations, and organizational structure. This document must be drafted in Polish.
5. Deposit the required share capital into a bank account. For limited liability companies, the minimum share capital is PLN 5,000, while joint-stock companies require at least PLN 100,000.
6. Notarize the Articles of Association. Work with a Polish notary to notarize the Articles of Association. Then register the company with the relevant Regional Court to obtain a KRS number.
7. Register your company for tax purposes. This includes obtaining a tax identification number (NIP) and Value Added Tax (VAT) registration (if applicable).
8. Open a bank account. You will need a business bank account in Poland to manage your company's finances.
9. Register with the Social Insurance Institution. This is required if you plan to hire employees and make social security and health insurance contributions.
Unsure about starting a company from scratch?
Partner with a software development provider
There is a simpler and faster way to open an R&D office in Poland than registering a new company. You can partner with a reliable software development company that already has a team of developers and outsource the development of your desired product to them.
The process of opening an R&D office in Poland through an outsourcing model is simple. If you decide to open such an office, then you should:
1. Find a company you trust. To ensure you have made the right choice, visit the company’s website and view its case studies, read client reviews, and investigate the company's expertise by browsing its service pages.
2. Book a call. Before making a final decision, talk to a representative of the company. Share details about your project and ask how the company can assist in implementing your business plans.
3. Meet the team. You can request to be introduced to the team and personally meet each specialist. Once satisfied that their expertise meets your expectations, you can proceed with formalizing the partnership.
4. Sign a software development contract. This will include the rights and responsibilities of both parties regarding project implementation, payment terms, and intellectual property rights.
When opening an R&D office in Poland, you hire a dedicated team. This means you are launching a long-term project, and the team works exclusively for you. Each team member receives monthly compensation. As the client, you transfer the entire amount of compensation for the month to the outsourcing company's account, and the company handles the payment to each of its employees.
5. Enjoy productive collaboration. By opening an R&D office in Poland, you can hire not only developers, testers, and other specialists directly involved in the development process but also managerial personnel, ranging from mid-level managers to C-level experts. With all that, you can actively participate in the project, receive timely updates on the progress, and adjust the work process. You have the freedom to choose your level of involvement in the project implementation and establish the level of control over the R&D center in Poland.
Benefits of opening an R&D center in Poland through an outsourcing model
Partnering with an outsourcing company in Poland is much faster and simpler than starting a company from scratch. By collaborating with an existing team, you save valuable time and can concentrate on your core business activities. Additionally, you gain many other benefits, including:
Quick access to the required experts. By partnering with an outsourcing company, you don't have to worry about personnel recruitment. The HR team of the company will provide you with available specialists or recruit the necessary specialists specifically for your project.
No hassle with legal entities. You don't need to spend time and effort on company registration in Poland. You simply sign a software development contract with the outsourcing firm and start the development process immediately.
No operational troubles. When partnering with an established company, you don't need to worry about setting up office space, organizing corporate activities, or managing overheads. Your technology partner handles all the operational activities to ensure that your team works in comfortable conditions and a friendly working environment.
Accelerated time-to-market. With an experienced team already in place, you can start your project implementation right away. You don't need to set up development flows, adjust communication, or reorganize managerial practices (unless you want to). Everything is prepared to develop and release a product to the market.
Cost-effectiveness. Outsourcing software development to Poland offers cost savings compared to establishing and maintaining a new company. By partnering with a software development provider, you avoid expenses related to office space, equipment, employee benefits, and other operational costs. This allows you to allocate your resources more efficiently and focus on the core aspects of your project.
Ready to kickstart your R&D center in Poland?
Launching an R&D center in Poland: you are in a good company
No matter which approach you select to establish an R&D office in Poland, be confident that you've made the right choice. Poland stands out as an excellent outsourcing destination offering a favorable balance of cost and quality. Polish programmers deliver top-notch software products at a fraction of the price their American or Western European peers charge. Moreover, Russian aggression has led to a substantial influx of Ukrainian programmers to Poland. By setting up an R&D office in Poland, you not only gain access to a broader talent pool but also unlock real opportunities for swift project initiation.
Considering the above, many companies are already investing in R&D offices in Poland and achieving excellent results. According to Startup Universal, Poland's startup ecosystem boasts more than 3,000 startups, over 300 coworking spaces, over 130 venture capitalists (VCs), numerous acceleration programs, and a vibrant tech conference scene. It stands out as the most advanced hub in the Central and Eastern European (CEE) region.
Additionally, renowned companies are actively opening their R&D centers in Poland. So, when you start software development in Poland, you will be in the company of such industry giants as
Google
HP
IBM
Amazon
Motorola
Delphi
Volkswagen
Fujitsu
Pfizer
and many others
How Erbis can help with opening an R&D center in Poland
Erbis is a fast-growing company that started with just a few programmers working in a small office in Ukraine. Now, our team consists of 100+ professionals working across different parts of the world.
We recently established a prominent development center in Krakow, Poland, where we assembled a skilled team of developers, QA engineers, business analysts, project managers, and other IT specialists. Our expertise spans multiple industries, including proptech, fintech, real estate, supply chain, healthcare, retail, and automotive. We cater to clients worldwide, ranging from startups to large enterprises.
If you are searching for a trustworthy technology partner committed to delivering outstanding results, get in touch with us. Working with Erbis will provide you with the seamless collaboration experience you've been looking for!
FAQ
The best cities in Poland for opening an R&D office include Warsaw, Krakow, Wroclaw, Poznan, and Gdansk. These cities offer a robust technology ecosystem, a skilled talent pool, and excellent infrastructure.
The cost of opening and maintaining an R&D office in Poland can vary depending on factors such as location, office size, and team size. However, by partnering with a software development company and leveraging a pre-existing team, you can eliminate expenses associated with office space, legal processes, and recruitment. Instead, you will focus on compensating the team and paying a software development provider fee.
If you choose to open your own company in Poland, you will need to hire a recruiter or partner with a recruiting agency to find the necessary talents for your project. However, by outsourcing software development to a dedicated team in Poland, you can alleviate the concerns involved with recruitment. The software development provider will supply you with talented professionals who precisely fit your project requirements.
