EOR or your own entity

EOR or your own entity? What setting up a local company takes

What a subsidiary needs before your first hire in the countries buyers hire in most: share capital, the government fee, how long registration takes, whether a director must live there, and what it must file every year. Each fact is quoted from the official source it links to, beside what hiring there through an employer of record costs.

Hire through an employer of record when you need someone employed quickly, in a country where you have no company: the provider employs your hire through its own local entity, and you pay it a monthly fee per employee. Set up your own entity (a subsidiary) when you plan a lasting team there or need a local company for customers, contracts or licences: it takes share capital in some countries, registry and notary fees, sometimes a director who lives there, registration as an employer, and annual accounts and returns every year. Many companies start with an employer of record and move their staff to their own entity once the team grows.

Country by country

The form is the one a foreign company usually uses for a subsidiary. Fees are the registry's own (Germany: court and notary fees from its chamber of commerce); lawyers, accountants and formation services charge on top. "Not confirmed yet" means we have not yet read it on an official page we can quote.

Download this table (CSV)14 countriesFree to reuse under CC BY 4.0. Cite as: BestEOR.co (2026), Minimum share capital to set up a private company, by country, besteor.co/eor-vs-own-entity, figures read at source up to Nov 4, 2026.

Moving your employees from the EOR to your own entity

Once your company exists, your people can move from the provider's payroll to yours. Of the providers on our contract-terms board, 10 say on their own pages that they help with that move. What it costs, or what stops you hiring the employee directly, is stated by these:

What each provider says about the move

Most providers do not publish their service agreement, so a fee or a clause may sit in the contract you sign: ask for it before you do.

A business account for your new company

Your company pays salaries, taxes and social security from an account in its own name. Where each provider says the company must be registered, its cheapest plan and what it charges to convert currency, from its own pages (we earn a fee if you open an account through a Visit button; it never changes what the facts say):

Setting up your own company

Formation services we refer to (we earn a fee if you sign up through these links; it never changes what the facts above say).

Hiring before your own company is set up? Tell us the country and how many people: we rank the providers that employ there, own entity first, and get you quotes from the ones you pick.

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This page summarises official sources read on the date each figure shows; it is not legal or tax advice. Rules and fees change, so confirm them for your case with a local adviser before you set up a company.