Business Permits & Licenses in Romania

Our team of Romanian lawyers can offer an extensive outlook on the types of licenses and business permits that can be requested under the commercial legislation available here. The following article enumerates the types of business activities that require business permits and licenses in Romania prior or subsequent to incorporation. Besides the business fields we will present in this article, it is necessary to know that a business license in Romania may be need for other economic activities. Our lawyers can also present the types of documents that have to be submitted with the local institutions, depending on the economic sector that is of interest for a foreign businessman.

Quick Facts
What are business licenses and permits in Romania?	Documents that attest a business carries out its operations in accordance with the stipulations of the law and with the requirements available for each sector.
When should investors apply for business permits and licenses?	After the company has gained legal personality and it is officially incorporated.
Institutions in charge with the issuance of the documents	There are many institutions involved in issuing business permits and licenses in Romania and they depend on the industry (the National Bank of Romania, the Insurance Supervision Commission, the National Commission of Movable Valuables, the General Inspectorate of the Romanian Police, the City Hall and many others).
Documents required for the issuance of a business license	Documents attesting the registration of the company with the Romanian Trade Register, the company’s NACE codes, proof of owning/renting the location where the company will carry its operations, a certificate issued by the Romanian Inspectorate for Emergency Situations, authorizations issued by other competent institutions etc.
Registered address requirements	It is mandatory to have a registered address in Romania.
Licenses and permits fees (yes/no)	Yes
Mandatory authorizations for businesses	Authorizations are necessary from institutions such as: the Territorial Labour Inspectorate, the Inspectorate for Emergency Situations, the National Agency for the Protection of the Environment, the National Agency for the Consumer Protection.
Is it possible to obtain permits and licenses through a third party?	Yes, business permits and licenses in Romania can be obtained by a third party, such as our Romanian lawyers, by granting us the power of attorney.
Validity of Romanian licenses and permits	In general, these types of documents are valid for a period of 1 year.
When should investors apply for a license renewal?	Prior to the end of the financial year
What happens when a company did not renew its license?	The law imposes the payment of various fines.
Business activities that are authorized localy, by the City Hall	There are a variety of business activities that must be licensed by the City Hall. These are regulated under the Government Ordinance 99/2000.
Obligations in the case the company’s activities are modified	The company is obligated to contact the competent institutions and report any changes from the ones registered initially with the Romanian authorities.
Deadline to report changes	In a period of 30 days prior to starting the new activities or implementing other company changes.
Ways in which our team can help investors	Our team can help investors prepare the application file, pay fees, register with all the necessary institutions and address the said institutions when any change may occur.

We can also advise on the documents required when registering for VAT in Romania and on the process of company formation in Romania. If you need legal services for company formation in Romania, you can always address us.

Table of Contents

Banking activities in Romania

One of the business activities that requires a business license in Romania is the banking sector. Thus, in the case of credit institutions or other legal entities operating in this field, it is necessary to apply for an authorization that is issued by the Romanian National Bank. Please note that it is forbidden to carry out banking operations without prior approval from this institution.

The Romanian National Bank grants the business license in Romania to a credit institution only after verifying that the respective credit institution is able to ensure on-going activity in safety conditions and by respecting the requirements of a prudent and business-healthy administration.

The institution must also ensure the protection of the clients and creditors and the well-maintenance of the banking system per the law’s stipulations, which can be detailed by our team of lawyers in Romania. Note: the Romanian National Bank notifies to the European Commission of any granted authorization.

Insurance and insurance brokerage businesses in Romania

The Insurance Supervision Commission is able to grant a business license in Romania for companies activating in the insurance/re-insurance market, in the case of cumulative fulfillment of a set of conditions.

The procedure can cover all risks in one class of activity. In the situation in which the insurance company only wishes to cover certain risks included in the respective class, a feasibility study must be drafted which must contain the following information and documents:

the nature of the legal engagements or risks which the insurer wants to cover;
the calculations methods used for the establishment of the technical reserves;
the principles of the re-insurance program and the lists with the re-insurers per the provisions of the norms emitted for the application of the law;
the components of the Safety Fund, according to the legal norms;
the financial resources to cover the expenses and resources of the insurer for granting the assistance;
the first three financial exercises and the feasibility study are also required.

The feasibility study should contain the following:

the estimation of the expenses afferent to the executive management and to management positions specific to the insurance area;
the estimation of bonuses and damages;
the budget of income and expenses;
and the estimation of the financial resources necessary to the constitution of technical reserves and margin of solvency.

It is also necessary to provide an information technology system adequate for the optimal insurance activity per the information mentioned above. Our team of Romanian lawyers can provide more information concerning this subject.

IMPORTANT: in order to obtain the authorization to function, as well as at any time during the actual activity, an insurer or a re-insurer must be in working relations with at least one actuary. In the case in which the volume of activity is more developed, it requires the employment of two or more actuaries.

An insurer cannot be registered with the Romanian Trade Register without the prior permission for the registration from the Insurance Supervision Commission.

Obtaining a business license in Romania for healthcare providers

Any local or foreign investor who wants to set up a healthcare unit, regardless of its type, must obtain proper authorization from the Romanian institutions. The private healthcare sector has been in constant development in the last decade, and nowadays, there are more than 300 private hospitals operating in Romania.

Currently, the Romanian law provides for an authorization methodology that is applied to these types of units, regulated under the Order no. 3.473/2023 approved by the Ministry of Health.

According to the law, those who want to obtain a business license in Romania for a private hospital unit are required to prepare a file containing 8 basic files. Our attorneys in Romania present some of these documents:

a written request for the approval of the hospital, containing all the identification data of the applicant;
a proof concerning the legal personality of the applicant (which can be a company, foundation, etc., but it must be registered as a legal entity);
proof of having the right to use the building where the hospital will be located;
the town planning certificate, etc.

There are many other documents that must be presented and our law firm in Romania can assist with further information. Our team can also help you open a company in Romania (some of the options are the limited liability company or the joint stock company – the decision for one of them is based on the size of the business).

Our assistance also includes real estate services, therefore you can rely on us if you want to buy a property in Romania adequate for the needs of a healthcare unit.

Please know that, in this case, the approval for the issuance of a business license in Romania required for a healthcare provider can be obtained in 60 days, provided that the initial review of the documentation does not need further investigations.

Where the reviewers of the application need further documentation or clarification on the documents, an additional 30 days are granted.

Companies that need an authorization from the CNVM in Romania

The law regulates the formations and functioning of the financial instruments market, with the specific institutions and operations as well as the collective placement organisms for the purpose of the mobilization of the financial resources through investment in financial instruments. Our Romanian law firm can provide further details.

IMPORTANT: the National Commission of Movable Valuables, named C.N.V.M., is the competent authority which applies the provisions of the law through the prerogatives established in its governing regulations. The financial investments regulated by the law are divided between main services and related services. In the first case, the following apply:

the takeover and transmittance of the orders received from investors related to one or more financial instruments;
the execution of the orders related to one or more financial instruments, other than in its own name;
the transaction of financial instruments in own name;
the administration of the portfolios of the investors’ individual accounts, on a discretionary basis, respecting the mandate given by the latter in the case when these portfolios include one or more financial instruments;
the subscription of financial instruments on the basis of a firm arrangement.

In the case of related services, the following are available:

the custody and administration of financial instruments;
renting of safety boxes;
granting of credits or loans of financial instruments to an investor in certain conditions;
the consultancy given to legal entities with regards to any matter related to the capital structure;
consultancy and services related to company mergers and acquisitions.

Related services also refer to any other types of services that are connected to the subscription of financial instruments, to investment consulting regarding financial instruments and the currency exchange related to financial investment. Our team of lawyers in Romania can offer more information on the licensing requirements available in this case.

Services related to financial instruments can only be offered by companies of financial investment services authorized by the CNVM or credit institutions authorized by the CNVM.

It can also be granted to credit institutions authorized by the National Bank of Romania per the provisions of the applicable banking laws.

As a company providing intermediary services in the field of financial investment services, it is necessary to be registered with the CNVM. The CNVM must provide an authorization for financial investment services and intermediaries from non-member states.

The requirement is also applicable to credit institutions, authorized by the Romanian National Bank. It is also necessary for the equivalent of credit institutions and for financial investment services, authorized by the competent authorities from member states.

Below, we invite you to watch a short video on obtaining Romanian permits and licenses for businesses:

Business licenses for specific economic activities in Romania

Businesses that operate in fields such as retail, certain import-export activities, firearms manufacturing and the manufacture of ammunition have to apply for specific permits.

Companies that wish to activate in the latter fields are required to apply for a permit from the central or local structure of the General Inspectorate of the Romanian Police. The issuance of a business license in Romania is bound by the submission of specific documents, which are presented below:

for all future shareholders and administrators (directors) – ID and certificates of criminal records;
the persons mentioned above, whose activity will imply actual access to arms and ammunition, must provide the below mentioned documents;
medical approval showing that the person in question can own, carry and use arms and ammunition, emitted with no more than 12 months before the request is filed;
a medical certificate emitted by a specialized unit with no more than 6 months before the filing of the request showing that the person is not suffering from any of the conditions making impossible the authorization to own, carry and use firearms and lethal ammunition;
a certificate showing that the person in question has finished a practical and theoretical training course in the area of arms and ammunition.

What is the licensing procedure for Romanian construction companies?

One of the business fields in which foreign businessmen can invest in Romania is the construction sector. When investing in this industry, it is also necessary to apply for permits and licenses designed for this field of activity.

There are a number of procedures investors should expect when obtaining the required business license in Romania from the local institutions.

For example, a company developing a construction project in Romania should make all the necessary arrangements in order to receive clearances, permits, certificates or business licenses, by submitting the appropriate types of documents.

Once the company applies for the permits and licenses necessary for its business activity, the company’s representatives should expect a set of inspections on the construction site. When applying for construction permits in Romania, investors must know that the following will be applicable:

in order to receive the necessary permits and licenses, the company has to complete 24 procedures;
the estimated amount of time required to obtain all the clearances and permits is 260 days;
in Romania, the building quality control index is of 13.0, above other similar jurisdictions;
for example, the building quality control index in Europe and Central Asia is of 12.1;
Romania is currently situated on the 147th rank on the procedures for obtaining construction permits, being above the Czech Republic, for instance, which is situated on the 156th rank.

What types of permits does a Romanian construction company need?

Those involved in a construction project, more exactly, in a greenfield construction project, will need to apply for a wide range of permits, as numerous professionals and institutions are involved in various parts of the construction project.

Our team of Romanian lawyers can present the legislation regulating this field of activity; some of the basic steps are the ones mentioned below, but additional procedures should be completed:

obtaining an urban planning certificate, by submitting topographical documentation drafted by an engineer (the procedure can be completed in 7 days);
obtain an approval from the Cadaster and Real Estate Registry (15 days);
obtain clearance from the Regional Environmental Protection Agency (21 days);
obtain clearance from the water supply and sewage authority (18 days);
obtain clearance from the General Inspectorate for Emergency Situations (15 days).

Do transportation companies in Romania need to be licensed?

Yes, all businesses that carry operations in the field of transportation need to be licensed for their respective activity, regardless that it refers to the transportation of passengers or of goods.

The issuance of the business license falls under the responsibility of the Romanian Road Authority Office and investors have to prepare a set of documents, which can be detailed by our law firm in Romania. Such companies have to provide in-depth information on the expertise and qualifications of the persons who will carry the transportation activities.

Romanian security companies

In order to obtain the business license in Romania, the following documents have to be provided to the police:

the approval from the Romanian police related to the object of activity;
the name of the company;
the approval of the shareholder and management personnel obtained before the registration of the company with the Trade Register.

More details on this subject can be offered by our team of lawyers in Romania. We mention that, under the Romanian law, companies can apply only for a business license in Romania or for a permit. The current legislation does not regulate other types of licenses, such as the trade license in Romania.

Please contact our Romanian law firm for more information on the business permits that are available here and on the process of company formation in Romania.