Share capital represents the total amount of monetary and non-monetary contributions made by the shareholders, which together form the initial capital of a Slovak limited liability company (s.r.o.). It is the financial foundation from which the company begins its business activity and also serves as a form of security for creditors.
Many future entrepreneurs worry that they must physically have €5,000 “in hand” when forming a Slovak company. The reality is more favorable – although the law defines the minimum amount of share capital, it does not require that the money actually be deposited in a bank account before the company is registered in the Commercial Register.
According to Section 108 of the Slovak Commercial Code, the minimum share capital is €5,000.
Each shareholder must contribute at least €750.
If a Slovak s.r.o. has multiple shareholders, they may divide the capital among themselves as agreed in the partnership agreement.
Example:
If there are three shareholders, they may agree as follows:
- shareholder A contributes €2,500
- shareholder B contributes €1,500
- shareholder C contributes €1,000
Together, they reach the legally required minimum of €5,000.
Do I Need to Have €5,000 in a Bank Account When Registering a Slovak Company?
No. This is the most common misconception among first-time founders.
The law defines the amount of capital, but does not require it to be physically deposited in a bank account.
In practice, this means:
- The deposit administrator (usually the founder) simply declares that the contribution has been paid in cash.
- No authority checks or verifies it.
- After the company is registered, the funds may be used for business expenses — e.g. paying for a website, accountant, or office.
So no, you do not need to have €5,000 “sitting in your account” on the day of incorporation.
Capital may be paid:
- in cash – deposited into the company’s cash register
- by bank transfer – to the company’s business account
Before registration, a simple declaration from the deposit administrator confirming that the capital has been paid is sufficient.
This declaration must include:
- name of the deposit administrator,
- amount of capital paid,
- date of payment.
It is submitted together with the application for entry into the Commercial Register.
Who Checks Whether the Capital Was Really Paid?
Formally, no one. Neither the Commercial Register nor the notary requires a bank confirmation.
Responsibility lies solely with the deposit administrator and the managing director, who sign the statutory declaration. If it is later proven that the contribution was not actually paid, they may bear legal liability.
If the administrator knowingly provides false information, it is considered a deceptive declaration, which may lead to legal consequences.
In practice, this is rarely checked. Problems arise mainly if the company later incurs debts.
For example, if the company declares the capital as paid in cash but has no real funds and enforcement proceedings begin, the discrepancy between accounting and reality may even lead to criminal liability.
Yes — and that’s the good news.
Once the company is registered in the Slovak Commercial Register, the share capital becomes the property of the company. This means the company may freely use it for business activity.
The law does not require that the funds stay “blocked” in the bank.
You may use the capital for:
- office equipment and furniture
- paying for a website, accountant, or software
- business fees, marketing, or legal services
⚠️ Note: These funds are not personal money of the shareholder. They are company funds and must be used exclusively for business purposes.
Although it is legally possible to form a company “on paper only,” the amount of share capital often affects how business partners and banks perceive you:
- Banks consider it when assessing loan applications
- Clients and suppliers may view higher capital as a sign of reliability
- Higher capital may help in public tenders or foreign partnerships
Model Case 1 – Single-member s.r.o.
Peter forms a company alone. He sets the share capital to €5,000, appoints himself as deposit administrator, and declares he paid it in cash.
After registration, he uses the funds to buy a computer and create a website.
Zuzana, Tomáš, and Juraj decide to form a company.
- Zuzana contributes €2,000
- Tomáš contributes €2,000
- Juraj contributes €1,000
Each pays in cash. Zuzana, as the deposit administrator, signs the declaration.
The company is successfully registered without needing any bank confirmation.
1. Do I need €5,000 in a bank account when forming an s.r.o.?
No. The law does not require a real bank deposit — only a declaration.
2. Can I use the share capital after the company is registered?
Yes, but only for business purposes.
3. Does anyone verify whether I actually paid the capital?
No. The business register does not verify it. The deposit administrator is responsible.
4. Do I need a business bank account before company registration?
No. You open the account after the company is registered.
5. Can the share capital be contributed in non-cash form?
Yes, e.g. a car, equipment, software — if it has an assigned value.
6. What if I want a share capital higher than €5,000?
You can — the law only sets a minimum. Higher capital increases credibility.
Summary
| Topic | Requirement |
|---|---|
| Minimum share capital | €5,000 |
| Minimum contribution per shareholder | €750 |
| Real money in bank before registration | Not required |
| Deposit administrator declaration | Mandatory |
| Use of capital | Only for company business |
Mgr. Dominik Ondrišeje
Dominik is co-founder of the SetupMART project. Dominik is responsible for corporate services and implementation of modern technologies in our services at SetupMART. Dominik is dedicated to the sale of ready-made companies since 2011. Dominik studied law at the Pan-European School of Law.