“Open a company in Poland and get a residence card” is a common pitch, and a simplification. Running a business, whether through a company or as a sole trader (JDG), can indeed be a basis for legalizing your stay, but the voivode’s office checks whether the business is real: it must generate income, employ people, or clearly be developing toward that. Here’s what the law actually requires in 2026, how a sole trader differs from a company for this purpose, and something most guides skip: holding a business-based residence card doesn’t shield you from a separate question: is your work actually independent, or does it just look like employment in disguise?
- Two routes, company board member vs. sole trader
- Work permit for a company board member
- Who doesn’t need a work permit
- Conditions for the business, Art. 142 of the Foreigners Act
- Sole trader vs. company, which is easier for legalization
- Documents you’ll need
- Important, a business-based card doesn’t protect you from a PIP 2026 audit
- FAQ
Two routes, company board member vs. sole trader
A foreigner who wants to legalize their stay through business has, broadly, two options:
1. Company board member (Sp. z o.o., S.A., a limited partnership or a partnership limited by shares): needs a separate work permit, and the income/employment requirements apply to the company, not to the foreigner personally. 2. Sole trader / JDG (jednoosobowa działalność gospodarcza): if the foreigner is even eligible to register one (see below), the income/employment requirements apply to their own business.
Both routes rest on the same provision (Art. 142 of the Act of 12 December 2013 on Foreigners) but in practice they differ significantly, as explained further down.
Work permit for a company board member
If you become a board member of a company (with or without shares) and your purpose of stay is performing that function, you can initially enter on a regular Schengen visa based on an extract from the National Court Register (KRS).
If you intend to stay and perform your duties in Poland for more than 6 months within a 12-month window, you need a work permit related to performing a specific function on the board.
A naming change worth knowing: this permit is still commonly called “Type B” online: that was its name until 1 June 2025 under the old Act on Employment Promotion and Labour Market Institutions. Since then, a new Act of 20 March 2025 on the conditions for allowing foreigners to be entrusted with work in Poland (Journal of Laws 2025, item 621) has replaced the letter-based system (A-E) with descriptive names: the former “Type B” is now formally the “work permit related to performing a specific function.” The substantive conditions remained almost unchanged.
Who doesn’t need a work permit
Some foreigners don’t need any work permit at all, regardless of the business form:
- holders of the Pole’s Card;
- EU long-term residents;
- holders of a permanent residence permit (Karta Stałego Pobytu);
- spouses of Polish citizens;
- graduates of Polish universities.
Conditions for the business, Art. 142 of the Foreigners Act
This is the part most often misquoted online. Under Art. 142(1)(3) of the Act on Foreigners (consolidated text: Journal of Laws 2025, item 1079), the entity running the business must meet one of two conditions:
in the tax year preceding the application, the business earned income no lower than 12 times the average monthly gross salary in the national economy in the voivodeship where it’s based, a figure published annually by the President of Statistics Poland (GUS), under Art. 30(2) of the Act on Social Forms of Housing Development.
or
Condition B – employment:
the business has employed, on an indefinite contract and full-time, for at least the year preceding the application, at least 2 employees, Polish citizens or foreigners who don’t require a work permit.
If the business doesn’t meet either condition yet (e.g. it’s just starting up), you can instead show that you have the means or are taking steps that will let you meet these conditions in the future: in particular, growing investment, transferring technology, introducing useful innovations, or creating jobs.
What does that actually mean in zloty? The most recent official GUS announcement on this (19 November 2025, covering 2024, published under Art. 30(2) of the Act on Social Forms of Housing Development) lists the following average monthly gross salaries for selected voivodeships:
| Voivodeship | Monthly wage (2024) | Annual threshold (×12) |
|---|---|---|
| Mazowieckie (Warsaw) | 9,488.94 zł | 113,867.28 zł |
| Dolnośląskie | 8,359.59 zł | 100,315.08 zł |
| Małopolskie | 8,249.31 zł | 98,991.72 zł |
| Pomorskie | 8,066.89 zł | 96,802.68 zł |
| Warmińsko-Mazurskie | 7,133.90 zł | 85,606.80 zł |
The old figure of “around 75,000 zł for Mazowieckie” that still circulates online (including in the previous version of this article) dates back several years and is now understated: the threshold rises every year along with average wages. GUS publishes the announcement for 2025 (which will replace the figures above) only toward the end of 2026; until then, voivodeship offices in practice work off the last published figures, i.e. the 2024 data. It’s worth confirming the current figures directly with the relevant voivodeship office before filing. The full table for all 16 voivodeships is in the GUS announcement.
Sole trader vs. company, which is easier for legalization
Formally, the rule is the same for both forms (Art. 142(2) explicitly extends the requirements of paragraph 1(3) to a limited partnership, a partnership limited by shares, an Sp. z o.o. or an S.A. that the foreigner founded, joined, or in which they acquired shares), but in practice:
- Sole trader (JDG): the “entity” is the foreigner themselves. They have to show income or employment from their own one-person business. For a freelancer working alone, the employment condition is usually unrealistic: in practice, only the income condition remains, meaning you actually need to earn above the threshold in the table above. The upside is simpler bookkeeping and no double taxation (more on the differences: Sole trader (JDG) in Poland).
- Company (most often Sp. z o.o.): the income/employment requirement applies to the company as a whole, not to the foreign board member personally. A company can have multiple clients, other employees or co-owners: it’s easier for it to clear the income threshold or hire two people than for a solo one-person business. In exchange, the foreign board member needs a separate work permit (see above), and the company is subject to double taxation (CIT on profit + PIT on dividends), more here: what is an Sp. z o.o.
In short: a sole trader is administratively simpler, but you have to generate the income yourself; a company gives you more flexibility in meeting the threshold (because the whole business counts), at the cost of extra paperwork and double taxation.
Note for Ukrainian citizens: people with temporary protection status (PESEL UKR) can register a sole trader business on the same terms as Polish citizens: this rule didn’t change after the 5 March 2026 amendment to the special act. Details: Ukraine special act 2026.
Documents you’ll need
If the business meets the conditions, the application to the voivodeship office typically includes:
- a registry document (CEIDG or KRS) confirming the legal status, form and nature of the business;
- a copy of the business’s tax return for the preceding year (income and any losses);
- information on employment at the business (if the condition is met through employment rather than income).
The procedure usually takes up to a month, and up to 60 days in more complex cases. The process also depends on the specific office and the practice of the individual case officer: two identical applications in different voivodeships (or even at different windows of the same office) can be assessed somewhat differently.
Important, a business-based card doesn’t protect you from a PIP 2026 audit
This is the part most guides don’t mention. Getting a residence card “based on running a business” only confirms that you formally meet the conditions of Art. 142: income, employment, or growth prospects. It doesn’t automatically mean your cooperation with clients is genuinely independent business activity rather than disguised employment.
Starting 8 July 2026, the National Labour Inspectorate (PIP) can, by administrative decision (without going to court), independently determine that an employment relationship exists if the actual nature of the cooperation (whether it’s a sole trader or a company employee) shows the hallmarks of subordination: work under the client’s direction, at a time and place the client sets, using the client’s tools, with pay tied to doing the work itself rather than to a result. For a foreigner whose residence card rests on running a business, this creates a double risk: back taxes and social security contributions like with any reclassification, plus undermining the “genuinely run business” narrative that the residence card application and its renewal depend on. There’s a transition window until 8 July 2027 to adjust your cooperation model. More on this reform in our series here.
In short: a shell company with a high “paper” income might formally satisfy Art. 142, but if in practice it looks like a full-time job for one client, you’re taking on risk on two fronts at once.
FAQ
Is the income threshold the same for a new company and for renewing a residence card?
Yes, the mechanism is identical: what counts is the income (or employment) achieved in the tax year preceding the application, whether it’s a first-time application or a renewal.
Can I combine a sole trader business with a regular employment contract elsewhere?
Technically yes, but it affects how income is calculated and can complicate the assessment of your application: it’s worth discussing your specific situation with a lawyer.
What happens if the business stops meeting the conditions after a year?
If the circumstances on which the permit was granted change and the voivode isn’t informed, the permit can be revoked. At renewal, the conditions are checked again from scratch for the following year.
Related reading
Bibliography and Legal Basis
- Act of 12 December 2013 on Foreigners, Art. 142 (consolidated text: Journal of Laws 2025, item 1079)
- Act of 20 March 2025 on the conditions for allowing foreigners to be entrusted with work on the territory of the Republic of Poland (Journal of Laws 2025, item 621): new work permit naming since 1 June 2025
- Announcement of the President of GUS of 19 November 2025 on average monthly gross wages in the national economy by voivodeship in 2024
Author: the Moja Firma team.
This article is for informational purposes only and does not constitute legal advice. Every situation depends on the specific circumstances and the practice of the relevant voivodeship office. If something about your own situation isn’t quite clear, feel free to book a free consultation with our team.
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