Choosing a NACE code for an ad agency — which one is right for invoicing?

When your articles of association are published in the trade registry gazette, make sure both advertising and consulting are explicitly stated under the objectives and scope section. Only your primary NACE code appears on your tax certificate, but the secondary codes remain registered in the tax office's system.

We faced the exact same dilemma. We set the primary code as an ad agency and added IT consulting as a secondary code. For three years, we've been issuing an average of 25-30 invoices a month across both fields and we haven't been flagged in a single cross-check audit.

Are you planning to hire employees? Because NACE codes directly affect your SGK occupational risk category. An advertising agency falls under the low-risk category, but certain video production activities can change the occupational safety premium rate. Have you clarified that with your CPA?

To avoid future headaches, keep these three steps in mind: 1) Align your invoice descriptions directly with your client contracts. 2) Determine your primary NACE code based on the specific government grant you plan to use. 3) For jobs subject to VAT withholding, always verify in advance whether the client is a public entity or an institution subject to mandatory withholding.

congrats on the new company! when we first set up we only registered a single code and later a client gave us trouble on a consulting invoice citing a NACE mismatch... adding a second code later only takes 2 days with a petition to the tax office but getting it right from day one is dfeinitely the cleanest route.

Accountants often have a "let's add everything" mindset, but that can sometimes backfire with KOSGEB. In some grant programs, if consulting ends up taking center stage while your primary code is listed under services, you can get disqualified. Decide on the specific grant you're targeting beforehand.

Under Revenue Administration regulations, taxpayers are legally permitted to engage in secondary activities outside their primary scope of business. Even if revenue from secondary activities exceeds that of the primary activity, it is reported collectively on the corporate income tax return.

When my partner and I opened our first agency, we didn't include the consulting code. Six months in, we delivered a strategy report to a public subsidiary, and when we billed them, their accountants held up our payment for 2 weeks because our NACE code didn't cover consulting. We had to register the additional code before we could collect.

I'll try it.

Let's separate the concepts, they're getting mixed up. like when making a decision, first look at what data you have on hand.

People defend habits not processes. Resistance comes from there. anyway thats all, sorry if I went on too long.

Correct.

Generally correct, but one part is missing. Most time waste accumulates in tasks waiting for approval.

Solutions that work at a small scale collapse when you grow; I learned this late. If I were you, I'd go this route.

Noted thanks.

Let me speak from the other side; I'm on the supplier side. The answer varies greatly by industry; there is no one-size-fits-all rule.

Im curious too.

Saved. tbh taking notes for two weeks yields better results than a six-month estimate.

Solutions that work at a small scale collapse when you grow; I learned this late.

Following.

I agree, and I'd like to emphasize that. Most time waste accumulates in tasks waiting for approval.

When we decide without measuring, we always end up in the same place. If you post the result here, it will help others too.