It has become popular to consider Bulgaria as a tax haven and a particularly ideal destination for business, especially from international investors and entrepreneurs.
The costs of registering a LTD company in Bulgaria are low when compared to similar operations in other European countries. With a very simple registration process of just a few steps, not only is it easy to open company in Bulgaria, but also not outrageously expensive. Quite the contrary.
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Why is Bulgaria so attractive for companies and businessmen from around the world?
Well, the country has made an effort to appeal to international companies, promoting a beneficial business environment, vouching for a flat tax rate in Bulgaria that is lower than most neighbouring countries. Not to mention a skilled labour force (at a low cost), a cheaper cost of life, the fact that Bulgaria belongs to the European Union (since 2007) and an easy access to the rest of Europe.
Bulgaria is also an excellent location for foreign businesses thanks to its geographical position. The country has been working very hard to improve the infrastructure, with a lot of success, making it even more appealing to companies looking to expand their reach into this region.
Registering a company in Bulgaria: steps and costs
Company formation Bulgaria is a process which comprises presenting documents to the Bulgarian Trade Register. This office provides the new business with a trade licence.
The process of company registration in Bulgaria is done by a notary and a lawyer. And since the documents must be submitted in Bulgarian, it is a good idea to opt for an agency that will of course be able to do so in the requested language, but also can communicate with the foreign investors. Most professionals dedicated to this work are often multilingual and have experience with the ins and outs of the process of registering a company in Bulgaria, regardless of the nationality of the company owner.
Once the process is accepted and the trade licence is provided, the business can start its activities.
Necessary information to register a company in Bulgaria
With the documentation that the Bulgarian Trade Register requires for Bulgarian company register, some information is included:
- A name for the company;
- Bank account information. A company representative must open a bank account for the business;
- A registered address. This could be an office or a rented space for the business to operate. It will be considered its legal address.
The lawyer handling the process of registering a company in Bulgaria, will have to present information about all and each shareholder (which may vary depending on the type of company that is being established). A complete description of the business activities will also have to be presented.
The registration process may take about 3 to 5 working days.
Costs of registering a company in Bulgaria
A quick look online turns into a variety of prices for a Bulgarian company registration.
Overall, it’s clear that registering a company in Bulgaria is cheaper than doing so in other European countries. While it clearly depends on the kind of company being set up, the commercial activity and how big the company is, the average for company registration in Bulgaria is between 800 and 1500 euros.
Included in the costs new company owners usually find registration fees, costs of the notary or the lawyer, and a few other expenses related to the process of registering a new company in Bulgaria.
New inventors should keep in mind they will need an accountant in Bulgaria for bookkeeping tasks, yearly reports, audits, and even as financial advisor Bulgaria or Tax advisor bulgaria. While accountancy in Bulgaria is rather straightforward, a lot of the processes are done in the local language.
Example of a LTD registration in Bulgaria
As an example, we will analyse the registration of a Limited Liability Company (Ltd).
Costs may vary depending on the number of documents that need to be translated and notarized, as well as where the shareholders are located.
Costs could vary from 800 to 1500 euros depending on the owners being in Bulgaria for this process, or outside of the country, or it’s a legal entity starting a new company.
These numbers include notary fees, lawyer fees, government fees for registration, translation of any necessary documents, official registration, and legal fees. An extra cost may be considered if opening a bank account is necessary.As we have mentioned, once your company is registered, you will need a reliable and trustworthy accountancy company in Bulgaria.
Choosing someone with experience and willing to offer personalised services is a must, and that’s where Accountancy Bulgaria comes in. They can offer a free consultation to learn about your financial needs and prepare a plan tailored to your company. There are no best partners if you aim for your company to be successful in Bulgaria.