Company registration in Bulgaria

Setting up a company in Bulgaria is relatively straightforward and accessible, even for foreigners unfamiliar with local laws. Low taxes, easy access to EU markets, and competitive labour costs make Bulgaria an attractive business destination.

1. Choosing the right legal structure for your business
   • Sole proprietorship with limited liability (EOOD) – Ideal if there is only one owner. The owner has limited liability, meaning they risk only the capital invested in the company, not their personal assets.
   • Limited liability company (OOD) – Suitable if you want to start a business with a partner or multiple individuals. Each owner has a share of the capital and is liable based on their contribution.
   • Joint-stock company (AD) – Requires higher capital and is ideal for larger businesses. Shares are distributed among multiple shareholders and can be traded on the stock exchange.
2. Choosing a company Name
   • The company name must be unique and not already in use by another business in Bulgaria. To check availability, you can use Bulgaria’s online Commercial Register.
3. Setting the initial capital and shares
   • For EOOD or OOD, the minimum capital is 2 BGN, a symbolic amount deposited in a Bulgarian bank account opened specifically for the company.
   • Each partner (if more than one) must contribute their share to this capital, as agreed among the owners.
4. Company address
   • Each company in Bulgaria must have a registered business address, which can be a rented office or an address provided by a legal or accounting firm offering virtual office services
5. Preparing foundation documents
   • The founding documents include information about the primary business activity, the company name, the owner’s/partners’ details, and share distribution. Specific documents are required for each business type.
6. Appointing a managing Director
   • Every company must have a managing director who represents it before the state and clients. The director can be a foreigner and/or a Bulgarian national.
7. Submitting registration documents with the Commercial Register.
   • Registration documents are submitted to the Commercial Register, which can be done online for faster and more cost-effective processing. You will need:
     • Registration application.
     • Incorporation deed or Articles of association.
     • Notarized documents for the managing director.
     • Capital deposit document.
     • Declarations and minutes.

Processing typically takes up to 2 business days.

VAT Registration

VAT registration is mandatory only if the company’s annual turnover exceeds 100,000 BGN. However, many foreign businesses opt for voluntary VAT registration, especially if they will conduct business within the European Union. VAT registration can be requested along with company registration.

Opening an operational bank account

Once the company is officially registered, you can open an operational bank account, which will be used for transactions with clients and suppliers.

Work visas and residency permits (for foreigners)

If you plan to relocate to Bulgaria to manage your business, you will need a work and residence permit. EU citizens can obtain residency permits easily, while third-country nationals may face a longer process.

Taxes and other considerations

• Corporate Tax in Bulgaria is 10%, and the dividend tax is 5%, among the lowest in the EU.
• Accounting Services – Many foreign nationals choose to work with a local accounting firm to ensure all reporting and tax compliance requirements are met.

Why choose us for your business registration?

Our team of legal and accounting professionals specializes in business registration in Bulgaria and offers:

• Comprehensive assistance at every step, from choosing the legal form to final registration with the Commercial Register.
• Legal and tax consultations – We help you understand local tax obligations and
• optimize costs.
• Residency permit support (for foreigners) – If you plan to live and work in Bulgaria, we can help you with the necessary documents.
• Ongoing support after registration – Once your company is registered, we can continue to handle accounting and legal matters so you can focus on growing your business.

With our support, the process of registering a company in Bulgaria will be simple and secure, allowing you to quickly start your business operations.