Bulgaria offers the best fiscal conditions in the EU. Bulgarian Law allows a citizen of any country to incorporate a company with equal treatment of foreigners and citizens of EU. Your Bulgarian company can be managed fully remotely, you do not need to visit Bulgaria, as full company maintenance service will be provided by a local agent including bookkeeping, representation before the National Revenue Agency and other government bodies. The new company type introduced in 2025 /variable capital company or VCC/ provides the option of extremely fast incorporation and easy transition of capital shares from any country in the world. Main advantages of setting up a business in Bulgaria are:
♦ a flat corporate tax rate of 10%;
♦ a flat dividend tax of 5%;
♦ easier VAT /VIES registration requirements;
♦ double tax treaties with many countries;
♦ low cost social insurance;
♦ economic stability;
♦ cheapest workforce in the EU;
♦ Initial incorporation documents of an EOOD include company name,
address/or virtual office address where the company is
represented by a local agent, director and shareholders' details. In case the shareholder
is a foreign legal entity, a certificate of good standing is required with a
recent issuance date, shares distribution, activity, any conditions
that may differ from the general provisions of the Commercial Code (in case the law
allows
some terms to be explicitely negotiated); The director must provide a
notarized consent to manage the company;
♦ The OOD/EOOD registration requires initial deposit of
company capital in a bank account, so the client must be pre-approved
by a bank.
If the client wishes to incorporate a company without visiting
Bulgaria, it is possible to have a ready made EOOD/OOD
/a pre-registered company which is transferred to the client by auhorization/.
Another feasible option is to register a variable capital company - VCC - straight on client's
name as the VCC registration process does not require initial company capital
deposit hence approval by a bank is not needed for a VCC registration.
♦ Can you imagine you have a company incorporated in
in Bulgaria for less than a week from nearly any country in the world?
The only requirement is that you notarize
a declaration to represent your company.
The new VCC company type allows easy remote incorporation
without the need to open a bank account. The company shareholder(s)
just declares the initial company capital in the Articles of incorporation.
Throughout the company existence the capital can
be increased at any time. One thing to note about VCC company is
its turnover restrction - it must not exceed 2045267 Euros
within 12 monhts or hold assest on the same value;
♦ A key difference between EOOD
and VCC is the company shares transfer procedure.
While the OOD company has the cumbersome procedure of notarizing contract,
the VCC allows a simple written contract for the executions of shares transfer.
The possibility for transfering shares multiple times in a row of buyers and sellers
has some
similarities to the bill
of exchange effect.
.
A Limited Liability Company (Ltd, LLC - OOD in Bulgarian) has a low cost registration fee and very minimal requirements for initial capital (minimum 1 Euro). The owner of the capital can be a single person (also a legal entity) or the shares may be distributed between several shareholders with an Association Act arranging participation in the capital, decision making, representative power of the governors, voting and other conditions. The shareholders appoint the managing director (governor) of the company.
The Joint Stock Company (AD or EAD) is a typical company of a heavy corporate type. It has a more complex structure including shareholders, governing bodies and governors. The capital of a joint-stock company is divided into shares of identical nominal value. The minimum capital of a JSC is 25 000 EUR (25% of the capital must be deposited at the time of the registration). The shares can be bearer or registered. Bearer shares are transferable by the act of delivery. The Memorandum of association may set certain conditions for transfer of shares and decision-making.
Other types of legal structures that may serve particular business or tax purposes include holdings, consortiums, branches of foreign companies, partnership contracts, representative office of a foreign company. The two types of nonprofit organizations /non government organizations in Bulgaria/ are foundation and a nonprofit association. Both types of NGO can be set up with a public or a private purpose depending on the scope of their activities and the number of members /at least 3 members required for association a private purpose and at least 7 members for a public purpose/.
Ltd company registration in Bulgaria for 270 Euro including the price for a legal address /virtual office/. Ongoing accounting services and company maintenance, representation before banks and administrative bodies.
Preparation of commercial contracts, lease agreements and corporate documents in Bulgarian and English.
Quality legal services in the areas of Civil, Corporate, Commercial and Tax law
Assistance with immigration matters, acquiring residency and citizenship in Bulgaria on the grounds of investments.
You can ask us anything related to a legal matter in Bulgaria!
Our team will answer your question within 24 hours.
68 Rayko Daskalov St, flr. 2
Plovdiv, Bulgaria