All prices quoted are exclusive of VAT
Bulgaria is a member of the European Union and is located in the South East of the continent. Officially known as The Republic of Bulgaria it was granted independence from the Soviet Eastern Bloc in 1989. Bulgaria is politically independent and its Company law is based on a combination of German, Italian and French laws harmonised with EU law.
The Bulgarian Limited Liability Company that is available for non-residents is called an ‘OOD’ and resembles a UK Limited Company in structure. It is also possible for non-residents to form sole shareholder companies which are called EOOD companies.
Benefits of Bulgaria Company registration
- Low Tax on Profits– Corporation tax in Bulgaria is just 10% on net profits however non-residents pay 0% which makes it an incredibly appealing European jurisdiction for offshore incorporation.
- Low Capitalisation – The minimum share capital required to form a company in Bulgaria is €1.
- Double Taxation treaty in place – Double tax treaties are in place with 70 countries including the UK, Russia, USA, Canada, China, India, New Zealand, Australia and more.
- Access to EU Trade treaties – Bulgaria has been a member of the European Union since 2007 and so benefits from all EU treaties and regulations, including the freedom of movement of capital.
- Quick Company Incorporation - A new Bulgarian OOD can be incorporated in around 10-15 days of submission.
Requirements to Form a Corporation in Bulgaria
- Company Structure – Bulgarian Private Limited Companies (OOD) Directors and shareholders can be either corporate entities or natural persons. OOD’s require a minimum of 1 Director and 1 Shareholder, this can be the same person or entity and they may reside anywhere in the world.
- Selection of a Company Name– The proposed name of the Company needs to be approved by the National Registry in Bulgaria before the company incorporation can be started. The name must be not be the same or similar to any other company incorporated in Bulgaria and must not infer that the company is associated with governmental activity or illegal activity. The Bulgarian Company name on incorporation will be in Bulgarian and written in Cyrillic. However the international name may be in any language and can end with any applicable suffix such as Ltd, GmbH, OOD, SL or sarl.
- No requirement to appoint a Company Secretary
- Registered office– The Company’s registered address must be in Bulgaria and must not be a PO Box. This is the address that all official company documentation is sent to.
- Meet the Anti Money Laundering Requirements – In order to meet our client due diligence requirements under EU Anti Money Laundering legislation you will need to provide a certified copy of the passport and current utility bill of each of the owners and shareholders. This is required in all circumstances, even if you are using our Nominee Service.
- Documents are issued to you – Once the company has been formed, you will be issued with the Certificate of Incorporation, Memorandum and Articles of Association, Share Certificates and all other company documents as required by Law. These documents can then be used to open a bank account for the company and must be maintained to record any changes to the company.
- Bulgarian Companies have to be renewed on the anniversary of incorporation every year – In Bulgaria the renewal date for a company is the anniversary of the date of incorporation. We will automatically remind you of this.
- Annual General Meeting – All Bulgarian OOD’s must conduct an AGM of the shareholders.
- Financial Statements – Bulgarian OODs are required to file annual financial statements. Companies with the Commercial Registrar. Companies defined as Small or Medium Sized Enterprises (SME) are able to file simpler financial statements without the need to appoint an auditor.
A member of the banking team will be able to advise on the most suitable Offshore Bank Account.