Ready made companies in Bulgaria + HSBC introduction included
Our strength: remote banking introduction*
Responsiveness in real time on our chat online, in English or French, our permanent follow-up and our assistance included in all our packages.
Bulgarian companies ready to use without travelling + banking introduction*.
Intra-community VAT number (EU) guaranteed
Thanks to our company incorporation service in Bulgaria, we can guarantee that you will obtain an EU intra-community VAT number, even if you are not a Bulgarian resident.
Obtaining an EU (European Union) VAT number is becoming increasingly difficult, as more and more countries are no longer issuing intra-community VAT numbers to company owners who are not established for tax purposes in the country in which their company is based.
As a result, you will no longer obtain an EU VAT number, for example in Ireland, Portugal, Spain, etc., if you set up a company there but are not resident for tax purposes and have not established an economic substance there.
For Bulgaria, we have a procedure that enables us to obtain EU VAT numbers within 5 working days, provided that you order the purchase of an already registered, recent company.
Why opt for a ready made company in Bulgaria ?
Do you need an intra-Community VAT number?
Many countries in the European Union are now “tightening the noose” and issuing VAT numbers only under certain conditions.*
This is the case in Ireland, Spain and Portugal, among others, which only issue an intra-Community VAT number if a minimum turnover has been achieved, the company has been in existence for a certain length of time or, quite understandably, the economic substance has been organised.
The solution is therefore for you to buy a company that has already been set up, that has never been used, but that already has an intra-Community VAT number.
To sum up, opting for a ready-to-use company in Bulgaria, in addition to the fact that corporation tax is only 10% (update: January 2023), means :
- avoir la garantie d’obtenir le numéro de TVA intra-communautaire : en utilisant notre procédure, nous obtiendrons le numéro de TVA intra-communautaire sous environ 5 jours ouvrés, avant de vous revendre la société récemment créée (sans passif). Notre procédure vous permet d’être certain d’obtenir votre numéro de TVA intra-communautaire car les pays de l’UE ne fournissent pratiquement plus de N° de TVA intra-communautaire directement aux non-résidents. Donc en rachetant une société déjà immatriculée, vous solutionnez la problématique quant à l’obtention du numéro de TVA intra-communautaire de l’UE.
Company in Bulgaria
Bulgaria offers several types of legal structure for businesses.
Here are the main types of company you can set up in Bulgaria:
Limited liability company (OOD)
Main features:
– Minimum share capital: 2 BGN (about 1 EUR).
– One or more shareholders.
– Liability limited to contributions.
– The OOD is the most widely used type of company in Bulgaria.
Advantages :
– Simple creation process.
– Flexible structure.
Public limited company (AD)
Main features :
– Minimum share capital: BGN 50,000 (approx. EUR 25,000).
– Negotiable shares.
– Board of directors required.
– Suitable for large companies and those seeking to raise funds on the financial markets.
Advantages :
– Makes it easier to raise funds.
– Recognized and respected on financial markets.
Sole proprietorship (ET)
Key features :
– No minimum share capital required.
– Individual ownership and unlimited liability.
Advantages :
– Simplicity of management.
– Low administrative costs.
Disadvantages :
– Unlimited personal liability.
Limited partnership (KDA)
Main features :
– Two types of partners: general partners (unlimited liability) and limited partners (liability limited to contributions).
– Less common, but useful for specific investment structures.
Branch of a foreign company
Main features :
– No share capital required.
– Must be registered in Bulgaria.
– Represents the parent company abroad.
Advantages :
– Allows presence in Bulgaria without creating a new legal entity.
Process for setting up a Company incorporation in Bulgaria
– Reservation of the company name with the Bulgarian Trade Registry.
– Open a bank account to deposit share capital.
– Draft the company’s articles of association and prepare other necessary documents.
– Register the company with the Commercial Registry, including filing the incorporation documents.
– VAT registration if applicable (annual sales threshold of BGN 50,000).
– Registration with tax and social security authorities.
Advantages of investing in Bulgaria
– Attractive taxation: Corporate tax of 10%, one of the lowest in Europe.
– Low operating costs: -Competitive salaries and real estate costs.
-Strategic geographic position: access to EU and non-EU markets.
-Incentives for foreign investors, particularly in special economic zones.
Setting up a company in Bulgaria can be an attractive opportunity for entrepreneurs because of the tax advantages and competitive operating costs.
VAT, or “Value Added Tax”, is a consumption tax system applied in member countries of the European Union (EU). VAT is generally levied at each stage of the production and distribution chain for goods and services.
Companies collect VAT on their sales and remit it to the tax authorities, while deducting the VAT paid on their business purchases. The difference between the VAT collected and the VAT deducted is paid to the tax authorities.
VAT rates can vary from country to country within the EU, and even within the same country for different types of goods and services. However, there are minimum standard rates that member states must respect, determined by EU legislation.
Domicile your company in Bulgaria
Domiciling your business in Bulgaria can be an attractive option for a number of reasons, including tax advantages, lower operating costs and access to the European Union market.
Here’s a general guide to the steps and considerations involved in domiciling a business in Bulgaria:
Advantages of domiciling a company in Bulgaria
Tax advantages :
– Corporate tax: 10% rate, one of the lowest in the EU.
– Income tax: Flat rate of 10%.
– VAT: Standard rate of 20%, with possible reductions for certain sectors.
Low operating costs :
– Competitive salaries and relatively low cost of living.
– Rental and service costs often lower than in other EU countries.
Access to the European market :
Bulgaria is a member of the EU, allowing unrestricted access to the European market.
Infrastructure and skilled workforce :
Good technological infrastructure and availability of skilled professionals.
Steps to register a company in Bulgaria (we provide all these services)
Choosing the legal structure :
The most common forms are the limited liability company (OOD) and the joint stock company (AD).
Company registration :
Reserving the company name:
– Check and reserve the company name with the Commercial Registry.
– Articles of incorporation: Draw up the company’s articles of incorporation and have them certified.
– Legal address: Provide a legal address for the company in Bulgaria (we’ll provide it for you).
Share capital :
The minimum capital for an OOD is 2 BGN (about 1 EUR).
Opening a bank account :
The opening of a bank account in the name of the company, to deposit the share capital, is an act that we carry out as an integral part of the incorporation of a company in Bulgaria; this provisional account will not enable you to carry out transactions. This service is separate from our bank introduction service*, as you will need to open a bank account yourself: we provide a Revolut Business and or HSBC bank introduction service, which is a direct introductory service.
Registration with the Commercial Registry :
– Submit the necessary documents (articles of association, memorandum of association, certificate of capital deposit, etc.) to the Bulgarian Commercial Registry.
– Obtain a tax identification number :
. Register with the tax authorities to obtain a tax identification number and, if necessary, a VAT number.
Optional services by our partner
Accounting and compliance services (ensuring compliance with Bulgarian tax and accounting regulations). Accounts must be kept in accordance with Bulgarian and European standards.
Licenses and permits:
Check whether specific licenses are required for your business sector and obtain them if necessary.
Employee management:
Understand local labor laws, including employment contracts, minimum wages, working hours, vacation pay and social security obligations.
Domiciliation services (we provide)
Legal address, mail management and other administrative services to help you set up your business.
Domiciliation services in Bulgaria
– Legal address: Provision of a business address in Bulgaria for company registration.
– Mail management: Reception and forwarding of company mail.
– Secretarial services: Handling telephone calls, appointments and other administrative tasks.
Conclusion
Domiciling your company in Bulgaria can offer significant advantages in terms of tax and operating costs. However, a thorough understanding of administrative procedures and legal requirements is crucial to ensure a successful set-up.
Expatriation in Bulgaria
Moving to Bulgaria can be a rewarding experience, thanks to its important cultural heritage, relatively low cost of living and varied natural environment.
Here are some key points to consider for a successful expatriation to Bulgaria:
1. Visa and residence
EU/EEA/Swiss citizens: No visa is required to enter and stay in Bulgaria. For stays of more than three months, registration with local authorities is required.
Non-EU/EEA/Swiss citizens: Need a long-stay visa (type D) to settle, then apply for a residence permit.
2. Cost of living
Bulgaria has one of the lowest living costs in Europe: around 40% lower than in France. Rents, food, transport and services are particularly affordable.
3. Language
Bulgarian is the official language. It is useful to learn some basic Bulgarian, although English is widely spoken in major cities and tourist areas.
4. Accommodation
Property prices and rents vary from region to region. Sofia, the capital, is the most expensive, but still affordable compared to other European capitals. It’s a good idea to rent before you buy, to get to know the neighborhoods better.
5. Work
The job market can be competitive. The IT, financial services and tourism sectors offer good opportunities. Knowledge of Bulgarian is an asset, but many international companies use English as their working language.
6. Health care
The Bulgarian healthcare system is accessible and offers services of varying quality. International health insurance is recommended for optimum coverage, especially for specialized care.
7. Education
There are international schools and institutions offering courses in English, mainly in Sofia. The Bulgarian education system offers quality programs, but expatriates often prefer international schools for language reasons.
8. Culture and leisure
Bulgaria offers a rich cultural heritage, with numerous festivals, museums and historic sites. The country is also known for its diverse natural landscapes, ideal for outdoor activities such as hiking, skiing and the beach.
9. Social life and integration
Bulgarians are generally welcoming. Taking part in local activities, learning the language and getting involved in the community can make integration easier.
10. Safety
Bulgaria is generally a safe country, with a relatively low crime rate. As everywhere, however, it is advisable to take precautions, especially in large cities.
For a successful expatriation, it is advisable to prepare your project well, to visit the country several times before settling permanently, and to get information from expatriates already in the country.
Banking in Bulgaria
Bulgaria has a well-developed banking sector, with a number of local and international banks. Here’s an overview of the main banks in Bulgaria:
UniCredit Bulbank : A subsidiary of the Italian UniCredit group, this is one of Bulgaria’s largest banks in terms of assets and customers.
DSK Bank : One of Bulgaria’s oldest and largest banks, part of Hungary’s OTP Bank group.
First Investment Bank (Fibank) : A major local bank offering a wide range of banking and financial services.
Postbank (Eurobank Bulgaria) : Part of the Eurobank Ergasias group, it offers comprehensive banking services.
Raiffeisenbank Bulgaria : A subsidiary of the Austrian Raiffeisen Bank International group, it offers a variety of banking and financial products.
United Bulgarian Bank (UBB) : Part of the Belgian KBC group, it is one of Bulgaria’s largest banks.
Central Cooperative Bank (CCB) : A major local bank with an extensive presence throughout the country.
Allianz Bank Bulgaria : A subsidiary of the German financial group Allianz, offering a wide range of banking and insurance products.
Societe Generale Expressbank : Originally a subsidiary of Société Générale, it was recently acquired by OTP Bank and integrated into DSK Bank.
These banks offer a full range of services, including current accounts, loans, mortgages, credit cards, investment services and insurance. The Bulgarian banking sector is regulated by the Bulgarian National Bank (BNB), which ensures the stability and smooth operation of the country’s banking system.
Domiciliation + digitized mail management + follow-up + assistance: €41 ht/month, payable annually.
Intra-community VAT
Intra-Community VAT refers to the value-added tax system applied to trade between member countries of the European Union (EU).
Here are a few key points to help you understand this system:
1. Basic principle
Intra-Community VAT: When a company sells goods or services to another company located in another EU member country, this transaction is subject to specific VAT rules, different from those applicable to domestic transactions.
2. How it works
Reverse charge: For sales of goods between businesses in the EU, VAT is generally reverse charged. This means that the seller invoices the goods without VAT (provided that both companies are identified for VAT purposes), and it is the buyer who declares the VAT due in his country.
Intra-Community VAT number: Companies must have an intra-Community VAT number to benefit from this scheme. This number must be verified by the supplier before the sale is made without VAT.
3. Declaration and formalities
DEB (Déclaration d’Échanges de Biens) : Companies must declare intra-EU transactions via the DEB, which tracks the flow of goods within the EU.
Recapitulative List: Some companies must also complete a recapitulative list of intra-EU customers to inform their tax authorities of transactions with companies in other EU countries.
4. Examples
Sale of goods: A French company sells goods to a German company. The invoice will be free of French VAT if the buyer provides a valid VAT number. The German company will self-liquidate the VAT in Germany.
Services: A Spanish company provides a consultancy service to a Dutch company. Invoicing will also be without Spanish VAT, and VAT will be self-liquidated by the Dutch company.
5. Exceptions and special features
Certain transactions, such as sales to private individuals or sales in specific sectors (such as distance selling or digital services), may have special rules for intra-Community VAT.
Conclusion
The intra-Community VAT system aims to simplify and harmonize trade within the EU, while avoiding double taxation and ensuring efficient VAT collection. It is crucial for businesses engaged in intra-EU trade to understand and comply with these rules to avoid penalties and compliance problems.