Introduction to setting up a Bulgarian branch
Bulgaria is favourable to foreign investment and the establishment of branches here is a popular choice. In particular, branches can take advantage of Bulgaria’s geographical situation, which is well positioned for exposure in south eastern European markets.
Additionally, international companies and foreign investors can benefit from the lowest tax system in the EU, low business costs and a small timescale for incorporation. When establishing a Bulgarian branch the parent company should abide by the Investments Promotion Act (ZNI), which regulates the legalities of branches.
What are the formalities regarding Bulgaria branches?
- A copy of the Certificate of Incorporation of the parent company
- A copy of the Memorandum and Articles of Association of the parent company
- A copy of the parent company’s Certificate of Good Standing
- A registered office address
- Representative of the Bulgarian branch
These documents are required by the Bulgarian Chamber of Commerce and Industry in order for branch registration with the Registry Agency commercial register.
All required documentation must be officially apostilled in the country of origin and legalized in Bulgaria.
What are the accounting requirements for a Bulgaria branch?
Many of the biggest European banks are represented in Bulgaria and there is excellent organisation of e-banking.
Branches must register for VAT with the Bulgarian National Revenue Agency to obtain a VAT number for taxation purposes. Monthly VAT returns and annual tax returns should be filed.
The branch is required to keep its own financial accounts as well as preparing and submitting an annual balance-sheet and tax return.
Further information on accountancy and tax rates in Bulgaria can be found by contacting our partners Accountancy In Europe.
What office facilities are available when registering a branch?
The following types of office are available in Bulgaria:
- Registered offices – a minimum requirement, providing an address for branch correspondence.
- Virtual offices – providing telephone, fax and mail forwarding services off-site
- Serviced offices – providing all the essential business facilities ready for immediate occupation.
Branch formation packages
Our team of experts can organise the entire process of branch formation for you, as well as maintenance once you are established. The branch formation packages that we offer demonstrate our experience and knowledge of formation requirements, taking care of services such as VAT registration, corporate bank accounts, personal e-banking, business advisory and nominee directors/shareholders.
We can also support you in setting up multiple branches. The advantages that come with registering multiple branches include further increased exposure and global presence. The professional management of the formations by our expert team give you the opportunity to simply relax and enjoy the benefits.
For further information please send an enquiry or contact us using the form below.