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Bulgaria Company Formation

Bulgaria Company Formation - Guide for Non-Residents Main Characteristics and the basic rules of Company registration in Bulgaria

Bulgaria Company Formation with BRIS Group

BRIS Group provides expert Bulgaria company formation services for entrepreneurs and international investors seeking a reliable base in Eastern Europe. Establishing a Bulgarian Limited Liability Company (OOD or EOOD) offers limited liability protection, access to the European Union market, and a highly competitive corporate tax environment. Our team manages the complete Bulgaria company registration process remotely, including corporate banking support, compliance, and ongoing administration, ensuring your company in Bulgaria is fully compliant and ready for international business operations.

Start your Bulgarian company with BRIS Group today — trusted experts in global incorporation.

Bulgaria Company Formation – Register Your EU Business with Confidence

Bulgaria has become one of Europe’s most attractive destinations for international entrepreneurs and investors seeking a cost-effective, stable, and EU-based jurisdiction. Known for its low corporate tax rate, strategic location, and business-friendly environment, Bulgaria offers an ideal gateway for those looking to establish a presence within the European Union while optimizing their global tax structure.

This comprehensive guide explains everything non-residents need to know about Bulgaria company formation—from company types and setup procedures to tax benefits and ongoing compliance.

Why Choose Bulgaria for Company Formation

Bulgaria stands out as a prestigious yet affordable EU jurisdiction, combining Western business standards with Eastern European cost advantages. Its simple incorporation process and low tax regime make it one of the most efficient jurisdictions for EU market access.

Key Advantages of Incorporating in Bulgaria

10% Corporate Tax Rate – The lowest in the European Union.
Strategic Location – Positioned between Europe and Asia, ideal for cross-border trade and logistics.
EU Membership – Full access to the EU single market, with free movement of goods, services, and capital.
Stable Economy – Sustained growth, low inflation, and EU-aligned regulatory systems.
Affordable Operating Costs – Low labor, rental, and administrative expenses compared to other EU countries.
Skilled Workforce – Well-educated, multilingual professionals fluent in English and European languages.
Simplified Incorporation Process – Fast registration with minimal bureaucracy when handled by professionals.

💡 Bulgaria offers EU credibility with offshore-style efficiency.

Types of Companies for Non-Residents in Bulgaria

Company Type	Description	Best For
Limited Liability Company (OOD)	Most popular type for SMEs; requires only 2 BGN (€1) minimum share capital.	Entrepreneurs and small to medium-sized businesses.
Single-Member LLC (EOOD)	Same as OOD but with one owner/shareholder.	Sole proprietors and holding structures.
Joint-Stock Company (AD)	Requires 50,000 BGN (€25,000) minimum capital; can issue shares.	Large corporations and investment vehicles.
Branch Office	Extension of a foreign parent company.	International firms expanding operations in Bulgaria.

Advantages of Bulgaria Company Formation for Non-Residents

Feature	Benefit
Low Taxation	10% corporate income tax – lowest in the EU.
Access to EU Market	Operate freely within the 27 EU member states.
EU VAT Registration	Enables seamless cross-border trade and invoicing.
Asset Protection	Secure jurisdiction under EU law.
Confidentiality	Reasonable privacy while maintaining regulatory transparency.
Banking and Finance	Access to EU banking and SEPA payment systems.

Potential Disadvantages and Considerations

While Bulgaria offers strong advantages, non-residents should consider:

Compliance Requirements – Annual reporting, tax filings, and accounting must meet EU standards.
Language Barrier – Official documents are in Bulgarian, requiring certified translations.
Local Bureaucracy – Administrative processes can be time-consuming without local expertise.
Reputation – Though improving, some EU jurisdictions still review Bulgarian entities carefully for tax purposes.

✅ With professional support, these challenges are easily managed.

Requirements for Company Registration in Bulgaria

To register a company in Bulgaria, non-residents must prepare and submit:

Requirement	Details
Company Name	Must be unique and approved by the Trade Register.
Registered Office Address	Physical address in Bulgaria (can be provided by BRIS Group).
Shareholders	Individual or corporate; minimum one required.
Directors	At least one director; EU/EEA resident or Bulgarian resident preferred.
Memorandum of Association	Defines company activities and shareholding structure.
Articles of Association	Governs company operations and director duties.
Bank Certificate	Proof of share capital deposit (minimum 2 BGN).
KYC Documentation	Passports, addresses, and proof of funds for all directors and shareholders.
Power of Attorney	Required if BRIS Group represents you during registration.

Procedure for Bulgaria Company Formation

The company formation process in Bulgaria is straightforward and efficient when managed by professionals.

Step-by-Step Process

1.Consultation & Planning

We evaluate your objectives and determine the most suitable company type (OOD, EOOD, or AD).

2.Company Name Reservation

Verify and reserve your company name with the Bulgarian Trade Register.

3.Document Preparation

Draft and notarize the Memorandum and Articles of Association, and prepare KYC documents.

4.Bank Account & Capital Deposit

Open a temporary bank account to deposit the minimum share capital.

5.Registration with the Trade Register

Submit documents to the Bulgarian Registry Agency for official incorporation.

6.VAT Registration (if applicable)

Social Security & Tax Setup
Register with the National Revenue Agency (NRA) and National Social Security Institute (NSSI).

7.Permanent Bank Account Setup

Open your operational corporate bank account once incorporation is approved.

🕒 Estimated timeframe: 5–10 business days.

Taxation in Bulgaria

Tax Type	Rate / Details
Corporate Income Tax	10% flat rate
Personal Income Tax	10% flat rate
VAT	20% (9% for specific goods/services)
Withholding Tax	5–10% on dividends (may be reduced under EU Directive or tax treaty)
Social Security Contributions	Employer: 18–19%; Employee: 13–14%
Double Tax Treaties	70+ agreements with major global economies

Compliance and Reporting

Annual Accounts: Mandatory filing with the Trade Register.
Corporate Tax Return: Due annually by March 31.
Audit Requirements: Required for companies exceeding specific turnover or employee thresholds.
Substance: Not mandatory but beneficial for tax residency proof and banking relationships

Why Choose BRIS Group for Bulgaria Company Formation

With over two decades of international incorporation experience, BRIS Group simplifies the process of registering your Bulgarian company — from planning to post-incorporation compliance.

Our Professional Services Include

Tailored business and tax consultation
Name reservation and Trade Register filing
Document preparation and notarization
Registered office and local representation services
Corporate bank account opening assistance
VAT and tax registration
Accounting, audit, and compliance management
Ongoing maintenance and annual renewal support

💼 We manage every step — you focus on your business.

Why Work with BRIS Group

🌍 Global Expertise – Over 25 years in international company formation
⚡ Fast Turnaround – Incorporation within 5–10 business days
🔒 EU Compliance – 100% aligned with EU regulatory standards
📈 Tax-Efficient Planning – Structure your business for maximum savings
🤝 Dedicated Support – Personal advisor from start to finish

Start Your Bulgaria Company Formation Today

Bulgaria combines EU credibility, low taxes, and business flexibility, making it one of the most competitive jurisdictions in Europe for non-residents.

Let BRIS Group’s experts guide you through the entire incorporation process — quickly, securely, and with full compliance.

📧 Contact us today:
[email protected]

👉 Learn more about our EU Company Formation Services or schedule a free consultation to start your Bulgaria company formation today.

Still have questions about Bulgaria company registration?

Questions & Answers

FAQ: Tax Rates in Bulgaria

1. What is the current corporation tax rate in Bulgaria?

The corporation tax rate in Bulgaria is 10%. This is one of the lowest rates in the European Union, making Bulgaria an attractive location for businesses and foreign investors. The flat rate applies to the profits of companies, providing transparency in tax obligations.

2. How is income tax structured for individuals in Bulgaria?

Income tax in Bulgaria is also set at a flat rate of 10% for individuals. This simplicity in the tax structure means that all taxable income, including wages and other earnings, is taxed at the same rate, making it easier for residents to calculate their tax liabilities.

3. Are there specific tax regulations for non-residents working in Bulgaria?

Yes, non-residents are subject to a flat income tax rate of 10% on their Bulgarian-source income. This includes income earned from employment, business activities, or other sources within Bulgaria. Non-residents may also be eligible for certain deductions and allowances, depending on their situation.

4. What is the value-added tax (VAT) rate in Bulgaria?

The standard VAT rate in Bulgaria is 20%. However, a reduced rate of 9% applies to certain services, including accommodations in hotels and other tourist-related services. Businesses must register for VAT if they exceed a turnover threshold, thereby ensuring compliance with local regulations.

5. Are there any exemptions or special considerations regarding taxes in Bulgaria?

Certain exemptions exist, such as for small businesses earning below a specified annual turnover, which may qualify for simplified tax regimes. Additionally, tax treaties are in place to prevent double taxation for international business activities. It is advisable for individuals and companies to consult with a tax professional for tailored advice based on their specific circumstances.

Learn more: Visit our Full Bulgaria FAQ page
or contact our tax and company formation team at [email protected]

FAQ: Company Registration in Bulgaria

What types of companies can non-residents establish in Bulgaria?

Non-residents can establish several types of companies in Bulgaria, including Limited Liability Companies (OOD), Joint Stock Companies (AD), and Sole Traders (ET). The most popular choice for foreign investors is the OOD, as it limits liability to the capital invested and requires only one shareholder, who can be a non-resident. Setting up an AD involves higher minimum capital requirements and is typically favoured by larger enterprises.

What are the benefits and advantages of forming a company in Bulgaria?

Forming a company in Bulgaria offers numerous benefits, such as a favourable corporate tax rate of 10%, one of the lowest in the EU. Additionally, Bulgaria has a strategic location in Southeast Europe, making it an attractive hub for trade. The country boasts a skilled workforce, lower operational costs, and an absence of restrictions on profit repatriation. Moreover, establishing a company in Bulgaria allows easier access to the EU markets.

What are the requirements for forming a company in Bulgaria?

To form a company in Bulgaria, non-residents must provide a few essential documents, including a valid passport or ID, proof of address, and a description of the planned business activity. Depending on the type of company, capital may need to be deposited in a bank, and you will also need to appoint at least one director. Registration with the Bulgarian Trade Register is mandatory, and foreign entities may need a local legal representative.

Are there any restrictions for non-residents when forming a company in Bulgaria?

While Bulgaria is quite open to foreign investment, there are certain restrictions for non-residents. Some sectors, such as defence, energy, and media, may have specific regulations or require special licenses. Additionally, non-residents may face limitations in owning property depending on the company structure, particularly for agricultural land, where ownership is usually restricted to EU citizens or entities.

How long does it take to form a company in Bulgaria?

The process of forming a company in Bulgaria typically takes between 3 to 5 business days if all documents are submitted correctly. However, factors such as the type of business and complexity of the registration can affect this timeline. Engaging a local legal professional may expedite the process and ensure compliance with all legal requirements, ultimately facilitating a smoother establishment.

Can I manage my Bulgarian company remotely if I’m a non-resident?

Yes, non-residents can manage their Bulgarian companies remotely. However, it is essential to appoint a local director or a legal representative, especially for administrative and compliance purposes. Regular communication with your local team and legal advisors can ensure that your business operations run smoothly and in compliance with Bulgarian laws, allowing you to effectively manage your investments from abroad.