Company formation in Bulgaria

At a glance

Entity

Single-member private limited company (EOOD); the multi-owner form is an OOD

Corporate tax

10% flat — the EU's joint-lowest headline rate; a 5% withholding applies on dividends (nil to an EU/EEA parent under the parent-subsidiary rules), for a combined burden of about 15% (as of 2026)

Incorporation time

~3–7 business days with electronic filing; roughly 1–2 weeks if formed remotely by power of attorney

Minimum capital

EUR 1 (redenominated from BGN 2 on euro adoption, 1 Jan 2026, at the fixed rate of BGN 1.95583/EUR)

Resident director

Not required; the manager may be a non-resident of any nationality, but must be a natural person

Audit

Small-company exemption; a statutory audit is mandatory only if two of three thresholds are exceeded — assets ~EUR 1.02m, net sales ~EUR 2.04m, or 50 employees

Remote set-up

Mostly; the manager's consent and specimen signature must be notarised (achievable abroad with apostille and a POA), and bank KYC on the collection account often requires a visit

Government fee

EUR 28.12 for electronic filing; EUR 56.24 on paper (Commercial Register, Registry Agency), as of 2026

Best for

A low-cost EU operating company that carries one of the bloc's joint-lowest headline corporate tax rates, with single-market access and a wide treaty network.

The process

1. Verify and, if desired, reserve the company name at the Commercial Register
2. Draft the founding act and sole-owner resolution, and notarise the manager's consent and specimen signature
3. Open a capital-collection account, deposit the EUR 1 minimum share capital, and obtain the bank certificate
4. File application form A4 with the Commercial Register (Registry Agency), electronically for the lower fee
5. Obtain registration and the Unified Identification Code (UIC), then convert the collection account into an operating account
6. Register for VAT once taxable turnover exceeds EUR 51,130 over 12 months, or voluntarily