For starters, the law in Bulgaria is civil law (german/roman) law. You will want to get some local advice as to how to best structure a company in Bulgaria. E-signatures are allowed.
The abbreviation BG is for Bulgaria and the most common company type in Bulgaria is a LLC (OOD).
The time to setup is usually 12 Days to incorporate a LLC (OOD) in BG. The types of currencies you can use to fund your company is frequently any legal tender.
Yes, one is allowed to re-domicile a LLC (OOD) from BG. You are usually allowed to change the jurisdiction of the company, pending certain procedures.
There must be at least 1 shareholder. This makes it possible for you to own a LLC (OOD) in BG by yourself. Corporate Shareholders are permitted, which means you can have a legal entity as a shareholder. Foreign ownership is tolerated, up to 100% of the total equity of the company.
There is a requirement to have at least 3 directors. Speaking of shareholders, corporate directors are not permitted. Directors should not have an expectation of privacy, as they are not kept private in Bulgaria. There is a body of law which requires companies to hold an annual meetings of shareholders.
A registered legal firm must be retained for an address, paid by the company on an annual basis, for an agent which can receive a service of process on behalf of the business. Furthermore, a company secretary is not a requirement.
There is a no requirement to file annual returns. This doesn't preclude the company or shareholders from other tax or reporting obligations elsewhere and you are encouraged to pay for personal advice on their unique situation. On that note, there is oftentimes a requirement to have these accounts audited.
Thin capitalization rules are in effect. A company is thinly capitalised when there is a greater proportion of debt than equity. The minimum capitalization for a Bulgaria Civil Law (German/Roman) is BGN 2.
A corporate director is not permitted, meaning this country is not a good option if you are setting up a structure where you want to protect director liability.
The directors are disclosed in the public registry of Bulgaria, Registry Agency. Shareholders are disclosed in the Registry Agency.
Typically companies take 12 days to setup and there are 3 director(s) required and 1 shareholder(s) required at the time of incorporation.
Overall we think Bulgaria is a ok option and have given it a score of 43 as an IO score, using the Incorporations.IO proprietary formula.
12 Daysto form