Bulgaria is a rising destination for startup founders and entrepreneurs alike. People who are looking for alternative business destinations in Europe find that Bulgaria has a lot to offer. Many freelancers as well as startups, developing software products or offering software services, are tempted to move their bases to Sofia, the capital of the country.

Bulgaria is considered as one of the countries with the lowest tax rates in the EU. Corporate income tax is capped at a fixed rate of 10% per annum. It is believed that Bulgaria has a tax regime that is the most favorable for businesses in the entire EU. There are no taxes for import and export within the EU. Bulgaria has a long history being a member of the European Union being part of the EU since 2007. One of the benefits includes free access to European markets. This is important for businesses looking to start their operations in Bulgaria, as they will also benefit from free markets like any other company in Europe.

You will have access to young and talented employees, especially if you operate within the IT industry. The wages are affordable and you will be able to offer more competitive prices compared to other European countries. It is also possible to transfer skilled employees from other EU countries – yet another advantage of the free EU market.

• Limited Liability Company (OOD / EOOD)
• Joint Stock Company 
• Limited Partnership / General Partnership / Partnership limited by shares

Limited Liability Company – is one of the most popular choices for small and medium businesses. An LLC may be founded with one or more shareholders (individuals or companies) and managers (individuals). The lowest required founding capital of Limited Liability Company is 1 EUR.

Joint-stock company – This option is suitable for large companies that want to start business in Bulgaria. The company formation should have one or more registered shareholders (individuals or companies) and minimum three members of the board of directors. The minimum founding capital is 25,565 EUR.