Do you want to internationalize your business and benefit from 10% taxation? Discover how to open a company in Bulgaria, in Sofia, quickly, legally, and safely.
In 2026, Bulgaria continues to be one of Europe’s most attractive jurisdictions for business. With a 10% Flat Tax on both corporate and personal income and extremely competitive operating costs, company formation in Bulgaria is the strategic choice for thousands of international entrepreneurs. But how do you go from an idea to operational reality in Sofia? In this guide, we will look at the bureaucratic steps, costs, and real advantages.
1. Why Choose Sofia for Your Business?
Sofia is not just the capital; it is the beating heart of the Balkan economy. Opening a company in Bulgaria with headquarters in Sofia means having access to:
First-class digital infrastructure.
Highly qualified, multilingual staff.
Rapid international connections via the country’s main airport.
2. The Bureaucratic Process: How to Incorporate an OOD or EOOD
The most common corporate form is the Limited Liability Company (LTD), which in Bulgaria is divided into EOOD (sole-shareholder) or OOD (multiple shareholders).
Key steps in Sofia:
Name Reservation: Checking availability with the Bulgarian Commercial Register.
Articles of Association: Drafting the statutes and minutes for the appointment of managers.
Opening a Share Capital Account: The minimum required capital is symbolic (even as low as 2 BGN), but for real banking operations, higher amounts are recommended.
Registration in the Commercial Register: A procedure that, if managed correctly, takes only a few business days.
VAT Activation (VIES): Essential for operating within the EU and internationally.
[Image representing the step-by-step company registration process in Sofia]
3. Costs and Taxation: The Competitive Advantage
Opening a company in Bulgaria allows for fiscal optimization unmatched in Europe.
Corporate Tax: 10% (Flat Tax).
Dividend Tax: 5%.
Labor Costs: Social security contributions and salaries are among the most competitive in the European Union.
Please Note: To avoid “Tax Inversion” (Esterovestizione) challenges from your home country, it is vital that the company has real substance in Sofia: an office, employees, or a local director.
4. Errors to Avoid During Incorporation
Many entrepreneurs attempt a “DIY” approach or rely on unprofessional agencies. To succeed in the process of company formation in Bulgaria, it is essential to:
Not underestimate the importance of GDPR compliance and anti-money laundering (AML) regulations.
Ensure impeccable accounting management from day one.
Secure correctly documented tax residency if you are physically relocating to Sofia.
Trust Experienced Professionals in Sofia
Our firm has over 20 years of experience in guiding international businesses through the process of opening a company in Bulgaria. We do not just offer a bureaucratic service, but a strategic partnership that includes legal, fiscal, and logistical assistance directly on the ground in Sofia.
Are you ready to launch your business? Contact us today for a free preliminary consultation and discover how we can help you establish your new venture in Sofia.
Company Registration | 10% Flat Tax | Sofia, Bulgaria