Holding company in Bulgaria
Holding companies are attractive to foreign investors who wish to do business with Bulgarian partners, and the main advantage of this form is the absence of restrictions in the affairs of local partners.
Setup a holding company
We provide holding company registration solutions in Bulgaria, our specialists have extensive experience and knowledge about holdings companies. With us, the process of opening a holding will not be burdened with a lot of paperwork. Create a holding company with professional assistance!
The advantages of Holding Company in Bulgaria
- Optimization of the tax burden. Because there are few tax benefits in Bulgaria, there is an opinion that it is necessary to create a holding so that the management organization is located abroad - in an offshore or a country with preferential taxation. In this case, the company in Bulgaria will be considered a subsidiary. For tax planning to be meaningful, you need to find a mix of jurisdictions that cut certain taxes. Otherwise, streams of dividends, interest, and royalties can come from countries that withhold taxes and go to countries that collect taxes;
- Control over enterprises. But this does not deprive subsidiaries of their legal independence. Simply put, the principle of "decentralization of operations with the centralization of control" works;
- The concentration of capital, their more free flow and, on this basis, optimization of the investment process;
- general technical, economic, personnel policy;
- conquering new market territories, expanding the range of products, using additional production capacities as a result of the takeover of enterprises;
- cooperation of related enterprises (for example, connected by a technological chain).
Procedure and requirements
In most cases, for the legal registration of a holding, 80% of the shares are required, although in some situations, 5% is enough for full control of a local company by foreign partners. It is important to understand that the main goal of the holding is the management function and participation in any form of campaign. Also, at least 25% of the share capital must be invested in subsidiaries. A holding company in Bulgaria can be a joint stock company, a limited liability company. The advantage of the holding in Bulgaria is that, according to the Convention on the avoidance of double taxation, dividends received from the CIS countries are taxed at a reduced tax rate.
Other types of companies
If you feel like Holding company does not fit your needs, click the button below and you will see other legal forms like Limited Liability Company, Joint Stock Company, Branch office and more.
Holding company registration
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