The liaison office or the trade representative office in Bulgaria can be set up by foreign companies that want to establish their presence in the country. An office like this will be a communication channel between the parent enterprise and its business associates or clients in Bulgaria. If you wish to open a liaison office in Bulgaria, it is recommended to solicit help and assistance from our company formation agents in the country.
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What can you do after establishing a liaison office in Bulgaria?
There are certain rules regarding the activity of a trade representative office in Bulgaria, and it is good to know what you can or you cannot do with such an entity:
- you can manage marketing activities;
- you can promote the company’s products or services;
- you can search for investment opportunities;
- you can make travel arrangements for potential customers;
- you cannot have transactional activities.
If you wish to set up a company in Bulgaria, or if you want to open a liaison office in the country, you can receive guidance and suitable information from our company formation experts.
Have you decided to open a business in Bulgaria? We suggest you contact our accountants in Bulgaria and discover the complete services offered by them. A company needs payroll, bookkeeping, submission of annual financial statements, and various types of audits. Also, our specialists can prepare a series of financial reports that emphasize the financial direction of the company.
A startup in Bulgaria can be established with the help of our company formation agents. We can prepare the documents for this company and we can help you open a bank account. Also, depending on the activities you want to undertake, we can help you apply for the necessary business license. Therefore, we have complete services that you can benefit from whenever you want to open a business in this country. We invite you to contact us and learn more about how we can help you in this endeavor.
Documents needed to register the representative office in Bulgaria
The Bulgarian Chamber of Commerce is in charge of the company registration. For the proper function of the liaison office in Bulgaria, it is required to arrange the following documents:
- the decision that contains details about the representative person;
- the decision of opening the trade representative office in Bulgaria;
- the registration certificate of the parent company;
- the registration application;
- the power of attorney for the representative person of the liaison office;
- proof of the paid fees at the Chamber of Commerce in Bulgaria.
If you are interested in opening a liaison office in Bulgaria, our company registration experts can assist you on this matter with suitable information and assistance. It is good to know that a representative of a liaison office in Bulgaria can hire personnel, but cannot sign contracts or deals in the name of the parent company.
Is a liaison officer required in Bulgaria?
Of course, the liaison officer is the person who will handle the communication between the local Bulgarian office and the parent company. A liaison officer has many tasks, and among them, the most important is related to finding potential customers and presenting the products and services offered. In addition, the agent will have to present a complete report to the shareholders of the company he/she works for and various marketing strategies with which to attract as many customers as possible.
Here are some of the responsibilities and attributes of a liaison officer in Bulgaria:
- First of all, he must represent the interests of the foreign company in Bulgaria.
- It can carry out marketing and promotion activities of the business.
- He must understand the principles and purposes of the business he/she represents in Bulgaria.
- Must have negotiation skills and open communication to be able to conclude contracts with potential clients in Bulgaria.
- Can mediate and mediate possible conflicts related to business in this territory.
- Must have solid knowledge about maintaining and developing international relations.
If you are also interested in registering a liaison office in Bulgaria, we invite you to talk to our specialists in company formation and find out details about the formalities involved in this process.
A liaison office, a great communication channel
Undoubtedly, proper communication with the parent company can be done with the help of a liaison office in Bulgaria. Such an office will facilitate the objectives of that company in a foreign country, in this case, Bulgaria. As the registration formalities are simple, all that remains is to set up the marketing and promotion plans, the study and the market reports, plus other activities meant to simplify the activities of such an entity.
We remind you that a liaison office in Bulgaria can be registered with dedicated support, provided by our local agents. In addition, if you think that another structure is more suitable for your business needs, then you can benefit from guidance and assistance for opening an LLC in Bulgaria, for example.
What is the tax regime for a Bulgarian liaison office?
As mentioned at the beginning of this article, a trade representative office in Bulgaria cannot develop economic activities, as a result of which it can generate income and make a profit. Thus, a trade representative office in Bulgaria does not have to pay corporate tax rates or VAT. However, if goods and services are purchased, they are subject to the VAT regime that must be paid. In this sense, invoices and/or supporting documents must be kept and sent to the parent company for various accounting procedures.
Financial support for a liaison office in Bulgaria
A trade representative office in Bulgaria may have various expenses, but the budget for these is established by the parent company. Thus, the promotion and marketing campaigns are financially supported by the foreign company, as are the expenses for paying the employees of a liaison office in Bulgaria.
How many employees can a liaison office have in Bulgaria?
The parent company decides how many employees the trade representative office in Bulgaria can have. First of all, a liaison officer in charge of the daily activities of this kind of office will be appointed. But if the projects are larger and require more support, then more work contracts can be made. What is good to know is that you have to take into account immigration matters if you want to hire staff from non-EU countries. They must have an entry visa, residence, and work permit. A specialist in the field can help in this endeavor to be able to obtain the desired documents in the shortest possible time.
Would you like to set up a company in Bulgaria? We advise you to use the services of our local agents who have extensive experience in this field. They can manage all the formalities and also collaborate and communicate with the relevant authorities in the field.
Choosing a liaison office, eliminating business risks
The decision to open a business in a foreign country is based on the desire to expand and profit. But in order to know exactly the market and customers, you need a concrete analysis and several studies. Thus, a representative office in Bulgaria is often the solution for many entrepreneurs. They prefer not to be exposed to business risks and to develop correctly and easily in a financially and economically stable country.
This is where the marketing and promotion strategies come into play if the sales market has already been analyzed. Potential customers or collaborators can find out from the beginning information about the activities you want to implement, costs, and other services, with the help of a liaison office in Bulgaria.
Advantages of a trade representative office in Bulgaria
Often, a liaison office in Bulgaria is the right option for foreign entrepreneurs who want to test the market and get in touch with potential clients from the territory. Many such entities can be found in the import and export sector, one of the most developed worldwide and generating billions of dollars every year. You can thus access a well-developed and structured market with your business, as long as you know the potential customers, the business direction, and also the local legislation. A liaison office in Bulgaria is definitely advantageous and can practically prepare an entrepreneur for a new territory, in order to establish the desired business.
Bulgaria, a popular investment destination
If you want to invest in Bulgaria, then the decision is the right one because the country has a lot to offer foreign entrepreneurs. Bulgaria’s macroeconomic stability is a highly valued factor in the business climate because it provides business security and future development. Moreover, the country continues to record annual economic growth, which increases confidence in the system of government and beyond.
In addition to these aspects, foreigners who want to open their businesses in Bulgaria can benefit from the experienced and multilingual workforce, the infrastructure in continuous development and balancing with the current technology, an advantageous taxation system, and sectors with a lot of potential. Here are some statistics that may interest you to invest in Bulgaria:
- The 2020 Doing Business report ranked Bulgaria 61st out of 190 world economies for business conditions and climate.
- Bulgaria’s GDP is supported by the country’s industry with about 22% of the total.
- Tourism is essential for Bulgaria because it supports the gross domestic product and registers growth in the labor market. Around 93,000 jobs were created in this sector in 2018.
So, if you are also interested in opening a business in Bulgaria, do not hesitate to send us an email or you can use free case evaluation on our website. The company incorporation in Bulgaria is a fairly simple process that can be supervised by our specialists.
Why work with our specialists in Bulgaria
Our local agents have experience in setting up companies in Bulgaria and can help foreign entrepreneurs interested in investing in this country. Although the whole process of registering a company is quite easy, it is better to rely on specialized help provided by a team of professionals. Regardless of the requests you have in the field of business, you can trust that you work with a specialized team, which can handle the formalities and the relationship with the relevant institutions.
Interested in a representative office in Bulgaria? Feel free to contact our team of company formation agents in Bulgaria and see how we can manage the formalities on your behalf.