Opening of a branch of a foreign company in Bulgaria

Opening of a branch of a foreign company in Bulgaria

Question:
Hello!
I have an operating company (ET) abroad and I deal with translations of official documents. Can I open a branch of this company in Bulgaria and if so, what is the procedure?
Thanks in advance!

Answer:
Hello,
In principle, a branch of the foreign company can be established in Bulgaria, but it will be fully governed by Bulgarian legislation. That is, from a tax point of view, you have no advantages from the fact that the Bulgarian company will be a branch of the foreign one. The foreign company will have to make a consolidated financial statement for the Bulgarian branch, the Bulgarian branch will have to prepare reports and reports in accordance with foreign legislation, most likely according to international standards. This will create additional work for both the foreign company's accounting and the Bulgarian accounting.
There is also an option to open a subsidiary (a company owned by the foreign company), but here we have the same disadvantages as in the above case.
In the event that you do not pursue any specific goal with the creation of a branch, the best option is to register an E/LLC in Bulgaria, given that you will be the real owner of both the foreign and the Bulgarian company.
Regarding the registration of E/LLC, the situation is as follows. Documents for company registration are prepared, a collection account is opened in a bank / sometimes an additional check is made, which in some cases is paid for and takes a little time/, a notary is visited for verification of signatures and with all the prepared and signed documents submitted to the Commercial Register. Usually, within 2-3 working days, the registration of the company comes out (delays in the system also begin
We hope we have been helpful!
Greetings!