Despite all major upheavals in the world, the Serbian economy shows no signs of recession and continues its growth, and investors become more and more interested in the jurisdiction. All that is thanks to the reforms implemented in the past years: they helped to reduce the national debt and attract non-residents. Serbia has a BB+ credit rating now with a stable outlook, and it is a major point of attraction for European and Asian capital.
Serbia is not an offshore jurisdiction, but it offers really beneficial conditions for business similar to well-known tax havens. If you are unaware of all the intricacies of offshore company incorporation, please visit our portal to discover lots of articles on offshore business, banking, and investment before you decide to register a company in Serbia.
Why Form a Company in Serbia?
There are five key reasons why a company in Serbia is a good choice:
1. Serbia is a respectable business destination
Gray zones that served for aggressive tax optimization earlier are gradually fading away, and the trend for transparency is too evident to be ignored.
In 2019, Serbia joined the Common Reporting Standard, which means that it will now automatically exchange information on financial accounts. Consequently, the tax authorities in the country of your tax residence will now be aware of your assets, and you will have less confidentiality. On the other hand, it means that Serbia is a jurisdiction that will never get blacklisted or graylisted, and you may be sure of the future of your business if you set it up here.
2. The Serbian economy shows a stable upward trend
In 2019, Serbia also signed the Singapore Convention to substantiate its intention to expand economic opportunities and stimulate business growth. As a result, the country enjoys an inflow of new investors, the expansion of existing markets, and its infrastructure and financial institutions are rapidly developing. New labor markets are also being formed to cater to emerging business needs.
All this makes Serbia a bud that is just starting to blossom, and it is time to take advantage of the trend.
3. Serbia is on the verge of accession to the EU
Being a candidate, Serbia is a fast track to European markets today and may open the whole of the European Union for you tomorrow. You can also obtain a residence permit here with a view to becoming an EU citizen later on. While EU citizenship is hard to obtain, Serbia may be a good way to do it.
4. Serbia maintains political and economic neutrality
The country has adopted the “friendship with everyone” position in the present-day situation, and it has managed to have stable relations with the EU, China, and even Russia. It is a good promise for your business as you will not have to face sudden threats of your business operations being frozen due to some suspicions or sanctions.
5. Minimal company maintenance fees
Serbia may not be the leader in absolute terms, but it is definitely one of the first ones on the European market. Here are the expenses you will have to incur:
- You will have to rent a local office, which will cost you at least 2,400 euros a year
- You will also need the services of a professional local accountant who charges on average 700 euros a month
- If you need to hire more local staff, you will be pleased to find out that there are a lot of highly-skilled specialists on the market, while social and medical insurance payments are quite affordable as compared to other European countries
- You will be able to benefit from low electricity, gas, and fuel bills
- Finally, you will have to pay a corporate tax in Serbia which amounts to 15%. If you look at rates in the EU, you will see that the rate is quite reasonable.
Does that look attractive? If you feel that you need help with any aspect of the business setup, follow the above link to our portal. We have excellent specialists and a local office in Serbia that will assist you in overcoming any barriers and help you with business registration (and bank account opening) online.
Free Economic Zones in Serbia
Serbia established 15 free economic zones in an effort to create even more favorable conditions for foreign businesses, and we highly recommend registering your company in a FEZ. Benefit from special infrastructure and conditions that will help you succeed in your undertaking!
There are currently more than 200 international companies established in Serbian FEZs, with the number of employees exceeding 40,000. These numbers are growing every year as investors are becoming more interested in what Serbia has to offer.
Benefits of Serbian FEZs:
- The profit you receive within FEZs can be withdrawn to any jurisdiction without any additional payments or permits required.
- You will not have to pay the VAT (20%) on your business activities conducted within a particular FEZ.
- If you import any raw materials or equipment, you will not have to pay customs duties.
As you see, saving on VAT may be a key consideration for starting your business here. Contact us if you have any questions or want to get more details.
Buy a Ready-Made Company in Serbia
Do you want to start your business activities really quickly? We will help you buy a ready-to-use company, which is an absolutely legitimate instrument for those who like quick decisions.
Here are the main considerations:
- Run a fully operational company within a few hours (up to 2 days)
- The company comes with a functioning bank account
- You will be entitled to receive a resident card
How is it practically done? We prepare an agreement for you to insert the relevant information (your details as a company owner and new company name) and sign. You become the company owner almost instantly, while the banking side requires a little bit more time as you will have to notify the bank of changes.
Reap the harvest on time! That’s what we can say about Serbia. Its active development is really worth the attention of far-sighted entrepreneurs. If you have a business plan in mind and you are particularly interested in European markets, an EU citizenship opportunity, or just a stable jurisdiction that is absolutely transparent, Serbia is the country of your choice.
Contact us for a one-on-one session with a business consultant!
