Introduction to the Republic of Kosovo Company Formation
If you are opening a business in Kosovo, the procedures must be the same for local and foreign companies in the Republic of Kosovo. Only one procedure is done for foreign and local companies’ business registration. The fiscal and VAT numbers are operating in a one-stop-shop procedure, which is done in 26 municipalities. You would have to set up a bank account, go through the Kosovo Business Registration Agency (KBRA), have a company seal, and register your employees locally for their pension under a tax administration. The business registration process can be within 2 to 11 days. Sole proprietor enterprise, limited liability company, general partnership, and joint-stock company can all be easily registered. Before having a Kosovo company formation, you need these:
- New business registration
- Temporarily registered businesses will have re-registration
- Trade name registration, which can be used on all kinds of business
- Registration of Kosovo businesses working units
- Units representations registration of foreign companies in Kosovo
- Information changes that were temporarily registered
- Receiving annual reports, yearly financial reports (balance sheets) that are from corporations, LLC, and joint-stock companies
- Deletion of non-functional businesses that are law violators
- Registration forms design and distribution
- Certificates issued to registered businesses
- Gives records and document verification copies that are from business registration
- Cooperation of official statistics, tax administration, offices, and agencies
- Collects and secures records
- Informing the public through publications, print material, and operation of the webpage
Limited Liability Company (LLC) Registration
Kosovo wants every registered company to appoint at least 1 shareholder and director. It is necessary to appoint a tax representative in compliance to the Kosovo tax legislation. The capital must be at least €1 during incorporation. Most of the LLC clients choose Kosovo because they offer a good company set up. Hence, Kosovo company formation is a good move.
Why Have a Kosovo Company Formation?
- There is an easy tax system in Kosovo. Aside from that, the taxes are low compare to other countries. Kosovo’s corporate tax is 10%, VAT is 18%.
- The local currency in Kosovo is the euro, even if it is not part of the Eurozone.
- Kosovo is one of the best 15 countries to start a business
- A lot of people in Kosovo are accustomed to working long days. Most work on weekend days and during public holidays
- The monthly wage in Kosovo is an average of 430 euro, and it has been like this since 2014
- Most people in Kosovo are not older than 35 years old
- Kosovo is 57th out of 190 countries when it comes to doing business. They have a rank of 86 in 2016. Their economy is one of the most improved in the world
- They offer a lot of opportunities. For instance, in the world of IT, textile, wood, mining sectors, and agriculture.
If you are thinking of registering a business, you can contact 3E Accounting and we will help you in the process. We are going to assist you in the Kosovo company formation procedures.