A Joint-stock company can be incorporated by either local or foreign persons or legal entities. There is no limitation on the number of shareholders participating in a joint-stock company. The shareholders are liable for the company’s debts up to the amount of their contributions to the company share capital. The company itself is liable for any breach of obligations with its own assets.
The minimum share capital requirement for incorporation of a joint-stock company is BGN 50,000 (approximately EUR 25,000). All the share capital must be subscribed, and at least 25 percent of the latter shall be contributed in order to initiate a registration procedure. Shares may be registered or bearer shares. Preferred shares and book-entry shares may also be issued. A share entitles its owner to one vote at the general meeting of shareholders, to a dividend and to a quota in the assets in case of liquidation in proportion to the face value of the share.
One-tier (Board of Directors) and two-tier (Board of Directors acting under Supervisory Board) management systems can be established.
|Name restrictions||The client may choose a name which must be unique. Please contact us in order to check if a specific company name is available.|
|Local address requirement||Yes|
|Minimum share capital||50000 BGN (equals to 25000 EUR), but the company can be registered with just 12500 BGN start capital (equals to 6400 EUR) and the rest to be paid up later.|
|Minimum number of directors||3 /regardless of residence/|
|Director eligibility||Individuals and legal entities|
|Minimum number of shareholders||1 /regardless of residence/|
|Shareholders eligibility||Individuals and legal entities|
|Type of shares||Bearer or Registered|
|Legal form||AD or EAD /corresponds to JSC/|
|Requirement for accounting||Yes|
|Corporate flat tax rate||10% on the net profit|