Global Business Group offers consulting services, comprehensive analyzes and advisement related to:
Investment projects, company foundation in Bulgaria, production relocation, real estate’s purchase/rent. Foreigners who have decided to invest in Bulgaria should be familiar with series of legislations. We present economic sectors which Bulgaria encourages and they are a priority for its development.
Foreign investments which Bulgarian government encourages:
Bulgarian investment legislation follows the principle of equal treatment both for Bulgarian and foreign entities: investors are treated equally, regardless of their nationality. There are some restrictions on investment business related to (Gambling, tobacco processing, medical researches). For carrying out business in Bulgaria there is no mandatory registration (except for some sectors with licensing regime). There is no size restriction of foreign form of economic participation registered in Bulgaria.
Bulgaria encourage foreign investment in certain sectors: classes
Depending on the amount of investment, economic sector and region of the country where you are planning to do business , investors receive a certificate for investment called class ( ” Class A ” and ” Class B ” ) or certificate of priority project .
Investments that receive a certificate for certain class are investments in tangible and intangible assets with related jobs. They should cover the following requirements:
They are connected with a new company creation or expand an existing one or activity.They will take place in any of these economic activities: industrial sector: manufacturing; the service sector: high technology activities or information technology and services, research and development and professional activities in the central offices, education, human health and medical care activities, warehousing and support activities for transportation. Investment revenues to be at least 80% of total revenue. The investment should be kept at least five years if the company is small or medium – 3 years.The investment to be made over a period of three years .
The investment should not be under the minimum size of 20 million leva for Class A and under 10 million leva for Class B.
The threshold can be minimized in regions with a weak economy, and such as in high technology activities in the industrial sector. A minimum of 40% of eligible expenditure is financed by own resources or through external financing in a form that excludes public support. Investors should create and maintain employment directly related to investment project, represent a net increase in the number of employees in the enterprise, which is maintained for a minimum period of five years for large enterprise / three years for SMEs.
The acquired assets must be new and purchased at market conditions by persons independent from the investor. Investments received class certificate are encouraged to implement the investment project by: shorter deadlines for administrative services ( Class “A” and “B” ); individual administrative services (Class “A”); opportunity to acquire ownership or limited real rights on real estate on preferential terms (for class “A” and “B” ); financial support for construction of physical infrastructure elements (class “A” and two or more investment projects of class “B” ); financial support for training related to acquiring professional qualification for persons occupying the new jobs positions related to investment (Class “A” and “B” ). Promoting investment in all sectors : certificates for priority investment projects. Priority investment projects for Bulgaria are those that apply to all sectors of the economy and are essential for its development and certain regions. They must correspond to specified legal requirements for minimum investments of 100 mln . levs and create 200 jobs; the size varies depending on investment project, construction of an industrial zone, a technology park, a priority investment project, high-tech and knowledge-based services and high-technology activities by manufacturing and/or in municipalities with high unemployment.