Company Costs in Bulgaria

Introduction

Short answer: Registering an EOOD costs approximately 75–90 EUR (Firmify 39 EUR + state fee 28 EUR + notary ~3 EUR + bank ~10 EUR). Ongoing monthly costs include accounting (25–75 EUR), social security contributions (~180–230 EUR), and possibly rent / software. The corporate tax rate is 10%.

Starting and maintaining a company in Bulgaria is relatively affordable compared to most European countries. However, advance planning of costs is crucial for every entrepreneur. In this guide, we will review all the main costs — from the initial registration to the ongoing operation of the company.

Who Is This Guide For?

• Entrepreneurs planning to register an EOOD or OOD
• Business owners looking to optimize their ongoing costs
• Foreign investors evaluating the business environment in Bulgaria

Registration Costs

Registering an EOOD or OOD requires payment of several fees. The total amount depends on the filing method and the services chosen.

Detailed Breakdown

Check the current fees at portal.registryagency.bg.

Optional Additional Costs

• Company name reservation (D1): state fee per the applicable tariff — not mandatory, but often useful
• Lawyer's fee: 100-250 EUR — if you use a lawyer for document preparation
• QES (Qualified Electronic Signature): Evrotrust ~15-25 EUR/year, B-Trust Mobile from ~3 EUR/month — required for electronic filing

Ongoing Costs

After registration, the ongoing costs of maintaining the company begin. These costs are monthly or annual and depend on the volume of activity.

Accounting Services

Every company in Bulgaria is required to maintain accounting records. Most small companies hire an external accounting firm.

• Company with no activity: 15-40 EUR/month (minimal service, filing zero returns)
• Company with low activity (up to 30 documents/month): 50-100 EUR/month
• Company with medium activity (30-100 documents/month): 100-200 EUR/month
• VAT-registered company: an additional 25-50 EUR/month for VAT reporting

Bank Fees

• Monthly account maintenance: 3-15 EUR/month
• Online banking: 0-5 EUR/month (depends on the bank)
• Intra-bank transfers: 0-0.50 EUR/each
• Inter-bank transfers: 0.50-2.50 EUR/each

Social Security Contributions for Self-Insured Persons

If the manager is also a self-insured person (the most common case for EOODs), the monthly social security contributions for 2026 are:

• Minimum insurable income: 550.66 EUR
• State Social Security (pension): 19.8% = ~109 EUR
• Health insurance: 8% = ~44 EUR
• Supplementary pension insurance: 5% = ~28 EUR (for those born after 1959)
• Total: approximately 180-230 EUR/month (depending on the chosen insurable income)

Annual Costs

• Publishing the Annual Financial Statements (application G2): state fee per the applicable tariff; for an inactivity declaration, no fee is typically owed
• Annual tax return: free (filed electronically with the NRA)
• Certificate of current status (when needed): free from the Trade Register

Taxes

Bulgaria offers one of the most favorable tax environments in the European Union. Here are the main taxes that affect companies.

Corporate Tax (Profit Tax)

Rate: 10% on taxable profit

Taxable profit is accounting profit adjusted with tax increases and decreases under the Corporate Income Tax Act (ЗКПО). The tax is paid through advance payments (monthly or quarterly) and finalized with the annual tax return.

Dividend Tax

Rate: 5% on distributed dividends

When an owner decides to distribute the company's profit as a dividend, a 5% tax is withheld. The effective tax rate on profit distributed as a dividend is: 10% + 5% × 90% = 14.5%

VAT (Value Added Tax)

• Standard rate: 20%
• Reduced rate: 9% (for hotels, restaurants, books, baby food, etc.)
• Zero rate: for exports and certain international services

VAT is not an expense for the company if it is VAT-registered and uses tax credits. It is charged to the end consumer.

Social Security Contributions (for Hired Employees)

When hiring employees on an employment contract, social security contributions are split between employer and employee:

Tax on Expenses

Certain representational expenses (social benefits, company vehicles for personal use) are subject to a tax on expenses of 10%.

How to Save

There are several practical ways to reduce costs when starting and maintaining a company.

Use Electronic Filing

Filing documents electronically with the Trade Register saves 28 EUR on the state fee (28 EUR instead of 56 EUR). All you need is a QES (Qualified Electronic Signature).

Automate with Firmify

Instead of relying entirely on manual preparation, you can prepare the core documents through Firmify in a more structured way. The system automatically generates the Articles of Association, minutes, declarations, and application A4.

Choose the Optimal Banking Package

Compare the offers of different banks and choose a package that matches your actual transaction volume. Don't pay for services you won't use. Many banks offer promotional terms for new companies.

Optimize Social Security

If you are a self-insured person, choose an insurable income that matches your actual earnings. The minimum insurable income is sufficient at the beginning, and you can increase contributions for a higher pension as profits grow.

Consider Voluntary VAT Registration

If your main expenses include VAT (office rent, equipment purchases, services), voluntary VAT registration can save you significant amounts through the right to tax credit.