Sole Trader Registration in Plovdiv
What Is a Sole Trader (ET)?
A sole trader (ET) is an individual who conducts commercial activity. Unlike an EOOD, a sole trader is not a separate legal entity — the trader is liable with all personal assets.
In Plovdiv the sole trader form is suitable for freelancers, craftspeople and small businesses with low risk. Plovdiv is the second-largest city in Bulgaria, with a rapidly growing IT and industrial sector.
Business Environment in Plovdiv
Plovdiv (approximately 350,000 residents) is the second-largest city in Bulgaria, with a rapidly growing IT and industrial sector. The city has over 45,000 registered companies, making it an active business centre.
Key Industries:
- IT & Software Development
- Food & Beverage Industry
- Light Industry
- Tourism
Office Rents: Average office rents in Plovdiv are €5–12/sq.m., which is competitive compared to other cities in the region.
Bank Branches: DSK Bank, UniCredit Bulbank and Postbank have branches on Knyaz Alexander I St., Maritsa Blvd. and in the Trakia district.
Notary Offices: Notary offices are concentrated around Central Square, Rayko Daskalov St. and Shesti Septemvri Blvd..
ET vs. EOOD
| ET | EOOD | |
|---|---|---|
| Liability | Unlimited (personal assets) | Limited (to share capital) |
| Min. capital | None | €1 |
| Escrow account | Not required | Mandatory |
| Income tax | 15% (personal income) | 10% (corporate) |
| Social security | As self-insured | As self-insured (manager) |
| Accounting | Simplified (under conditions) | Full |
Registration Steps
- Choose a name — must contain your first and last name, plus an addition of your choice
- Set your address — management address in Plovdiv or Plovdiv Region
- Prepare documents — A1 application, declarations, specimen signature
- File with the Commercial Register — electronically with a QES or on paper
- Receive your UIC — usually within 3–5 business days
Required Documents
To register a sole trader in Plovdiv:
- Application A1 for registration of a sole trader in the CR
- Declaration under Art. 13(4) of the CRRLEA
- Declaration under Art. 57 and Art. 58 of the Commerce Act — no prohibition
- Specimen signature — with notarisation
- ID card of the trader
Fees and Costs
| Expense | Amount |
|---|---|
| Government fee (electronic) | €28 |
| Government fee (on paper) | €56 |
| Notarisation of specimen signature | €10–15 |
| QES (if you don't have one) | €15–25 |
Overall, registering a sole trader in Plovdiv is cheaper than an EOOD since no escrow account is required.