Company Registration

According to the Bulgarian Constitution, foreigners can buy buildings but not land. Therefore the most common method for them to buy property in Bulgaria, where they also wish to own the land is to set up a company which then owns the land and the building. The most popular companies registered by foreigners who acquire land in Bulgaria are Single Person Liability Company, (EOOD) and Private Limited Liability Company (OOD). The first one is owned by one natural or legal person while the second one – by two or more shareholders, whose liability is limited to the amount of capital subscribed. The minimum foundation capital is BGN 5000, 70 % which needs to be deposited into a bank. Money stays there until the registration is completed (usually 1-2 weeks), after that it can be withdrawn and used for any purpose.