Serbia has been quickly developing over recent years, becoming a point of international attraction for major investors and foreign small and medium business owners. Stability, affordable expenses, excellent banking, straightforward company establishment procedure, and a business-friendly environment – Serbia has it all to seem appealing to businesspeople. If you want to have a European residence permit, you can get one in Serbia in exchange for company registration, which is an interesting opportunity to take advantage of. Follow the link to a trusted portal to discover all the benefits for business owners in Serbia and use the live chat during office hours to ask any questions about Serbia or any other destination.
5 Key Reasons to Set up A Company in Serbia
- Serbia is a Reputed Non-Offshore Jurisdiction
Offshore territories, once popular with those seeking to register a company on relaxed conditions, are under the pressure of international regulators that seek to make them more transparent. As a result, this changes the trends in business, and the differences between onshore and offshore jurisdictions disappear little by little.
The coming years are expected to bring more transparency and legalization, which will be essential for business activities. It is important to be mindful of these new factors as they may play a crucial role.
For example, Serbia joined the Common Reporting Standard (CRS) that requires automatic information exchange with regard to financial accounts. It means that the owners of different companies and Serbian account holders can no longer expect the authorities in the country of their tax residence to be unaware of the assets kept in Serbia.
This fact has its undeniable advantage: Serbia complies with this important requirement, so it is unlikely to be greylisted or blacklisted by international regulators. It means that you can safely start your business without fear of any sudden adverse changes. Enter global markets and carry out your operations openly and without any restrictions.
It would be useful to note that the information exchange does not mean that all your data will be available to the public. You can always count on a certain privacy level.
- The Serbian Economy is Developing at a Steady Pace
In August 2019, Serbia signed the Singapore Convention, thus showing the international community that it is striving for more stable and predictable international trade operations. Joining the Convention will help the country expand economic rights and opportunities and ensure business-friendly conditions for foreign entrepreneurs.
It means that Serbia has tremendous economic potential, which is the reason why it is currently a real draw for major international investors.
Improvement of the business environment in Serbia results in an active development of financial institutions and infrastructure, opening new markets, and expanding the existing ones. As a result, more and more entrepreneurs are thinking of opening a branch in Serbia or setting up a new company here.
A lot of Chinese investors find the country attractive, and they actively sponsor promising investment projects and local enterprises. It stimulates the formation of new labor markets in Serbia to meet the demand in various sectors. The companies that take part in the implementation of such projects actually have tremendous growth potential.
- Serbia Is Expected to Join the EU Soon
The Serbian government says that becoming an EU member is a top priority for the country, and it makes decisions and takes practical steps to achieve this goal. And even though the process has been going on since 2012 without any major advance, the direction does not change.
Many EU members are prepared to accept Serbia to become one of them and contribute to this process in the best way they can. The European Union is concerned with the strengthening of Chinese interests in Serbia and the country’s friendly relations with Russia (what is more, it refuses to impose sanctions on the latter in line with the EU and continues cooperation with the country).
This proves once more that Serbia is an attractive country for major international players and European businesses.
The key advantage of starting a company in Serbia is quick and easy access to European markets. If you establish a Serbian business today, the whole European Union will be open to you shortly.
Serbia is also quite an appealing country if you want to reduce the national risks to a minimum. You can easily acquire a residence permit or even a passport.
- A Politically and Economically Neutral Jurisdiction
Business develops well in quiet and stable conditions, and Serbia is ready to provide them. Serbia remains neutral when it comes to international relations and maintains friendly relations with China, Russia, and the EU at the same time, which is quite a challenging thing to do under the present-day geopolitical circumstances.
The situation is becoming a little more complex as the EU puts pressure on Serbia, but it is still possible to set up a company here and engage in business operations with partners from virtually any part of the globe.
- Minimal Company Maintenance Expenses
Office rent and the fee payable to an accountant are the main expenses related to company maintenance. As for Serbia, the rent starts from 2,400 euros a year. The average salary amounts to about 700 euros, and there are a lot of highly qualified specialists in the country to choose from. As regards social and medical insurance contributions, they are much lower than on average in Europe.
The cost of utilities is unbelievably low in Serbia: as it generates electricity independently, it does not charge much for it. As for gas and fuel, they are inexpensive thanks to favorable contracts with international suppliers.
Finally, the tax burden in Serbia is lower than in Europe: for instance, the corporate tax rate is 15%.
Interested in establishing a company in Serbia? Please follow the above link to get more information or use a live chat to talk to an expert who can give you free advice or provide fee-based professional assistance if you need it.
