Montenegro Company Formation Cost

Company Formation Processes in Montenegro

The administrative center and capital of the republic is Podgorica.

The Serbian language has the status of the state language. The local population also understands English and Russian.

The national currency is the Euro.

Why is it cost-effective to register a company in Montenegro or purchase a company? The main reasons.

Low crime rate.
Favorable investment policy. The only types of activities in which foreigners cannot participate are the production and sale of arms, and trade in border areas or national nature reserves.
Prospects for the country's development and the expansion of international relations.

The most popular types of businesses in Montenegro are:
- Hotel management (occupancy reaches 95-100% in the summer);
- Restaurant business (the large number of vacationers makes this area extremely promising);
- Businesses in the service sector (excursions, outdoor activities, vehicle rentals, yachts, and others).

Registering a business in Montenegro is not just interesting from a business perspective. It is also the most convenient way to legally obtain a residence permit in the country.

Due to the Law on Attracting Foreign Investments, company formation in Montenegro now follows a simplified procedure.

Forms of Doing Business in Montenegro

According to Montenegrin law, foreigners can register:

- A Private Enterprise (Entrepreneur);
- An unlimited liability partnership or a simple partnership (OD);
- A Limited Partnership (KD);
- A standard Joint-Stock Company (AD);
- A Limited Liability Company (DOO);
- A representative office of a foreign company.

One of the common company forms in Montenegro is the limited liability company (DOO). Today, the LLC is particularly important because, for some time, foreigners could only own land in Montenegro as a legal entity.

Cost of Opening a Business in Montenegro

The company registration process usually takes about 2 weeks;
The minimum share capital required by the country's legislation is 1 Euro, but this amount can be higher if you wish (for a joint-stock company, the registered capital is 25,000 Euros);
The only document required from the founder is an international passport.
The number of founders for an LLC in Montenegro as stipulated by law is up to 30 people. The formation of founders is declared. A foreigner can be both a founder and the director of the company.
It is also necessary to provide several variations of the company name for the state registrar's assessment.
The legal address and the main type of activity of the company must be specified.
An executive director of the company is appointed.
The documents are submitted by the founder in person or by an authorized representative (based on a notarized power of attorney) to the Central Registry of the Commercial Court of Podgorica.
If the company director is a foreign national, the registration of the company is the basis for granting a work permit.

Accounting in Montenegro

A company registered in Montenegro must keep accounting records, even in the absence of income.

Tax Rates in Montenegro

The registration fee is €10 for an LLC and €50 for a joint-stock company.
The main expenses of the company are related to taxes and payroll deductions (67% of the official rate).
VAT is 17% (if the company's annual turnover exceeds €18,000).
Income tax (for legal entities) is 9%.
Income tax (for natural persons) is 9%.

Foreign investors pay the same taxes as local businessmen and receive the same tax guarantees. Such conditions allow all entrepreneurs to compete in the international market.
A company that does not pay its taxes will soon be penalized by the authorities.

We will register a ready-made company in Montenegro for you in the shortest possible time. Buying a company in Montenegro has never been easier. Company registration in Montenegro is one of the simplest and cheapest ways to establish a legitimate international business. The registration of businesses in Montenegro is one of the main directions of our work. You can specify all information regarding offshore companies and Montenegro's offshore zones during a personal meeting with our lawyer or by phone.

GENERAL INFORMATION

COMPANY INFORMATION

SHARES AND CAPITAL

TAXATION

DIRECTOR AND SECRETARY

SHAREHOLDER AND BENEFICIARY

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