Establishing a Limited Liability Company (d.o.o.) in the Republic of Croatia
Establishing a limited liability company (d.o.o.) in Croatia is a significant step for entrepreneurs who want to formalize their business. This guide explains all the necessary steps, from preparing documentation to registering with the competent authorities.
Preparation of Documentation
The first step in establishing a d.o.o. is preparing the required documentation. Founders must draft the founding act, which can be a partnership agreement if there are multiple founders or a declaration of establishment if there is a single founder. Additionally, a company statute must be prepared, defining the company’s basic details such as name, registered office, activities, and share capital.
Payment of Share Capital
The minimum share capital for establishing a d.o.o. in Croatia is €2,500. This capital must be deposited into a temporary bank account before the company registration.
Company Registration
The company is registered at the Commercial Court. Along with the founding act, proof of share capital payment and personal details of founders and directors must be submitted. After successful registration, the company receives a registration number (MB) and becomes a legal entity.
Opening a Business Bank Account
After registration, the next step is to open a business bank account. This account will be used for conducting business transactions and managing the company’s finances.
Registration with Relevant Authorities
The newly established company must register with several authorities:
-
Tax Administration: Registration for tax obligations, including VAT, corporate income tax, and other taxes.
-
Croatian Bureau of Statistics: Obtaining the company’s identification number.
-
Croatian Pension Insurance Institute (HZMO) and Croatian Health Insurance Fund (HZZO): Registration for pension and health insurance for employees.
Additional Permits and Consents
Depending on the business activity, special permits or consents may be required from relevant authorities. For example, certain activities may require approval from the Ministry of Health or other regulatory bodies.
Conclusion
Establishing a d.o.o. in Croatia requires careful planning and preparation. However, by following these steps, the process can be relatively straightforward. Compliance with legal regulations and consulting with legal experts can greatly simplify the process and ensure the successful operation of the new company.