Participation in Public Tenders

Q: Do I have to register a company in Bulgaria in order to take part in public tenders? If I have a local partner, do I have to set up a joint venture in Bulgaria in order to take part in public tenders?

A: As a matter of first principles, any individual or organization can take part in a public procurement process in Bulgaria, irrespective of whether they are Bulgarian or foreign resident or registered.

Consortia and associations of such persons enjoy this right likewise.

However, the awarding authority would typically issue tender documentation containing precise requirements regarding the legal form, legal, financial and technical capabilities expected of participants in the tender.

It is a common for organizations to form joint ventures with local partners in order to more easily meet the requirements set by the awarding authority. Local partners may have good know-how and this may be one of the reasons why you wish to work with them, but you and they do not have to form a joint venture. A joint venture can be structured as either a new organization separate from those of the two joint venture partners or as a contractual arrangement negotiated with a local partner.



Recent work:

Železárni Veselí

We have provided full legal support to the establishment and local operations of the Czech-headquartered steel holding company Železárny Veselí. We have acted on behalf of the client on the following major assignments:

  • Incorporating the joint venture structure of four Bulgarian companies in which the Czech investor holds 76% of the share capital
  • Drafting the agreements required for the operation of four photovoltaic power plants with a total capacity of 20 MWp
  • Representing the borrower on the financing of the four Bulgarian companies by a Slovak bank
  • Providing litigation advice on the feasibility of challenging the recently-introduced access fee for photovoltaic power plants in the country.

© New Balkans Law Office 2019