Establishing a Business in Bulgaria: A Practical Route to Schengen Residence for Company Owners

Corporate Clients, Business Immigration

For entrepreneurs seeking a strategic European base, Bulgaria offers a compelling combination of low corporate tax, affordable labour, and a supportive business environment. Beyond these financial advantages, the country also provides a clear pathway to residence for company owners who contribute directly to the local economy. This article examines the benefits of doing business in Bulgaria and explains the practical steps to secure legal residence.

Why Bulgaria Makes Business Sense

Bulgaria’s corporate tax rate of just 10% is among the lowest in the European Union, allowing company owners to retain more profit and reinvest efficiently. Labour costs are comparatively low, yet the workforce is skilled and capable, providing an excellent balance between quality and affordability.

In addition to fiscal benefits, Bulgaria occupies a strategic position in Southeast Europe, facilitating access to EU and international markets. The country also boasts a modernising infrastructure, a transparent regulatory framework, and membership in the EU, making it a stable and predictable environment for investment.

Employing Ten Bulgarian Nationals: A Route to Residence

Bulgaria offers a legal pathway to EU and Schengen Residence for foreign business owners who contribute to the local job market. To qualify, company owners must conduct commercial activity in accordance with Bulgarian law, creating at least ten full-time positions for Bulgarian citizens. These positions must be maintained for the duration of the owner’s residence.

This requirement applies individually to each shareholder or each director, ensuring that all principal stakeholders actively engage in supporting the local economy.

The Procedure for Residence

Once the conditions of establishing a business and maintaining ten full-time Bulgarian positions are met, applicants may submit an application for a long-term visa D, which is usually reviewed within 35 working days. Following approval, they can apply for residence, typically processed within two weeks after submission. This process allows business owners to secure legal residence efficiently while actively contributing to Bulgaria’s economic growth.

Bulgaria presents a rare combination of low taxes, competitive wages, and a supportive business environment, making it an attractive option for company owners seeking a European base. By establishing a business and employing Bulgarian nationals, entrepreneurs not only benefit financially but also gain a clear and efficient route to residence in a stable and growing economy.

At NBLO we provide legal services to both businesses and private clients. Our team advises on a wide range of corporate, commercial and personal matters with the aim of delivering clear and effective solutions. For further information or to discuss your specific needs, you may contact us at visas@newbalkanslawoffice.com