Serbia: benefits of business registration
Registering a business in Serbia has many advantages. The country actively cooperates with the EU, China, Ukraine, Russia, USA and other countries. Free Economic Zones (FEZ) operate on the territory of Serbia, which allows companies in these zones to enjoy various benefits.
Free Economic Zones in Serbia
There are 15 Free Economic Zones in Serbia (it is likely that more will follow), evenly spread throughout the country. Companies registered here are exempt from VAT:
- on goods that are imported into the FEZ, as well as for the provision of services related to imports;
- on transportation and trade of goods/services within the free zone and between users of different FEZs;
- for companies engaged in production within the FEZ;
- on goods to be used for operations in the FEZ and construction of various facilities there.
All zones are located near or within major cities, which makes it possible to freely hire personnel, creating jobs. Customs procedures are fast, and export and import can be done without restrictions.
Free trade with many countries
Serbia actively cooperates with many countries and blocs. It has signed a free trade agreement with the EU, Turkey, the U.S., the Eurasian Economic Union, and other Balkan countries. This opens duty-free access to the market for potential buyers of more than 1.5 billion people.
Another advantage of opening a company in Serbia is that the country has signed more than 50 agreements on the avoidance of double taxation.
Low labor costs
Compared to EU countries, the labor force in Serbia is inexpensive. Average salary is $500, but its size varies greatly, depending on the area: it is much lower in the countryside than in the city. The general knowledge of English is at a good level.
Another advantage for business in Serbia are state incentives. These incentives are more interesting to medium and large businesses. The most attractive offer is 10 years exemption from the corporate profit for the companies that invest from €8.5 million, and have more than 100 employees.
The country is in the center of the Balkans and borders many countries. Therefore, the country invests a lot of money in infrastructure, especially roads and railroads. If a company's work is actively related to the sale of goods and special attention is planned to be paid to export/import, this is a very important point.
Developed IT market
70% of people in Serbia are active online users. This opens up great prospects for doing business here for two reasons:
- You can actively promote your products online;
- Online advertising costs in Serbia are much cheaper than in Western Europe, and there is less competition;
- Possibility of remote business registration;
- An entrepreneur can open a company remotely. It is enough to submit an application to our company, provide the required package of documents, and issue a power of attorney that will authorize you to act on your behalf to register the company.
Ease of opening a bank account
Companies registered in Serbia have no problem opening a corporate account with a bank in Serbia. You can choose either a local or an international bank that has branches here. Serbia boasts a well-developed banking structure, so all transactions go quickly and without problems.