Bulgarian temporary residence permit – Questions and Answers

What are the benefits of getting a Bulgarian temporary residence permit?

  • Foreigners will get a Bulgarian ID card allowing their stay in Bulgaria and multiple entries into the country.
  • Your Bulgarian ID card can be extended for up to 5 years and foreigners can later apply for permanent residence and full citizenship.
  • Access to a simpler visa process for Schengen Zone.
  • You can take your family to Bulgaria.

What duration of living does a temporary residence permit allow me in Bulgaria?

A Bulgarian temporary residence permit allows you to stay for either 6 or 12 months. You can renew yearly for up to 5 years.

When do I become qualified to apply for a Bulgarian permanent residence permit?

To be eligible for a permanent residence permit, a person should hold a valid Bulgarian temporary residence permit for a minimum of 5 years. Foreigners can get their temporary residence permit through the trade representative office in Bulgaria. The permit is issued for a duration of one year and can be renewed annually for up to five years.

Is there any alternative way to get Bulgarian permanent residence permit without waiting for 5 years?

Yes. You can get a permanent residence permit earlier if you are of Bulgarian descent or if you are investing a considerable amount of money in your Bulgarian business. Please contact us for details on the options.

Can I bring my family to Bulgaria?

When you hold a Bulgarian residence permit, you can bring your family members to Bulgaria under the Family D-Type visas. The family here strictly applies to spouse and all dependent children under the age of 21.

How much does a Type D visa application cost at the Embassy?

The Embassy charges 100 EUR for a D-Type visa application.

What is the typical duration for a review of my Type D visa application at the Bulgarian Embassy or Consulate?

All D-Type visa applications are processed within 30 working days of receiving the application.

Does a D-Type via entail and interview at the Embassy?

Your personal appearance in the Embassy or Consulate is required as a part of your Bulgarian D-Type visa application process. We will prepare you well to ensure your interview is successful.

To begin your application for residency in Bulgaria, enlist the help of our team of qualified immigration advisors. They are always in line with the current legislation and will guide you in the application process to ensure a smooth transition and successful application.

If you commission us to advise you after receiving the initial residence permit, you will get the status of Bulgarian (EU) long-term resident as prescribed by the national immigration laws. The long-term resident status will allow you to enjoy the same treatment and rights as other EU nationals. We can support and guide you comply with the whole procedure and in getting the necessary legal permit. In case of any complications, our specialists will advise you on how to find the best legal solution for your particular case. We have a proven record in finding solutions even in the most complicated cases.

Foreigners with long-term resident status enjoy equal treatment with nationals with respect to:

  • Admission to paid and unpaid employment programs, rights in terms of employment and working conditions (working hours, health and safety standards, holiday entitlements, remuneration and dismissal);
  • Education and vocational training, recognition of qualifications and study grants;
  • Welfare benefits (family allowances, retirement pensions, etc.) and sickness insurance;
  • Social assistance (minimum income support or retirement pensions, free health care, etc.);
  • Social benefits, tax relief and access to goods and services;
  • Freedom of association and union membership and freedom to represent a union or association;
  • Ability to travel throughout the European Union.

Within the EU, Social Security is determined by your residence and not by your nationality. If your family is settled in one EU country, they will be covered by that country’s Social Security regime. Plus, as an EU resident, you can benefit from the political and financial stability of the European Union member states. You can access EU finance and funds for business development. Kindly refer to our immigration services and contact us in case you have any specific questions. We encourage you to apply for your residence permit right away. We assure you of utmost confidentiality and professionalism in handling all your paperwork and application process

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MiFID License in Bulgaria

Bulgaria has proven to be the perfect jurisdiction for incorporating and running FX companies. This is due to its attractive tax regime, their EU Member Status, its implementation of Markets in Financial Instruments Directive (MiFid), and a strong regulatory regime.

According to the Bulgarian legislation, only licensed and registered investment intermediaries can provide FX trading/investing services. This requires direct approval of the Financial Security Commission (FSC) in accordance with Markets in Financial Instruments Act. A few of these requirements are minimal capital investment as well as personal and professional guidelines in regards to the firm’s director.

Every FX brokerage firm licensed by the FSC falls under MiFID, the regulatory organizations for investment services across the 30 European Economic Area member-countries. As such, the ensuing license is valid across the EU, and allows FX brokerage firms to offer investment services, establish representative offices, and create fully-operational branches in any desired location within the European Union.

Minimum Capital Requirements

The follow initial capital requirements are configured for general investment intermediaries:

  1. € 50 000 – Limited Investment Services: reception and transmission of orders in relation to one or more financial instruments, intermediating the conclusion of transactions in relation to financial instruments, and the provision of investment advice to clients. The investment intermediary can not hold clients’ money or/and clients’ financial instruments.
  2. 125 000 – Moderate Investment Services: All of the previous abilities with the addition of executing orders on behalf of clients, portfolio management, and holding clients’ money or/and client’s financial instruments.
  3. € 750 000 – Full Scope of Investment Services: This includes the above-mentioned as well as dealing in financial instruments on a company’s own account and the operation of a multilateral trading facility.

Directors

A Bulgaria Licensed FX company must be managed and represented jointly by at least two persons meeting specific requirements. Some of them are:

  • Having the higher education and professional experience necessary for management of an investment intermediary, in accordance with the designator level of services and activities
  • Having no convictions for a premeditated offence at public law
  • Having no effective disqualification from occupying a position of property accountability

General Conditions to grant a license:

Some of the conditions are:

  • The Memorandum of the Company must have specific clauses regarding the nature of this business
  • The applicant company must fulfill the minimum capital requirements as set out above
  • The company has a physical office space in Bulgaria
  • The suitability of the shareholders. As with the directors, the shareholders pass a fit and proper test, especially a background check whereby FSC is satisfied that they have a clean criminal record as well as experience in the business

Application Procedure – General Outline:

  1. Registration of a firm and preparation of the full set of documents necessary to obtain the license
  2. Filling the license application before the FSC
  3. Examination of the application by the commission and issuing a decision
  4. Issuing a license

FSC Application Fees:

Depending on the case, there is an initial administrative cost for applying for a license, and the fees range from € 2150 to € 5100.

Do not hesitate to book an appointment with our professional consultants – send us an email.

Changes in Bulgarian Commerce Act 2017

Significant changes in Bulgarian Commerce Act were adopted at the end of 2016, valid in the current year. We present below a summary of the most significant changes introduced with the present Act.

Validity form of certain documents is getting stricter

In addition to the current requirements for notary certified signatures on contracts for the transfer of commercial enterprise and contracts for the transfer of shares, a new requirement for additional notary authentication of the content of such contracts is introduced.

The same validity form will be required for the decisions of shareholders of limited liability companies for acceptance and exclusion of shareholders, increase and decrease of company’s capital, shares transfer to a new shareholder, appointment of company manager, acquisition and disposal of real estate and property rights thereto.

The requirement for such a form of validity will not be applicable if the respective Articles of Association/ Memorandum of incorporation explicitly provide simple written validity form for those decisions.

Amendments in the bankruptcy proceedings

Insolvent will be considered any trader that before filing an application for bankruptcy proceedings has not filed in the Commercial Register its annual financial statements for the last three years.

Stabilization proceedings of merchant/ company

The proceedings will apply to merchants/ companies which are not insolvent but are in a state of imminent danger of insolvency.

We advise our clients before undertaking any structural changes to their companies in Bulgaria to consult with us first.

Establish a FOREX company in Bulgaria

Global Consult Europe is a consulting agency specialized in international corporate law. We will provide you with all the necessary know-how on how to start your own Forex business. Thanks to our partners we can offer you a full range of services that include:

 

Licensing

After scheduling a consultation, we can recommend you the best regulatory solution depending on your budget and needs. Currently, we offer the following licenses.

 

Software & Liquidity

We can provide you with all-in-one brokerage solution consisting of a front end, server and back-end support. We can also offer you a low-cost forex broker start up solution. We give you a full guarantee that we will get your brokerage off the ground in no time flat.

 

Staff Recruitment

We work with several of the best Forex HRs in Bulgaria we can provide you with the best employees on the market as well as the fastest recruitment times. We will also offer:

  • Headhunting
  • Sales trainings
  • Team buildings
  • Development
  • Performance appraisals
  • Assessment
  • Reports
  • Talent management

If you want to start on a cheaper note we can help you with recruiting young people with no experience with base salaries as low as EUR 250; we will also assist you in training and developing their potential.

 

Office rental

We pride ourselves on working with all the real estate agents in Bulgaria. We can provide you with the lowest commissions and the fastest time for rental. We can help you start recruiting in your new office from the first day you arrive.

 

Legal support

Our experts will provide you with:

  • The best legal alternative to company creation and regulation to save time and money.
  • The most appropriate type of license, given the services you want to provide.
  • All necessary documentation delivered to your doorstep.
  • Legal representation. Don’t have the time? No problem let us do the heavy lifting.
  • Advise on the best legal form and capital, organization and management structure of your business.
  • Regulatory requirements
  • Preparation and execution of the complete set of documents necessary for incorporation of a company.
  • Preparation of a complete set of documents for receiving regulation

 

Accounting & Audit

We guarantee that you will receive the best accounting & audit services. We work with on partnership basis with accounting companies in Germany, Switzerland, US, UK, Australia and much more.

 

IT Support

We can provide you with full IT support for creating your company as well as maintaining it afterwards.

 

Call center solutions

We offer a full call center solution that includes the technology, cabling, software and set up. With prices starting from EUR 6 per computer. Monthly fees as low as EUR 3 per device. Contact us for the full price list.

 

Do not hesitate to book an appointment with our professional consultants – send us an email.

5 reasons to trust the professional company registration

The creation of a business company or even a sole trader is an activity that is important to be done by the rules, because the appearance of a newly created business depends on it. Many people believe that they can successfully pass the administrative and bureaucratic procedures, with the intention to save the fee that would have paid the specialist performing the registration of companies. Not long after, the majority of these people find themselves so entangled in red tape that ultimately again recourse to expert, which is a waste of time and money.

If you want to avoid the bitter experience and start as soon as possible your business activity it is important to select a team to take on the entire burden of cumbersome procedure. During this time, you can focus to the activity, corresponding to your competence, laying the foundation for a successful and prestigious business.

5 reasons to trust the professional registration of companies

The reasons to trust the professionals are many, but here we will suggest only 5, we believe that their significance is greatest. Most of us don’t soberly judge the situation until we understand from experience how great is the difficulty to fight the bureaucracy not having the necessary competence and experience. Here are the main reasons ordered but not prioritized.

  1. The ability to correctly choose the right type of company

The fact that we have decided to list our activity in the Commercial Register is only the beginning of a series of important decisions. Choosing the type of company that we’ll register is much more important and responsible because it will affect both its appearance in front of customers and business partners, and the subsequent accounting and tax burden that we’ll have to take. Professional services enable us to be informed about the differences between sole proprietorship, Ltd., SA, joint-stock company, shareholding etc. and to register the type of company meeting our needs.

  1. Preparation and submission of the documents

The documents drawn up in the process of registration of a company are many, and for different type of companies are required declarations and applications within the meaning of various articles and paragraphs of different laws and regulations. Although around the Internet it’s possible to find the basic requirements and even forms to download and fill ourselves, nothing ensures us that our documentation will be in order. The preparation of documents is long and complex process and their acceptance as valid is not guaranteed in case of errors as inevitably any layman makes.

  1. Visiting various administrative institutions

The procedure of registering a company in the Commercial Register is not the end of the saga in launching a business. It takes visits to banks, NRA, NSSI, municipalities and all this is connected not only with time but also with a lot of nerves and patience. Once time is money it’s foolish to waste it in vain, renouncing the help of professionals who will take on the task as soon as we delegate them to make it through a notarized power of attorney.

  1. Option to take advantage of other services in the future

Many companies specializing in the registration of companies offer a wide range of legal and financial services. One such firm may become a permanent partner from which our business will only gain profit. Different companies also offer accounting services and preparation and filing of tax returns and publication of such – a mandatory requirement for certain activities.

  1. Preparation for audits and protection of our interests in front of the tax authorities

Each business is subject of control by the tax authorities; often because of lack of knowledge we make mistakes that create preconditions for serious sanctions. Using the services of the right company specialized in the registration of companies; we can call and ask for the assistance of a specialist to prepare our company documentation for upcoming inspections, audits and revisions in order to avoid any possibility of eventual sanctions.

How to start a beauty salon in Bulgaria

How to open a beauty salon/ hair salon/ beauty parlor in a few easy steps?

  1. Company registration, by which you can do business in Bulgaria.
  2. Tax registration – voluntary under Art. 96 of VAT Act.
  3. Purchase and registration of cash register (fiscal device).
  4. Ensure a suitable object in which the activity will be performed – it can be hired (lease contract is required) or private property (title deed is required).
  5. The purpose of the property should be for business activity, in this context a change of status of the property may be indispensable.
  6. Certificate of commissioning.
  7. Observed requirements on fire safety of commercial property – a permit issued by General Directorate Fire Safety and Protection of Population.
  8. A notification for opening an object of public designation to the relevant regional health inspectorate and obtaining a certificate of registration after verification.
  9. Possession of master certificate and registration pursuant to Skilled Crafts Act.
  10. Preparation of internal rules and operation instructions.
  11. Registration of working time of stationery commercial site – it is done in the relevant municipality.

Our team of experts will advise you on choosing the most appropriate type of company, subsequent registrations and administrative procedures for obtaining the necessary permits and certificates.

Announcement of annual financial report

What is an annual financial report?

The annual report gathers full information about the financial position of the company. It includes statement for revenues and expenses, balance sheet, statement for share capital and cash flow statement

The financial report is drawn up for one financial year , coinciding with the calendar year – from January 1st to December 31st. E.g: If you have a company created on 01.12.2015, you need to submit a report on the activity carried out in 2015 – in this case only one month.

Who is obliged to announce the annual financial report?

All the traders according to the Bulgarian Commerce Act, this includes Limited Liability Companies (Ltd.), Limited Partnerships, General Partnerships, Joint Stock Companies.

Financial statements shall be prepared by accountants or accounting firms. However, there are certain companies whose reports are subject to independent financial audit by registered auditors. These reports are also prepared by accountants but it is necessary to be verified by registered auditor before their announcement in the Commercial register.

These specific companies are several types:

  • Joint Stock Companies and Partnerships limited by shares;
  • Companies that issue securities for public offering;
  • Credit institutions, insurance companies, investment companies;
  • Companies involved in social insurance and funds management;
  • Companies that shall draw up consolidated financial statements – parent company and its subsidiaries;
  • Non-profit organizations in public benefit with assets over 1 million BGN or business income over 2 million BGN;

Announcement of the annual financial statements has certain deadlines as follows:

  • For sole proprietors – until 31.05 ;
  • For Limited Liability Companies – until 30.06 ;
  • For all the rest legal entities – until 31.07 ;

The deadline must be followed for each year thereafter. If the financial statements has not been announced on time, the fine that may be imposed to the company is from 500 BGN to 3000 BGN. Upon repeated violation the amount оf the fine is double.

How to submit annual financial report for company in Bulgaria?

Refer to our team of professionals. We will prepare the report, accounting records, together with additional applications – protocol of general meeting of shareholders / decision of the sole shareholder for adoption of the report, declaration of the truthfulness of the circumstances stated.