Guide to Company Incorporation in Montenegro

1. What is the minimum share capital of a Montenegrin Limited Liability Company?
The Limited Liability Company in Montenegro is the most common business form as it is easy to establish and it is designated for small to medium-sized businesses. The minimum capital is only 1 EUR.

2. What is the minimum share capital for a Montenegrin Joint Stock Company?
Joint Stock companies are not as common as the process of incorporation is more complex and the minimum capital of 25.000 EUR is high.

3. Are there any special requirements for establishing a Montenegrin Limited Liability Company?
Establishing a Limited Liability Company is often in Montenegro as the process of incorporation is not very complex. Most of the procedures can be completed by a representative authorized by power of attorney. Therefore the presence of the founders is not mandatory. However an important step in setting up the company is opening a bank account and certain banks require the presence of the account's titular to sign the contract. However there are banks that require an easier procedure, ensuring on the existence of the bank account titular by requesting authorized specimen signatures. Montenegrin Law requests a registered office in Montenegro for companies, however virtual offices, that can be provided by reliable companies are accepted. Also there is no requirement as to the nationality of the directors, provided they are members of EEA countries, or that they provide certain documents.

4. How can I register for VAT in Montenegro?
Companies that provide services or are involved in VAT subjectable trading need to register for VAT. Usually after the registration certificate is issued for a company, the Commercial Register of Montenegro notifies the tax authorities of the presence of the new company. The VAT applicant should complete and file a form provided by the tax authorities and a VAT number is issued. This procedure can also be done by a representatiev authorized with power of attorney.

5. How can I open a bank account in Montenegro?
In order to make the initial capital deposit, companies need to open a bank account at a Montenegrin bank. After obtaining the registration certificate the company has to unblock the temporary bank account and carry on transactions through it. In order to open a bank account, the articles of association of the company along with other bank requested documents need to be sumbitted. Some Montenegrin banks require the manager's personal visit. Other banks allow the verification of the founders' existence via e-mail.

6. How can I recruit personnel in Montenegro?
As a result of a well organized training system, Montenegro offers qualified and competitive workforce. A newly established company is able to find employees by creating companty accounts on websites specialized in recruitment, or hire a recruitment agency that offers best candidates for the posts available.

7. What is the average salary in Montenegro?
The average salary in Montenegro is over 500 EUR.

8. What is the overall economical situation in Montenegro?
Montenegro has made considerable efforts to become a vibrant and modern economy. The government has taken mesures to revive the less productive business sectors and the trading regime is open and legal frameworks of investment have become more effective. Also reduced taxes have encouraged foreign investors, along with the welcoming environment and the incentives available.