Open Company Branch or Subsidiary in Serbia

Entrepreneurs who wish to expand their business in Serbia may do so by setting up a branch. The process of opening a branch in Serbia does not differ much from setting up a regular company. However the entity itself is not considered a separate legal entity, being a representative of the foreign parent company. The economic environment of Serbia is proper for investments, as there are many sectors in which the government encourages foreign investment.

Preliminary activities prior to registering a Serbian branch
In order to set up a branch of a foreign company, the entrepreneurs must overcome a few hurdles. Naming a representative who will carry out the incorporation and also be involved in the administrative procedures is a crucial step. Also the name of the company branch must be the name as the parent company. The founder must draft and notarize the foundation documents for registration. A temporary bank account must be opened in order to deposit the initial capital and a bank certificate proving the deposit must be obtained.

Registering a Serbian branch with the Company Registration Agency
As any other company engaging in commercial activities, a foreign company branch set in Serbia must register with the Company Registration Agency. In order to do so an application must be filed. It should contain proof of existence of the parent company, articles of association, list of names and addresses of the directors. Also the application must contain information on the branch including, notarized articles of association and foundation documents, registered office and the name and address of the person authorized to represent the company. Also specimen signatures are required. In a maximum of three days the registration certificate is issued. The Company Registration Agency also registers the newly founded Serbian branch with Statistical Agency. As a result upon the same application submission, the company is attributed both a registration certificate and a statistical number.

After registering with the Company Registration Agency and the Statistical Agency, the Serbian branch must create a permanent bank account through which the transactions will be operated. Also all employees must be registered for Social Security, Accident Insurance, Pension Fund etc. However the branch is fully operational once the registration certificate is issued.

Opening a company branch from abroad
The state of Serbia does not impose restrictions on opening any kind of foreign company. Furthermore the government encourages foreign investment ensuring a secure environment and allowing fully owned foreign companies. Also any currency is accepted. A Serbian company branch may be incorporated on the Serbian territory provided that a resident individual is empowered by an attorney to represent and carry on the incorporation procedures.

How long does it take to establish a Serbian company branch?
The process of company branch incorporation is similar with any other Serbian company. Preparing the company documents and notarizing them does not take more than one day. However, registering with the Company Registration Agency and the Statistical Agency may take up to three days. A Serbian company branch may be set up in one week, but delays may appear, depending on the different aspects.