Business entities in Albania

Business entities in Albania

Healy Consultants will assist our Clients to incorporate their company in Albania. There are several ways of doing business in Albania, the most common being the setting up of an Albanian limited liability company. Foreign companies are allowed to register a representative office if they do not plan to conduct any commercial or productive operations.

The Albanian limited liability company

Albania business entity types and different business setup requirementsSetting up a limited liability company in Albania requires only 1 director and 1 shareholder of any nationality. None of them are required to travel or to be ordinarily residing in Albania for business setup to be completed. The minimum paid-up capital required is €1 (ALL100). After Albania company setup, all locally incorporated companies must submit financial statements to the Albanian commercial registry. Such statements must be audited if two of the three following thresholds are exceeded: i) annual sales of US$230,000 ii) total assets over US$330,000 and iii) over thirty employees.

The Albania joint stock company

The Albania joint stock company is commonly used by investors who would like to trade shares on regulated commercial markets. The minimum paid-up share capital required to complete the incorporation process is i) €75 (ALL10,000) if the company shares are to be offered to the general public or ii) €30 if otherwise. Such entity is formed by at least one shareholder and one director and must audited financial statements every year.

The Albania representative office

Representative offices in Albania are not allowed to carry out any income-generating activities. Consequently, this entity can only engage only in non-commercial and nonproductive activities such as i) market research and ii) promoting the business of the parent company.

Table of comparison between Albanian business entities

 LLCJSCRep office
How long to set the company up?2 weeks2 weeks4 weeks
How long to open company bank account?4 weeks4 weeks4 weeks
Corporate bank account options?Societe GeneraleRaiffeissenIntesa San Paolo
Albania bank account mandatory?YesYesNo
Does our Client need to travel?NoNoNo
Legal liability?LimitedLimitedUnlimited
Minimum shareholders?111
Corporate shareholders allowed?YesYesYes
Individual shareholders allowed?YesYesNo
Wholly foreign owned?YesYesYes
Minimum share capital for foreigners?€1€30N/A
Resident director/representative required?NoNoYes
Minimum directors/representative allowed?111
Corporate directors allowed?NoNoNo
Albania standard corporate tax rate?15%15%N/A
Reduced corporate tax rates for foreigners?YesYesN/A
Annual financial statements required?YesYesYes
Allowed to issue sales invoices in Albania?YesYesNo
Allowed to sign contracts with Albania entities?YesYesNo
Allowed to import and export goods?YesYesNo
Can rent an office in Albania?YesYesYes
Can buy Albanian real estate?NoNoNo
Can own equity in other local companies?YesYesNo
Total Albania business setup costs in Yr. 1€8,555€9,955€10,955
Subsequent annual costs (incl. accounting and tax fees)€3,800€3,800€3,800
Sample engagement fee invoiceAlbania LLC invoiceAlbania JSC invoiceAlbania Rep office invoice

Contact us

For additional information on our business setup services in Albania, please email us at email@healyconsultants.com. Alternatively please contact our in-house country expert, Mr. Petar Chakarov, directly:
client relationship officer - Petar
albania chamber of commerce and industry (CCI) travel to albania Bank of Albania albanian goverment albanian airlines Albania Ministry of Foreign Affairs albanian customs administration