Business entities in Bosnia and Herzegovina in 2023

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Since 2003, Healy Consultants assists our Clients with the most optimum corporate structure for business in Bosnia and Herzegovina. There are several ways of doing business in the country, the most common being the setting up of a limited liability company (d.o.o.). Alternatively, entrepreneurs may choose to establish a public limited company (d.d.), a branch office or a representative office, depending on their business needs.

The limited liability company (d.o.o.)

The LLC (d.o.o.) is the most common legal entity used by entrepreneurs setting up businesses in Bosnia and Herzegovina. This entity requires only 1 director and 1 shareholder, who can be of any nationality and may not be resident in the country. A US$1,150 minimum paid-up share capital will berequired to complete the incorporation process.

The public limited company (d.d.)

This Bosnia business setup requires at least 1 shareholder who can either be an individual or a corporate body to be incorporated. The shareholder can be of any nationality and may not be resident in the country. This entity will require a minimum share capital of $29,000 if the company issues shares to the public.

Branch Office

The Bosnia business setup can engage in commercial activities like any other legal entity although the scope of operations for a Branch office is defined by the parent company. The branch must appoint at least 1 Bosnia resident individual of any nationality, to act as the company’s representative in the country.

The Bosnia and Herzegovina representative office

Foreign legal entities may establish representative offices in Bosnia and Herzegovina by registering the entity with the Ministry of Foreign Trade and Economic Relations. This entity is not considered a legal entity and is not allowed to conduct any commercial activities within Bosnia and Herzegovina. A representative office may only conduct market research and engage in promotional activities for their parent company.

Comparison table between Bosnia and Herzegovina business entities

LLCPLCBranch officeRep office
Also known asd.o.o.d.d.poslovnicapredstavnistvo
How long to set the company up?7 weeks8 weeks7 weeks6 weeks
How long to open company bank account?5 weeks5 weeks5 weeks5 weeks
Legal liability?LimitedLimitedUnlimitedUnlimited
Wholly foreign owned?YesYesYesYes
Minimum share capital?US$1,150US$29,000US$1US$1
File annual tax return?YesYesYesNo
Tax registration certificate required?YesYesYesNo
Recommended corporate bank account?Raiffeisen BankUniCredit BankFIMA BankUnion Bank
Does our Client need to travel?NoNoNoNo
Resident director required?NoNoNoNo
Resident shareholder required?NoNoNoNo
Minimum directors allowed?1111
Minimum shareholders?1111
Tax identification code (TIN) needed?YesYesYesNo
Bosnia and Herzegovina resident company secretary required?NoNoNoNo
Corporate shareholders allowed?YesYesYesYes
Corporate director(s) allowed?YesYesYesYes
Bosnia and Herzegovina corporate tax rate?10%10%10%0%
Annual financial statements required?YesYesYesNo
Statutory audit required?NoNoNoNo
Regulated by?Ministry of FinanceMinistry of FinanceMinistry of FinanceMinistry of Finance
Allowed to issue sales invoices?YesYesYesNo
Allowed to sign contracts?YesYesYesNo
Allowed to import and export goods?YesYesYesNo
Can rent an office space in Bosnia and Herzegovina?YesYesYesYes
Can buy Bosnia and Herzegovina property?YesYesYesNo
Can own equity in other Bosnia and Herzegovina companies?YesYesYesNo
Total Bosnia and Herzegovina business setup costs in Yr. 1€11,900€13,900€14,900€14,550
Subsequent annual costs (incl. accounting and tax fee)€2,300€2,300€2,300€2,300
Sample engagement invoiceView invoice PDFView invoice PDFView invoice PDFView invoice PDF

Contact us

For additional information on our business setup services in Bosnia and Herzegovina, please contact our in-house country expert, Ms. Janyl Irsalieva, directly:
Consultant at HC - janyl
  • Ms. Janyl Irsalieva
  • Client Relationship Manager
  • Contact me!
bh-cefta foreign trade chamber of bosnia and herzegovina bh-tax government of federation of B&H bh-foreign investment promotion agency bh-central bank