Serbia is developing as rapidly as it can, and its government has made a lot of effort to create a favorable environment for non-resident businesses and major investors. The attempt has been successful as the country managed to attract large Asian, American, Chinese, and European investors that pour billions of dollars into its economy on an annual basis. However, the owners of small and medium-sized businesses will also benefit from Serbia as there are a lot of free economic zones here that offer beneficial conditions for non-resident company setup. If you need more information, you can read a more detailed article on company registration in Serbian free economic zones on a trusted portal and explore the whole section devoted to company registration in different countries.
Serbian Free Economic Zones
Serbia is home to fifteen free economic zones that are surrounded by a physical fence to separate them from the rest of the country, and they offer excellent infrastructure that helps entrepreneurs from across the globe conduct different business activities, including production and provision of services. There are more than 200 international companies registered in Serbian free economic zones, and the total number of employees in them exceeds 40,000. The export figures are growing, reaching about 2 billion euros a year.
2018 was the star year for the Serbian free economic zone called Pirot as it was called the best in Europe and the third one in the world, which is an excellent result.
Let’s look at all the free economic zones available in Serbia:
- Svilajnac
- Belgrade
- Pirot
- Smederevo
- Subotica
- Priboj
- FAS FZ Kragujevac
- Vranje
- Užice
- Zrenjanin
- Apatin
- Šabac
- Kruševac
- Novi Sad
- Šumadija (a new free economic zone)
Activities to be Conducted in Serbian FEZs
Any commercial and industrial activities can be carried out in the territory of Serbian free economic zones, including:
- Insurance activities
- Banking services
- Trade wrapping of products
- Storage of products
- Production
- Wrapping of products
Who Can Take Advantage of Serbian FEZs
Serbian free economic zones are open to local residents and non-residents alike. The income you derive within the FEZ area can be transferred to any country, and you will not have to pay any taxes or get any additional permits.
The profits you get from commercial activities are not subject to VAT (20% under the local laws), which is yet one more reason why people find Serbian FEZs very attractive. You may also be glad to find out that you will not be required to pay VAT on transportation costs, as well as the costs of electricity and construction materials. And if you decide to import equipment, raw materials, or construction materials, you will be exempted from customs duties.
You will not pay any duties, either, if you decide to import and then re-export goods. However, keep in mind that if you import products from free economic zones to Serbia, you will have to pay duties as if you imported them from third countries.
Investors are particularly interested in construction, textiles and clothing, agriculture, and the automotive industry.
Serbian free economic zones are a perfect choice if you want to service customers from the Middle East, South-Eastern Europe, and EU countries. As the country is located close to the EU, it is frequently used as a transshipment base for goods transportation and for companies that produce goods to be sold in European countries.
Serbia has signed a number of trade agreements under which it provides access to 1.3 billion clients from the US, the EU, and other countries without the need to pay any duties.
Here are some other advantages that Serbia offers:
- If you set up a company in the country, you will have the right to obtain a residence permit.
- The expenses on rent, utilities, and company maintenance are not very high.
- Serbia boasts a robust banking sector and local financial institutions know very well how to work with essential business and financial products.
- The company can be owned by an individual or a legal entity.
- You will be able to quickly set up a corporate bank account for your company online.
- If you don’t want to pay a personal visit to Serbia, you can use the assistance of experts and form a company online under a limited power of attorney.
If you have any questions, do not hesitate to click on the link above and talk to an expert using a live chat during business hours.
Documents Required for Company Setup
If you decide to set up a company in the Serbian free economic zone, you will need to submit the following documents:
- Information about the company owner. If this is an individual, a copy of his passport and a proof of residence address will be required. If it is a legal entity, it will have to provide an extract from the foreign register with the company name (original), registration number, as well as addresses/names of its owners/directors. All these documents should be issued no more than three months ago.
- Data about the company director: a certified passport copy and a proof of residence address.
- If you decide to open a company online with the specialist’s help, you will need to provide a limited power of attorney.
- Specimen signatures for a foreign legal entity (a certified form).
- The company’s registered capital (there is no minimum threshold, so you can start with 1 euro if you want).
- Company’s legal address.
- Description of the activities that your company is going to conduct in Serbia.
All the above documents have to be translated into Serbian (it will cost about 20 euros per page).
Setting up a Serbian Company: Procedure
- Decide whether you want to risk doing everything on your own or you will delegate the registration process to professionals. If you choose the second option, you are welcome to follow the above link and contact an expert.
- Choose a suitable FEZ for your business.
- Think of opening a corporate bank account. Choose a jurisdiction (it may be a country other than Serbia) and collect the required package of documents.
- Submit the documents to Serbian authorities and to the bank and wait for the decision.
- You will get your fully operational company (with a 99% guarantee if you use expert support).
We wish you luck with your Serbian undertaking!
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