Conditions of incorporation Bulgaria offers – safe or risky for investors?

“Stability” – a term circulating around so much that is has been worn out of its original meaning. Representing the status-quo which is perceived by one part of the society being the firm foundation of a gradual growth and by another as the main brake on the real development and prosperity. One important question is what degree of safety regarding the conditions of incorporation Bulgaria offers to investors and businessmen.

For two decades the financial system is secured by the Currency board arrangement.

Bulgarian Lev has been tied subsequently to the German mark and afterward to the Euro. So there are no sharp bounces and plunges, the exchange rate is stable and so that permanent condition saves the country from hyperinflation – like the one Bulgaria has been devastated in mid 90’s before the monetary authority being introduced. This financial status-quo protects makes the field of incorporation Bulgaria wields more protected.

A constant condition in the last decade happens to be also the flat tax rate with one of lowest levels in Europe. Such system was introduced to attract more businessmen and companies from outside. Anyway, the flat taxation has been attacked by opponents of the “one rate for everybody” and supporters of the progressive tax system. And the official statistics report about a substantial plunge of the direct foreign investments which dropped by 55 percent in the last year. So low and flat tax is no longer a magnet for investors from the outside.

And even if the state tries to liberate the regime of incorporation Bulgaria still can loose the grip of bureaucracy and corruption. In some branches, regulations are hard to understand or to meet the requirements but leaning on the advice of people who know the game makes it easier. BulgarianLaw.co offers such support to anyone who continues to see the country as a land of opportunities for investment and business.