Opening a company in Serbia as a foreigner: steps, costs, taxes and residence

The limited liability company — društvo s ograničenom odgovornošću, d.o.o. — is what foreigners almost always choose: members are liable only up to their contribution, the founder can be a foreign natural person or a foreign company, and the director does not need to be resident in Serbia. The minimum share capital is symbolic — at least RSD 100, unless a special law requires more for a particular activity (Companies Act, article 145). The contribution does not have to be paid in before registration; proof of payment is filed once it is paid.

A sole trader (preduzetnik, including the flat-rate tax regime) is a form tied to a natural person doing business personally, so it is rarely the first choice for an owner who does not live in Serbia. This guide sticks to the d.o.o.

• Proof of identity. A foreign natural person files a copy of the passport (or of an ID card issued to a foreigner). A foreign company files an extract from the register of its home country, with a translation.
• Foreigner ID number (EBS). A foreigner without a Serbian personal number (JMBG) obtains an evidence number issued by the Ministry of the Interior; it goes into the JMBG field of the application and must match the number in the signatory’s electronic certificate, otherwise the APR application cannot be signed.
• Qualified electronic certificate or a representative. The application is filed and signed electronically. In practice foreign founders give a power of attorney to a lawyer or an agency that holds a certificate and runs the procedure.
• Founding act. A founding decision (single-member company) or a founding agreement (several members), signed with the founder’s electronic certificate or digitised as the law prescribes.
• Company details. Business name, registered seat (an address in Serbia), main activity code, the director as legal representative and, if not already in the founding act, the decision appointing the director.

Since 17 May 2023 the founding of a company is registered exclusively online, through the electronic registration service of the Business Registers Agency (Agencija za privredne registre, APR). The fee for registering the founding of a d.o.o., including registration and publication of the founding act, is 8.000 RSD in total, paid by card or to the account the application shows with a generated payment reference.

The registrar decides within five working days of receiving the application (Law on the Registration Procedure, article 15); an application filed on a non-working day counts as filed on the next working day. The decision is delivered electronically. With registration the company receives its company number (matični broj) and tax ID (PIB) through the APR one-stop registration, and once the application number is issued the founder records the beneficial owners in the Central Register of Beneficial Owners.

• Business bank account. The company must have an account with a bank in Serbia; banks identify the representative and the owners, so in practice they ask for a personal visit or a certified power of attorney. A company seal is not mandatory under the Companies Act.
• VAT. Registration is mandatory once total turnover in the previous 12 months exceeds 8.000.000 RSD; below that it is voluntary. The standard rate is 20 %, the reduced rate 10 %.
• SEF — e-invoicing. VAT-registered companies issue and receive e-invoices through the national System of Electronic Invoices (SEF). The legal representative registers on SEF with a qualified electronic certificate (or via ConsentID); software connects with an API key. Who is obliged and how to start: SEF and e-invoices: how to start.
• Electronic delivery notes (eOtpremnice). Mandatory from 1 January 2026 for the public sector, excise goods and suppliers to the public sector, and from 1 October 2027 for all business-to-business deliveries: e-delivery notes in Serbia.
• Fiscalisation applies only to retail sales; a company selling to other businesses or providing services does not need a fiscal cash register.

The tax rate on dividends due to a foreign owner depends on the treaty with the owner’s country — check the treaty text or ask your accountant before the first payout. The books must be kept by a person meeting the requirements of the Accounting Act; for a foreign owner that is in practice an accounting agency, because all dealings with the authorities are in Serbian.

Founding a company does not by itself grant a right of residence. Anyone who wants to live and work in Serbia applies for the unified temporary residence and work permit on the basis of self-employment (company owner); anyone who needs a visa to enter applies for a long-stay D visa first. The application is filed electronically through the Welcome to Serbia portal, a complete application is decided within 15 days, the permit is valid for up to three years and is issued as a biometric card, and an extension must be requested no later than the expiry date.

For an owner who does not read Serbian, the biggest relief is seeing invoices, bank statements and the state of the company in a language they understand, while the accountant works in the same software in Serbian. duplo has an English interface, customer invoices can be bilingual (Serbian/English) with amounts in euros, e-invoices go to SEF, and bank statements are imported and matched against invoices.

• APR — electronic registration of a single-member and multi-member d.o.o. (Serbian)
• APR — registration fees for companies (Serbian)
• Companies Act — Zakon o privrednim društvima (official legal information system, Serbian)
• Law on the Registration Procedure at the APR (Serbian)
• Corporate Income Tax Law — Tax Administration (Serbian)
• Tax Administration — VAT overview (Serbian)
• Tax Administration — double taxation treaties (Serbian)
• Protocol to the Serbia–Switzerland double taxation treaty, 2023 (Serbian)
• APR — deadlines for filing financial statements (Serbian)
• SEF e-invoicing — frequently asked questions (Serbian)
• Welcome to Serbia — visa for foreign company owners
• Welcome to Serbia — the unified permit

Can a foreigner be the sole founder and director of a Serbian company?

Yes. A d.o.o. can be founded by a foreign natural person or a foreign company, and the director does not need to live in Serbia. Residence only becomes a requirement if the founder wants to live and work in Serbia — then a unified temporary residence and work permit is needed.

Do I have to travel to Serbia to set up the company?

Not for the registration itself: the application is electronic and can be filed by an authorised representative (a lawyer or an agency) holding a qualified electronic certificate. Banks, however, usually ask the representative to appear in person or to provide a certified power of attorney when opening the business account — check with your bank.

How long does registration take and what does it cost?

The Business Registers Agency (APR) decides within five working days of receiving a complete application. The registration fee for founding a d.o.o. together with the founding act is 8.000 RSD. Add the cost of the foreigner ID number, the certificate or power of attorney, sworn translations of foreign documents and bank fees.

Does the company have to register for VAT straight away?

No. VAT registration becomes mandatory once turnover in the previous 12 months exceeds 8.000.000 RSD; below that it is voluntary. A VAT-registered company issues and receives e-invoices through SEF, the national e-invoicing system.

Can I run the company in English?

Proceedings before the APR, the Tax Administration and banks are conducted in Serbian, so a foreign owner practically needs an accountant or an accounting agency. The invoicing and bookkeeping software itself can be in English — duplo has an English interface, and customer invoices can be bilingual.