EEA nationals have the right to:
– set up their own business (even as a sole trader) in any EU country, Iceland, Norway or Liechtenstein
– set up a subsidiary branch of an existing EU-based business that is already registered in one EU country.
Founding a business is regulated by the Companies Act which is continuously adapted according to EU standards. The Companies Act provides for founding the following types of businesses:
– limited liability company
– joint stock company
– general partnership
– limited partnership
– economic interest grouping
A business can be registered as a self-employment activity (craft business, liberal profession, farming and forestry) or a company.
Crafts businesses can be free, associated or privileged. When starting an associated craft business it is required to have the necessary qualifications or the master craftsman’s examination, i.e. employ a person that meets these requirements. Self-employment activities include health professionals, veterinary physicians, lawyers, notaries public, auditors, architects, tax advisers, liquidators, interpreters, translators, tourism professionals, scientists, writers, inventors, journalists, artists, athletes and other.
Self-employment activities are subject to personal income tax and those whose annual profit amounts to more than 300,000.00 kuna must enter the VAT system.
When starting a company, it is not required to have professional qualifications or special examinations and all companies are subject to income tax which is 12%, i.e. 18%, depending on the generated income over the tax period.
Domestic and foreign companies operate under the same conditions and foreign investors can found or take part in founding companies and acquire rights and assume obligations under the same conditions as domestic investors.
Establishing a company;
1. Company name
First, you must choose a name for your company. HITRO.hr service can help you check the court registry to find out whether a company by the chosen or similar name already exists. Therefore, it is advised to prepare alternative names along with the preferred name for the company. When choosing the name for your company, use the court registry website sudreg.pravosudje.hr.
2. Notary Public
Application to the court register and some attached documents (Form Po) has to be notarized by the Public notary. It is required to bring a personal identification card or passport (mandatory for foreign citizens) with you to the notary public. All founders and other persons whose signatures are to be certified must be present.
After the certification, the notary public may forward the documents to the HITRO.HR office electronically (see the service “e-Company”)
3. Submission of the documents and fee payment
The application for the registration into the court register, with all other necessary notarized documentation, should be submitted to the HITRO.hr office. You will receive the payment slips for paying the founder’s capital and court fees in the HITRO.HR office.
After payment, HITRO.hr will finalize the application and forward it to the competent Commercial Court through electronic means (e-Company) or submit the paper documents if the conditions for electronic submission have not been met. If the electronically sent documentation is correct and complete, the Commercial Court shall register the company in the court register within 24 hours, and electronically deliver the Decision on the establishment and Confirmation of PIN (Personal identification number) of the newly formed company to the Office HITRO.HR. However, if paper documents are submitted to the Commercial court, the deadline for registering the company to the Court register is 5 days and the Decision on the establishment and the Confirmation PIN are to be collected at the Commercial Court.
At the HITRO.HR counter you will receive an RSP Form which you will have to fill out in order to obtain a Notification of Classification pursuant to the National Classification of Activities of the Central Bureau of Statistics (obtaining the business identification number and code for the main economic activity).
HITRO.hr will, after receiving the Court’s decision on the establishment automatically and electronically obtain a Notice of classification of the business entity within a 1 day period.
4. Receiving the documents and opening an account
The Decision on the establishment and the Notification of Classification pursuant to the National Classification of Activities containing the assigned business identification number are collected at the HITRO.hr counter. It is possible to open an account at the HITRO.HR counter (in banks for which FINA handles the account opening process or mediates it). The company, its owner and its employees need to be registered at the Croatian Pension Insurance Institute (CPII – e-Pension Insurance). It is also required to register the company at the Croatian Health Insurance Fund (CHIF – e-Health). The company also needs to be registered with the relevant Tax Authority.
Documents for Ltd.
Documents for Simple Ltd.:
City of Zagreb, City Office for Economy, Energetics and Environment protection,
Sector for economy, entrepreneurship , tourism and investment
Trg Stjepana Radića 1 ; Zagreb 10000
Tel: +385 1 610 0278
Working hours 7:30 – 15:30 h (Monday to Friday)