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Setting Up Business in Croatia

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Croatian Company Act offers several different legal structures suitable for every line of business. Formation procedures are swift and efficient, while only a few days are needed to set up a fully operable business.

The Company Act stipulates that foreign investors (under the condition of reciprocity) acquire the same rights and obligations and have the same position as domestic investors when incorporating a new legal entity or acquiring shares / stakes in an existing legal entity in Croatia. A foreign investor with headquarters or permanent residence in a non-WTO country must meet the condition of reciprocity.

Anyone can set up a business in Croatia – irrespective of nationality or place of residence. There is no specific investment legislation in Croatia, nor a minimum percentage of Croatian shareholdings required for foreign entrepreneurs setting up business in Croatia. As such, foreigners may establish one of the following business types:

  1. Subsidiary
  2. Branch office
  3. Representative office

Subsidiaries and branch offices must be registered with the Croatian Commercial Court, while representative office must be registered with the Ministry of Economy.