New START UP in Albania

General overview

To increase foreign direct investment, the Albanian government has intensified its efforts to implement a series of tax and legislative reforms to improve the country's so-called "business climate." Interest in investing in Albania has recently reached an all-time high.

Albania is one of the last real opportunities in the European region, offering, among other things, very low prices compared to the European average, given the high return on capital and ownership. Business costs in Albania are quite competitive, both in terms of labor and overhead, particularly with regard to the country's workforce, which is generally recognized as highly qualified, motivated, and fluent in foreign languages. The law offers significant guarantees to all foreign investors (individuals or legal entities) wishing to invest in Albania:

• no prior government authorization is required, and no sector is in principle closed to foreign investment;

• There is no fixed limit on the percentage of company shares that can be held by foreign investors, and it is therefore possible to own up to 100%;

• Foreign investors also have the right to submit disputes to an Albanian court.

Albania offers foreign and local investors a variety of opportunities to organize their business, from registering a commercial company to establishing/registering a branch or representative office.

What are the steps to follow to "start the machine"

“Company Formation”

Pursuant to Law No. 9901 of April 14, 2008, "On Merchants and Commercial Companies," commercial companies are established by two or more natural and/or legal persons who commit to achieving common economic objectives by contributing to the company, as set forth in the company's bylaws. The minimum share capital required for establishing a new company is 100 Lekë.

The process of starting a business is digital. The company representative, equipped with identification and other required documents, submits the application to QKB through the government platform. We handle this step through a power of attorney from the partners, eliminating the need for relocation and constant travel.

Albania has adopted measures compliant with European regulations, such as the register of beneficial owners; this registration is completed simultaneously with incorporation or within 30 days at the latest. Our work continues even during this legal period, with a mandate from the director or shareholders.

Last but not least, there's the opening of a company account at various second-tier banks in Albania. This request is made by the company administrator, submitting all the necessary documents, stamped with the company's electronic signature, which can be requested from "e-albania."

Albania implemented an electronic invoicing system in July 2021, in accordance with EU standards. All invoices issued by Albanian taxpayers are validated through a central platform called the Central Information System (CIS).

The electronic signature is another key component in simplifying business procedures and communications, offering an efficient way to manage documents and transactions.

Listing all these important steps for starting your business, the advantages and benefits of starting a new business in Albania are quite significant. What's certainly not lacking is our willingness to assist and execute everything.

Brisilda Myftaraga

Finance & Administration Manager

Head Office - Rogai & Partners Sh.PK

For any further information, please contact Rogai & Partners Sh.PK and Rogai & Partners stp Srl