Montenegro is a country in Southeast Europe on the Adriatic Sea. Montenegro became independent in 2006 and the legal framework is largely in line with EU standards. Foreign investors may invest in any industry and are free to transfer funds, assets and other goods, including profit or dividend.
Advantages of registering a company in Montenegro:
- Signed DTT’s with more than 40 jurisdictions that may help reduce or eliminate withholding taxes;
- Low-cost and straightforward process for setting up a company in Montenegro;
- 100% foreign ownership is allowed;
- The economic climate is stable and continuously growing;
- A 3 years tax exemption for companies newly incorporated in underdeveloped municipalities;
- The most favorable tax system: 9% corporate income tax, 7%-21% VAT tax rate, personal income tax of 9% and 15%;
- A banking system that is not part of automatic information sharing schemes;
- The used currency is Euro, and this facilitates the trades.
The following entities can be registered in Montenegro:
- the sole proprietorship;
- the general partnership;
- the limited partnership;
- the limited liability company;
- the joint stock companies.
Limited Liability Company (D.O.O.) is the most popular company to register in Montenegro. Registration is carried out in the Central Register of the Commercial Court. The documents must be submitted personally by the shareholder or his representative by a notarized power of attorney.