Expanding to another country, such as Kosovo, requires plenty of planning and thought about everything from how you’ll recruit employees to what supplemental benefits you’ll provide. One of the most time-consuming but necessary steps is setting up a Kosovo subsidiary. Your subsidiary is the key to operating in Kosovo, and with it, you can hire employees, run payroll, and give out benefits.
However, G-P offers an alternative to bypass this lengthy process. With us as your global Employer of Record (EOR), you can start working in the country immediately. You also won’t have to worry about Kosovo subsidiary laws because we’ll assure compliance from day one.
How to set up a Kosovo subsidiary
Companies have to consider many important factors that will impact the setup process in Kosovo. One common factor that can influence Kosovo’s subsidiary laws is your location. Different regions or cities within the state could have their own laws, costs, availability, and more. Choosing a place that’s friendly to international incorporation can make the process easier and less time-consuming.
Next, look at what type of entity is best for your business needs and goals. Kosovo will allow you to establish your subsidiary as an LLC, public limited company, branch, or representative office.
Most companies decide to incorporate as an LLC because it benefits the parent company and gives the most flexibility to operate in the country. Set your LLC up using the following steps:
- Complete and file an application form.
- Create a company agreement and charter.
- Write a declaration of the registered agent’s consent to serve in that capacity.
- File a photocopy of the registered agent’s passport.
- Draft articles of incorporation and bylaws of the shareholders.
- Make photocopies of all shareholders’ passports.
Kosovo subsidiary laws
Kosovo’s subsidiary laws can change depending on where you are in the state and what type of entity you choose. LLCs have their own laws and regulations, including having at least 1 shareholder, 1 director, and 1 tax representative. Companies need only EUR 1 in minimum paid-up capital when you incorporate. You must appoint an auditor if you have total assets of EUR 2 million, see annual turnover of more than EUR 4 million, or hire more than 50 employees within that fiscal year.
Benefits of setting up a Kosovo subsidiary
Although it may seem like a long and arduous process, establishing a Kosovo subsidiary will enable you to start working in the country legally. You can use an LLC to protect your parent company’s interest too, as you won’t have to worry about incurring any fines or litigation from the subsidiary.
Despite these benefits, it’s best to work with a global EOR to save time and stress. You won’t have to set up a subsidiary if you work with G-P, because we’ll use our existing entity infrastructure. Your company can start working in days, and you won’t need to worry about compliance. We’ll handle everything from hiring employees for your team to providing all statutory benefits, so you can focus your time on tasks that are important to your company.
Other important considerations
When you’re trying to incorporate successfully, you need to plan for every step of the process. Start by working with your accounting department to see how much money you’ll need for each step of the process. Then, clear your schedule so that you have enough time to devote to setting up the subsidiary. If you don’t understand Kosovo’s subsidiary laws, you’ll need to hire an accountant, lawyer, or consultant who can help you stay compliant throughout each step.
Enter new markets with G-P — no new entities required.
Beat the competition and enter new markets in minutes, not months, with G-P. We’ve paired our industry-leading team of in-region HR and legal experts with our #1 global employment platform to help you hire compliantly in 180+ countries, eliminating the need to set up local entities or subsidiaries.
Get in touch today to learn more about how we can streamline the global growth process.