Branch or subsidiary – which option to choose?

Branch or subsidiary

Branch or subsidiary? This is a common question for business owners. Specifically for those, who want to expand their business from abroad. If you are a business owner, thinking of expanding your business to the EU or Slovenia, you will have to decide. Let this article help you understand the difference. It might help you make the decision between branch or subsidiary. Firstly let’s look through the opening process. What will you need? Do you want to register company in Slovenia? Then contact us! You can call us at +386 40 530 718 (Viber/WhatsApp). You can send us an email at as well!

Expand your business by opening a company in Slovenia

Branch or subsidiary opening process

A company can decide to open a branch or subsidiary in another country. It can be done by a shareholder. This helps expand their business. For this, you need an already existing company in your country of origin. This is what we call a parent company. However, do you need to come to Slovenia to do it? Keep reading to find out.

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Above all, opening a branch or subsidiary means opening a company. For both, you will need documents that are required for registration. All of them must be certified. You can do that at a notary. It has to be prepared in advance. But don’t worry – our professional consultants can help. They are experts on every step of the way. Anyway, what will you need to open a branch or subsidiary? Let’s see:

  • Slovenian tax number
  • Name of the company;
  • Deed of incorporation from the parent company;
  • Excerpt from the business register;
  • Annual financial report;
  • Bank account details of the company;
  • Identification documents of the branch or subsidiary representative;
  • Permanent address of the representative.

The representative is a person, who will be in charge of the branch or subsidiary. The opening process can differ, whether you are opening a branch or a subsidiary. You can register a branch through an attorney. What’s more, you can also do it at a notary. Anyway, you do not have to be physically present in Slovenia. Furthermore, opening a branch in Slovenia does not require a founding capital investment. For opening a subsidiary, however, you will need a minimal founding capital. Our experts will help you obtain all documents. In fact, you can call us now! Call us on +386 40 530 718  (Viber/WhatsApp).

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Branch or subsidiary –  what are the main differences?

The main difference between a branch office and a subsidiary is the (in)dependence. A branch office is an extension of the main company. It is a fixed part of the parent company. It cannot exist without it. This means that it is not an independent entity. In other words it is just another location for the business. Besides, all activities are connected. For instance, in case of the main company closing, the branch would close as well. Another thing is registering business activities. The activities registered by the branch have to be the same as the parent company. No additional activities are allowed. What about the name of the branch? It has to be the same as the name of the parent company. Additionally, it has to have the word “podružnica” in it. This means branch in Slovene. Data business experts can also help you with this.

Company registration

A subsidiary, on the other hand, is independent. It is limited by share capital. It’s owner is a legal entity. It can be an LLC. However, let’s not forget about the parent company. They are still connected. Due to the parent being a partial shareholder. However, the main company is not responsible for business arrangements of the subsidiary. In contrary to opening a branch, you will need €7500 founding capital. Another key point is that a subsidiary can do more activities. They do not have to match the parent company. They can be different. Which one is a better option for you? Branch or subsidiary? No matter which one you chose, Data’s experts can help you. Fill out this form to book an appointment.

Call us on +386 40 530 718  (Viber/WhatsApp)

Our experts offer you step by step support

If you decided, whether you want to open a branch or subsidiary, you can enjoy our services. We can help you obtain a Slovenian tax numbers. Our experts know all you need. After that, we can help you open a branch at a notary. Or register a subsidiary at our VEM point, on the other hand. Anyway, feel free to contact our business consultants, legal department or accounting experts! Need assistance? We will be happy to help in any case. Contact our experts on You can also call us on Viber or WhatsApp +386 40 530 718. And don’t forget to follow us at Facebook page as well.

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