Entrepreneurs, who are looking to expand their business to Europe often think of opening a branch office or business unit of their existing company. What are the major differences? Can you even register a business unit of a foreign company in Slovenia?
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Business unit or branch office? Which of these can you register in Slovenia?
A business unit is business extension of an already existing company. It cannot exist on its own and has to be registered when the parent company is doing the business activity on another address. This is often the case when running a store or a restaurant that has various locations all over the country. A business unit cannot conduct business on its own, nor does it have a representative, separate bank account or own name. Because of all these reasons, a foreign company cannot register just a business unit in Slovenia. Firstly, they would need to form a company in Slovenia – new LTD or branch office – and then they can register an additional business unit in Slovenia if they also do the business activity on another location within the country. You can register a business unit free of charge in our licensed VEM point.
A branch office is also not a separate legal entity but a part of the parent company. A foreign company can register a branch office in Slovenia and the branch can conduct the same business activity for which the parent company is registered for. It can have a separate bank account but it can also use the parent bank account. The name of the branch consists of a parent company’s name with the addition of »branch office in Slovenia«. A branch also requires a business address and also a legal representative. The registration of the branch office is only possible with a notary. Also, a branch office does not require share capital as it is still dependent on the parent company.
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Do not miss the unique opportunity to learn about the branch office and business unit in Slovenia and the other company types you can register here. DATA can offer you full support in the consultation and the company registration. Also, you can contact us for more information. Send us an email to [email protected]. You can also call us on +386 1 6006 270, Viber/Whatsapp +386 40 530 718 or skype data.business7.
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