Setting up a subsidiaryin Serbia begins with a declaration made by the foreign company which is interested in placing its activities on the Serbian territory. If you are a representative of a foreign business who wants more details about how a subsidiary can be established in Serbia, we suggest you address your requests to our experts in company formation in Serbia.
| Quick Facts | |
|---|---|
| Applicable legislation (home country/foreign country) | Serbian Company Law |
Best used for | – financial services, – insurance, – IT, – media and communication |
Minimum share capital | Yes |
| Time frame for the incorporation (approx.) | Around 5 weeks |
| Management (local/foreign) | Local |
| Legal representative required | Yes |
| Local bank account | Yes |
| Independence from the parent company | Yes |
| Liability of the parent company | No, the subsidiary is liable for its debts and obligations |
| Corporate tax rate | 15% |
| Possibility of hiring local staff | Yes |
Table of Contents
The registration process of a subsidiary in Serbia in 2026
Serbia is open to foreign investors and companies from abroad willing to expand their portfolios through subsidiaries in 2026. The registration process starts with a declaration on behalf of the parent company from overseas that is interested in establishing a subsidiary in Serbia.
Having the Articles of Association prepared, alongside other important documents that represent the company’s information, is the first step in registering the subsidiary with the Serbian authorities. All documents must be notarized and submitted to the Business Registers Agency in Serbia, which is the institution that issues the certificate of incorporation as a subsidiary.
A bank account for a subsidiary in Serbia
Each company registered in Serbia must have a business bank account, which is used for depositing the minimum share capital. This can be a provisional bank account, but later on, the subsidiary in Serbia can benefit from other bank accounts necessary for the future financial transactions of the company. There are numerous financial institutions in Serbia from which foreign entrepreneurs can choose in accordance with the company’s needs.
Other requirements for opening a subsidiary in Serbia
A subsidiary in Serbia will act just like any other type of company registered in the country, meaning that the following aspects are mandatory at the incorporation:
- register for VAT and other social contributions as soon as the company is registered;
- prepare and register the seal of the company before commencing any activity;
- register the employment contracts in compliance with the Employment Law;
- enroll in the Pension and Health Funds in Serbia with the authorities in charge.
The process of registration of the subsidiary in Serbia in 2026 starts as soon as all the documents and requirements have been fulfilled. Please bear in mind that for successful company incorporation in Serbia, suitable guidance is suggested in order to understand and comply with the regulations imposed by the authorities.
Who can set up subsidiaries in Serbia?
Having no restrictions in this area, all foreign companies are invited to place their activities and portfolios in Serbia. Subsidiaries can be established in the financial sector, retail, tourism, IT, media, or communications. Many banks from abroad decide to open branches in Serbia and benefit from numerous incentives offered by the Serbian government which continues to sustain and improve the business environment in the country by focusing on how investments can be attracted.
Hiring staff for a subsidiary in Serbia
Foreign companies looking to establish subsidiaries in Serbia can pay attention to the labor force offered on the market. Skilled and highly educated personnel in Serbia are at the disposal of enterprises from abroad that can also benefit from a series of advantages in matters of incentives and taxes. The good news is that foreign employers are relieved from social security payments for a specific category of staff and for a certain period of time.
Making investments in Serbia comes with a series of advantages, including for those who are interested in setting up operations in this country. Let our team of consultants take care of the employment matters for your company by helping you hire staff for your firm and making the necessary arrangements in terms of work contracts. You can also solicit us for VAT registration in Serbia.
Differences between a subsidiary and a branch in Serbia
The legislation related to foreign investments in Serbia is permissive and allows entrepreneurs from abroad to easily establish their activities. A branch or a subsidiary may represent the proper choice for multinational companies looking to expand their portfolios in this part of Europe. The pros and cons of each entity will be considered in detail before making a decision and starting the operations. A subsidiary is an independent and distinct legal entity that can be established by a large enterprise from abroad or held by a holding company from a specific country.
In any case, the independent status allows a subsidiary to have its own identity on the market, have the same operations as the parent company and even develop its own affairs. As for a branch in Serbia, this kind of entity relies on the parent company in terms of activities, profits, and losses by reporting each operation, change, investment, etc. The common thing between the two entities is that they can run under the rules of a limited liability company, which is the most suitable structure for both domestic and foreign entrepreneurs.
Please explore this video presentation with details about subsidiaries in Serbia:
Accounting services for a subsidiary in Serbia
Running a business in Serbia means paying complete attention to the accounting matters involved. Bookkeeping, for example, is an important part of the accounting for subsidiaries in Serbia and involves preparing and drafting the documents for VAT returns, plus recording the incoming and outgoing invoices in the company’s books.
An accounting report, for instance, is the type of journal where all the accounting operations are mentioned in order to help with the annual financial reports, income statements, and many more. We remind you that a subsidiary will have to report all the financial matters to the parent company, with the help of an accounting firm that can take care of such important matters in the company. Also, you can rely on the support provided by our accountants in Serbia who are at your disposal if you decide to open a company in Serbia, respectively a subsidiary.
What news does the business climate for subsidiaries bring in Serbia?
We present you some updates on the business climate in Serbia in 2026:
- Starting in 2026, holders of subsidiaries in Serbia must comply with new instructions on electronic delivery notes, in so-called business-to-government (B2G) transactions.
- Preliminary VAT return deadline for companies/subsidiaries has been postponed to January 2027.
- All mergers & acquisitions involving subsidiaries in Serbia will not be overseen by the Commission for Protection of Competition.
- Subsidiaries hiring foreign staff will have to comply with the single permit system & regulations in Serbia.
If you need more details about how to open a subsidiary of your company, you may contact our consultants in company registration in Serbia. We can tell you more about setting up a company in Serbia and related procedures.