This article offers details about branches of foreign companies in Croatia. Ready to know more? Read these lines and then start your branch with the help of our Croatian company formationspecialists.
| Quick Facts | |
|---|---|
| Applicable legislation | For foreign countries |
Best used for | – banking, – financial operations, – insurance |
Minimum share capital | No |
| Time frame for the incorporation (approx.) | Around 2 weeks |
| Management | Local for non-EU companies |
| Legal representative required | Yes |
| Local bank account | Yes, but not mandatory |
| Independence from the parent company | No |
| Liability of the parent company | Full liability on the branch office's debt and obligations |
| Corporate tax rate | 18% |
| Possibility of hiring local staff | Yes |
Table of Contents
What are the features of a branch in Croatia?
- a non-legal entity dependent on the parent company,
- debts & obligations of a branch in Croatia come to the attention of the foreign company,
- carries out the operations of the foreign company,
- uses the same trade name as the parent company.
Who can establish branches in Croatia?
Foreign investors owning companies in their country of origin and wanting to develop their portfolio & activities in Croatia.
Do branches benefit from 100% foreign ownership?
Yes.
What are the conditions to open a Croatian branch in 2026?
- verify and reserve the business name,
- obtain the Personal Identification Number – OIB – for foreign shareholders & directors,
- register the legal business address in Croatia,
- open a bank account,
- register for taxation (at Porezna uprava), etc.
Please explore this infographic with information about branch registration in Croatia:
What are the documents required for branch registration in Croatia?
- a declaration/decision stating the opening of a branch in Croatia, made by the parent company,
- copies of the Certificate of Incorporation of the parent company,
- copies of IDs/Passports of shareholders & directors,
- Articles of Association of the branch in Croatia,
- proof of registered office in Croatia/lease contract,
- balance sheet of the foreign company, etc.
IMPORTANT! All documents must be translated and notarized before submission!
What is the minimum share capital required to open a branch in Croatia?
Not imposed.
Do I need a representative agent to open a branch in Croatia?
Yes. It is mandatory to appoint a local agent/attorney in order to establish a branch in Croatia.
Where do I register a branch in Croatia? Who issues the approvals?
At the Commercial Court in Croatia, an application is filed. The authority issues the approvals for a foreign branch in Croatia.
Is a business license needed for a branch in Croatia?
Yes, depending on the future activities. We assist customers in getting a business license in Croatia. Read here about a financial license in Croatia.
You are invited to watch the video presentation we prepared:
Are there any additional requirements for branch registration in Croatia?
- applicants must also present an extract from the Commercial Register of the foreign country where the parent company is incorporated,
- proof that companies based outside the EU/EEA must have been registered in their home country for at least 2 years before registering a branch in Croatia.
What are the reporting requirements for branches in Croatia?
- annual CIT returns
- monthly or quarterly VAT returns,
- digital reporting for invoicing for B2B transactions,
- annual reports,
- mandatory statistical reports, etc.
What is the taxation of branches in Croatia?
- 10% corporate income tax (CIT) for annual revenues not exceeding EUR 1 million,
- 18% CIT for annual revenues more than EUR 1 million,
- 10% withholding tax on dividends,
- 15% withholding tax on royalties, etc.
Can I open more than just one branch in Croatia?
Yes, if a foreign company decides to open more than one branch in Croatia, it must apply for registration for each one of them, and it has the obligation to nominate a representative in each of these branches. In special circumstances, the same person may be nominated for all these branches.
What are the costs of opening a branch in Croatia?
Must consider:
- Court registration fees,
- Notary & legal fees
- Company seal,
- Accounting services,
- Publication in the Official Gazette, etc.
How much does it take to establish a branch in Croatia?
About 2-4 weeks.
Interested in more information about how to open a branch in Croatia? Please contact our local specialists and get your appointment today.