Published on and written by Cyril Jarnias
Setting up a company in Bulgaria, benefiting from a 10% corporate tax rate and full access to the SEPA area is attracting more and more entrepreneurs. But one issue regularly blocks projects: opening a business bank account. Between KYC requirements, nearly systematic physical presence, choosing the right institution, and coordinating with fintechs, the process can quickly become opaque.
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This practical guide compiles, in clear English, the essentials of what you need to know to open a bank account for your company in Bulgaria, based solely on factual data from the research report.
Understanding the Bulgarian Framework: Euro, SEPA, and Taxation
Since the adoption of the euro, new business accounts in Bulgaria are opened directly in EUR. Old references in lev (BGN) remain useful for historical fees, but the conversion rate is fixed at 1.95583 BGN to 1 EUR. Bulgaria is part of the SEPA zone, which greatly facilitates euro transfers within the European Economic Area.
For every €100 of profit, a Bulgarian company pays about €19 in taxes, combining the 10% corporate tax and a 5% withholding tax on dividends.
On VAT, the standard rate is 20% with a reduced rate of 9% on certain goods or services. VAT registration becomes mandatory above 50,000 BGN in annual taxable turnover (approximately €51,130). Banking services themselves are exempt from VAT, but the company will still need to manage its tax and social declarations, making a Bulgarian bank account essential for paying taxes, social charges, and contributions.
Why a Bank Account in Bulgaria Is Essential
For a company registered in Bulgaria (EOOD, OOD, AD, etc.), a local bank account is not a convenience but a cornerstone:
This account is first used to deposit the share capital during incorporation, then becomes the current account for all receipts and payments in Bulgaria. It is often required to pay taxes, VAT, and social contributions without delays or blocks. Finally, it is a key element of “economic substance” in the eyes of banks and authorities, as it implies a real address, a local phone number, and locally maintained accounting.
Even if part of the activity is managed via international fintechs like Wise Business or Revolut Business, experts recommend maintaining a parallel local currency account at a traditional Bulgarian bank, if only to interact smoothly with authorities (tax, social security, etc.).
Overview of Bulgarian Banks for Businesses
Not all Bulgarian banks have the same appetite for foreign clients or the same positioning. Several institutions stand out as particularly suitable for companies owned by non-residents.
Major Generalist Banks
According to several specialized sources, a realistic shortlist for a foreign company’s business account includes:
– UniCredit Bulbank
– DSK Bank
– UBB (United Bulgarian Bank)
– Postbank (Eurobank Bulgaria)
– Fibank (First Investment Bank)
– ProCredit Bank
Three are often cited as references for international companies: UniCredit Bulbank, Postbank, and DSK Bank.
The table below summarizes the strengths of these banks and the client profiles they best suit.
| Bank | Key Business Strengths | Ideal Client Profile |
|---|---|---|
| UniCredit Bulbank | Largest bank in the country, premium services, strong international capacity, multi-currency, cash management, trade finance, leasing, factoring, EU funds | EOOD/OOD owned by foreigners, significant SMEs, international groups |
| DSK Bank | SME/corporate segmentation, POS, cash flow loans, investment loans, cash management, good e-banking | SMEs, retail businesses, already active companies with regular flows |
| UBB | Business account packages, digital portal, trade finance, cash management, investment and custody services | Larger SMEs, mid-caps, clients looking for a full banking-insurance group |
| Postbank | SME services, business cards, online banking, investment loans, pragmatic onboarding, English support | SMEs and companies wanting group support and a very “mainstream” bank |
| Fibank | Business accounts, cards, transfers, financing, deposits, broad domestic offering, flexibility for small players | Local SMEs, managers seeking a Bulgarian-headquartered bank |
| ProCredit Bank | Digital onboarding, dedicated advisor, software POS, strong SME focus, ProB@nking 24/7, ProConnect international network | “Clean” and clear SMEs, simple structures, young companies, transparent owners |
UniCredit Bulbank is particularly highlighted for foreign companies: it is the largest bank in the country, known for its international interface, corporate offering (loans, project finance, investment advisory), and English service. In return, fees are generally higher than in more local banks.
DSK Bank (OTP Group) offers good online services and SME packages, but its pricing model can be higher (e.g., a reported fee of 22 BGN per month for a typical business account). Postbank combines relatively pragmatic onboarding, English support, and a comprehensive SME offering, and in some cases accepts openings via notarized power of attorney.
Fibank and ProCredit Bank stand out for their greater flexibility towards small structures and cross-border entrepreneurs, with ProCredit going very far in digital (identification via Evrotrust app, ProB@nking 24/7 portal, ProConnect matching platform, etc.).
Traditional Banks vs. Fintechs: Which Combination to Use?
In Bulgaria, as elsewhere in Europe, two main models coexist:
– Traditional banks, which charge a monthly fee, per-transaction fees, and a currency exchange margin;
– Neobanks/EMIs (Revolut Business, Wise Business, Paysera, Payhawk…), which typically operate on a subscription that includes a transaction package, with exchange at a defined margin.
The cost of one account model is not mechanically lower than the other. For example, a 1.5% exchange margin on international transactions can turn out to be more expensive than a monthly flat fee of €10 or €15, depending on the volume of SEPA transfers, non-SEPA payments, or cash operations.
Bulgarian or pan-European fintechs often offer:
– 100% online onboarding in 5 to 15 days;
– Multi-currency accounts;
– Low or no monthly fees (Wise Business no subscription, free plan at Revolut Business, free business account at Paysera for Bulgarian companies);
– Non-Bulgarian IBANs, except Paysera which can provide an IBAN starting with BG.
Their limitations: inability to provide a capital deposit account, often no cash management, and little or no traditional credit. Hence the widely recommended “dual brick” approach: a multi-currency fintech for international flows, and a Bulgarian bank account with a local IBAN for VAT, salaries, and substance.
Bank Fees: What to Expect in Bulgaria
Fees vary greatly from one bank to another, but several average figures give an idea.
The table below illustrates some observed costs for business current accounts in Bulgaria (in BGN, before the euro became widespread, with approximate conversion).
| Transaction (Business Account) | Average Cost in BGN | Approximate Equivalent in EUR* |
|---|---|---|
| Monthly account maintenance fee (excluding card) | 4.20 BGN | ≈ €2.20 |
| Account maintenance with debit card | 2.81 BGN | ≈ €1.50 |
| Current account opening (without card) | 4.65 BGN | ≈ €2.40 |
| Current account opening (with card) | 3.49 BGN | ≈ €1.80 |
| Account closure within 6 months of opening | 4.14 BGN | ≈ €2.10 |
| Cash deposit up to 3,009 BGN | 1.91 BGN or 0.27% | ≈ €1 or 0.27% (min. ≈ €1.50) |
| Internal transfer (same bank) | 3.51 BGN | ≈ €1.80 |
| Transfer to another Bulgarian bank | 5.22 BGN | ≈ €2.70 |
Indicative conversion rate based on 1 EUR = 1.95583 BGN.
In addition, for companies owned by foreigners, there are one-time KYC review fees that can range between approximately €100 and €500, depending on the complexity of the file.
For fintechs, the fee structures differ: Wise Business has no monthly fees, Revolut Business offers a free basic plan, Paysera charges about €1 per month for some plans, with a Bulgarian IBAN and real-time transfers via TARGET2. But these players cannot replace traditional banks for opening a capital account or certain credit needs.
Prerequisites: Bulgarian Company and Documents to Prepare
You cannot open a Bulgarian business bank account for a structure that does not exist. The company must first be registered with the Commercial Register and governed by Bulgarian commercial law.
Company Types and Key Incorporation Steps
A Bulgarian company can take the form of: limited liability company, joint-stock company, sole proprietorship, general partnership, limited partnership.
– An EOOD (equivalent to a single-member LLC);
– An OOD (LLC with multiple partners);
– An AD (joint-stock company).
Incorporation typically follows five phases:
The 5 essential steps to create your structure: from name selection to final registrations.
Reserve the official name of your company with the Commercial Register to ensure its uniqueness.
Prepare and notarize the articles of association as well as the founding decisions.
Open a bank account in Bulgaria and deposit the minimum capital: a symbolic €1 for an OOD/EOOD, €25,000 for an AD.
Submit all required documents to the Commercial Register for official registration.
Complete the procedures with tax and social authorities, especially for VAT and contributions.
The bank account comes into play very early: you need to open a capital account to obtain a deposit certificate, a document required for registration.
Documents Typically Required for a Corporate Account
Bulgarian banks rely on a nearly standard set of documents for opening a business account. Exact labels and scope may vary from one institution to another, but the following are systematically required:
List of documents and formalities needed to compile a complete banking file for a legal entity.
Registration certificate or certificate of incorporation less than 6 months old, certificate of good standing, up-to-date articles of association, proof of registered office address, tax identification number.
List of shareholders and ultimate beneficial owners (UBOs) with passport and proof of address for each, declaration of source of funds, description of business activity (business plan).
Bank mandate signed in person, specimen signatures, documents translated into Bulgarian by a certified translator, apostille for foreign documents.
The table below summarizes the main categories of documents requested.
| Document Category | Specific Examples |
|---|---|
| Incorporation & Legal Status | Registration certificate, register extract, certificate of good standing, up-to-date articles of association |
| Governance & Representation | Resolution appointing the manager, signed bank mandate, specimen signatures |
| Ownership & Ultimate Beneficial Owners (UBO) | List of shareholders and UBOs, passport copies, proof of address, UBO declaration compliant with AML |
| Fiscal & Administrative | Tax number (TIN/UIC), proof of registered office address, VAT registration documents if applicable |
| Business & Finances | Business plan, detailed description of activity, estimated turnover, main clients/suppliers, existing contracts, financial statements if available |
| Specific KYC / AML | Declaration of source of funds, proof of fund origin (employment contracts, investment statements, etc.) |
| Legalization & Translation | Apostilles on foreign public documents, certified translations into Bulgarian, notarized powers of attorney when necessary |
For foreign directors and UBOs, the bank typically requires a valid passport, a recent proof of address (less than three months old), a tax number in the country of residence, and sometimes a CV detailing professional experience.
Economic Substance: The Key to Avoiding Rejection
Bulgarian banks are under strong regulatory pressure regarding anti-money laundering (AML) and know-your-customer (KYC) rules. Since 2019, most have tightened their requirements for companies owned by non-residents, to the point where many rejections occur when local “substance” is deemed insufficient.
To maximize your chances, it is advisable to:
To open a business account in Bulgaria, you must have a real address on the ground (lease or serious domiciliation service), collaborate with a local agent recognized by banks (consultant, lawyer, or accountant), have a Bulgarian mobile phone number, keep your accounting in Bulgaria, present a website or online store related to your declared activity, and detail your expected initial flows (types of clients, countries, amounts, and monthly volumes).
Sensitive sectors – crypto assets, gambling, adult content – are not impossible but require a much higher level of documentation and, in most cases, face strong reluctance from banks. It is best to declare them upfront and provide licenses, compliance procedures, and proof of good conduct from the start.
Step by Step: How to Open Your Company Account
The procedure may seem heavy, but it can be broken down into five main stages.
Step 1 – Choose the Right Bank (and Fintech)
Before any steps, it is useful to clarify your needs:
– volume and type of payments (SEPA, non-SEPA, cash, cards, etc.);
– number of currencies actively used;
– need for a dedicated advisor or not;
– importance of branch network (if frequent travel within the country);
– priority given to excellent support in English or another foreign language.
For online businesses, SaaS, or e-commerce, a common setup is:
– Open an account with Wise Business, Revolut Business, or Paysera to centralize international payments, receive payments from Stripe, marketplaces, etc.;
– Pair it with a Bulgarian bank account (e.g., at UniCredit Bulbank, DSK, Postbank, Fibank, or ProCredit Bank) to manage VAT, payroll, social charges, and dealings with authorities.
Having a large branch network (like UniCredit, DSK, or UBB) can simplify travel for in-person meetings. Experts also advise targeting branches in Sofia, Plovdiv, or Varna, which are more accustomed to handling files from foreign founders.
Step 2 – Prepare a Flawless KYC File
This is the crucial point. A clean, complete, and consistent KYC “pack” is essential:
All foreign public certificates must be apostilled and accompanied by a certified translation into Bulgarian. The articles of association must specify the capital structure and corporate purpose. Incorporation documents, assembly resolutions, and powers of attorney must be formally correct (dates, signatures, consistency of names). The registered office address must be proven by a lease, a letter of consent, or a domiciliation contract.
The bank will also ask for:
– a detailed business description: a concrete description (“SaaS HR for DACH SMEs”) will be seen as more credible than a vague “consulting”;
– estimated turnover figures;
– geographic areas targeted: jurisdictions considered high-risk will face enhanced checks;
– a clear narrative of the source of funds (professional background, previous income, savings, asset sales, etc.).
Anticipating these elements can reduce processing time, often between 2 to 6 weeks for a company owned by non-residents.
Step 3 – Open the Capital Account (Accumulation Account)
Before the company is registered, you must deposit the share capital into a specific account, opened in the name of the company being formed at a licensed Bulgarian bank. This is not the operational account, but a blocked account used solely to evidence the capital payment.
The bank then requires:
– signed articles of association (not yet filed);
– the minutes of the constitutive assembly (decision to form the company);
– ID of the future manager and, often, a certified specimen signature.
After the capital is deposited, the bank issues a certificate of contribution attesting that the capital has been paid. This document is then attached to the file submitted to the Commercial Register. Opening fees for this capital account are in an indicative range of about ten to fifty euros, depending on the bank.
Once the company is registered, this account can be converted into a current operational account or closed in favor of a new business account.
Step 4 – Pass the In-Person Interview
For corporate accounts, most Bulgarian banks require physical presence. In practice, plan for at least one working day in Sofia or a major city to:
– hand over the entire file in original form;
– sign mandates and specimen signatures in front of the banker;
– answer a detailed AML/KYC questionnaire.
The interview typically covers: skills, motivations, professional experience, salary expectations, and company culture.
When preparing your file, specify your business model and revenue sources, the countries of clients and suppliers (especially high-risk areas), expected monthly transaction volume, and any exposure to cryptocurrencies (a sector often rejected or handled with caution by banks).
It is recommended to approach this interview like a mini investor pitch: logical model, real counterparties, proof of flows (contracts, letters of intent, website or platform screenshots, etc.). A local advisor or accountant, possibly bilingual, can significantly smooth the exchange.
Some banks (Postbank, UBB) accept, in well-defined cases, representation via a notarized power of attorney. However, physical presence of the director remains the standard scenario, especially for non-EU nationals.
Step 5 – Account Activation and Getting Started
Once approval is obtained and documents signed, the bank proceeds with activation, usually within a few business days. The entrepreneur must then:
– retrieve online banking credentials;
– install the bank’s official mobile app;
– set up two-factor authentication and electronic signature tools;
– verify that the initial balance and first functionalities (internal transfers, SEPA, cards) are operational;
– test an incoming and outgoing transfer.
Bulgarian banks now offer fairly comprehensive online services: SEPA Credit Transfer and SEPA Direct Debit, increasingly systematic SEPA Instant, physical and virtual Visa/Mastercard, multi-user modules with differentiated rights, and API (PSD2) integrations for the most advanced.
Complex Cases, Rejections, and Second Chances
Even with a strong file, a bank may refuse without providing a detailed reason. In case of rejection, a few reflexes are useful:
To deal with a bank refusal, politely ask for a written explanation of the reason (activity, ownership structure, target countries). Supplement or clarify the points in question with additional contracts, letters from an accountant describing the business model, or proof of the source of funds. Rely on a local advisor (lawyer, accountant specialized in foreign clients) to restructure your file and send it to a bank more open to that profile.
It is also advisable to maintain strictly professional and concise exchanges, and if necessary, use a translator to avoid any misunderstanding in Bulgarian.
Managing Your Account Day to Day: Best Practices
Once the account is open, the work does not stop. The bank remains subject to ongoing AML/KYC monitoring. New document requests may arise, especially if volumes increase or if activity diversifies.
A few reflexes help maintain the relationship:
Regularly review your statements to detect anomalies, keep your major contracts up to date to provide them if the bank asks, anticipate structural changes (new partners, capital inflows) by informing your banker, and optimize your cash flow using savings accounts or term deposits offered by the bank, which remunerate excess liquidity while providing flexibility.
In case of multi-currency activity, planning foreign exchange operations helps reduce the impact of FX margins, which can sometimes be more costly than a simple monthly fee.
Coordinating a Bulgarian Account with International Fintechs
For many foreign companies, especially in digital, the optimal solution is hybrid:
To manage your finances effectively in Bulgaria, combine a fintech for international operations and a local bank account for day-to-day transactions.
Use Wise Business, Revolut Business, or Paysera to receive payments from international clients, manage multiple currencies, and benefit from competitive exchange rates and fast onboarding.
Open a euro account in Bulgaria to pay salaries, social charges, VAT, and corporate tax, deal with the local tax authorities, and prove a real presence in the country.
This “dual brick” approach meets banks’ expectations for local substance while protecting the company from excessive fees on international flows.
Key Takeaways Before Getting Started
Opening a bank account for your company in Bulgaria is neither impossible nor instantaneous. It is a process that is:
– strictly regulated by Bulgarian banking law and European AML/KYC rules;
– more demanding for structures owned by non-residents, without being discriminatory;
– facilitated when the company demonstrates real substance in Bulgaria (real address, local agent, tangible economic activity);
– accelerated if the documentary file is complete, apostilled, translated, and consistent with the business model.
The entrepreneur benefits from a competitive tax environment, full access to SEPA and the euro, as well as a well-capitalized banking system offering basic services (accounts, cards, transfers) and advanced solutions (trade finance, investment financing, project advisory).
The central message is simple: the more serious the preparation beforehand, the more the account opening in Bulgaria becomes a simple administrative milestone, not an obstacle course. With the right combination of traditional bank + fintech, an EOOD or OOD can efficiently manage its flows in Bulgaria and internationally, while meeting the growing expectations of supervisory authorities and banks regarding transparency and substance.
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FAQ
1.Why is a local Bulgarian bank account essential?
It is used to deposit capital at incorporation, then to pay taxes, VAT and social contributions, and it evidences economic substance to banks and authorities.
2.Can I use Wise or Revolut instead?
They can run alongside, but the local account remains the anchor for tax and social obligations.
3.Why do Bulgarian banks refuse foreign-owned companies?
A company with no tangible link to Bulgaria (no office, staff or local activity) looks like a letterbox. Demonstrating real substance reduces the risk of refusal.
4.Which banks are usually considered for foreign companies?
UniCredit Bulbank, DSK Bank, UBB, Postbank, Fibank and ProCredit Bank are commonly cited, with UniCredit, Postbank and DSK often referenced for international clients.
5.How long does it take to open the account?
Longer than the registry: expect KYC review and questions on source of funds, so plan the banking route before filing.
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Cyril Jarnias is an independent expert in international wealth management with over 20 years of experience. As an expatriate himself, he is dedicated to helping individuals and business leaders build, protect, and pass on their wealth with complete peace of mind.
On his website, cyriljarnias.com, he shares his expertise on international real estate, offshore company formation, and expatriation.
Thanks to his expertise, he offers sound advice to optimize his clients' wealth management. Cyril Jarnias is also recognized for his appearances in many prestigious media outlets such as BFM Business, les Français de l’étranger, Le Figaro, Les Echos, and Mieux vivre votre argent, where he shares his knowledge and know-how in wealth management.
