Business climate

Bulgaria offers qualified and cost-effective workforce and advantageous rents of commercial space and very competitive overall costs of doing business.

The Annual Broadband Study by Cisco in 2010 ranks Bulgaria 5th in the world and 3rd in Europe in terms of internet speed.

Bulgaria prides itself on the system of foreign language secondary schools where after a year of intensive study of a foreign language the students switch to studying main subjects in the respective foreign language.

98% of the students enrolled in secondary schools in Bulgaria study a foreign language, 73% study at least two foreign languages.

60 500 students graduate from 53 universities and colleges. 50% of them are potentially suitable for employment within the BPO industry.

Attrition rate in BPO centers in Bulgaria is several times lower than that in the rest of Europe and India.

Bulgaria is among the leaders in the world in outsourcing and continues to be in top position in the ranking of outsourcing destinations by AT Kearny. Our country occupies ninth place. Although we are member of the European Union, the country offers conditions for maintaining a lower production and transport costs compared with most other Member States.

• Office rents in the city center ofBurgas are between 4-6 EUR/sq.m
• Average salary of 327 EUR/month
• Electricity price of 0.1164 EUR/kw/h for business clients

Bulgaria offers a combination of political and macroeconomic stability and incentives for doing business:

• Stable parliamentary democracy; EU, NATO and WTO member
• Bulgaria's currency is fixed to the Euro under a currency board arrangement
• Lowest taxrate and one of the lowest labor costs in the EU coupled with special incentives for investors

Tax benefits:

Bulgaria has the most favorable tax regime in Europe. Bulgarian tax legislation is completely synchronized with the EU legislation. Corporate income tax rate is 1 0%, the lowest in the EU. Personal income taxis 10%, flat rate.

• There is a 2-year VAT exemption for imports of equipment for investment projects over 5 million EUR, creating at least 50 jobs
• Depreciation time for computers and new manufacturing equipment is 2 years
• 5% withholding tax on dividends and liquidation quotas (0% for EU tax residents)

Fast and easy procedures:

It takes only several days to register a new company. The minimal start-up capital was reduced to only 1 EUR. International VAT registration takes 1 Odays

Banking facilities:

The biggest European banks are represented in Bulgaria. Perfect organization ofE-banking.

Double tax avoidance:

Bulgaria has signed Double Taxation Treaties with 58 countries all over the world.

Low business costs:

• Low-cost high-trained employees, very affordable rents, excellent value for real estate
• Favorable office rents and low cost of utilities. Bulgarian cost of electricity fori ndustrial users is 70% of the European average
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  Perfect location:

  Situated on the main road between Europe and Asia and in the center of the Balkan Peninsula, Bulgaria is more than good business choice. There are 4 Pan-European transport corridors that cross the country and 3 of them maketheirconnection in Sofia.