Company formation in Bosnia and Herzegovina
Register a d.o.o. in the Federation of BiH by power of attorney, without traveling to Sarajevo — IBC coordinates the whole process with a partner lawyer and notary.
How the formation process works
Foreign nationals can form a d.o.o. in the Federation of BiH with 100% foreign ownership, by power of attorney to a licensed lawyer — your personal presence is not required. The process typically takes 2 to 6 weeks and involves a notary, the court registry, and document translation. The minimum share capital in the Federation of BiH is roughly BAM 2,000. Once formed, the company pays 10% corporate income tax and 17% VAT — among the lowest rates in Europe.
Company formation as the path to a residence permit
Forming a company is the standard route to a temporary residence permit in BiH: it is issued for one year and can be renewed, and after 5 years of continuous residence you can apply for permanent residence. For a foreign director, the company is the prerequisite for a work permit and registered residence.
Buying property through a company
For investors from the Gulf states, buying property in Bosnia and Herzegovina as a private individual is generally not an option — a Bosnian company (d.o.o.) is the only legal route to real-estate ownership. This is especially relevant for Gulf investors, for whom company formation and the property purchase are usually handled together, with the same notary and lawyer.
What IBC provides
IBC coordinates the formation with a partner law firm and notary, provides a registered business address, handles document translation, and — once the company is formed — ongoing virtual-office services. IBC is not a law firm: we coordinate the entire formation, residence, and property process with licensed lawyers, and nothing on this page constitutes legal advice.
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