Meeting and Greeting in Bulgaria

Bulgaria on the face of it is still a fairly formal society. This reflects in the rather proper and reserved nature of initial meetings. Within the business context a firm handshake, direct eye contact and the appropriate greeting for the time of day suffices. The hierarchical nature of Bulgarians results in an emphasis on rank and position. As a result if people have official, educational or work titles ensure you use them. If you are unsure then simply use "Gospodin" (Mr)/ "Gospozha" (Mrs) followed by the surname.

Why Bulgaria ?

About Bulgaria

• Bulgaria is a member of the European Union, NATO and WTO
• The stability of the currency is supported by the currency board, pegging the Bulgarian lev to the euro at the level of 1.95583 

Low cost of doing business

• Bulgaria has the most favourable tax regime in Europe. Corporate income tax rate is 10%, the lowest in the EU together with Cyprus. Personal income tax is 10 %, flat rate. Industries in high-unemployment areas are granted 0% tax rate
• There is a 2-year VAT exemption for imports of equipment for investment projects over €5 million, 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)
• Bulgaria has one of the most competitive costs of labor in Central and Eastern Europe
• Favorable office rents and low cost of utilities. Bulgarian cost of electricity for industrial users is 70% of the European average

Good business location

Located at the heart of the Balkans, Bulgaria is a strategic logistics hub. Ease of transportation of cargo is provided by

• Five Pan-European corridors ( IV, VII, VII, XI, X), which pass through the country
• Transport program TRACECA, which connects Europe with Caucasian and Central Asian region
• Four major airports: Sofia, Plovdiv, Bourgas and Varna
• Two main seaports: Varna and Bourgas
• Numerous ports at the Danube River

Access to markets

Due to its location Bulgaria provides direct access to the following key markets:

• European Union - zero tariff market with population of 500 million
• CIS – still not well penetrated market with a high potential
• Turkey - zero tariff market of near 80 million population
• Middle East – a market with high purchasing power
• North African market

Human resources

• Work force is well educated, highly skilled and multilingual
• 62.2 % of the total population is in working age (appr. 4.6 million)
• 60 000 students annually graduate from 51 universities
• 98% of the high school students study a foreign language (usually English) and 73% study a second language (mainly German, French, Spanish, Russian)
• 94% of the schools have Internet access