Registering business in Albania, all you need to know…
Albania is becoming one of the most attractive destinations in the Balkans for foreign direct investment. The country offers various business opportunities for foreign nationals who want to register their business being that it has a developing economy, competitive costs, an expanding market, and strong growth potential across various sectors.
The Albanian legislation allows foreign citizens to register a businesses with 100% foreign ownership. Furthermore, the main advantages of registering business in Albania is the fact that you can manage it remotely, you can invest almost in every field and there is not mandatory to be provided with the Albanian residence permit, unless you want to. The only requirement is to follow the legal procedures for registration and fulfill administrative and tax obligations.
How to register a Business in Albania
Registering business in Albania is a little bit more complicated than it seems being that after the business is registered you need to complete a few additional steps in order to start a regular business activity.
Here are a few steps you need to follow to start with the registration process:
- Choose the legal form of the business – The most common legal forms of a business are Limited Liability Companies (LLC), Sole Entrepreneurships (PF), Joint-Stock Companies (JSC), Branch or Representation Office.
- Prepare the required legal documentation, including:
- Act of Incorporation (for LLCs or JSCs);
- Power of Attorney, if registration is done via a representative;
- Lease agreement or proof of property ownership for the business premises.
- Register with the National Business Center (NBC)
- Obtain the Tax Identification Number (NIPT) and register with the tax authorities.
- Open a bank account in Albania
Advantages of having a business in Albania as a foreigner
- Eligibility to become a resident
Once you register a business in Albania you become eligible to apply for the Albanian visa or residency program. But be careful, in order to have a successful outcome of the process, before you apply for the visa or the residence permit you have to make sure that your business is real. This means that before applying, you need a solid business plan, a registered office, actual economic activity and employees on payroll.
The main documents to obtain the residency through Business are:
– a business bank statement and bank certificate with at least 500,000 ALL balance in it. In case you do not have a business bank account, you can submit a copy of your personal bank statement. The bank statement should be of the last 12 months and should be in EUR or USD currency.
– document confirming your qualifications, which must align with the business field in which you will operate;
– proof of long-term accommodation in Albania;
– evidence of economic activity and a genuine, functioning business;
Together with the financial proof covered earlier, these requirements form the foundation for a strong and successful visa application.
- Low operating costs
In Albania, the minimum salary required by the law is 40’000 ALL/Gross while the main applicable taxes for a business are as following:
Corporate income tax rates:
0%-for annual net income up to 14,000,000 ALL
15%-for annual net income exceeding 14,000,000 ALL
Example:
An LLC has an annual net income of 16,000,000 ALL. The corporate income tax is calculated as follows:
– The portion up to 14,000,000 ALL: taxed at 0% → 0 ALL
– The portion exceeding 14,000,000 ALL: (16,000,000 – 14,000,000) × 15% = 300,000 ALL
Total corporate tax payable to the Albanian State: 300,000 ALL
VAT rates:
20%- for most goods and services
10%-for certain categories such as processed food products, accommodation services, and transportation, etc.
Example:
An LLC sells goods worth1,000,000 ALL (excluding VAT). The VAT is calculated as follows:
1,000,000 × 20% = 200,000 ALL
Total invoice amount for the customer: 1,000,000 + 200,000 =1,200,000 ALL
The LLC must remit 200,000 ALL in VAT to the state budget.
Dividend tax rate:
8%- on the amount distributed as dividends
Example:
An LLC has a net profit of 10,000,000 ALL and decides to distribute 5,000,000 ALL as dividends. The dividend tax is calculated as follows:
5,000,000 × 8% = 400,000 ALL
Net dividend received by shareholders: 5,000,000 – 400,000 =4,600,000 ALL
- The ability to manage a business remotely
First, you can easily issue and track invoices using an online accounting software. Second, all your payments — including bills, salaries, and taxes — can be handled securely through e-banking. And third, a trusted local accountant will manage your tax filings and financial reports, keeping everything compliant while you are abroad. These tools make running a business in Albania simple and efficient — no matter where you are.
Top cities to invest in Albania and why you should choose them
Tirana – Education or Services
Thanks to a combination of economic, social and strategic factors that make the Albanian capital an attractive point for investors and entrepreneurs. Tirana is the largest and most populous city in Albania, with a significant number of residents, as well as a continuous population growth due to internal and international migration. This creates a high demand for services, especially in the field of education (foreign languages, professional training, technology courses, etc.) and other private services (marketing, IT, legal services, consultancy, etc.). Tirana offers competitive costs for rent, salaries and administrative expenses, making it possible to start an efficient business with reasonable investments, without sacrificing the quality of service. Another very strong reason is that About 50% of the Albanian population is under the age of 35, and most are motivated to learn, advance in their careers and get certified. This creates a stable customer base for any education business or training services.
Saranda, Vlora, and Durres – Tourism
Albania has been experiencing a tourism boom in recent years, and coastal cities such as Saranda, Durrës and Vlora have become the most sought-after destinations for domestic and foreign tourists. These cities offer a unique combination of natural beauty, cultural heritage and economic development, making them ideal areas to open a business in the tourism sector. These cities register a significant increase in the number of visitors every year, creating a large market for tourist activities, accommodation, guides, restaurants, transport, and other supporting services. Albanian hospitality and the vibrant character of coastal areas is a cultural value that supports the development of tourism. Tourists seek authentic experiences, and a business that offers quality and local service is destined to succeed.
Bulqiza – Mining Sector
Bulqiza is known as the main center of chromium production in Albania and is among the richest regions in precious minerals, especially metallurgical chromium with a high percentage of quality. Demand in global markets is constantly increasing, especially from countries such as China, India and the EU. This makes investing in the extraction, processing or export of chromium a business with high profitability and long-term prospects.
The mining sector in Albania is considered a national priority, as the Albanian government offers fiscal and tax incentives, accelerated procedures for obtaining mining licenses, opportunities for public-private partnerships.
Lushnje and Fier – Agriculture and livestock
Lushnja and Fier are the main centers of agricultural production in Albania, with flat, rich and highly arable agricultural land. The region is known for:
Vegetable production (tomatoes, peppers, cucumbers, etc.)
Wheat and corn
Seasonal fruits (melons, watermelons, plums, apples, etc.)
Lushnja and Fier have a Mediterranean climate very favorable for the cultivation of a wide range of agricultural products. Local workers are qualified, dedicated and have practical knowledge, which reduces the cost of training and increases the quality of production.
Investment in agriculture and livestock in these regions benefits from support schemes, including:
- IPARD II and IPARD III (EU programs for agriculture)
- Grants and subsidies for agricultural machinery, modern greenhouses, livestock stables and infrastructure
Shkodra and Tropoja – Mountain tourism
Shkodra and Tropoja are among the richest regions in Albania with mountainous terrain, rivers, lakes, forests and national parks. Some of the main attractions include Albanian Alps (Bjeshkët e Namuna), Valbona Valley National Park, Theth National Park, Lake Shkodra and Buna River, Caves, waterfalls and mountain trails of international class
In the last 5 years, the mountainous regions of the north have become a favorite destination for international tourists, especially: Europeans from Germany, Switzerland, France, the Netherlands.
How can we help you?
We offer real-time assistance throughout the entire process of registering your business. Our team can assist you with everything needed!
📩 Contact us today for a free consultation and take the first step toward a successful investment in Albania!