Starting a business in Albania offers international investors access to a growing economy, competitive tax rates, and opportunities in real estate, tourism, and trade. The good news is that Albania’s business laws allow foreign nationals to open a company in Albania as a foreigner under the same legal framework as Albanian citizens, without additional restrictions based on nationality.
The process is straightforward but requires compliance with official registration, documentation, and tax requirements.
Legal Structure and Company Types
Foreigners can choose from various legal structures, with the most common option being the Limited Liability Company (sh.p.k.). This structure is popular due to its flexibility, simple setup, and protection of personal assets. Other forms include joint-stock companies or sole proprietorships, depending on the scale and purpose of the business.
The minimum share capital for an LLC is symbolic, with no significant capital barriers to entry. Foreign individuals can own 100 percent of the company shares without requiring a local partner or shareholder.
Registration Process
To open a company in Albania as a foreigner, the process begins at the National Business Center (QKB), Albania’s official business registration authority. Investors must submit a company formation application, including the company’s name, legal address in Albania, articles of association, and identification documents of the shareholders and administrators.
All documentation must be filed in Albanian, and foreign documents such as passports or foreign company extracts must be legalized with an apostille and translated by a certified translator. Once submitted, the QKB reviews the application and typically registers the company within a few working days if all documents are complete and compliant.
Tax Registration and Compliance
After registration, the company must obtain a Tax Identification Number (NIPT) and register for relevant tax obligations, including VAT if applicable. The company must also maintain proper accounting records, issue compliant invoices, and file tax returns under Albanian tax law.
Engaging a local accountant or tax advisor is recommended to ensure compliance with payroll, reporting, and financial obligations, especially for foreign owners unfamiliar with the Albanian tax system.
Do Foreigners Need Residency to Open a Company
No, foreign nationals are not required to hold Albanian residency to open a company in Albania. The company can be fully owned and managed by a non-resident foreigner, although certain administrative actions may require a local representative or power of attorney if the owner is not physically present in Albania.
Many foreign investors use their company not only for business purposes but also as a legal vehicle to acquire agricultural land, since Albanian law restricts direct ownership of agricultural land by individuals but allows ownership through a registered Albanian company.
Opening a company in Albania as a foreigner is legally accessible and offers opportunities for investment, property ownership, and business expansion. The process is transparent and can be completed within a short timeframe with the right professional support.