Doing Business in Slovenia

If you plan on opening a business in Slovenia than chances are you'll be doing great. Slovenia's economy is thriving, it's the most dymanic among the former communist nations that joined the EU in 2004.

Slovenia also managed to meet the strict financial requirements the EU set for countries wanting to join the Euro Zone and introudced the standard European currency in 2007.

The political stability and the relative wealth combined with Slovenia's strategic geographical location at the meeting point of Western and Eastern European cultures provides stable and attractive business environment.

Major Economic Indicators in Slovenia

	2006	2007	2008 forecast
GDP (billion Euro)	30,5	32,3	34,8
GDP per capita (PPS)	20,800	22,300	23,600
GDP annual growth (%)	5.7	5.9	4.6
Export growth (% in real terms)	13.4	13.0	9.2
Import growth (% in real terms)	12.2	13.2	9.1
Inflation rate (%)	2.5	3.5	3.3
Unemployment rate (% - ILO)	6	5	5

Sources: National Statistical Office of Slovenia, Eurostat

The booming tourism industry is one sector that attracts many foreign investors. Buying real estate, a small alpine house or an apartment in Ljubljana in order to rent out for tourists is a very lucrative business opportunity in Slovenia. Find out more about Buying property in Slovenia.

Opening a cafe or a restaurant at major tourist attractions can be another good investment in Slovenia.

If you plan on larger scale invetsment than perhaps think about remodelling a castle and truning into a high-end hotel or inevst in building a spa and wellness resort on utilizing one of the natural therma springs.

Slovenia's wonderful alpine world, the scenic lakeside reosrts in Triglav National Park, the generous rivers are a haven for lovers of outdoor activities. Opening a bycicle, skii rental or angler shop look like good business ideas too.

You'll probably need to hire staff but you'll have no problem with it because Slvenian people are well-educated, speak foreign languages (German, English and Italian are the most widely spoken second languages), and most importantly Slovenes are friendly and hospitable.

But first think through your business ideas well, ask an investment consultant and most of all get informed about the rules and legal backround of doing business in Slovenia.

Forming a Company in Slovenia

When you've decide on the type of business you want to run in Slovenia than you need to form a company. Don't worry it's less complicated and burocratic than you might think. The process of setting up a company is similar to that of other EU countries' company establishing practices.

In most cases forming an LLC (limited liability company, d.o.o. in Slovenian) is the most suitable choice. In can be set up in two weeks.

Taxes in Slovenia

Several tax forms are in effect in Slovenia including corporate income tax (22% of the taxable profit, it will be reduce dto 20 % by 2010), personal income tax (progressive rates with the increase of income: 16%, 27%, 41%), payroll tax, social security contributuons (employer 16.1 %, employee 22.1 %).

There's no property tax in Slovenia.

There are two Value Added Tax (VAT, or DDV in Slovenian)) Rates in Slovenia: