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Starting a Business in

Montenegro

Below is a detailed summary of the bureaucratic and legal hurdles faced by entrepreneurs wishing to incorporate and register a new firm in Montenegro. It examines the procedures, time and cost involved in launching a commercial or industrial firm with between 10 and 50 employees and start-up capital of 10 times the economy's per-capita gross national income.

This information was collected as part of the Doing Business project, which measures and compares regulations relevant to the life cycle of a small- to medium-sized domestic business in 190 economies. The most recent round of data collection was completed in June 2016.

Compare Montenegro to 189 other economies.

  • No. Procedure Time to Complete Associated Costs
    1

    Certify the company’s founding agreements

    Agency: Basic Court and Notaries

    Lawyers are no longer authorized to do the certification of corporate documents. The applicant certifies company documents at the basic court and certifies copies at municipalities. Certification fees vary depending on the number of pages, documents, and so forth.

    Montenegrin Notary Chamber was established on 29 April 2011, and on 25 June 2011 they started operating when almost all work in relation with notarization-certification has been relocated from basic courts to public notaries. 
    The total cost is: 21 Euro (13 Euro for the court + copies of documents such as passport - each copy 2 Euro).
    Notarization of the OP form - 10 Euro
    1 day EUR 13 for court + EUR 2 per document (4 documents) + EUR 10 for OP form
    2

    Submit the request together with the necessary documents and obtain the registration certificate, TIN (tax identification number), VAT tax number and customs authorization

    Agency: Central Registry of Business Entities of the Tax Administration (CRBE)

    The applicant checks the company name online and then comes to the registry located at the Commercial Court with completed documents and registers the name and company. At the registry one counter exist for LLC registration and payment of relevant fees can be done at the same place. (Name can be checked online at no charge at (www.crps.cg.yu) and name reservation can be done online but payment is done in person. Company Forms can be obtained online.

    The Company Registry prepares text for the announcement of company formation. The Registry also estimates the publication fee (based on notice length) and sends all notices to the Official Gazette, which are published in the upcoming issue. Publication time is 10–15 days. Even so, subsequent procedures do not depend on the announcement, so the client can continue to form the company regardless of the publication date.

    Required documents for registration are:
    1. Article of Incorporation;
    2. the Statute;
    3. Registration Form PS01: list of founders, members of a company, managers and members of the board of directors, if they are appointed: a) the first and surnames and any former names; (b) their personal identification number (c) their residential addresses; (d) their citizenship; (e) details of any other directorships, memberships in limited liability companies or partnerships, or other management positions held in Montenegro or elsewhere and the place of registration of such companies if not in Montenegro; name of an executive director; name of the company, address of the seat of the company and address for receiving official correspondence, if they are different; persons authorized to represent the company and information if the representation is collective or individual; a document which would confirm payment of registration fee.
    5 days EUR 10 (registration fee) + EUR 12 (publication fee)
    3

    Obtain company's seal

    Agency: Seal maker

    The company seal or stamp is a core instrument in company legal transactions. The company orders a seal or stamp upon registering with the Company Registry because it is essential for subsequent company transactions including opening a bank account and registration with Tax Authority. The seal is made on the day it is ordered.

    Even though as of 2011 the use of seal is not mandated by law, it is still widely used in practice.
    1 day EUR 30-40
    4

    Open a bank account

    Agency: Commercial Bank

    The companies must open a bank account in order to register with Tax Authority.
    Request for opening of the bank account is submitted on the form ZZOUR of the bank, by post or personally, and it has to have the following information:
    - Name of the requesting party
    - Address of the seat of the company and the telephone
    - Name of the account

    Besides the form ZZOUR, an entrepreneur has to submit the following documents:

    1. A confirmation of the Central Registry of Commercial Entities in Podgorica on registration (validated copy),
    2. A contract on opening of the account and keeping the account (is closed in a bank),
    3. A card of the deposited signatures (is received in the bank),
    4. OP (validation of the signature),
    5. A document on tax identification number (PIB) by the Tax Authority of Montenegro,
    6. Photocopy of IDs of authorized persons of the company.
    1 day no charge
    5

    Register with Tax Authority

    Agency: Tax Authority

    The company must file a bank account certificate as well as single registration form (JPR) to register the company and its employees with the Tax Administration. Registration is then automatically done with the Employment Bureau, the Pension Fund, and the Health Fund.
    1 day no charge
    6

    Notify the competent inspection authority and the municipal authority in charge of economic affairs

    Agency: Municipality

    New reforms abolished the license and made it sufficient to have a notification. If the Company is engaged in trade, it pays the administrative fee in the amount of 3 € within the municipal authority in charge of economic affairs for the notification.
    1 day EUR 3