A holding company, short for holding company, is a company that owns shares of other companies. There are different types of holding. The most common are:
holding group leader;
The only Companies that could constitute a Holding company are the Joint stock Companies, the Limited Partnership of shares and the Limited liability Companies. A Holding, in order to control another Company, must own its 25%. Following the Bulgarian law, at least 25% of the capital of Mother Company has to be paid in the subsidiary Company.
A Holding may participate only in companies with a legal entity and operate with a goal of acquiring and managing new Companies. A holding could bring a lot of tax advantages.
BRANCH AND REPRESENTATIVE OFFICE.
The Bulgarian persons or foreign, with natural or legal entities, may register branch and representative A minimum capital to start a branch office is not required. However, there needs to draw up an annual budget and to manage the factory accounting. In according to their national laws, all the foreign person shall be entitled to start a representative office. These must be registered in a Chamber of commerce and Bulgarian industry. This offices are not legal persons or economic agents. These last undertake economics activities according to law.