The rules and regulations of the financial services sector in Slovenia are supervised by the Bank of Slovenia. The National Bank also provides for the requirement to obtain a financial license in Slovenia for certain activities.
According to the provisions of the Company Act, if you want to establish a financial company in Slovenia you can choose from: commercial banks, saving banks, stock brokerage firms, investment funds, or insurance companies. Our experts in company formation in Slovenia can guide you through the process of establishing a financial company.
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Steps for establishing a financial company in Slovenia
If you decided to invest in Slovenia`s financial sector and set up a company, here are the necessary steps of the process:
• choose a type of company, a name, and a registered address for your business – the limited liability companies and branch offices are the most common legal entities set up in Slovenia;
• draw up the articles of association, open a bank account and deposit the minimum required capital for your company;
• obtain a Slovenian tax number – this is necessary for the process of company registration;
• gather all the documents of your company and submit an application for company registration with the Slovenian Business Register. If you establish a limited liability company, you can have it registered at a local VEM contact point. The entire process is relatively short and it can be completed in 4 to 6 working days;
• register for taxation in Slovenia and obtain social security and health care insurance for your employees;
• apply for business permits and licenses with the Bank of Slovenia – most companies operating in the financial sector require authorization to do business.
The entire process of establishing a financial company and obtaining the necessary permits and licenses can be professionally managed by our specialists in company registration in Slovenia.
Types of activities completed by financial companies in Slovenia
One of the main advantages of operating in the financial sector is the array of operations you can undertake. If you want to open a company in Slovenia in this industry, you can undertake any of the following activities:
- banking with bank account opening and financing solutions;
- securities and other financial instruments trading;
- insurance and reinsurance activities through which you can sell various types of insurance policies;
- factoring operations;
- offering credits;
- currency exchange activities;
- e-payment solutions;
- financial advisory services.
These are just a part of the financial activities you can carry out in Slovenia. They are supervised by several authorities, depending on the operations completed. These bodies are:
- the National Bank of Slovenia;
- the Securities Market Agency;
- the Insurance Supervision Agency;
- the Office for Money Laundering Prevention.
Our company formation agents in Slovenia can offer detailed information on the requirements to establish a financial business.
Licensing requirements for financial companies in Slovenia
One of the most important aspects to consider when setting up a financial business in Slovenia is the licensing requirement. There are several types of permits that can be obtained for undertaking such activities. Each of them has its requirements in terms of documentation, as well as company officers to appoint.
Here are some of the Slovenian financial licenses to obtain:
- the banking license issued by the National Banks to savings and traditional financial institutions;
- insurance licenses issued by the Insurance Supervision Agency;
- capital markets licenses issued by the Securities Market Agency.
In the case of insurance activities, the Agency issues the following types of licenses:
- permits for insurance agents and brokers;
- licenses for natural persons selling insurance policies.
The banking license is one of the most requested in Slovenia. The minimum capital for opening a bank is EUR 5 million. Also, apart from preparing the necessary documents for the license, the applicant must establish a formal meeting with the National Bank’s representatives, where the business model and strategy are discussed.
If the license is approved by the Bank, the application will also be forwarded to the European Central Bank.
Documents required to obtain a financial license in Slovenia
With respect to the documents required to apply for a financial license, generally speaking, such companies must provide:
- a detailed business plan;
- information about the shareholders (the 20 largest in the case of banks with multiple stakeholders);
- a description of the business model;
- the structure of the company;
- details about the management;
- risk management procedures;
- anti-money laundering regulations;
- internal control rules.
How to expand a Slovenian financial business abroad
Slovenian financial companies can operate both within and outside the EU. However, it must be noted that specific regulations must be respected, as follows:
- in the case of EU countries, EU Directives apply and, in some cases, passporting rules are available, which makes the establishment easier;
- in the case of non-EU countries, additional authorizations and even other share capital or even guarantees may be required.
The best business form to use in this case is the branch. It should also be noted that similar rules apply to foreign financial companies seeking to operate in Slovenia: they can do so by setting up branch offices here. Also, when seeking to operate as a bank, the National Bank of Slovenia must be notified.
Our Slovenian company formation agents can assist with the creation of branches.
Legislation applicable to financial companies in Slovenia
There are several laws to respect when seeking to set up a financial company in Slovenia. The most important is the Banking Act, which was last amended in 2021 to adhere to the newest EU regulatory framework. The Law provides for:
- the implementation of technical standards in offering financial services;
- the application of best practices in the banking sector.
What should be noted is that financial businesses in Slovenia must also adhere to regulations issued by the European Central Bank and the European Banking Authority, especially if they want to offer their services in other EU member countries.
Another important law to respect in the financial sector is Prevention of Money Laundering and Terrorist Financing Act, last amended in 2022.
Apart from these, which are two of the most important, other laws that apply in the Slovenian financial sector are:
- the Payment Services, Services for Issuing Electronic Money and Payment Systems Act of 2018;
- the Takeovers Law of 2006;
- the Law on Implementing EU Regulation on securitization of 2019;
- the Resolution and Compulsory Winding-Up of Banks Act of 2021.
If you want to open a company in Slovenia and are considering the financial industry, feel free to ask for support from our local specialists.
The financial sector in Slovenia
The financial sector in Slovenia is marked by a relatively high degree of concentration. The largest bank in the country is state-owned, while others are set up by foreign investors in Slovenia or takeover or merged with Slovenian banks. The local government adopted a series of measures aimed at improving the financial sector after the economic crisis. The stability and well-functioning of the financial sector are managed by the Bank Asset Management Company (BAMC), established by the Slovenian government. The banking legislation has been amended in order to promote the establishment of financial companies in Slovenia and to authorize them to purchase securities abroad. The Slovenian companies operating in the insurance sector benefit from significant changes in the legislation regulating this area.
How many banks operate in Slovenia?
According to the latest statistics for September 2024:
- there were 10 commercial and retail banks operating in Slovenia;
- out of them, 2 were Slovenian, 2 Italian, and 3 Austrian;
- there were also 3 savings banks present in Slovenia.
If you need assistance with starting a financial company in this country, don`t hesitate to contact our Slovenian company formation agents.