If you want to open a sole trader in Slovenia, you should complete a few steps. Discover below what these steps are and how our local agents can help you.
| Quick Facts | |
|---|---|
| Who can register a sole trader in Slovenia | Any natural person, including foreign nationals (EU/EEA or non-EU with valid residence permit). |
Also known as | Samostojni Podjetnik or Independent Entrepreneur. |
Legislation | Companies Act (Zakon o gospodarskih družbah – ZGD-1). |
| Registration authority | AJPES (Agency of the Republic of Slovenia for Public Legal Records) via SPOT points (Slovenian Business Point). |
| Minimum share capital | No initial capital required. |
| Key documents | Valid ID, Slovenian tax number, Slovenian national ID number (EMŠO) for non-residents. |
| Local agent required | Not imposed, but recommended. |
| Legal Status of a sole trader in Slovenia | Micro-entrepreneur |
| Mandatory business address | You must register a valid business address in Slovenia. Virtual office solutions are generally accepted. |
| Social Security Registration | Mandatory |
| Tax Registration Required | YES. Must register with the Financial Administration (FURS). |
| Taxation of Sole Traders | Subject to Personal Income Tax (PIT). Two options – regular bookkeeping (based on actual profit) or lump-sum/normalized expenses (80% fixed expense deduction, effectively taxing 20% of income). |
| Registration timeframe of a sole trader in Slovenia | Very fast, often completed in 1-3 business days after submitting the application. |
| Key precaution (Liability) | Unlimited personal liability. The sole trader is liable for all business obligations with their entire personal and business assets. |
| Other establishment costs | May include costs for obtaining required documents (tax/ID numbers) and professional services (legal/consulting). |
Table of Contents
Can I operate as a sole trader in Slovenia if I am a foreigner?
Yes, however, you first need to obtain a Slovenian tax identification number. The procedure is different based on your country of origin, as follows:
- if you are an EU citizen, you can simply move to Slovenia, register your stay with the authorities, and obtain the tax ID;
- if you are a non-EU citizen, you must first obtain a residence permit and then apply for the tax ID.
What are the main features of a sole proprietorship in Slovenia?
- It is not a separate entity from the owner: you will be responsible for the debts and obligations of the business with your personal assets;
- You cannot hire employees or have partners: the activity must be carried out by yourself;
- No minimum capital is imposed: you can establish the amount required to carry out your activity.
We also have an infographic on this topic:
What are the steps to open a sole trader in Slovenia?
The following:
- entry in the Slovenian Business Register;
- registrationwith the Tax Administration;
- registration with health insurance and self-employment on behalf of the sole trader.
Businessmen interested in operating as sole traders in this country can be guided by our specialists in company registration in Slovenia, who will help them prepare all the necessary documentation for the registration procedure.
What do I need to do if I want to open a sole proprietorship as a foreigner in Slovenia?
You need to:
- secure a local address;
- obtain a tax identification number;
- open a bank account with a Slovenian financial institution.
What are the document I need to open a sole proprietorship in Slovenia?
- A valid ID/passport, depending on your nationality;
- The tax identification number;
- Proof of a local address (a property title or rental/lease contract).
NOTE: If you rent a property, you must also submit a declaration from the owner consenting to you using the respective property as a place of business.
Are there any requirements for the sole trader’s name in Slovenia?
The owner of the company must include in the sole trader’s name his or her name (full name is required), but also the abbreviation designating the sole trader in Slovenia (which is “s.p.”); furthermore, the name must also clearly state the field of operations in which the sole trader was registered.
Are there any licensing requirements applicable to sole traders in Slovenia?
Depending on the type of activity performed, the sole trader may need to apply for special permits and licenses in order to lawfully do business in this country.
What are my tax obligations as a sole trader in Slovenia?
You need to consider the following:
- you will pay the income tax as a natural person, which is levied on a 5-tier level, with the lowest rate of 16% and the highest of 50%;
- you must also pay your own social security contributions;
- if your activities are liable for VAT, you must also register for VAT.
Can a sole trader be transformed into a company in Slovenia?
If a sole trader wants to expand the business and increase its income, there is a possibility to transform the sole trader into a Slovenian company.
Please contact our team of Slovenian company formation experts if you need further information about the procedure of establishing a sole trader in Slovenia or transforming it into a company.