6 October 2026
Establish a Subsidiary in Croatia
How to establish a subsidiary in Croatia, helped by our company formation representatives in Croatia. Get your guidance today!
Ready to set up a subsidiary in Croatia in 2026? We invite you to read this article and also access our online services. We have a specialized team of company formation agents in Croatia who can deal with all the formalities.
| Quick Facts | |
|---|---|
| Applicable legislation (home country/foreign country) | Croatian Company Law |
Best used for | – financial and insurance activities, – banking, – IT |
Minimum share capital | Yes |
| Time frame for the incorporation (approx.) | Around 2 weeks |
| Management (local/foreign) | Local |
| Legal representative required | Yes |
| Cost for establishing a subsidiary | From EUR 3,800 |
| Local bank account | Yes |
| Independence from the parent company | No |
| Liability of the parent company | Each subsidiary is liable for its debts and obligations |
| Corporate tax rate | 10% (annual revenue up to EUR 1 million) or 18% |
| Possibility of hiring local staff | Yes |
Can a subsidiary in Croatia be 100% foreign owned? Is a local business partner required?
There is no need for a local Croatian partner to start a subsidiary. 100% foreign ownership is permitted in the business climate in Croatia.
What are the key features of subsidiaries in Croatia?
- it is an independent legal entity,
- can carry out different activities than the parent company,
- can have its own business name,
- can be formed by one or more shareholders (no maximum),
- can be controlled by one or more directors/managers, etc.
What is the optimal structure for a Croatian subsidiary?
The limited liability company – DOO in Croatia.
Please explore this infographic with details about subsidiaries in Croatia:
What is the minimum share capital for a subsidiary in Croatia?
EUR 2,500.
Where do I register a subsidiary in Croatia?
At the Trade Register/Commercial Court in Croatia.
Do I need a legal representative for opening a subsidiary in Croatia?
No. The subsidiary’s directors can be/serve as legal representatives.
Additionally, you can watch the following video presentation on this topic:
What are the key conditions to open a subsidiary in Croatia?
- choose, verify and reserve the business name,
- draft the Articles of Association,
- present a copy of the foreign company’s documents,
- open a corporate bank account and deposit the minimum share capital, at least 25% of the sum,
- get the OIB, which is the tax identification number issued by the Croatian Tax Administration,
- register the company’s staff with the Social Security,
- get the company stamp, etc.
What is the time frame to set up a subsidiary in Croatia in 2026?
Around 2-4 weeks.
What is the taxation for subsidiaries in Croatia?
- 10% CIT if the subsidiary's revenue does not exceed EUR 1 million/year,
- 18% CIT for annual revenues exceeding EUR 1 million/year,
- 10% WHT for dividends,
- 15% WHT for interest & royalties, but exemptions apply.
Are there any updates for subsidiaries in Croatia in 2026?
- if you have a subsidiary in Croatia, you should be aware of some important updates in the business climate,
- Croatia has initiated the digitalization process for B2B transactions, focusing on how they are processed. This also includes subsidiaries in Croatia,
- subsidiaries that are VAT-registered in Croatia are required to report all financial transactions in real-time to the Tax Administration,
- business owners must send and receive B2B e-invoices for all domestic transactions. If companies do not implement the new rules, authorities can impose penalties,
- non-EU/EEA investors who want to start a subsidiary in Croatia must first obtain an OIB, which is the official tax ID, and, if they will work in Croatia, a residence and work permit.
Entrepreneurs looking for a team of accountants in Croatia can discover our personalized services. More about how to set up a subsidiary in Croatia in 2026 can be found if you contact our experts in company incorporation in Croatia.