This article will relate the experience of opening a business in Albania as a foreigner, including the benefits and legal requirements entrepreneurs encounter here, as well as costs and other particularities.
Albania has recently become a compelling destination for investors. The ongoing economic
reforms have created a welcoming environment and there is room for much growth.
In Albania, you can open a variety of companies, including a limited Liability Company, a joint stock company, a sole proprietorship (if you have local residency), a partnership, or you can establish a branch or representative office of a foreign company. If you are interested in setting up a company in Albania, our company formation agents are ready to help you.
| Quick Facts | |
|---|---|
| Time frame to register a business in Albania | 1-2 days |
|
Composition of the business registration costs |
Registration fee, legal and notary fees, Articles of Association drafting. |
|
Maintenance costs |
Accounting, taxes, social contributions, virtual office/rent. |
| Special costs/fees to consider when opening a company as a foreigner in Albania | Social and health contributions for employees and shareholders. |
| Bureaucracy |
Low and improving due to ongoing digitalization of public services. |
| Availability of online business administration services |
Yes, almost all services are online via the e-Albania portal. |
| Corporate tax rate |
0% for small businesses with an annual turnover up to 14 million LEK, 15% for others. |
| Particularities of the workforce |
Young, skilled but the country faces an employment shortage. |
| Social contributions to pay as an employer |
Investors opening a company in Albania as foreigners need to contribute 16.7% of the gross salary per employee. |
| Best performing industries |
-Tourism, -IT, -energy, -construction. |
| Possibility to open a business remotely in Albania (YES/NO) |
Yes, with the help of a local registered agent. |
| Restrictions on foreign investments |
Yes, strategic sectors may require special licenses or screening. |
| Support in openinng a business as a foreigner in Albania |
Yes, local agents, lawyers, and accountants provide full support. |
| Key business hubs |
-Tirana (capital), -Durrës (port), -Vlora (coast), -Shkodër (north). |
| Foreign Company Ownership | 100% Foreign Ownership |
Table of Contents
The costs and bureaucracy when opening a business in Albania as a foreigner
The government in Albania has made significant efforts to simplify the processes through digitalization, making it much easier to register and manage a company. This has reduced the need for physical interactions and bureaucracy. On the E-Albania platform, companies can access tax services to fulfill their legal obligations, such as filing declarations and checking debts.
The cost of opening a company in Albania and keeping it running are relatively low. The minimum share capital for a limited liability company is 100 LEK. The corporate tax rate is a major draw for many. Albania has a corporate income tax of just 15%, which is highly competitive, compared to the EU’s average of 21.5%. When starting a business in Albania, investors should take into consideration the accountant fee, the public notary fee and the fee of the company formation agent.
Companies that want to reduce the costs, can opt for a virtual office. A virtual office gives you the flexibility to run your business from anywhere, which is perfect for remote companies and foreign investors who want a presence without the expense of an office. Our team of company formation agents can help you acquire a virtual office for your business.
The benefits of opening a business in Albania as a foreigner
The low costs and recent economic growth are two important advantages. Aside from this, businessmen can benefit from the strategic location, perfect for logistics, trade, and tourism. Tourism in Albania is a really solid investment sector right now. The country’s booming tourism is getting a lot of support from the government. This means:
1) Great opportunities for tourism companies in Albania;
2) Growth in the Real Estate sector;
3) Growth in all HoReCa areas.
Investors interested in opening a company in Albania as a foreigner should note that the number of international visitors has doubled in recent years, reaching a record 11.7 million in 2024. Four and five star hotels with internationally recognized brands can benefit from a 10 year corporate income tax exemption.
Opening a business in Albania – Risk profile
The country’s stability and growth indicators suggest that the risk of opening a business in Albania is becoming increasingly manageable. Here are some numbers that prove and sustain the low risk profile of the country:
- Foreign Direct Investments reached €1.58 billion in 2024, a 5.6% increase from the previous year;
- If you set up a small business in Albania, you can benefit from a 0% corporate tax if your annual turnover doesn’t go over 14 million LEK;
- According to Fitch Ratings, Albania has a ‘BB’ credit rating with a Stable Outlook as of March 2025.
Opening a company in Albania as a foreigner is an increasingly attractive and strategic choice. The low tax rates, its economic growth and strong tourism sector are promising factors. The success of a business depends on careful planning and research, as well as local professional expertise. If you need assistance with the process of company incorporation in Albania, you can contact our company formation experts.