Why are not more people mentioning Montenegro?

Marcus Aurelius

New Member
In my search for a country with an interesting tax regime I came across Montenegro but not a lot of people seem to be talking about this.

Some of the characteristics I have been able to find about Montenegro:

- 9% corporate tax.
- 0% corporate tax on income source outside of Montenengro for companies owned by foreigners. Not sure about this one, it is what I could make up from reading online.
- Low incorporation costs <1k
- Low initial share capital of 1 Euro.
- No Automatic Exchange of Information (AEOI)
- No Common Reporting Standards (CRS)

All looks quite interesting if you are looking to setup in Europe and pay a low tax or am I missing something?

So, my question is.. Would Montenegro be an interesting option if you want to incorporate in Europe? And does anyone have any experience with this jurisdiction?
 

stefpdt

New Member
Montenegro is a beautiful hidden gem from a touristic perspective, great place to own property or run some other type of physical business on the ground over there.

The kicker is that you’ll probably want to be in the country to do business over there.

The country is severely underdeveloped.

It’s hard enough to get shit done living in the Balkans, I can’t imagine trying to manage a business structure over there remotely, unless you have a very trustworthy contact on the ground.
 

Martin Everson

Offshore Consultant
Business Angel
In my search for a country with an interesting tax regime I came across Montenegro but not a lot of people seem to be talking about this.
Because it is a corrupt third world banana republic maybe...just a guess :rolleyes:. I would have put my pension in Bitconnect and bought shares in Satabank before I go near Montenegro.

 

Marcus Aurelius

New Member
Because it is a corrupt third world banana republic maybe...just a guess :rolleyes:. I would have put my pension in Bitconnect and bought shares in Satabank before I go near Montenegro.

How about the more famous offshore places, are they not a third wold banana republic? Belize, Seychelles, Vanuta and others? I would even go as far as calling UAE a banana republic judging by their laws.

Bulgaria, been there once and would never go back. What an absolute shithole.

So, why is Montenegro considered a third world banana republic?
 

Martin Everson

Offshore Consultant
Business Angel
How about the more famous offshore places, are they not a third wold banana republic? Belize, Seychelles, Vanuta and others?
Yes. You ever thought why they introduce offshore banking?:rolleyes:

I would even go as far as calling UAE a banana republic judging by their laws.
Yes. I talked about UAE below its worse than a banana republic.


Bulgaria, been there once and would never go back. What an absolute shithole.
I did too see my opinion below I don't disagree....lol


I also come from a third world sh*thole so I know one when I see it.
 

stefpdt

New Member
When I was renting a place in the heart of Budva, it was a very nice condo with modern amenities, but the place didn’t even have an actual address.

I assume that property was unregistered because the local government there is incompetent, corrupt or both.

That’s a small scale example of Balkan culture.
 

Martin Everson

Offshore Consultant
Business Angel
lol....In developing countries this is normal for addresses smi(&%. Wouldn't want to be a postman in those countries.
 

Bmw850

Trusted Member
Business Angel
Mentor Group
Amazing how experience differs between guys, i have good experience with customers there, no 3rd world money at all ;)
 

stefpdt

New Member
I would consider buying beachside property in Budva or Kotor during the next downturn.

The Adriatic Sea is incredible and properties are in high demand during the vacation months (right now).

Montenegro is like a poor man's Croatia so working class people from the Balkans or Russia will always be able to afford vacationing there.

It's pretty cheap.
 

Marcus Aurelius

New Member
I would consider buying beachside property in Budva or Kotor during the next downturn.

The Adriatic Sea is incredible and properties are in high demand during the vacation months (right now).

Montenegro is like a poor man's Croatia so working class people from the Balkans or Russia will always be able to afford vacationing there.

It's pretty cheap.
And what has this to do with my guestion?
 

Marcus Aurelius

New Member
Yes. You ever thought why they introduce offshore banking?:rolleyes:



Yes. I talked about UAE below its worse than a banana republic.




I did too see my opinion below I don't disagree....lol


I also come from a third world sh*thole so I know one when I see it.

Thanks for your reply.

No country is a shit hole. Governments make it a shit hole.
 

stefpdt

New Member
And what has this to do with my guestion?
People who incorporate in Montenegro are usually involved in the tourist industry in one way or another. Like owning vacation rentals or taxi companies.

There aren’t many other reasons why people would incorporate there.

If you still think otherwise I’d love to see some examples of companies that are based in Montenegro. Please showcase your research.
 

khan

Corporate Services
Business Angel
Mentor Group
If you still think otherwise I’d love to see some examples of companies that are based in Montenegro. Please showcase your research.
second that and while we are on it, did you find any reliable provider of company formation in Montenegro?
 
There are few reasons:

About the companies:

a) Montenegro company requires a local director. It's required by law but many consultants who sell these companies don't tell this to clients who run into problems after that. This issue can be solved in 2 ways: either a foreign director gets temporary work permit (it costs around 2000EUR, requires certain paperwork and 2 visits to Montenegro) or you hire a local director with limited powers. But one of these options is a must.
b) Montenegro company pays 9% tax and maintains bookeeping. Local tax authority is very strict because many people used Montenegro companies for scams. But if you pay your tax and maintain bookeeping, you can work very efficiently as Montenegro has many double tax treaties and local banks (I don't talk about small shady banks) are very good with USD transactions, etc.
c) There are a shortage of good accountants and advisers in Montenegro who can advise you efficiently to lower your taxes and do everything properly.

If you follow all this, Montenegro company is a great tool for international business.

About Montenegro banks and accounts:

Some smaller banks were accepting a lot of offshore clients and now are paying the price (same what happened in Latvia, Cyprus, pretty much everywhere). So non-resident company accounts are almost impossible to open.
But they have good solutions for personal accounts, especially if you have an investment account as well which is safe since financial instrument custody is still assured in world-known custodians. With such conditions you can also get personal account.
For Montenegro companies we open accounts in banks like ERSTE, OTP, ADDIKO = these are well known business banks and definitely much better like Vanuatu, Belize or even UAE sh___hole bank Mashreq.

But again - if you need 0% tax solution to take out cash, no bookkeeping, etc- then this is not for you.
 

rowena

Building Trust
Entrepreneur
For Montenegro companies we open accounts in banks like ERSTE, OTP, ADDIKO = these are well known business banks and definitely much better like Vanuatu, Belize or even UAE sh___hole bank Mashreq.
Whats the problem with mashreq bank ?
 

1nomad

Building Trust
Entrepreneur
what's the benefit of owning a Montenegro company? As far I know, there's no CFC rules, so you can live there and run any foreign company and pay 9% local tax or pay nothing. Living in Montenegro is for sure much closer to European standards than for example in Cyprus
 

rowena

Building Trust
Entrepreneur
Montenegro is an undeveloped and small country with good nature but still hard to live also their banking system is like from 1990
 

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