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Buying a Business in Bulgaria

Updated: Jan 16

Acquiring a business in Bulgaria is a strategic move that offers a plethora of opportunities. Whether you are an entrepreneur seeking to expand your portfolio or an investor eyeing the thriving Bulgarian market, the process demands careful consideration and a thorough understanding of the legal landscape.


Buying an already established business in Bulgaria comes with a myriad of advantages. From an existing customer base and established market presence to operational frameworks and experienced personnel, it provides a head start that can significantly accelerate your business goals. However, the key to a successful acquisition lies in conducting a meticulous due diligence.

Legal Due Diligence - Safeguarding Your Investment

Legal due diligence is a critical step in the business acquisition process, serving as a safeguard for your investment.

Key Aspects of Legal Due Diligence:

Corporate Governance:

➢ Examination of the company's legal structure and corporate governance practices.

➢ Verification of compliance with Bulgarian corporate laws and regulations.


Contracts and Agreements:

➢ Review of existing contracts, agreements, and obligations.

➢ Assessment of legal implications and potential risks associated with contractual obligations.


Real Estate and Assets:

➢ Inspection of owned or leased properties and assets.

➢ Confirmation of legal ownership and potential encumbrances.

Regulatory Compliance:

➢ Verification of the company's adherence to industry-specific regulations.

➢ Assessment of compliance with Bulgarian laws, licenses, and permits.


Financial Overview:

➢ In-depth analysis of financial statements and accounting practices.

➢ Identification of potential liabilities, outstanding debts, and financial risks.

Employee Matters:

➢ Evaluation of employment contracts, benefits, and potential labor-related issues.

➢ Ensuring compliance with Bulgarian labor laws.

Key Benefits:

Risk Mitigation: Conducting legal due diligence empowers buyers to identify and assess potential risks, enabling informed decision-making, risk mitigation strategies, and protective negotiations.

Financial Transparency: Thorough examination of financial statements and accounting practices provides clarity on the company's financial health, including potential liabilities and outstanding debts.

✓ Legal Compliance: Verification of the target company's adherence to laws and regulations ensures a successful acquisition, preventing future legal complications and financial losses.

Contractual Clarity: Scrutiny of existing contracts during due diligence offers essential insights for informed decision-making and negotiation of favorable terms.

✓ Enhanced Negotiation Position: Armed with a comprehensive understanding of the target company's legal and financial landscape, buyers negotiate with confidence, aligning terms with their business goals.

Operational Insights: Delving into operational aspects provides valuable insights into business processes, employment practices, and efficiency, facilitating seamless integration into existing operations.

Preserving Reputational Integrity: Early discovery and resolution of legal or compliance issues preserve the target company's reputation, safeguarding the integrity of the acquisition.

Strategic Decision-Making: Legal due diligence offers a wealth of information for strategic decision-making, empowering buyers to align their choices with long-term business objectives.

Pishtalova Law Company is committed to ensuring a smooth and secure acquisition process. Pishtalova Law Company also collaborates with other law firms, accounting, and audit companies. We understand the complexities involved in purchasing a business, and our tailored legal due diligence services are designed to empower our clients with the knowledge needed to make informed decisions.


Contact us today to embark on the journey of purchasing an established business in Bulgaria with confidence and peace of mind.

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