How to Start a Business in Montenegro: A Comprehensive Guide

Montenegro, a small Balkan country nestled between Croatia, Bosnia and Herzegovina, Serbia, Kosovo, and Albania, has become an increasingly popular destination for international entrepreneurs looking to start a business. The country boasts a strategic location, favorable tax system, and a relatively stable political and economic environment. If you’re considering starting a business in Montenegro, here’s a comprehensive guide to help you get started.

  1. Conduct Market Research

The first step in starting a business in Montenegro is to conduct market research. This will help you identify potential opportunities and challenges in your industry. You’ll need to analyze the competition, the regulatory environment, consumer behavior, and other factors that could affect your business. It’s also important to identify your target market and understand their needs and preferences.

  1. Choose a Business Structure

The next step is to choose a business structure. You can choose to register as a sole proprietor, a limited liability company (LLC), or a joint-stock company (JSC). Each business structure has its own advantages and disadvantages, so you’ll need to weigh your options carefully. The most common form of business registration in Montenegro is LLC, as it offers a simple registration process, limited liability protection, and tax benefits.

  1. Register Your Business

Once you’ve chosen a business structure, you’ll need to register your business with the Central Registry of Business Entities. The registration process is relatively simple and can be completed online. You’ll need to provide information about your business, such as its name, address, legal structure, and purpose. You’ll also need to obtain a tax identification number and register for VAT if your business will be selling goods or services.

  1. Obtain Necessary Permits and Licenses

Depending on the type of business you’re starting, you may need to obtain additional permits and licenses from various government agencies such as emi licenses. For example, if you’re starting a restaurant, you’ll need to obtain a food service permit from the Ministry of Agriculture and Rural Development. You may also need to obtain a business license from the local municipality where your business will be located.

What is an EMI license?

An EMI license is a type of license that allows a company to issue electronic money, provide payment services, and offer other financial services. In Montenegro, an EMI license is issued by the Central Bank of Montenegro (CBM). This license is required for businesses that offer electronic payment services, including online money transfers, e-wallets, and prepaid cards.

Process to Obtain an EMI License

The process to obtain an EMI license in Montenegro can be broken down into the following steps:

  1. Register your company: Before applying for an EMI license, you’ll need to register your company with the Central Registry of Business Entities in Montenegro.
  2. Meet the minimum requirements: Your company must meet the minimum requirements set forth by the CBM. This includes having a minimum share capital of €350,000, a business plan, and a risk management policy.
  3. Submit an application: Once you’ve met the minimum requirements, you’ll need to submit an application for an EMI license to the CBM. The application will include detailed information about your business, including your business plan, financial statements, and ownership structure.
  4. Background check: The CBM will conduct a thorough background check on your company and its owners to ensure that they meet the fit and proper criteria.
  5. Approval and License Issuance: If your application is approved, the CBM will issue you an EMI license, allowing you to operate as an Electronic Money Institution in Montenegro.

Compliance Requirements

Once you obtain an EMI license in Montenegro, you’ll be subject to a range of compliance requirements. These include:

  1. Ongoing reporting requirements: As an EMI, you’ll be required to submit regular reports to the CBM detailing your financial performance, compliance with regulations, and risk management policies.
  2. AML/CFT Compliance: You’ll need to have a robust anti-money laundering and counter-terrorism financing (AML/CFT) program in place, which includes performing customer due diligence, monitoring transactions, and reporting suspicious activity.
  3. Cybersecurity measures: EMIs are responsible for implementing appropriate cybersecurity measures to protect customer data and prevent fraud.
  1. Open a Bank Account

To operate a business in Montenegro, you’ll need to open a bank account. This will allow you to receive payments from customers, pay suppliers and employees, and manage your finances. Most banks in Montenegro offer online banking services, making it easy to manage your account from anywhere.

  1. Hire Employees

If your business requires employees, you’ll need to hire them in accordance with Montenegrin labor laws. You’ll need to provide them with a written employment contract and register them with the relevant authorities. You’ll also need to pay social security contributions and other taxes on their behalf.

  1. Comply with Tax Regulations

As a business owner in Montenegro, you’ll be required to comply with tax regulations. You’ll need to file regular tax returns and pay corporate income tax, social security contributions, and other taxes. Montenegro has a flat tax rate of 9%, which is one of the lowest in Europe.


Starting a business in Montenegro can be a great opportunity for entrepreneurs looking to expand their reach into the Balkans. With a favorable tax system, a strategic location, and a relatively stable economic and political environment, Montenegro is an attractive destination for international business. By following the steps outlined in this guide, you can start your business in Montenegro and enjoy the benefits of doing business in this beautiful country.

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