Laws

Opening a business in Croatia

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An individual who has a registered trade in a member state of the European Union or a state that is a contracting party to the Agreement on the European Economic Area can operate a business in accordance with the provisions of the Trade Act.

With PickJobs, you can find all the necessary information about starting a business, or opening a trade in Croatia, whether you are a Croatian or a foreign citizen.

An individual who has a registered trade in a member state of the European Union or a state that is a contracting party to the Agreement on the European Economic Area can operate a business in accordance with the provisions of the Trade Act. Similarly, they also have the possibility to provide services in the Republic of Croatia on a temporary or occasional basis, in accordance with the Law on Services.

Foreign citizens can carry out trades in the Republic of Croatia under the same conditions as Croatian citizens. An additional condition is set by the Law on Foreigners for third-country nationals, i.e., citizens of countries that are not members of the European Union, who must obtain permits for residence and work if they intend to work in their trade. The permit is issued by the Ministry of the Interior. Therefore, the process of opening a trade for foreigners is somewhat more complicated and takes place through three basic steps:

  • Registration of a trade without a start date for conducting business activities
  • Obtaining a residence and work permit
  • Reporting the start date of business activities in the trade.

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How to start a trade?

You can start a trade through the online services e-Obrt or START or by physically coming to the competent administrative body.

First option: You have the freedom of business establishment in Croatia if you are a trade entrepreneur from the EU/EEA or a third country.

Second option: If you already have a registered business residence in any EU/EEA state, you have the freedom of cross-border provision of services that applies on a temporary and occasional basis for many service activities. In this case, you are not obliged to register a business residence in Croatia.

In any case, it is important to check whether there are conditions for obtaining approval to conduct business activities. This applies to hospitality, commerce, transportation, and other trades that must meet minimum technical conditions for business premises.

Trades can be:

  • Free trades for which no professional qualification or master's exam is required;
  • Tied trades, for which a professional qualification exam, appropriate vocational education or master's exam is required;
  • Privileged trades that may only be carried out on the basis of a privilege.

Croatian citizens

First option: Electronic business establishment through the START service, which offers everything in one place (without additional steps) and is only available to Croatian citizens who have an electronic identity card (eOI).

Second option: e-trade service - only for Croatian citizens:

  • Registration online on the e-Trade website +
  • Croatian Pension Insurance Institute (HZMO) - within 24 hours of starting a business; the data is automatically sent to the Croatian Health Insurance Fund (HZZO).
  • Tax Administration - within 8 days of starting a business.

Third option: In-person

  • Registration in the competent administrative body in the county or in the Zagreb City Office
  • Croatian Pension Insurance Institute (HZMO) - within 24 hours of starting a business; data is automatically sent to the Croatian Health Insurance Institute (HZZO)
  • Tax Administration - within 8 days of starting a business

Required documents

  • proof of identity (copy of ID card or passport)
  • proof of meeting special health conditions (for certain trades: catering, restaurants, fast food establishments, pastry shops, bakeries, etc., or for most activities involving food business)
  • proof of right to use space (when space is necessary for performing a trade: retail, catering, tourism, various types of services such as hairdressers, beauticians, pedicurists, dry cleaners, etc.)
  • for related trades: proof of appropriate secondary vocational education, passing a master's exam or an exam of professional competence (if the applicant does not meet the special requirement of professional competence, appropriate secondary vocational education or passing a master's exam, they may perform a related trade if they employ a person, full-time, who meets that requirement)
  • work permit for third-country nationals (countries outside the EU/EEA)
  • valid residence permit (only for persons who have registered residence in third countries).

EU/EEA and foreign nationals

The only way: see the third option and required documents (see above).

Note: If the trade is registered without stating the start of business activity, the trader must start the trade within one year from the date of registration of the trade.

The start of performing the registered activity is reported no later than eight days before the start of performing the activity.

Recognition of qualifications

The following documents should be sent to poduzetnistvoiobrt@mingor.hr

  • proof of foreign professional qualifications
  • proof of passed exams
  • list of conditions/criteria for taking exams
  • official curriculum that shows a brief content of the passed exam
  • proof of citizenship in another EU/EEA country
  • CV in Croatian
  • confirmation of payment of administrative fees (or confirmation of exemption from payment of administrative fees).
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