How to open and close a trade business in Croatia

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Trade or “Obrt” is a pastime or a profession that requires particular skills and knowledge of skilled work. Obrt usually applies to people occupied in small-scale production of goods or their maintenance.

How to Open a Obrt in Croatia

Types of Trades:

  1. Free trade requires no evidence of professional qualification, secondary vocational education or master’s examination as a condition.
  2. Related trade requires proof of professional qualification, secondary vocational education or master’s examination.
  3. Preferential trade may only be performed on the basis of a license issued by the responsible ministry.

Examples of Trades:

  • Hairdresser
  • Translator
  • Carpenter

All necessary payment slips are available, at no charge, at the HITRO.HR counter. Employees of HITRO.HR will help you fill out the forms and payment slips required for registration of a trade. You can make all the required payments at Fina.

A person who fulfills the conditions for tradesmanship becomes a tradesman when he is entered into a trade register.

Maximum annual income for a T.O. in 2017 is 230.000 kn.

The decision on registration of a trade in the trade register and a trade card can be picked up at the HITRO.HR service counter that you authorized to mediate for you in the founding procedure.

When you receive your trade card, you should create a stamp and open a bank account.

Within 8 days from the beginning of the trade activity, you must register with the tax administration for registration in the taxpayer registers. In order to be able to start doing business, you have to obtain a document with the minimum technical conditions from the legal entity responsible for granting the concession for the space where you want to operate the trade.

Cost breakdown

  • Administrative tax = 270 kn
  • Trade card issue = 200 kn
  • Assurance of Incapacitation = 60 kn
  • Medical Certification = 350 kn
  • Entry into a Trade Register = 70 kn

How to Close a Obrt in Croatia

The closing itself is done at the applicable County Office of the State Administration. On the basis of the submitted application for the removal of a trade, accompanied by the trade card, a receipt of payment of the administrative fee (100 kn) and 70 kn of state stamps shall be issued to the tradesman by a court decision stating the termination of the trade.

If everything goes as planned, the trade is then deleted form the trades register.

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4 thoughts on “How to open and close a trade business in Croatia

  1. Ronald
    May 5, 2019 @ 6:54 pm

    Hello Sara

    can you tell me where i can find a list for free trades in Croatia?

    I want to work as a social media Consultant and IT Consulant, is this a free trade?

    Do you know how much heal insurance i have to pay? Is it also necessary to pay complete social insurance in croatia as self employed sole Trader.

    Thanks
    Ronald

    {reply}

    • Expat in Croatia
      May 15, 2019 @ 10:58 am

      Hi Ronald,

      Good question! I’ll get working on a list of free trades.

      In the meantime, to answer your questions…

      Yes, social media and IT consulting can be considered a free trade.

      Yes, you’ll need to contribute to health insurance and pension. This amount varies depending on the type of T.O. you open. To give one example, a tourism obrt can pay 1600 kuna per month for health, pension and taxes.

      Regards,

      Sara

      {reply}

      • Mie Dyasha
        September 6, 2019 @ 3:40 pm

        Hello Sara,
        My dad is interested in investing a Thai food restaurant in Croatia because he travelled there and extremely fall in love with this country! We’re non-EU National. What kind of the visa do we need to apply for like J.d.o.o., D.o.o. or trade obrt? Is that necessary to know basic Croatian before going there or applying for Croatian’s PR/Citizenship?

        Yours Sincerely,
        Mie Dyasha

        {reply}

        • Expat in Croatia
          September 9, 2019 @ 2:27 pm

          Hi Mie,

          You should read this article: https://www.expatincroatia.com/how-to-residency-opening-business-croatia/

          J.d.o.o., d.o.o. and trade obrt are not visas, they are types of businesses. You cannot apply for permanent residency or citizenship after moving here. There are many many hurdles before you would qualify. You will first apply for temporary residency per the above link I provided.

          If you plan to open a restaurant, it would be helpful to know some Croatian before arriving.

          Regards,

          Sara

          {reply}

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