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Representative Office
Zyra e Përfaqësisë
A Representative Office in Kosovo is established for foreign companies to conduct non-commercial activities such as market research, promotion, and business development without engaging in direct commercial operations.
Key Features
Cannot conduct direct commercial activities — non-commercial representation only
Not a legal entity — extension of parent company
Purpose: market research, business connections, promotion
Advantages
Cost-effective way to enter Kosovo market
Limited legal obligations and commercial risks
Quick and simple setup process
Generally exempt from taxes (no commercial income)
Disadvantages
Cannot generate revenue or enter commercial contracts
No local independence — controlled entirely by parent company
No legal personality — all liability on parent company
Required Documents
Parent Company Documents
•Certificate of incorporation
•Proof of operation (trade registry certificate)
Authorization Document
•Official authorization to appoint representative in Kosovo
Proof of Address
•Lease agreement or deed for office
Registration Steps
1
Submit documents to ARBK2
ARBK confirms registration and assigns number3
Pay registration fees4
Prepare operational plan (typically 1+ year)Operations & Management
Managed by a local representative or manager
Activities limited to: promotion, market research, business development
Regular activity reports to parent company
Legal Basis
Legal Reference: Law No. 06/L-016; QRK No. 05/2021
• Kosovo Law on Business Organizations
• Administrative Instruction (QRK) No. 05/2021
Post-Establishment Obligations
Tax exempt since no commercial activities — maintain expense records
Report changes in address, representative, or activity plan to ARBK
Submit regular activity reports to parent company
Example Scenario
An international automotive company could establish a representative office in Kosovo to conduct market research and develop partnerships before setting up a direct commercial presence.
Conclusion
A Representative Office is ideal for foreign companies seeking a non-commercial presence in Kosovo, allowing them to minimize costs and risks while exploring market opportunities.
Source: Kosovo Law on Business Organizations (Law No. 06/L-016) — Kosovo Consultancy