Similar to any other country in Europe, Slovenia
is a place where the e-commerce sector
is captivating wider and wider audiences. Thanks to the multiple advantages that it provides in terms of speed and cost reduction, online enterprises increased in popularity in Slovenia
Businessmen who are considering selling goods through the online environment
can start an Amazon store
in this country. One of our specialists in company formation in Slovenia
can give you details on the way this type of enterprise works, so that you can profit from this attractive facility provided by the large American company
Why open an Amazon store in Slovenia?
Slovenia has already been included for a long time in the list of countries accepted to sell on Amazon. Investors in this country consider very seriously the option to open an Amazon store, not only because of the easiness of the process, but also because of the state policies which encourage the development of the online market.
The Slovenian taxes
, which are lower than in other European countries, as well as the huge visibility of the Amazon website
determine investors to use the e-retailer platform provided by Amazon
and reach their consumers as fast as possible. Our team of consultants in company formation in Slovenia
can offer advice on the main procedures that are needed in this case.
Another important aspect you should know about the Amazon store
platform is that it provides secure payments. The Paypal platform
can be used by your customers to buy your products online
. In order to employ this service you need to set up a bank account with a Slovenian bank
. Our consultants
can give you more details on the steps of setting up a company in Slovenia
and can help you open a bank account in this country.
Registering an Amazon business in Slovenia
In order to be able to sell on Amazon
you will need first to register your company with the local business register
. Our team of consultants
can help you choose the appropriate legal structure for your enterprise and to gather the documents for registration, but it is important to know that most of the
set up in this country (which operate as small to medium-sized) usually prefer as a legal entity the limited liability company.
Businessmen who want to open a company in Slovenia
through an Amazon store
will need to create an account on the company’s website
. In order to do so, please note that specific company documents can be requested by Amazon
, as well as proof on the business licenses
the applicant company has. Depending on the legal entity of the company, Amazon
can request the following documents:
• documents attesting the company’s trading name and the company’s registered office;
• the company’s certificate of incorporation and the company’s business plan;
• in the case in which your Slovenian company operates as a partnership, it is necessary to provide the partnership deed;
• persons who are registered as sole traders are also required to provide personal identification documents.
Businessmen should know that Amazon will create an account for your Slovenian business in 3 days, provided that all the required documents do not contain any errors. However, if certain company details are not very clear, Amazon will send a feedback via e-mail, requesting further evidence on any issue.
The procedure of company formation in Slovenia
requires the completion of several steps and, once the company was registered in this country, the documents that can be requested by Amazon
should already be available for the investor registering an online store
. Please note that there are specific differences in starting an online store on Amazon
, based on the tax residence of the company.
For example, in the case of businesses operating in Europe, which is also the case of Slovenia
requires companies to provide the company’s tax information and the company’s value added tax (VAT
) number. It is important to know that the registration with the platform is not bound by the existence of a VAT number (Amazon
allows this), but the VAT number will eventually be necessary once the company starts selling its products in Europe.
How can a Slovenian business obtain a VAT number?
In order to sell through Amazon in European countries, the online business must be the holder of a VAT number. Please note that the company must select the European countries where it wants to have its products delivered through Amazon, following the procedures imposed by the online retailer.
According to the Slovenian legislation
, businesses that sell their products through the online environment
are required to register for VAT in Slovenia
once their annual sales reach a value of EUR 35,000 (sold to Slovenian citizens
). The VAT registration is necessary for both companies registered in Slovenia
, as well as for foreign companies selling their products on the Slovenian market
The standard VAT number in Slovenia is formed by the country code SI and a code formed from 8 characters (in the form of digits); the VAT rates that will be imposed to online businesses will depend on the types of products that they sell on the local market.
Thus, it is necessary to know that Slovenia
imposes a standard VAT rate of 22%, which is applicable to most of the goods traded on the local market, but companies can also benefit from a reduced VAT rate, of 9,5%, applicable to products such as books, foodstuffs
, certain types of medical devices, clothes, household goods and other; our team of consultants in company registration in Slovenia
can provide more information on the VAT rates applicable here.
As a VAT payer in Slovenia
, the company also needs to comply with various accounting procedures, and this is applicable to both natural persons and legal entities liable to this tax. The forms that must be submitted by VAT payers are available at the country’s tax regulator, the Financial Administration
. The submission of the VAT returns is free of charge and the delays in submitting the required papers will be charged with a fine, ranging from EUR 2,000 to EUR 125,000.
What are the advantages of starting an Amazon store?
Besides the fact that the company will be able to access a larger consumer market than in the case of businesses carried out through a brick and mortar shop, the customers can purchase your products at any given hour, from basically any location across the world.
Another advantage refers to the business start-up costs that are available in this case, which are considerably lower when compared to a traditional shop. Amazon offers the possibility of creating different types of accounts, which can be selected depending on the volumes estimated for sale through the online shop.
In this sense, persons operating a business in their own name can register as through an individual account, which is a type of account for those who estimate that will sell less than 40 items a month. For businesses which expect larger volumes in sales, Amazon has a special account, created for those selling as professionals. The difference between the two types of accounts is given by the fee system applied by the Amazon platform.
Why sell products through the Amazon platform?
represents the largest e-commerce platform
available at a global level, with annual sales that represent the value of sales of other major e-commerce platforms
combined. Having an Amazon store
provides the opportunity of reaching the global consumer market and this can help a business expand at a very rapid pace. Businessmen considering to start a company in Slovenia
through an Amazon store
should know that the platform’s popularity is given by the following data:
• as a general rule, the Amazon platform is accessed on a monthly basis by approximately 197 million people around the world;
• the consumers, regardless of where they are in the world, have a high level of trust in this platform (89% of all the buyers included in a US survey formed from more than 2,000 persons);
• in 2018, the Amazon share in the American e-commerce sector accounted for 49%;
• in 2018, there were 95 million persons owning an Amazon prime membership (in the US);
• at the level of March 2019, the number of persons with an Amazon prime membership increased at 103 million;
• at the level of April 2019, Amazon had a total of 119,928,851 products;
• the largest category of products is represented by books, accounting for 44,2 million products;
• electronics represent the second most important category of goods, accounting for 10,1 million.
With regards to the company’s prime members, it is necessary to know that the yearly spending per person is estimated at $1,000 (or approximately EUR 902). Currently, the largest audience of the website is represented by the generation known as Millennials. Another interesting fact about Amazon is that most of the online shoppers (9 out of 10) prefer to check the prices of various products on Amazon first, in order to discover which is the best place from where they can purchase a product they want.
If you are not a resident of Slovenia
you will need to obtain a tax number before being able to open your Amazon store
in this country. Feel free to contact our experts in company registration in Slovenia
, who can explain to you in detail all the provisions regarding companies legislation in this country.