How to Open a Restaurant in Serbia in 6 Key Steps

Opening a restaurant in Serbia can be a rewarding business opportunity – but only if you follow the right steps and comply with all legal requirements. The overall process can sometimes take more than a year until you have everything ready to open the restaurant, but knowing the right procedure can make this process faster, cheaper and less stressfull.

Step 1 – Establishing a company

The first step is to legally establish your company. We can register you as a Sole Proprietor (Preduzetnik) or a Limited Liability Company (DOO). The sole proprietor option is simpler but comes with personal financial liability. A DOO protects your personal assets but has more formal requirements.

After establishing a company, the next step will be opening a bank account and registering company director for the health and social insurance and income tax. Moreover the company should also make initial tax reports and register for the VAT. In this step it will be good to find a reliable accounting agency that will ensure the full compliance of the company in that regard, since failing to meet all the deadlines can have serious financial consequences.

Step 2 – Find a suitable location and space

Your restaurant’s success depends heavily on location. Pick an area – residential, commercial, or industrial – based on your target audience.

The basic technical requirements for the restaurant include access to the water, electricity, sewage, garbage disposal system. Space also needs to fulfill requirements regarding the minimal indoor temperature.

The kitchen needs to have a separate repository and area for preparing the food, as well as staff room. Moreover, the kitchen needs to fulfill the technical requirements regarding food preparation areas, storage areas, refrigeration equipment, ventilation equipment as outlined in the Rulebook on the conditions and manner of performing hospitality activities.

The same rulebook regulates how the bar should be equiped in case the restaurant is preparing drinks. There are also several requirements that define how the dining area of the restaurant should be adapted. Ensure the property meets hospitality regulations before signing a lease.

Step 3 – Sign the lease or purchase agreement

Once you find a compliant space, negotiate the lease or purchase. Your lease agreement should include details on rent, responsibilities for utilities, adaptation costs, and termination terms. It’s crucial to work with a legal expert to draft a solid contract that protects your interests.

Step 4 – Hire staff and meet hygiene standards

Hire employees under valid employment contracts and register them for health and social insurance. Foreign workers must have valid residence and work permits. All staff must complete HACCP (food safety) and fire safety training and hold valid sanitary booklets. Maintain hygiene logs, cleaning schedules, and safety documentation.

Step 5 – Comply with all the other Laws and Regulations

As a part of the compliance process, you should also appoint a person responsible for control of compliance with the Law on the protection of the population from exposure to tobacco smoke. If the space is bigger than 80 square meters, you will have the possibility to determine smoking and non-smoking areas.

Another important aspect of your business operation will be setting up the cash register, so you can issue payment slips to your customers in accordance with tax laws and regulations.

Restaurant owners that want to have patio should get a special permission from the local municipality.

Step 6 – Open and prepare for inspections

Before opening, ensure you have the following:

• APR registration decision

• Founding documents

• Lease or ownership proof

• VAT certificate (if applicable)

• Bank account confirmation

• Fiscalization approval

• Working hours decision

Expect inspections from tax, labor, tourism, and sanitary authorities, who will check your licenses, staff contracts, sanitary compliance, tax records, and much more.

Starting a restaurant in Serbia is a serious undertaking, but with proper preparation, legal support, and compliance, it can be a profitable and fulfilling venture. Hire professionals to help with accounting and legal processes, and focus on delivering great service while staying within the rules. A well-prepared restaurant is not only legally safe but also trusted by guests.