How can Elan Consulting accounting firm help me with obtaining a license to transport goods in the EU?

Obtaining a freight license in the European Union (EU) is a key step in expanding the operations of any transport business and requires in-depth knowledge of numerous EU regulations and regulations. Accounting firm “Elan Consulting” provides specialized services that facilitate this process, including the following basic steps:

Analysis of licensing requirements in the EU: Our team performs an in-depth analysis of your business needs and operations to determine all the critical requirements needed to obtain an international freight license within the EU.
Preparation of application documentation: We assist in the preparation of all necessary application documents, including business plans, financial statements and evidence of compliance with safety and environmental standards.
Consultations on EU regulations and legislation: We provide up-to-date and specialised advice on EU legislation, including transport regulations, tax and customs rules, as well as specific requirements for the transport of certain types of goods.
Support during the application process: We actively support our clients throughout the license application process, including communicating with the competent authorities and resolving issues that arise.

In addition, Elan Consulting provides comprehensive accounting and consulting services to keep your business in line with constantly changing EU regulations and market conditions. We offer ongoing support and advice that is critical to the successful management of the international transportation business.

We understand that freight transport in the EU requires not only compliance with a wide range of regulations, but also strategic planning and risk management. With our professional assistance, you can expand your business in the EU transport sector while ensuring that all operations are carried out in accordance with legal requirements.

Maintaining well-organized and efficiently managed accounting is key to the success of any business in the field of international transportation. Our goal is to provide you with all the necessary tools and knowledge to ensure that your company not only meets regulatory requirements, but also realizes its full potential in the European market.

Accounting firm “Elan Consulting” is your reliable partner in the process of obtaining a license for transportation of goods in the Community/EU. We are committed to providing high quality services that meet the specific needs and requirements of your transport business.

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How is a license for international cargo transportation issued?

Are you planning to transport goods within the EU? If this is the case and your vehicle, together with any trailer, has a gross weight of more than 3.5 tonnes, you must hold a Community Freight Licence as laid down in Regulation (EC) No 1072/2009.

Accounting firm “Elan Consulting” can assist you in the entire procedure for obtaining a Community license for international carriage of goods. Let us first consider the administrative aspects of this regulatory requirement.

Some key points to keep in mind:

The license is the property of the carrier company and cannot be relinquished.
The original must be kept with the carrier, while a certified copy of it is mandatory to be on board the vehicle.
The licence applies to a combination of vehicles, regardless of whether the additional parts (e.g. the trailer) are not registered in the name of the holder or are registered in another EU Member State.
According to Article 8 (2) of EU Regulation 1072/2009, the licence entitles the carrier to carry outup to three cabotage operations within seven days in an EU Member Stateafter the initial load.

Cabotage operations are transport activities carried out by a company from one EU Member State (or another region where this term applies) in the territory of another Member State without the need for additional authorisations or licences. In the context of the European Union, cabotage allows carriers to carry out temporary transport services in another Member State after they have completed an international carriage from or to that country.

The purpose of authorising cabotage transport is to increase the efficiency of the transport system in the EU by reducing the number of empty journeys and enabling carriers to optimise their operations. This contributes to reducing greenhouse gas emissions, reducing road traffic and increasing economic efficiency.

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According to the Ordinance No. 11 of 31.10.2002 for International Carriage of Passengers and Cargo by Road

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Requirements for the issuance of a license for international transport:

Reliability (good reputation): Transport managers must not be convicted of intentional crimes or deprived of the right to engage in transport activities. In addition, they should not have severe penalties imposed by other Member States, as defined in Regulation (EU) 2016/403.
Professional competence: The head of the transport activity must have the necessary knowledge and experience, and must have completed special training courses or have practice in the field. He must have successfully passed an exam in certain disciplines and have at least a secondary education. The certificate of professional competence issued after a successful exam has no validity period.
Financial stability: The carrier must have the necessary financial means and stability to ensure the reliable and safe realization of the transport activity.
Establishment in Bulgaria: The carrier must be established in the territory of the Republic of Bulgaria.
Availability of all required documents
Fee paid, according to Tariff No. 5 for the fees that are collected in the Ministry of Transport

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What does trustworthiness mean in the sense of the legislation?

Reliability is one of the key factors taken into account when assessing whether a transport company should be licensed for international transport within the European Union. This criterion is expressed through a number of specific requirements justified in Regulation (EU) 2016/403.

In the context of licensing, trustworthiness is linked to the good reputation of transport managers. They should not have been convicted of intentional crimes or deprived of the right to engage in transport activities. In addition, reliability requirements also affect the external reputation of the company in other EU Member States. For example, companies should not be subject to severe sanctions from other countries in the Union.

It is important to note that trustworthiness is not an isolated criterion. It is part of the overall assessment of the license application, which includes professional competence, financial stability, establishment in the state and other requirements. All these components together form the image of a reliable and professional carrier that complies with European norms and standards. Such an approach ensures that transport services within the EU are carried out by quality and reliable actors in the transport sector.

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Who can be the head of the transport activity in a transport company for international transportation?

In order to become a transport manager, it is necessary to meet certain requirements and criteria established within the framework of the EU and national legislation.

Preparation for the exam: It is important to undergo training to prepare for the exam, which covers a variety of topics, including civil law, commercial and financial management, technical regulations, logistics, traffic safety and much more.
Exam: After completing the training, applicants must take an exam before the competent authority - Executive Agency “Automobile Administration”. Upon successful application, they shall receive a “Certificate of Professional Competence”, which is internationally recognised and valid at the time of issue of the Community licence.
Certificate: The certificate that candidates receive after successfully passing the exam is unlimited and corresponds to the model of the European Directive on Access to the Profession - 96/26/EU. It is signed by the Executive Director of the Executive Agency “Automobile Administration”.
Current Exam Dates: You can check on the website of the Automobile Administration.

Compliance with these requirements ensures that transport managers are prepared and qualified to provide high-quality transport services in accordance with European and national standards.

What does the financial stability of the carrier mean?

Financial stability in the context of international transport and related regulations refers to the financial ability of the carrier or transport company to fulfil its commitments and to ensure the safe and reliable operation of the transport business without interruptions or difficulties due to financial reasons.

Definition of Financial Stability: A transport company is considered to have sufficient financial stability when it has sufficient resources to ensure the normal start-up and functioning of the transport enterprise. This value is defined in the amount of the BGN equivalent of 9000 euros for the first car and in the amount of the BGN equivalent of 5000 euros for each subsequent car.

The requirements for financial stability when applying for a Community licence for the carriage of goods to be met by the carrier are as follows:

Annual financial report: Each applicant carrier must submit an annual financial statement certified by a registered auditor. This report is mandatory for all whose accounts are subject to mandatory independent financial audit under the legislation.

Bank guarantee: Carriers can provide a bank guarantee that meets the established requirements.

Insurance contract: Alternatively or additionally to the bank guarantee, carriers can present an insurance contract that meets the established requirements.

With insufficient own capital: If the carrier's equity funds are less than the above requirements (9000 euros for the first car and 5000 euros for each subsequent one), the carrier must present both the annual financial statement and an insurance contract or bank guarantee to cover the difference.

Tax and social security obligations: The carrier must provide a certificate of the presence or absence of such obligations from the revenue authorities. This requirement can be omitted if the carrier has already provided a certificate under the Tax and Insurance Procedure Code.

What are the necessary documents for obtaining a Community license for the carriage of goods?

In order to obtain a Community licence for the carriage of goods, the carrier company represented by its head must submit an application to the Minister for Transport, Information Technology and Communications. This is done through the Executive Agency “Automobile Administration”. You should attach the following documents to this application:

Financial Stability Documents: These documents are required to confirm that the carrier company has the necessary financial resources for its normal functioning. Accountants from Elan Consulting can assist in the preparation and certification of these documents.

Criminal record of the head of transport activity: This document is necessary in order to establish that the head does not have a criminal record, which would prevent him from running a transport enterprise.

Certificate of professional competence of the head of transport activity: If the certificate is not issued by the Executive Agency “Automobile Administration”, but by a competent authority of another EU Member State, you should provide a copy of it.

Registration certificate for motor vehicles: You must prove possession or right to use the vehicles with which the carrier will carry out the activity. If the vehicles are not owned by the company, also attach lease or lease agreements to them.

List of motor vehicle data available to the carrier: This list shall be submitted in electronic form and shall follow the model provided.

Accountants from Elan Consulting can play a key role in the preparation and certification of some of the above documents, especially when it comes to evidence of the financial stability of the company.

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What is the state fee?

In order to obtain a Community licence for the carriage of goods or passengers in Bulgaria, applicant carriers must meet a number of requirements, one of which is the payment of a fee.

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Pursuant to Article 89a of Tariff No 5, the fee for issuing a Community licence for a carrier engaged in the carriage of passengers or goods shall be in the amount of 500 BGN

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Frequently Asked Questions

What is the process for obtaining a license for the international carriage of goods in the EU?

To obtain a license for the international carriage of goods in the EU, you must first register a transport company. Documents proving professional competence are required, as well as the director of the transport company and the designated head of the transport activity must provide evidence of professional accreditation obtained in accordance with the current rules. The licence shall be issued by the competent authorities of the Member State in which the carrier is established and shall be granted to carriers who are entitled to carry out international carriage of goods by road on behalf of others or for consideration. It is issued in the name of the carrier and cannot be transferred.

What is the validity of the license for the international carriage of goods?

The license for international transport of goods in the EU, issued to a Bulgarian company, is valid for a period of up to 10 years, after which it must be renewed

What are the costs associated with obtaining this license?

The state fee for issuing a license for transportation of goods from 01.01.2015 is BGN 500.