Employer of Record is a commercial service model that allows an international company to engage employees in Bulgaria through a local legal employer, without first establishing its own Bulgarian entity. The provider manages the formal employment relationship while the client directs the employee’s day-to-day work.
The local provider is the formal employer. The client company remains responsible for the employee’s business role, operational priorities and daily management.
The EOR enters into the local employment relationship and manages the agreed employment administration: contract documentation, payroll processing, statutory deductions and contributions, leave records and employee-file administration.
The precise responsibilities depend on the service agreement, the role and the legally applicable employment structure.
The client defines the role, assigns work, manages objectives and performance, provides the business tools and communicates operational priorities.
The client must also provide timely and accurate information needed for payroll, leave, working time, workplace requirements and employment changes.
These commercial terms are often used interchangeably online. The correct contractual and legal structure must be determined for the specific hiring situation in Bulgaria.
A commercial description for a provider that becomes the formal local employer while the client directs day-to-day work. It is commonly used for international hiring without the client’s own local entity.
A broader international term often associated with co-employment or outsourced HR support. Its meaning varies by country and should not be treated as a Bulgarian statutory category.
Bulgarian law regulates undertakings that provide temporary work. Where this framework applies, the provider must hold the required registration and follow the applicable employment rules.
A clear allocation of responsibilities protects the employee experience and reduces delays in payroll, onboarding and employment administration.
The final scope is defined in the proposal and service agreement. Recruitment, immigration, salary benchmarking and additional HR services may be added separately.
Preparation and administration of the local contract, job description and required employee records.
Salary calculations, payslips and administration of agreed recurring and variable pay elements.
Administration of employment-related withholding, social-security and health contributions.
Onboarding records, employee files, employment changes and routine employment enquiries.
Recording and coordinating annual leave, sick leave and other applicable absences.
Administration of agreed locally available benefits, subject to eligibility and provider terms.
Onboarding timing depends on the agreed terms, employee documentation, right-to-work status, role requirements and completion of the necessary agreements.
Confirm the role, location, salary, benefits, working model and intended start date.
Review the candidate, right to work, employment structure and any role-specific requirements.
Document responsibilities, pricing, payment timing, information flows and approval contacts.
Complete the contract, employee documentation and required onboarding actions.
Manage the agreed monthly payroll, employment administration and employee support.
EOR is most useful when the hiring need is clear but establishing and operating a local employing entity is not yet the preferred route.
Employ an initial local team while the company evaluates demand, operations and the case for a future Bulgarian entity.
Create a formal local employment relationship for a remote professional working with an international team.
Add specialist capacity for an eligible project or expansion phase with locally managed employment administration.
Bulgarian legislation regulates enterprises providing temporary work, and the Employment Agency maintains the relevant registration system. The legally appropriate structure must be confirmed for every assignment before employment begins.
A short introduction to the Employer of Record model. The video is general information; the applicable Bulgarian setup should be confirmed for the individual hiring case.
This page explains the model. Use the service pages for detailed delivery scope, international coverage, candidate recruitment or employee-facing information.
The primary service page for companies ready to employ one or more people in Bulgaria.
Review the practical employment, payroll and HR administration service scope.
Discuss employment requirements across more than one country or international market.
Find the right professional before moving to the local employment setup.
Read detailed answers about payroll, benefits, offboarding and choosing a provider.
Information for professionals employed or preparing to be employed through the service.
These answers explain the general model. Employment, payroll, tax and immigration details must be confirmed for the individual case.
An Employer of Record is a local legal employer that manages an agreed set of employment responsibilities for a worker whose daily business activities are directed by a client company.
Potentially, yes. An appropriate EOR or temporary-work arrangement may allow a foreign company to engage an employee without first establishing its own Bulgarian entity. The role, candidate status and contractual setup must be reviewed before onboarding.
EOR usually describes a model in which the provider is the formal local employer. PEO is a broader international term often linked to co-employment or outsourced HR services. Neither term should be used as a substitute for identifying the legally applicable Bulgarian structure.
EOR is a commercial term. Bulgaria has a regulated framework for undertakings that provide temporary work, including registration requirements and employment obligations. The appropriate legal basis and provider status should be confirmed for each arrangement.
The agreed service may include employment contracts, payroll, statutory deductions and contributions, leave records, employee documents, benefits coordination and routine HR administration. Recruitment, immigration and other advisory services may be separate.
There is no universal timeframe. Timing depends on agreed employment terms, complete documents, candidate readiness, right-to-work status, required registrations, role conditions and execution of the service and employment agreements.
Horizons® will review the hiring requirement and confirm the appropriate service scope and next steps.