Project Brief
Project Brief: Bilko
Project: Bilko — Balkan Accounting SaaS Version: 0.1 Date: 2026-02-23 Author: John (AI Director) Status: Draft Reviewers: Alem Bašić (CEO)
Document History
| Version | Date | Author | Changes |
|---|---|---|---|
| 0.1 | 2026-02-23 | John (AI Director) | Initial draft |
1. Executive Summary
There is no modern, cloud-native accounting platform built for Balkan SMBs. The 348,000+ active small businesses in Serbia, Croatia, and Bosnia-Herzegovina are forced to choose between expensive ERP platforms (Pantheon, Minimax) that are over-engineered for their needs, or manual processes in spreadsheets that fail regulatory requirements. Bilko solves this by offering Fiken-inspired cloud accounting — simple, compliant, affordable — with full local tax compliance (Serbian SEF e-invoicing, Croatian eRačun, BiH PDV) and support for local languages and currencies. Phase 1 targets Serbia with a €8-25/month SaaS model, validated by Croatia's January 2026 e-invoicing mandate as a forcing function across the region. Budget: €17K. Timeline: MVP launch by May 2026. CEO approval granted 2026-02-20.
2. Business Context & Market Opportunity
2.1 Business Context
The Balkan region is in a period of rapid digital transformation of business administration. Serbia made e-invoicing (SEF) mandatory for all B2B transactions in 2023. Croatia mandated eRačun (HR-FISK) for all businesses from January 2026. Bosnia-Herzegovina's CPF e-invoice platform is expected to follow by 2027. This regulatory wave is forcing hundreds of thousands of SMBs to abandon paper and spreadsheet workflows and adopt digital accounting tools — now.
The current market options are:
- Pantheon / minimax — complex, desktop-first ERP solutions that cost as much as a part-time secretary. Over-engineered for SMBs.
- QuickBooks / Xero — global tools with no Balkan tax compliance, no local language, no SEF/eRačun integration.
- Manual Excel + accountant — still the default for most micro businesses; entirely non-compliant from 2023+ onwards.
This creates a clear market gap: a simple, cloud-native, affordable tool that handles local compliance out of the box. Fiken (Norway) proved this model works — it captured 50%+ of the Norwegian SMB market by doing accounting simply, not by adding more features.
2.2 Market Opportunity
| Dimension | Current State | Opportunity |
|---|---|---|
| Market Size (TAM) | €50-150M annually across 3 countries | 348K+ active SMBs × €8-25/month × 12 months |
| Serbia SAM | 300K+ active businesses; 90K+ VAT-registered | Immediate addressable: 50K cloud-ready SMBs |
| Croatia SAM | 140K+ active SMBs; eRačun mandate Jan 2026 | 30K SMBs actively searching for tools now |
| Growth Rate | +15% annual digitalization of SMB finance | Regulatory mandates accelerating adoption |
| Key Trend | SEF (2023) + eRačun (2026) + CPF (2027) wave | Regulatory forcing function = organic demand |
2.3 Strategic Fit
This project directly supports:
- Strategic Goal: ALAI Holding's transition from services-only to product + services revenue model
- OKR / Initiative: First ALAI SaaS product generating ARR by Q3 2026
- Alignment with ALAI mission: "We build digital. You build business." — Bilko is exactly that: ALAI builds the digital accounting infrastructure so Balkan SMBs can focus on their business.
3. Problem Statement
3.1 Core Problem
Balkan small business owners cannot find affordable, compliant, simple cloud accounting software in their language. Every available option is either too expensive (Pantheon), not compliant with local tax law (QuickBooks/Xero), or too complex for a 5-person business (any ERP). As e-invoicing mandates tighten, the cost of inaction — fines, manual processes, accountant overhead — is rising rapidly.
3.2 Pain Points
| # | Pain Point | Affected Stakeholder | Measurable Impact |
|---|---|---|---|
| P-01 | No simple cloud accounting tool with SEF e-invoicing support | Serbian SMB owners | Fines up to 500,000 RSD for non-compliant invoicing; hours of manual work per invoice |
| P-02 | Pantheon costs 3-5× more than Fiken's Norwegian equivalent | Budget-conscious SMBs | ~€150-200/month vs. target €25/month — 6-8× price difference |
| P-03 | No local language support in global tools (QuickBooks/Xero) | Non-English-speaking owners | Onboarding failure; accounting errors from mistranslated concepts |
| P-04 | Accountants managing multiple clients have no unified view | Bookkeepers / accountants | 2-3 hours per client per month in manual data reconciliation |
| P-05 | No multi-currency support for BAM/RSD/EUR in local tools | Importers/exporters | Manual exchange rate calculations; errors in VAT reporting |
3.3 Current State Gaps
Current Process/System: Most Balkan SMBs use one of: (a) Excel + manual accountant for monthly reconciliation, (b) Pantheon/Minimax installed on local PC, (c) no accounting at all for micro-businesses below VAT threshold.
Key Gaps:
- No cloud-native option: all local tools require local installation or expensive server licensing
- No regulatory compliance out of the box: SEF integration requires custom development in all existing tools
- No modern UX: Pantheon's interface has not meaningfully changed since 2010
Cost of Inaction: An SMB owner ignoring SEF compliance in Serbia faces fines up to 500,000 RSD (~€4,250) per violation. Additionally, manual accounting for a 10-invoice/month business costs approximately 4-6 hours/month of owner time or €80-150/month in accountant fees — 3-6× what Bilko will charge.
4. Proposed Solution Overview
4.1 Solution Description
Bilko is a cloud SaaS accounting platform built for Balkan SMBs. It handles invoicing (with SEF e-invoicing for Serbia and eRačun for Croatia), expense tracking, bank reconciliation, VAT reporting, and double-entry bookkeeping — all in a simple, modern interface available in Serbian, Bosnian, and Croatian. Priced at €8-25/month, it undercuts every existing compliant solution in the market.
4.2 Key Capabilities
| # | Capability | Addresses Pain Point | Priority |
|---|---|---|---|
| CAP-01 | SEF e-invoicing (Serbia) — create, sign, submit, track | P-01 | Must Have |
| CAP-02 | VAT/PDV auto-calculation (20% RS, 17% BA, 25% HR) | P-01, P-02 | Must Have |
| CAP-03 | Simple invoicing UI (6-step wizard, PDF, email delivery) | P-02, P-03 | Must Have |
| CAP-04 | Multi-currency (BAM, RSD, EUR, USD) with exchange rate locking | P-05 | Must Have |
| CAP-05 | Bank statement CSV import + auto-reconciliation | P-04 | Must Have |
| CAP-06 | Double-entry bookkeeping + Chart of Accounts (Balkan GAAP) | P-04 | Must Have |
| CAP-07 | Multi-user RBAC (owner, admin, accountant, viewer) | P-04 | Must Have |
| CAP-08 | P&L, Balance Sheet, VAT reports + PDF/Excel export | P-04 | Must Have |
4.3 Solution Architecture (High Level)
graph LR
A[SMB Owner / Accountant] --> B[Bilko Web App\nNext.js 15]
B --> C[Bilko API\nExpress + TypeScript]
C --> D[(PostgreSQL\nPrisma ORM)]
C --> E[SEF Platform\nefaktura.gov.rs]
C --> F[Email Provider\nPDF delivery]
C --> G[Exchange Rate API\nECB / fixer.io]
4.4 Platforms & Channels
- Web Application (Next.js 15, responsive / PWA installable)
- iOS Mobile App — Phase 2
- Android Mobile App — Phase 2
- API / Backend Service (Express + TypeScript)
- Admin Dashboard (included in web app)
5. Key Benefits & ROI Projection
5.1 Quantified Benefits
| Benefit Category | Description | Estimated Annual Value |
|---|---|---|
| Revenue | SaaS subscriptions — 500 orgs × €180 avg ARR Year 1 | €90,000 Year 1 |
| Revenue growth | +30% Year 2, +50% Year 3 as Croatia + BiH launch | €270,000 Year 3 |
| Cost avoided | No need to build custom regulatory tools for each project | €20,000/year saved in client project overhead |
| Market credibility | Bilko as reference for ALAI's product-building capability | Non-quantifiable; high strategic value |
| Total Year 1 Benefit | ~€110,000 |
5.2 ROI Calculation
| Metric | Value |
|---|---|
| Total Investment (Phase 1) | €17,000 |
| Total Annual Benefit (Year 1) | €90,000 |
| Payback Period | ~3 months after launch |
| 3-Year ROI | >1,500% (conservative) |
| Net Present Value (3yr, 10% discount) | ~€300,000+ |
Assumptions: 500 paying orgs Year 1, avg €15/month, 30% growth Year 2, 50% growth Year 3. Conservative; Fiken reached 50K orgs in 5 years from comparable market.
5.3 Qualitative Benefits
- Brand/Reputation: Bilko establishes ALAI as a product company, not just a consulting firm
- Competitive Advantage: First-mover advantage in cloud-native Balkan accounting; regulatory moat (SEF/eRačun compliance is complex to replicate)
- Risk Reduction: ARR from Bilko reduces ALAI's dependence on consulting revenue volatility
- Employee/User Experience: Accountants manage clients from one platform; SMBs spend less time on compliance
6. High-Level Requirements
| # | Requirement | Type | Priority | Notes |
|---|---|---|---|---|
| HLR-01 | Create and submit SEF e-invoices to efaktura.gov.rs | Functional | Must Have | Serbia launch blocker |
| HLR-02 | Auto-calculate Serbian PDV (20% standard, 10% reduced) | Functional | Must Have | |
| HLR-03 | Double-entry bookkeeping with Balkan Chart of Accounts | Functional | Must Have | All 3 countries |
| HLR-04 | Multi-currency support: BAM, RSD, EUR, USD | Functional | Must Have | |
| HLR-05 | GDPR-aligned data handling; user data export | Non-Functional | Must Have | EU-adjacent regulatory context |
| HLR-06 | Multi-tenant organization isolation | Non-Functional | Must Have | SaaS security requirement |
| HLR-07 | Page load < 1 second (subsequent), < 3 seconds (initial) | Non-Functional | Must Have | |
| HLR-08 | Support 10,000 concurrent organizations | Non-Functional | Must Have | Scale target |
| HLR-09 | Croatian eRačun (HR-FISK) integration | Functional | Should Have | Phase 2 |
| HLR-10 | AI-assisted bookkeeping suggestions | Functional | Could Have | Phase 2+ |
7. Competitive Landscape
| Alternative | Type | Strengths | Weaknesses | Why We Win |
|---|---|---|---|---|
| Pantheon | Direct competitor (ERP) | Established brand; full accounting features; local market presence | Desktop-first, over-complex for SMBs, expensive (€150+/month), poor UX | Bilko is cloud-native, 6× cheaper, Fiken-simple UX |
| Minimax | Direct competitor | Feature-complete, regional presence | Old architecture, not cloud-native, no mobile, limited SEF support | Bilko is modern stack, better UX, lower price |
| QuickBooks / Xero | Indirect competitor | Global brand, polished UX | No SEF/eRačun, no local languages, no local currency compliance, €30-50/month | Bilko wins on compliance and local language — they cannot compete |
| Fiken (Norway) | Inspiration / adjacent | Proven model, NPS 70+, 50K+ orgs | Norway only; no Balkan presence | Bilko IS Fiken for the Balkans |
Our Unique Value Proposition: The only cloud accounting platform built specifically for Balkan SMBs — with SEF e-invoicing, local language, local currency, and Fiken-level UX simplicity, at an affordable monthly price.
8. Resource Requirements
8.1 Team
| Role | Effort | Source |
|---|---|---|
| AI Director / PM | Full-time oversight | John (ALAI) |
| Backend Development | 6-8 weeks (AI-assisted) | ALAI builder agents (Sonnet) |
| Frontend Development | 2-3 weeks (connect to API) | ALAI builder agents (Sonnet) |
| QA / Testing | 2 weeks | ALAI validator agents |
| DevOps | 1 week setup + ongoing | ALAI builder agent |
| Balkan regulatory advisor | As needed | Asmir Merdžanović (SnowIT) |
8.2 Budget Summary
| Category | Estimated Cost (EUR) |
|---|---|
| Development | €8,500 |
| Design | €1,500 |
| Infrastructure | €1,200 |
| Licenses / APIs | €800 |
| Contingency (17%) | €2,500 |
| Total | €17,000 |
8.3 Timeline
| Phase | Duration | Start |
|---|---|---|
| Backend development (50 endpoints) | 2 weeks | 2026-02-23 |
| SEF integration | 1 week | 2026-03-09 |
| Frontend → API connection | 1 week | 2026-03-09 |
| Alpha testing | 1 week | 2026-03-23 |
| Beta program | 2 weeks | 2026-04-07 |
| Production launch (Serbia) | 1 day | 2026-05-01 |
| Total Duration | ~10 weeks | 2026-02-23 |
9. Go / No-Go Decision Criteria
9.1 Go Criteria (ALL must be met)
- Budget approved: €17,000 Phase 1 — APPROVED by Alem 2026-02-20
- Key stakeholders aligned on scope and timeline — CEO approval 2026-02-20
- All 8 pipeline gates passed (Market Research through CEO Approval) — PASSED 2026-02-20
- Tech stack decided — Next.js 15 + Express + PostgreSQL confirmed
- Database schema complete — 15 models defined and validated
- SEF API access confirmed — pending
- Serbian legal entity (ALAI Tech d.o.o.) registration — in progress
9.2 No-Go Triggers (ANY is sufficient to stop)
9.3 Decision
| Dimension | Decision | Decision Maker | Date |
|---|---|---|---|
| Proceed with development | GO | Alem Bašić (CEO) | 2026-02-20 |
| Budget approved | Yes — €17K ceiling | Alem Bašić | 2026-02-20 |
| Resource allocation approved | Yes | Alem Bašić | 2026-02-20 |
Approval
| Role | Name | Date | Signature |
|---|---|---|---|
| Author | John (AI Director) | 2026-02-23 | |
| Reviewer | |||
| AI Director (John) | John | 2026-02-23 | |
| Project Sponsor | Alem Bašić | ||
| CEO (Alem) | Alem Bašić |