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Company Formation Estonia



Frequently Asked Questions about Company Formation

Updated on Monday 08th January 2018

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Frequently-Asked-Questions-about-Company-Formation.jpgForeign investors in Estonia will need to follow the country’s requirements for setting up a business. While the country is very welcoming towards foreign entrepreneurs, by requesting specialized consulting services during the company registration procedure in Estonia you will speed up the process and start your business faster. Our agents can answer the most frequently asked questions about company formation in Estonia

1. Can anyone open a company in Estonia?

Nationals and foreigners alike are entitled to start a business in Estonia.

2. What are the types of companies in Estonia?

The five types of companies that can be incorporated in Estonia are: the private limited company, the public limited company, the general partnership, the limited partnership and the commercial association.

3. What are the steps for opening a company in Estonia?

- choosing the type of company;
- choosing a business name and checking its availability;
- registering the company with the Estonian Commercial Register;
- obtaining any mandatory licenses;
- registering for VAT purposes;
- registering employees.

4. What is the minimum share capital in Estonia?

A minimum share capital of 2,500 EUR is required for the private limited company and 25,000 EUR are required for the public limited company. Other business incorporation costs will also be applicable.

5. Does the company need to have an Estonian office?

Yes, the company will need to have its headquarters based in Estonia. The same applies for branches of foreign companies.

6. How can you open a bank account in Estonia?

In order to open a bank account the company owners will need to provide several documents, like copies of the company’s Certificate of Incorporation or identification details for its directors. The procedure is straightforward and banks in Estonia offer various services to their clients.

7. What special permits are needed in Estonia?

Companies operating in special business fields or those handling special categories of products will need to obtain special permits and licenses. Our company registration experts in Estonia can help you apply for them.

8. What are the taxes payable by an Estonian company?

The corporate tax in Estonia has a rate of 20% of the gross amount of the profits distribution. Social security contributions and property tax also apply. For a complete list of taxes in Estonia you can contact our local company registration experts.

9. How can I hire foreign employees in Estonia?

The employer will need to provide an employment contract based on which the foreign employee can come and work in Estonia. Work and or residence permits will also be required after the employment is secured.

10. How fast can I incorporate a company in Estonia? 

Electronically registrations with the Commercial Register can be accomplished in the same day. Ordinary registrations can take approximately 3 days. Our specialists can help you incorporate a company in Estonia and start your business in approximately 7 days if all the documents are in order.


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CompanyIncorporationEstonia.com has a reliable team of company formation experts that helped my clients with the entire company registration procedure in this country. I was very pleased with our collaboration.

Mihai Cuc, Partner of
Enescu & Cuc Law Firm

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