There are several legal entities which are available for foreign investors in Estonia
. One of them is the general partnership
, which is a type of business that requires the association of at least two partners that will sign a partnership agreement
. Foreign businessmen who want to establish a general partnership in Estonia
can receive assistance on this matter from our team of Estonian company formation specialists
, who can provide information on all the legal requirements necessary for this type of business form
Characteristics of a general partnership in Estonia
There are two types of partnerships in Estonia
: the general partnership
and the limited partnership
. The main difference between the two legal entities is given by the liability of the shareholders. In the situation of a limited partnership
, one of the shareholders must have limited liability, determined by the level of his or her contribution.
In the case of the general partnership
, all shareholders, regardless of their number, are individually and fully liable with their own assets for the company’s debts. This business form does not require a minimum share capital, as the contribution of the partners will be established in the partnership agreement
; our agents
can inform investors on the minimum share capital requirements in Estonia.
Registration of an Estonian general partnership
According to the Estonian legislation, there are two possibilities through which a general partnership can be registered in Estonia:
• register at a public notary;
• register on the Companies Registration Portal of the Commercial Register.
The online registration is available for the following types of business forms:
• general partnerships;
• limited partnerships;
• non-profit organizations;
• self-employed persons.
It is important to know that if the company registered in Estonia
has an annual turnover with a total value less than EUR 16,000, the business is not obligated to register for Value Added Tax (VAT)
; if the turnover is above this sum, the company will have to file for VAT at the Estonian Tax and Customs Board