Company formation in Latvia is simple if our lawyers prepare and take care of all the documentation for you to start business in Latvia quickly. Our Riga office provides a wide range of corporate and legal services tailored to fit your needs. We can provide a turnkey solution with all the necessary business services.
Company Formation in Latvia
Company Formation in Latvia
How we can Support You in Starting Business in Latvia:
Setting up a limited liability company, including new and aged shelf companies (inc. with VAT registration)
Accounting&payroll, registered office address, local representative services, banking advisory
Fintech licensing (CASP, EMI), inc. on-going AML and regulatory compliance solutions
We will help you choose the most efficient and cost-effective way to start your business in Latvia. In most cases, individuals prefer incorporating a new company, while corporate shareholders often opt for a ready-made solution. We also offer VAT-active shelf companies for prompt transfer when needed.
In all cases, the setup can be completed remotely without the need to travel. We take care of all the documentation, ensuring everything is set up quickly and smoothly so you can start your business with ease. Get your free case evaluation today and receive a personalized price quote! »
Company in Latvia
We'll get you started in Latvia!
We have helped hundreds of businesses to set up in Latvia. We offer time and cost efficient remote setup packages with no travel needed. Our pricing for company formation in Latvia starts from 1280 euros.
Priced from 1280 euros
Company setup from 5 days
VAT active companies available
Accounting services & payroll
CASP, EMI, PI and STO legal support
Latvian Limited Liability Company (SIA) Setup and Services
The Latvian limited liability company (Sabiedriba ar ierobezotu atbildibu or SIA in Latvian) is the most popular business structure, as shareholders are not personally liable for the company’s obligations. Per request we can also support with setting up a branch office, joint stock company, general partnership or a limited partnership.
There are no restrictions on the residency of the shareholder(s) and board member(s). There are specific limitations for the company registered office address as the permission of the owner of the premises is required, and if more than 10 companies are located at such address an additional review time may be applied.
Company formation in Latvia can be completed remotely with a Power of Attorney (PoA) issued to us, via digital signature (available for selected EU ID card holders), or by scheduling a notary appointment. We will recommend the most optimal solution per the specific situation. We also prepare all the legal documentation and submit the necessary applications, requiring only basic information from you. It typically takes 5 business days from submission for the registry to finalize the full process.
We have helped hundreds of international companies with their company setup in Latvia, while also offering expert banking advisory for local bank accounts and assistance with licensing and regulatory compliance. With our experience and tailored approach, we ensure a smooth and efficient process for every business.
What are the steps?
Step 1: Get in touch for consultation
Let us know of your target objectives and we propose the best solution for your consideration. Preliminary consultation and detailed price quotes are free of charge.
Step 2: We take care of everything
We prepare all legal documentation and forward for your signatures. As an option we offer full remote service, no travel is needed for the company formation in Latvia.
Step 3: Start business in Latvia
We take care of all applications and set up any corporate services needed. We notify you when the process is finalized and when your company in Latvia is ready for business.
Corporate Services in Latvia
We provide a full range of corporate services in Latvia including company formations, VAT and EORI registrations, legal advisory, virtual registered office, accounting&payroll, licensing (e.g. CASP, EMI) and bank account opening support. Corporate secretarial services on request.
Our virtual office service is a flexible solution for companies who do not need a physical office in Latvia. We may provide an address in Riga that will be used for registering with the registry and as the administrative address for the company to receive postage. The postage sent to your company will be forwarded to you by e-mail (scanned copy) or by regular mail on request. We can also set up individual local telephone and fax numbers as well as a local domain name with web hosting for your company.
Our accounting department can take care of all of your Latvian company bookkeeping, as well as consult about financial and tax questions. The monthly cost of bookkeeping depends on the company profile, for example on the number of transactions and payroll calculations. Financial statements have to be submitted annually while VAT returns and social tax declarations have to be submitted monthly.
We work with several banks (e.g. Citadele and BluOr Bank) to ensure the most time efficient opening of a business bank account for your company in Latvia. To set up the account, a board member has to be present for a face to face meeting during the first application stage. The payment card and online banking security token are received in the second stage. Our team member can be appointed to receive these on your behalf and they will then be forwarded to you. Our compliance team will consult on choosing the best bank for your business and provide support through the account opening process.
In Latvia, a limited audit review is required for small undertakings that, for two consecutive years, exceed at least two of the following three criteria:
- Balance sheet total of 400.000 – 800.000 euros
- Net turnover of 800.000 – 1.600.000 euros
- Average number of 25 – 50 employees during the financial year
A limited review of the annual statement is a review engagement carried out by a sworn auditor or a commercial company of sworn auditors, in accordance with the Audit Services Law. This review includes checking the financial statement data and verifying the conformity of the enterprise’s income tax amounts. The Latvian Association of Sworn Auditors has adopted specific national regulations to examine the conformity of the undertaking’s income tax amounts.
A statutory audit is required for small undertakings that, for two consecutive years, exceed at least two of the following three criteria:
- Balance sheet total of 800.000 euros or more
- Net turnover of 1.600.000 euros or more
- Average number of 50 employees during the financial year
Further information can be found at Latvian Finance Ministry website.
Taxation Basics in Latvia
We have outlined the key non-binding corporate taxation points in Latvia. For personalized tax consultation related to your situation, please contact us to schedule a meeting with our Latvia-based tax specialist.
Latvian corporate profits are not taxed (tax rate 0%) until the profits are distributed as dividends. In other words, all undistributed profits are tax-exempt. This exemption covers both active (e.g. trading) and passive (e.g. dividends, interest, royalties) types of income. However, as an exception, certain income (such as income from real estate transactions) may be subject to taxation even if not distributed.
Latvia levies a corporate income tax (CIT) on profits that are distributed as dividends, share buybacks, capital reductions, liquidation proceeds, or deemed profit distributions. Distributed profits are generally subject to a 20% CIT, calculated at 20/80 of the net amount of the profit distribution. From the Latvian perspective, this is considered a corporate income tax (CIT) rather than a withholding tax (WHT), so the tax rate is not affected by any applicable tax treaty.
Employers registered in Latvia (including permanent establishments of foreign entities) must pay social tax on all payments made to employees. The standard rate of social security contributions is 34.09%, with 10.50% being the employee’s part and 23.59% being the employer’s part. The minimum gross salary in Latvia is 740 EUR/month as of 2025.
Frequently Asked Questions
Below we have included the frequently asked questions for company formation and corporate services in Latvia and the appropriate answers.
What documentation is needed?
In order to register and process your order we ask for you your passport scan, residential address (w. utility bill) and contact details.
How long does it take?
In Latvia the official processing time is 5 business days from the submission of the documentation.
Do I have to come to Latvia?
The company setup procedures can be processed fully remotely with travel to Latvia not required. However if you prefer we can also schedule a notary meeting in Riga for onsite service.
What is a micro-tax company?
The Latvian Micro-business Tax (MBT) Act gives existing and newly-formed businesses the opportunity of acquiring micro-business status and registering if they meet a certain criteria (e.g. the shareholders are only natural persons). Please contact us for further information.
What if I am not from the EU?
Latvia does not put forward any restrictions on the nationality or residency for company shareholders and/or management board members, hence there is no problem.
Can I register a branch for my company?
Yes, we support with both branch and subsidiary setups for corporate shareholders.
How much does it cost?
Our pricing for both new company formation and new shelf companies in Latvia starts from 1280 EUR. The final cost of your project will depend on further services required such as local registered office address, VAT registration, remote service package or similar. Also the annual costs will depend on the list of required services. We would be glad to provide a detailed quote specific to your project.
Do I need registered office address?
Having a local registered office address is mandatory for every Latvian company. The legal address will be shown in the commercial registry and the official letters addressed to the company will be sent to this address. We provide a virtual registered office address as a service and forward the postage received as scanned copies to your e-mail.
Can I choose the company name?
Yes, you can choose the company business name. It is subject to registry availability. You may check availability for the name here: https://www.lursoft.lv
How do I open the bank account?
There is no shortage of international and local banks in Latvia and banking systems are highly advanced. We can open the bank account for your company, but it is not possible to transfer the bank account access by proxy or by Power of Attorney, hence a face to face meeting is required at the bank. We provide a full service for on-site bank account opening, inc. assistance with scheduling the meetings and accompanying you to the bank. In addition, an alternative solution for a quick start it is also possible to open with a fintech bank in the European Union which can be done online with no visit needed and then proceed to opening with a local traditional bank in Latvia in later steps.
What about reporting requirements?
Irrespective of size, the Latvian limited company has to file annual accounts with the commercial registry once a year. Small companies are exempted from the requirement of appointing an auditor. VAT returns and social tax declarations have to be submitted monthly. Our accounting department can take care of all reporting requirements on your behalf.
How do I get started?
In the first step please let us know of your objectives for setting up a company in Latvia. In the second step we propose the best solution with a step-by-step overview and a detailed price quote for company formation in Latvia. In the third step we take care of all legal documentation and applications.
Questions? Our Legal Team would be Glad to Assist!
For any questions regarding company formation in Latvia, please reach out through the contact form below. To receive an overview of the procedures and pricing, kindly provide preliminary details, such as the number of participants in your company structure and their country of residency. Our country manager can then respond with a tailored indication including information on the procedures, timelines, and a pricing breakdown.
Contact details
Our office in Latvia is located in central Riga. Please schedule an appointment beforehand to be connected with our country manager.
E-mail us at latvia@maxcorp.eu
Call our head office at +372.50.43.245
Riga office address:
Aspazijas bulvāris 20, LV-1050 Riga, Latvia