Company formation in Estonia is simple if our lawyers prepare and take care of all the documentation for you to start business in Estonia quickly. Our Tallinn 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 Estonia
Company Formation in Estonia
How we can Support You in Starting Business in Estonia:
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 Estonia. 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 Estonia
We'll get you started in Estonia!
We have helped hundreds of businesses to set up in Estonia. We offer time and cost efficient remote setup packages with no travel needed. Our pricing for company formation in Estonia 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
Estonian Limited Liability Company (OÜ) Setup and Services
The Estonian private limited liability company (Osaühing or OÜ in Estonian) 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, public limited company, general partnership or limited partnership.
There are no restrictions on the residency of shareholder(s) or board member(s) of a limited company. If you have an Estonian e-Residency card, we can set up your company remotely over the Internet. For more details on e-Residency and its benefits, please visit our Knowledge Center. Note that while e-Residency is not required for the initial company setup, it can be helpful for long-term company management.
Company formation in Estonia can be completed remotely with a Power of Attorney (PoA) issued to us, via digital signature (available for EU ID card holders, including Estonian e-Residents), 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 Estonia, 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 Estonia.
Step 3: Start business in Estonia
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 Estonia is ready for business.
Corporate Services in Estonia
We provide a full range of corporate services in Estonia 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 Estonia. We may provide an address in Tallinn 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 Estonian 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. LHV Pank and Swedbank) to ensure the most time efficient opening of a business bank account for your company in Estonia. 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 compliance team will consult on choosing the best bank for your business and provide support through the account opening process.
An audit is required when at least 2 of the following 3 conditions are met:
- Annual net sales of 5.000.000 euros and more
- Balance sheet volume of 2.500.000 euros and more
- Average number of employees is at least 50
or when at least 1 of the following 3 conditions is met:
- Annual net sales of 15.000.000 euros and more
- Balance sheet volume more than 7.500.000
- Average number of employees is at least 180
An auditor’s review (simpler version) is required when at least 2 of the following 3 conditions are met:
- Annual net sales of 2.000.000 euros and more
- Balance sheet volume of 1.000.000 euros and more
- Average number of employees is at least 24
or when at least 1 of the following 3 conditions is met:
- Annual net sales of 6.000.000 euros and more
- Balance sheet volume of 3.000.000 euros and more
- Average number of employees is at least 72
For licensing projects please contact us for further information. Regarding Estonian Crypto Asset Service Provider (MiCA CASP) license please refer to: CASP License in Estonia
Taxation Basics in Estonia
We have outlined the key non-binding corporate taxation points in Estonia. For personalized tax consultation related to your situation, please contact us to schedule a meeting with our Estonia-based tax specialist.
Corporate profits are not taxed (tax rate 0%) until the profits are distributed as dividends. In other words, all undistributed corporate profits are tax-exempt. This exemption covers both active (e.g. trading) and passive (e.g. dividends, interest, royalties) types of income, as well as capital gains from sales of all types of assets, including shares and securities. Note: from January 2026 until the end of 2028 a temporary 2% defense tax on companies’ annual profits will be applied.
In Estonia, corporate profits are not taxed until they are distributed as dividends or deemed to be distributed. From the Estonian perspective, this is considered a Corporate Income Tax (CIT), not a Withholding Tax (WHT), so the tax rate is not influenced by any applicable tax treaties.
Distributed profits are subject to a 22% CIT on the gross distribution from 2025. The 22/78 calculation (tax rate applied to the net taxable amount to be divided by 0.78) means that if a company distributes a net amount of 100 EUR, the CIT of 28.21 EUR will apply, resulting in a total distribution of 128.21 EUR.
The standard VAT rate (käibemaks, KM) is 22% (increased to 24% from July 2025) and applies to all supplies of goods and services. The 13% reduced rate applies to accommodation. The VAT rate on the export of goods, intra-Community supply of goods and certain services is 0% (i.e. exemption with credit). It is required to register as a VAT payer if the annual taxable turnover exceeds 40 000 EUR.
Employers registered in Estonia (including permanent establishments of foreign entities) must pay social tax on all payments made to employees. The rate of social tax is 33% (20% for social security and 13% for health insurance). The minimum gross salary in Estonia is 886 EUR/month as of January 2025.
Frequently Asked Questions
Below we have included the frequently asked questions for company formation and corporate services in Estonia 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?
It usually takes 2 to 5 business days for the Commercial Registry to process the company setup. Please note this timing is calculated from the point we receive all requested documentation from you.
Is travel required?
The company setup procedures can be processed fully remotely with travel to Estonia not required.
Can I come to sign in Tallinn?
The company setup procedures can be processed fully remotely with travel to Estonia not required. However, if you prefer to travel then we can also schedule an on-site meeting at the notary public office.
What if I am not from the EU?
The Estonian commercial code does no set forward any restrictions to non-EU participants.
How much does it cost?
Our pricing for both new company formations and new shelf companies in Estonia starts from 1280 EUR. The final cost of your project will depend on further services required such as local registered office address, registered agent service 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 Estonian 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 can check the company name availability here.
How do I open the bank account?
There is no shortage of Scandinavian and local banks in Estonia and banking systems are highly advanced, however opening a bank account can be challenging and take time. It is not possible to open the bank account by proxy or by Power of Attorney, a face to face meeting is required at the bank. However, as a 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 Estonia in later steps.
What about reporting requirements?
Irrespective of size, the Estonian 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 to register for VAT?
We support in preparation and submission for VAT registration and all other necessary tax registries 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 Estonia. In the second step we propose the best solution with a step-by-step overview and a detailed price quote for company formation in Estonia. 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 Estonia, 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 Estonia is located in central Tallinn. Please schedule an appointment beforehand to be connected with our country manager.
E-mail us at estonia@maxcorp.eu
Call our head office at +372.50.43.245
Tallinn office address:
Tornimäe 5, 10145 Tallinn, Estonia