The whole company formation process will take up to 2 working days. Sometimes even faster.

Once you have gone through the registration wizard, we will proceed to add your company to the e-Business registry of Estonia.

To do this, we first will generate the Articles of Association and the entry in the registry. In this step, we will submit an application including the official email of the company, and the Estonian authorities will send a message to that email address with a link to confirm it’s a valid email address.

Therefore, the first step is clicking on that link contained in the email that the registry will send you. The sender is “e-Äriregistri teavitus”. Once you have completed this step, let us know so we can proceed to the next one: the signature.

Once we indicate that you can sign the company registration petition, you must visit the Estonian Company Registration Portal. Log in with your e-Resident card. You will see a screen with the name of your company. Click on it. Then you’ll see your name next to a blue “Sign” button. With the e-Residency card still inserted in the USB reader, click on that button.

You will be asked for your PIN2 to proceed to the signature. Once signed, close that window and let us know that you have already signed. Don’t click on “Confirm the signatures” or any other button. We need to verify everything’s correct before continuing the process.

Once we have checked that everything is correct, we will submit the petition to the business registry, and pay the state and notarial fees. You don’t need to pay anything else, these are already included in the fee for our company registration package.

Once the registry receives the payment of the state fees, your company will be officially registered, and you will receive an email with your entry in the registry.

The next step will be to create a bank account for your company.

According to the law, the share capital for a private limited company is 2500 euros and for a public limited company, it is 25,000 euros. You don’t have to deposit the share capital immediately. You would have to do it while starting distributing dividends. The share capital contribution can be done later at the bank. The bank issues a digitally signed document in Estonian (Transferwise and LHV).

We are able to support you in opening a bank account. While opening the bank account in Estonia the opening fee in LHV bank is 200 euros, and the monthly payment 20 euros. If you do wish to open a bank account in Estonian, you are subject to a personal meeting in the office of the bank in Tallinn.

You are allowed to open a corporate bank account for your Estonian company in any of the European banks. It allows to pay and declare the share capital.

The bank will require to provide officially translated, confirmed by a notary, and apostilled with the Hague Apostille documents such as an entry in the registry and the articles of association.

We are able to support you in preparing the documentation according the requirements of your bank.

This account does not need to be in an Estonian bank. You can think about opening in a Fintech companies (Transferwise, Payoner etc).

Every company in Estonia needs to have a local legal address and contact person. The address and contact person can be seen on the Business Register and your company’s official letters will be delivered to this address. Success Hub Estonia legal address service also includes receiving and forwarding your letters.

The role of the legal address and contact person is to receive letters from different authorities and forward these to you. The service is periodical which means that it continues automatically after one year.

Closing a company is generally a complex process. A lot more complex than opening it. This is because the financial authorities have to make sure there is no outstanding debt with suppliers, that the bookkeeping is in order, that you have paid all your taxes, and so on.

Therefore, the process takes around nine or ten months, sometimes even one year. It is necessary to have a legal firm or a liquidator for the company.

For the quote for accounting services, please contact us by email: hello@successhub.eu.

For the quote for the payroll, please contact us by email: hello@successhub.eu.

The annual report has to be submitted every year but you are required to submit it in 2022 at the end of June. The cost for the annual report will be an average of one month accounting fee. Example: if your company was established on 01.11.2018, then you do not need to submit a separate report for 2018.
The first report that such a company will need to submit is the joint report for 2018-2019. This report is due by 30.06.2020.

Every person´s and company’s tax obligations are different and depend on several circumstances. To find out which tax obligations or tax risks you have please book a tax consultation.

Before the company is allowed to pay a dividend, the company’s share capital needs to be paid into the company bank account. Dividends are taxed with 20% corporate income tax.

Dividends can be paid once the share capital has been paid up.

According to the Estonian law, the company is allowed to pay a remuneration to the Board Members – a fee for executing responsibilities of a Board Member. Estonian tax (20% of personal income tax and 33% social tax) applies for this fee – regardless of the country of residence of a Board Member.

When employing Estonian residents, their Estonian ID code and the starting-ending dates of a contract need to be provided. This must be done before the contract enters into force as the data needs to be entered in Estonian Employee’s Registry.
Estonian employment tax includes: 20% of personal income tax, 6% unemployment insurance payment (employee’s share), 8% unemployment insurance payment (employer’s share), and 33% social tax, and is required to be paid directly to Estonian Tax and Customs Board.

Non-Estonian employees don’t need to be registered as employment tax is paid in the country of residence.

We don`t recommend you to become VAT liable before your company exceeds 40 000 euros annual turnover. Before that, you don`t need to pay taxes or submit declarations. It`s only when you would like to withdraw dividends or salaries.

If you choose to apply for the VAT ID, then invoicing between European companies with VAT numbers implies adding VAT 0% to your invoice. If your customer is B2C (an individual), or B2B without a VAT number, you add the Estonian VAT (20%) to the invoice. You will have to add the Estonian VAT (20%) for any invoice you make to another Estonian company (since it is a domestic tax exchange within the Estonian tax system).

If you need a VAT ID, we can take care of the registration on behalf of your company and establish rights for an accountant to take care of your tax returns. Tax returns (VAT, income/social, and VIES) must be submitted once per month in case a VAT ID is registered. We support you with this issue.

Taxes have to be paid where the turnover is generated. Meaning, if your annual sales are, for example, 45,000 euros in Italy, you will have to register a VAT number in Italy and pay the VAT here to the Italian authorities.
You need to register VAT f.e in Italy, Estonia, and other countries depending on your turnover and submit VAT returns every month or quarterly.
This operation must be done independently with the tax office of each country where you that threshold, and ideally it should be done by an accountant from that country.

Estonian Tax and Customs board probably wouldn’t agree to open a VAT ID in such a case. The biggest concern to Tax and Custom boars is that the company does not generate taxable turnover in Estonia.
There is also an option to apply for the limited VAT in Estonia. Then the VAT is paid by the EU on purchases, VAT cannot be refunded and invoices are issued without VAT. In this case, you would have a VAT ID, but you still would have to apply for the VAT number when the threshold exceeded in the country you do business.

EORI number (Economic Operators Registration and Identification number) is a European Union registration and identification number for EU businesses that undertake the import or export of physical goods into or out of the EU.

You need an EORI number if in the course of your business, you are directly or indirectly involved in activities covered by the customs legislation regarding physical goods.

If your company, formed via e-Residency, deals with physical goods, it’s, most probably, either dropshipping or an Amazon FBA model. In such a case, you do not get involved in import, export, or storage of the physical goods as an external supplier sends the goods to the customer directly. Therefore, you won’t need an EORI number, but your service provider or supplier might need to acquire it.

If after all you need an EORI number, you must aquire it by yourself, but we can help to apply for it.

An e-Residency is a digital identity and status that provides access to Estonia’s e-services and transparent business environment It does not, however, grant citizenship or does not substitute a residency permit.

e-Residency program has an easy application process, done by applicants themselves. However, if it is needed, we can assist you in the application process.

Apply for the e-Residency HERE

Every shareholder needs to digitally sign the petition for an Estonian company formation, therefore, e-Residency is needed for all of the shareholders.

Being accessible for the general public via the internet is the part of belonging to a transparent business environment. It includes:

Company name;
Registry number;
VAT number;
Legal address;
Public email and contact numbers;
Company members, names, surnames, and nationality, including shareholders and directors;
Taxes paid during the current fiscal year.