24 reasons why to do business in Estonia
The main advantages of doing business in Estonia:
- Corporate income tax in Estonia is 0%! This is beneficial primarily to those entrepreneurs who use the income to invest in the further development of their business, and not just for payments to individuals.
- From 01.01.2011, it is not necessary to hire local resident companies in the governing body, as, for example, in Finland, Lithuania, and other European countries. This means that the founders and members of the board can be 100% non-residents of Estonia and the EU.
- It is not necessary to pay salaries to a member of the board (director) of the company and, accordingly, there is no requirement for its minimum size.
- There is no reporting to the Estonian Tax Department in the absence of a VAT number from the company and payroll.
- There is no need to contribute authorized capital (min. 2,500 euros) during the registration of the company, it is enough to declare it.
- There is an opportunity to receive an annual business visa.
- A company in Estonia can receive unlimited loans in terms of size and quantity from its shareholder, which allows it to withdraw profit in the form of annual interest payments without any taxes in Estonia (for non-residents of Estonia).
- The absence from 2016 of the officially approved by the Estonian Tax Department blacklist of jurisdictions (offshore), transactions with which are subject to income tax.
- There is the ability to apply for a residence permit for a member of the board or the owner of the company in the implementation of the real activities of the company.
- There is the ability to buy real estate in the ownership of an Estonian company without any taxes.
- The opportunity to purchase a car in the ownership of the company without paying (or with a return) of VAT 10-20%.
- There is no vehicle tax for cars for both individuals and legal entities.
- Estonian resident companies benefit from double tax treaties concluded with a number of countries: Austria, Armenia, Belgium, Belarus, Great Britain, Hungary, Germany, Holland, Denmark, Ireland, Iceland, Spain, Italy, Canada, Kazakhstan, China, Latvia, Lithuania, Luxembourg, Malta, Moldova, Netherlands, Norway, Portugal, Poland, Romania, Slovakia, Slovenia, USA, Turkey, Ukraine, Finland, France, Croatia, Czech Republic, Switzerland, Sweden … There is a confidence that this will be soon the list will replenish and Russia.
- Estonia located near the Russian Federation, the duration of the flight Moscow-Tallinn is approximately 90 minutes, the ticket price is approximately EUR 70 or RUB 5500.
- In Estonia, there is the facilitated tax system.
- The minimum annual cost of maintaining the company is from EUR 500 or RUB 40,000 per year.
- The minimum cost of servicing your company’s bank account, the availability of Internet banking in Russian and English.
- Almost no problem opening an account in any European bank due to the high image of Estonian jurisdiction.
- The possibility of registering a domain name in European domain zones (eu, ee, es, etc.).
- It is very convenient for creative and IT-business, which does not require a physical presence but aimed at the global market.
- When paying taxes, there is an accumulation in your pension account, it means, in the future, you can rely on a pension from the Republic of Estonia. * If you have a residence permit
- Potential customers from Europe are more likely to enter into contracts with a company from the EU than with Russia or any other CIS country.
- It is possible to register intellectual property – patents and trademarks in the EU – faster and cheaper for an Estonian company.
- The opportunity to obtain a residence permit in Estonia without having to be in the country for at least 183 days a year (the requirement was canceled in 2017).
E-COMMERCE BROKER – how we can be useful for you:
- We create companies in the EU
- We open bank settlement accounts
- Connect to VISA / MasterCard processing
- Serving residents and non-residents
- We provide legal addresses and accounting services
Our work is based on:
- European quality standards
- High professionalism
- An integrated approach
- Security guarantees for the business area
If you have any questions, please contact us by phone +371 27191897 and we will help you to open a company in Estonia.