Guide to Company Incorporation in Estonia

 1. What is the minimum share capital for a limited liability company in Estonia?

In order to set up a Limited Liability Company in Estonia, the minimum amount of share capital is around 2,500 EUR. Since 1 January 2011, the currency in Estonia became euro. The contribution can be paid off in cash, in property or half in cash and half in non-property shares.

2. What is the minimum share capital for a joint stock corporation in Estonia?

When it comes to establishing a Joint Stock Corporation (AS) in Estonia, the minimum share capital required is ten times the minimum share capital needed for a LLC, that is approximately 25,000 EUR. It is important to know that details about shareholders have to be registered in the Estonian Central Register of Securities. 

3. Are there any special requirements for establishing a LLC in Estonia?

A Limited Liability Company in Estonia must have a management board that takes care of strategic matters, with members who are legal residents of Estonia. It is also compulsory to have a supervisory board if the capital share is more than 25,000 EUR. The same amount also requires the existence of an auditor.

4. How can I register for VAT in Estonia? 

Registration for VAT starts with filling in an application form and submitting it to the Northern Tax and Customs Centre. The procedure requires your presence in person, as it cannot be done electronically, but you might also send there an authorized person.  A VAT identification number will be released for you, with a structure of nine digits, preceded by EE. 

5. How can I open a bank account in Estonia?

Opening a bank account in Estonia is very simple, as it only requires a personal identification document. The procedure can be performed at any bank office in Estonia.

6. How can I recruit personnel in Estonia?

In order to find the qualified personnel for an Estonian company, one has to advertise the position on different media or hire a specialized agency of recruitment.

7. What is the average salary in Estonia?

The average salary in Estonia is up with 4.5% since last year, with a sum of 792 EUR in the first quarter of 2011.

8. What is the overall economical situation in Estonia?

The Estonian economic policy encourages foreign investment and sustains the business area with favorable law, liberal trade and balanced budget.