Lithuania Company Formation

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Lithuania

Company Formation and Related Services

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Company Formation in Lithuania

F.A.Q.

Lithuania is an appealing destination for foreign investors wanting to set new companies. BridgeWest offers tailored solutions for clients who want to incorporate a company in Lithuania.

BridgeWest provides company formation services in Lithuania. Our assistance includes:

-         - drawing up the articles of association that can be signed through power of attorney (Lithuanian laws require power of attorney for any public notary proceedings);

-         - drawing up documents for company incorporation in Lithuania: specimen signatures, identification papers copies, application form required by the Lithuanian Company Registration Office;

-         - arranging public notary proceedings (all procedures for company incorporation are done in front of a Lithuanian public notary);

-         - providing a registered office in Lithuania on demand; the registered office serves as headquarters for the company in Malta and it will be made public;

-        - setting up a bank account for the company in Lithuania; BridgeWest will help in setting up the share capital bank account, as well as a current bank account once the company is incorporated;

-         - recommending a Lithuanian accountant, as accounting services are needed for new businesses in Lithuania.

 

Types of companies in Lithuania

- Lithuanian private limited company (Uždaroji akcine bendrove –UAB) - the Lithuanian private limited company is the most common type of company because it requires minimum one shareholder  and maximum 250, a director who can be an individual or a legal entity. The minimum share capital for a private limited company in Lithuania is 10,000 LTL (approximately 2,900 EUR) and it must be subscribed in the articles of association of the company. Shareholders are held accountable for the company’s obligations and debts to the extent of their share contribution. The shares of private limited companies cannot be traded on the stock exchange.

- Lithuanian public limited company (Akcine bendrove - AB) - The Lithuanian public limited company is required to have at least one shareholder, one director and a supervisory council or a management board. The shareholders of a public limited company in Lithuania are held liable for the company’s debts and obligations to the extent of their share contributions. The minimum share capital for a public limited company in Lithuania is 150,000 LTL (approximately 44,000 EUR) and the shares can be transferred or traded on the stock exchange.

- Lithuanian Branch, Subsidiary or Representative Office - Foreign companies are allowed to set up separate enterprises from the parent company, where the foreign company will be a shareholder in a Lithuanian company. Foreign companies can also open extensions of the parent company in Lithuania.

Taxation in Lithuania

-       The corporate tax in Lithuania is 15%, but a reduced rate of 5% applies to agricultural companies.

-       The standard VAT rate in Lithuania is 21%, but reduced rates of 9% and 5% apply to books, respectively pharmaceuticals.

-       Capital gains and dividends are taxed with 15% in Lithuania, unless participation exemption or double tax treaties apply.

BridgeWest is also able to offer ready-made Lithuanian companies and VAT registration. 

Please contact us for more information and prices.

 



Articles on Company Formation in Lithuania

Types of Lithuanian Companies

There are various forms of business entities allowed in Lithuania, each having its own characteristics, advantages and disadvantages. The Lithuanian law institutes similar regulations for national and foreign entrepreneurs. There are four main kinds of company types which are commonly founded on Lit ...

Setting up a Lithuanian company

Even though Lithuanian economy was strongly affected by the global crises, it still represents an interesting place to invest and to set up a company, having a developed and diversified industry that produces more than 33% of the GDP and a strong service sector with more than 61% of the GDP. In orde ...

Register of Companies in Lithuania

The Register of Legal Entities of Lithuania is incorporated in the Centre of Registers of Lithuania which functions under the authority of the Minister of Justice of the state of Lithuania. It is a public entity of limited civil liability and it is owned by the State. The Central Unit of the Centre ...

Open Company Branch or Subsidiary in Lithuania

One way of investing in Lithuania is through establishment of a company branch. A Lithuanian branch is not considered a separate legal entity from the parent foreign company. The liability of the branch is attributed to the parent company which is responsible for the branch's debts and obligations. ...

Guide to Company Incorporation in Lithuania

1. What is the minimum share capital of a Lithuanian Private Limited Liability Company? The most common company form of Lithuania is the Private Limited Liability Company. It has a simpler structure and a less complex incorporation process. The starting capital requested by the Lithuanian Law is 10. ...

Paying Taxes in Lithuania

1. What is the corporate tax in Lithuania? The standard corporate tax rate that a company registered in Lithuania has to pay is 15%. Companies with less than 10 employees and less than 500,000 LTL as an yearly income may pay only a 5% corporate tax rate.     2. What is the VAT ...

VAT in Lithuania

1. What is the VAT in Lithuania? Since 2009, the VAT rate in Lithuania is 21%. There are also some exceptions from this standard rate. Books and newspapers are subject to a VAT rate of 9%, as well as accommodation or the supply of heat and hot water. A 5% VAT rate applies for medicines in Lithuania. ...

Company Liquidation in Lithuania

BridgeWest handles all steps required for company liquidation in Lithuania . Please contact us via email or phone for appointing a liquidator to carry on the company dissolution, submitting the required application forms, dealing with the Court, closing the company's bank account or a ...

Open a Representative Office in Lithuania

Are there any special requirements for creating a Lithuanian Representative Office? The law of the Republic of Lithuania is governing the registration of representative offices in Lithuania by foreign companies. The foreign company must keep in mind that only specific operations that doesn’t ...

Register a Non Profit Organization in Lithuania

A series of laws are regulating the establishment and operation of the non-profit organizations in Lithuania like the Law on Charity and Sponsorship (1993, as amended 2005), Law on Associations (1996), Law on the Associations of Multi-family Apartment House Owners (1995) Law on Public Institutions ( ...

Nominee Director in Lithuania

 The term of nominee director can appoint different types of entities, individuals or corporate bodies, which can replace the beneficial owners of a company but with various responsibilities and rights according to the resident country’s specific. While in offshore jurisdictions the nomin ...

Set up a company in Lithuania

Every functioning company in Lithuania has to be registered with the Company Register. The process takes about three weeks and implies a series of documentation. This process is similar to foreign and national entrepreneurs, the regulations being the same. Preliminary activities before registering a ...

Open Business in Lithuania
We guarantee a cost-efficient solution for full company setup, bank account and VAT registration

Meet us in Vilnius

Call us now at +44 203 287 0408 to set up an appointment with our lawyers in Vilnius, Lithuania. Alternatively you can incorporate your company without traveling to Lithuania.

As a BridgeWest client, you will beneficiate from the joint expertize of local lawyers and international consultants. Together we will be able to offer you the specialized help you require for your business start-up in Lithuania.