Estonia, a Baltic gem with just 1.3 million inhabitants, has become one of the world’s most impressive tech startup hubs. Thanks to its digital-first government, innovative e-Residency program, and a thriving entrepreneurial community, Estonia punches well above its weight in global tech.
In fact, Estonia ranks #1 in Europe and #5 globally for startup activity per capita according to StartupBlink. Let’s explore the top tech startups launched in Estonia that have revolutionized industries worldwide — plus why Estonia continues to attract founders and investors.
🌟 Estonia: The Digital Pioneer
Estonia was the first country to offer an e-Residency program launched in 2014, which today counts over 100,000 e-residents from 170+ countries (source). This digital identity lets entrepreneurs establish and manage an EU-based company entirely online.
More than 7,000 startups are estimated to be active in Estonia as of 2025 (EU Startup Monitor), supported by digital public services where you can register a company in under 18 minutes.
🚀 Leading Tech Startups Founded in Estonia
1. Skype 📞
Founded in 2003 by Estonian developers, Skype was acquired by Microsoft for $8.5 billion in 2011. It transformed global communication with over 300 million active users worldwide (Microsoft).
2. Wise (formerly TransferWise) 💸
Founded in 2011, Wise disrupted the $150 trillion global remittance market with transparent fees and real exchange rates. Today, Wise serves over 12 million customers globally and is valued at over $11 billion (Wise).
3. Bolt 🚗
Bolt operates in 45+ countries with more than 75 million users. It offers ride-hailing, electric scooters, and food delivery, generating over 1 billion rides per year (Bolt).
4. Pipedrive 📈
Pipedrive’s CRM platform is used by over 100,000 sales teams worldwide. It processes over 1 million deals per month, helping small and medium businesses close sales faster (Pipedrive).
5. Veriff 🛡️
Veriff’s AI-powered identity verification protects millions of users across industries like banking and crypto. It has raised over $70 million in funding as of 2024 (Veriff).
6. Testlio 🧪
Testlio offers crowdtesting by leveraging a global community of testers across 150+ countries. Its clients include Microsoft, Sony, and Fitbit (Testlio).
7. Starship Technologies 🤖
Starship’s autonomous delivery robots have completed over 1 million deliveries globally, operating in cities across the US and Europe (Starship).
8. Skeleton Technologies ⚡
Skeleton is Europe’s leader in ultracapacitors, powering energy storage solutions that increase electric vehicle range and grid stability. It has raised over €100 million (Skeleton).
9. Guardtime 🔐
Guardtime has secured critical infrastructures worldwide, including the Estonian government and NATO, using blockchain technology. It boasts millions of secured endpoints (Guardtime).
10. Adcash 📊
Adcash serves over 10,000 advertisers and publishers, optimizing digital advertising spend with AI-powered programmatic technology (Adcash).
🌐 Why Estonia Attracts Tech Startups
Estonia’s corporate tax rate is 0% on reinvested profits, encouraging startups to grow and reinvest earnings
You can register a company remotely via e-Residency in under 20 minutes, a process that usually takes weeks in other countries.
With ongoing investment — Estonia attracted €500 million in startup funding in 2024 alone (Estonian Startup Committee) — and a growing global network, Estonia’s tech ecosystem is poised for continued growth.
Entrepreneurs benefit from extensive accelerator programs, tax incentives, and access to the European single market. The government’s commitment to digital transformation ensures Estonia remains at the forefront of innovation.
📚 Useful Links for Entrepreneurs Interested in Estonia
Setting up payroll in Estonia is a smooth and structured process, thanks to the country’s advanced digital infrastructure and transparent tax system. Whether you’re opening a local business or expanding internationally, understanding payroll setup is essential to stay compliant with labor and tax regulations.
This guide walks you through the key steps — from company formation to monthly salary payments — in a natural, easy-to-follow format.
🏢 First, You Need a Legal Entity
To process payroll in Estonia, you must first establish a legal entity, typically a private limited company (OÜ). Your company must be registered with the Estonian Business Register.
You don’t have to do this on your own — you can hire Eesti Consulting to handle the incorporation process for you. They can help register your company remotely using e-Residency or in person through a notary public. If you’re in a hurry, it’s also possible to purchase a ready-made (shelf) company, giving you a fast track to start operations.
Once your company is legally established, you’re ready to proceed with payroll setup.
🧾 Register with the Tax Board and Employment Registry
The next step is to register with the Estonian Tax and Customs Board via the digital e-Tax system. This platform is used to file and pay all payroll-related taxes and contributions. In addition, every employee must be added to theEmployment Register (TÖR) before their first working day.
Both of these systems are fully online and accessible with your e-Residency card or Estonian ID.
👩💼 Collect Employee Information and Define Payroll Terms
To set up accurate payroll, you’ll need essential information from each employee, such as:
Full name and ID number
Address
Date of hire
Salary terms
Tax and social security status
In Estonia, salaries are typically paid monthly, and employees must receive their pay by the last working day of each month. You should also define your internal payroll rules for leave, sick days, bonuses, and overtime, in line with Estonian labor law.
⚙️ Choose How You’ll Process Payroll
There are several ways to run payroll in Estonia. You can:
Use in-house accounting staff and software
Outsource to a local payroll provider or accountant
Hire an Employer of Record (EOR) service if you don’t want to open your own company
Use hybrid solutions combining software and consulting
Many businesses choose to outsource for simplicity and legal compliance, especially during the early stages.
To determine how much each employee receives, you’ll need to calculate the net salary from the agreed gross amount by applying taxes and social contributions.
📊 Typical Payroll Deductions in Estonia (2025)
Type of Contribution
Paid By
Rate
Income tax
Employee
20%
Pension (II pillar)
Employee
2%
Unemployment insurance
Employee
1.6%
Unemployment insurance
Employer
0.8%
Social tax
Employer
33%
⚠️ Note: From 2025, the income tax rate will increase to 22%, and VAT will rise from 20% to 22%, though VAT does not directly affect payroll.
💳 Pay Salaries and Issue Payslips
Once net salaries are calculated, payments must be transferred to employees’ bank accounts by the agreed payday, typically the last working day of the month. It’s also mandatory to issue payslips, either electronically or on paper, showing the breakdown of deductions and taxes.
💰 Declare and Pay Taxes via e-Tax
Each month, you must file a payroll report via the e-Tax system and pay the following:
Withheld income tax
Employee social contributions
Employer’s social tax
Unemployment insurance contributions
These payments are due by the 10th of the following month.
📁 Keep Payroll Records and Stay Compliant
Payroll records must be stored securely and be available for audits. This includes:
Employment contracts
Payslips
Tax declarations
Proof of payments
Make sure your records comply with GDPR and local labor law.
🔄 Stay Updated on Payroll Regulations
Estonian tax law changes are often transparent and published well in advance. However, it’s still crucial to stay informed, especially as tax rates are changing in 2025.
Monitoring updates through the Estonian Tax Board, legal advisors, or payroll providers like Eesti Consulting can help you avoid compliance issues.
✅ Summary Table: Setting Up Payroll in Estonia
Step
Action Required
Legal entity setup
Register an OÜ or buy a ready-made company with help from Eesti Consulting
Register with Tax Board
Use e-Tax system to declare taxes and access payroll tools
Register employees
Add each worker to the Employment Register before they begin
Set up payroll terms
Define salary dates, frequency, and employment policies
Calculate deductions
Apply income tax, social tax, and other contributions
Pay salaries
Transfer net pay by month-end and provide payslips
File reports and pay taxes
Submit monthly declarations by the 10th and pay relevant contributions
Maintain records
Store contracts, payslips, and tax filings securely
Registering a company in Estonia can be a straightforward process, but if you can’t be physically present or prefer to delegate the task, you can authorize someone else to do it by Power of Attorney (PoA). This method is commonly used in cross-border setups, by digital nomads, or in situations where legal or business representatives handle formation tasks.
Here’s how to register a company by Power of Attorney in clear steps:
✅ Step 1: Decide on the Company Structure and Details
Before issuing a Power of Attorney, decide the key details of your future company:
These details will be used by your authorized representative during the registration process.
✅ Step 2: Draft the Power of Attorney (PoA)
Create a legally valid Power of Attorney document that authorizes a specific person (or legal firm) to act on your behalf. The PoA should clearly state:
Your full name and identification details
The representative’s full name and details
The specific rights granted (e.g., signing incorporation documents, submitting forms)
Jurisdiction (country) where the PoA applies
Date and signature
⚠️ Legal requirement: In many jurisdictions, the PoA must be notarized and sometimes apostilled (if signed abroad).
✅ Step 3: Notarize and Apostille the PoA (if required)
Depending on the country:
Have the PoA notarized by a local notary public
In cross-border cases, get the apostille according to the Hague Convention (to make it legally valid abroad)
Send the original or certified copy to your representative, as required by local law.
✅ No Apostille Needed: Countries with Legal Aid Agreements with Estonia
Estonia has concluded mutual legal aid agreements with certain neighboring countries. According to these agreements, public documents issued or certified in these countries are recognized in Estonia without any further certification — meaning no apostille or legalisation is required.
📄 Countries included in this agreement:
🇱🇹 Republic of Lithuania
🇱🇻 Republic of Latvia
🇵🇱 Republic of Poland
🇺🇦 Ukraine
Estonia will accept official documents from these countries without apostille, and likewise, documents from Estonia are recognized in these countries without further certification.
✅ Step 4: Submit Company Registration Documents
Your representative will handle all paperwork and formalities using your PoA. This typically includes:
Submitting the company application
Signing incorporation documents (articles of association, etc.)
Registering the business address
Appointing board members, shareholders and beneficial owners
Paying the state fee (if applicable)
This is usually done online in digital-first countries (e.g. Estonia) or in person at a commercial registry office elsewhere.
✅ Step 5: Receive Confirmation of Registration
Once submitted, the business registry will process the application — typically within a few business days.
After approval, you’ll receive:
Company registration certificate
Company number
Access to company data and e-services (if applicable)
✅ Step 6: Optional – Open a Business Bank Account
In many cases, your representative can also help you open a company bank account using the same PoA — if the bank accepts it.
Estonia is one of Europe’s most digital and entrepreneur-friendly countries. Thanks to its e-Residency program, low taxes, and streamlined bureaucracy, it’s become a hub for startups, tech innovators, and digital nomads. Whether you’re based in Tallinn or launching remotely, here are 20 practical business ideas you can start in Estonia — with emoji flair included!
1. 💻 IT Consulting & Software Development
Estonia is home to top tech talent and world-class infrastructure. If you’re skilled in coding or systems architecture, start an IT consultancy or offer custom development for global clients.
2. 🛍️ Niche E-Commerce Store
Launch an online store selling specialized products — eco items, Estonian handicrafts, or unique electronics. Use Estonia’s logistics and digital infrastructure to streamline operations.
3. 🌍 Digital Marketing Agency
Support international businesses with SEO, social media, content writing, or PPC. Estonia’s low costs let you offer competitive prices while scaling globally.
4. 📦 Dropshipping Business
Start a lean dropshipping brand using platforms like Shopify or WooCommerce. Estonia’s e-Residency system makes it easy to manage an online business from anywhere.
5. 🤖 AI & Automation Solutions
If you have AI or machine learning experience, build SaaS tools that automate routine business functions like scheduling, analysis, or customer support.
6. 🧾 E-Residency Services & Accounting
Offer services tailored to Estonia’s e-residents — like accounting, legal help, or virtual office setups. With over 100,000+ e-residents, demand is growing.
7. 🎨 Creative Design Studio
Set up a studio offering branding, graphic design, or UI/UX services. Estonia’s startup scene often looks for fresh creative talent.
8. 🎮 Indie Game Development
Estonia has a growing gaming industry. Create and monetize your own indie game or provide gamification solutions for businesses.
9. 📚 Online Course Platform
Turn your knowledge into a business by selling digital courses. Popular niches: coding, design, productivity, or learning Estonian!
10. 🧠 Coaching or Consulting
Use your expertise in business, wellness, or personal development to coach clients online. Estonia’s simple legal setup makes solo entrepreneurship easy.
11. 📈 Data Analytics & BI Services
Companies need data insights now more than ever. Start a firm that offers analytics, dashboards, and data strategy to SMEs or startups.
12. 🍽️ Specialty Food Exports
Estonian food products — from rye bread to honey — can be sold abroad. Build an export-focused food brand or collaborate with local farmers.
13. 🎧 Podcast Production or Studio
Podcasting is booming. Offer production, editing, and marketing services — or create a niche podcast that builds a following.
14. 🧘 Wellness or Fitness App
Create a digital product offering meditation, home workouts, or healthy recipes. Estonia’s tech ecosystem makes app development accessible.
15. 🛠️ Custom Web & App Development
Many businesses need websites or apps. If you’re a developer, offer full-stack services to startups and small businesses across the EU.
16. ✍️ Content Writing & Translation
Estonia is multilingual — Estonian, Russian, and English. Offer writing, localization, or translation services to international clients.
17. 🎥 Video Creation & Animation
From explainer videos to ads, video is in high demand. Use tools like After Effects or DaVinci Resolve to start a creative studio.
18. 🌱 Eco-Friendly Product Line
Launch a brand around sustainability — bamboo products, reusable goods, or zero-waste items. Estonia’s environmental values support this direction.
19. 🏨 Boutique Tourism Experience
Despite being digital-first, Estonia still attracts visitors. Create curated travel experiences: food tours, hikes, or wellness retreats.
20. 🧳 Digital Nomad Services
With more digital nomads arriving in Estonia, offer coworking spaces, relocation help, or visa assistance tailored to remote workers.
Estonia, a small but dynamic country in Northern Europe, is known for its high-quality education system, cutting-edge technology, and rich cultural heritage. Estonia has become an increasingly popular destination for international students, offering world-class education at affordable rates. With its friendly atmosphere, innovative environment, and strong focus on digitalization, Estonia provides students with a unique opportunity to not only receive an excellent education but also be part of a vibrant, tech-savvy society.
Here’s a breakdown of the top universities in Estonia, along with why it’s worth studying in this beautiful Baltic country.
The University of Tartu is the oldest and most prestigious university in Estonia, founded in 1632. It has built a global reputation for its excellence in research and education. The university offers a wide range of programs at undergraduate and postgraduate levels, including disciplines in the humanities, social sciences, technology, and natural sciences.
Why Study at the University of Tartu?
Global Reputation: It consistently ranks among the best universities in the world, particularly in fields like technology, medicine, and social sciences.
Research Excellence: The university is home to many internationally recognized researchers, especially in areas like digitalization, medicine, and natural sciences.
Interdisciplinary Opportunities: The university offers unique opportunities for interdisciplinary studies, allowing students to gain knowledge from multiple fields.
International Student Community: Tartu has a large international student body, making it easy for students from all over the world to connect and collaborate.
2. Tallinn University of Technology (Tallinna Tehnikaülikool)
Known as TalTech, this university specializes in technology, engineering, and innovation. It is the go-to institution for students interested in cutting-edge industries like IT, robotics, engineering, and business technology.
Why Study at TalTech?
Leading in Technology: TalTech is Estonia’s leading institution for technical studies, with strong emphasis on research and innovation in the digital realm.
Strong Industry Ties: TalTech has close connections with major Estonian tech startups, offering students ample internship and job opportunities.
Entrepreneurial Spirit: TalTech encourages innovation, providing students with tools and support for creating their own startups and businesses.
State-of-the-Art Facilities: The university has top-tier labs and research centers dedicated to the study of robotics, artificial intelligence, and engineering.
Tallinn University offers a comprehensive range of programs, including the humanities, social sciences, natural sciences, and arts. The university focuses on a holistic, student-centered approach, encouraging interdisciplinary collaboration and a global perspective.
Why Study at Tallinn University?
Interdisciplinary Focus: The university promotes an interdisciplinary approach to education, encouraging students to explore various fields.
Global Network: TLU has partnerships with universities worldwide, facilitating exchange programs and collaborative research opportunities.
Vibrant Location: Situated in the cultural heart of Tallinn, students have access to an exciting city filled with history, art, and a thriving tech scene.
Excellent Social Science Programs: TLU is renowned for its research and programs in social sciences, including education, political science, and sociology.
The University of Life Sciences, located in Tartu, focuses on agricultural sciences, environmental studies, and sustainability. If you’re interested in fields like agriculture, forestry, or veterinary medicine, this is the place to be.
Why Study at the University of Life Sciences?
Focus on Sustainability: The university is dedicated to creating a sustainable future with programs in environmental conservation, agricultural innovation, and rural development.
Hands-On Learning: Students engage in practical, field-based experiences, giving them the chance to work with real-world environmental and agricultural challenges.
Specialized Programs: The university offers highly specialized degrees in areas such as forestry, food technology, and veterinary medicine.
Research in Environmental Sciences: EMU is a leading institution in Estonia for research in environmental and agricultural sciences.
Estonian Business School is the leading business school in the country, offering internationally recognized programs in business administration, marketing, finance, and entrepreneurship. EBS is ideal for students looking to pursue careers in business or who wish to start their own companies.
Why Study at EBS?
International Recognition: EBS offers globally recognized degrees and is accredited by international organizations like AACSB and AMBA.
Networking Opportunities: The business school has excellent ties to global companies and local startups, providing valuable internship and employment opportunities.
Entrepreneurial Environment: EBS fosters an entrepreneurial mindset, offering students opportunities to start their own businesses and participate in innovation projects.
English-Taught Programs: Many of EBS’s programs are taught in English, attracting a diverse, international student body.
Why Is It Worth Studying in Estonia?
Estonia is a country that offers an ideal environment for students to thrive academically, socially, and professionally. Here’s why studying in Estonia is a great choice:
1. High-Quality Education
Estonia consistently ranks among the top countries in the world for education. Estonian universities are recognized for their academic rigor and research output, especially in areas such as technology, business, social sciences, and environmental studies. The programs are often internationally accredited, ensuring that students receive an education that is globally competitive.
2. Innovation and Digitalization
Estonia is one of the most digitally advanced countries in the world. Known for its e-government and innovation in tech, Estonia provides students with a chance to learn in a forward-thinking environment where technology is at the heart of society. Many universities offer specialized programs in fields like artificial intelligence, blockchain, and cybersecurity—equipping students with the knowledge to navigate and mitigate real-world cybersecurity risks that are increasingly relevant globally.
3. Affordable Education
Compared to many Western European countries, studying in Estonia is relatively affordable. Tuition fees at Estonian universities are often lower than in many other European countries, and the cost of living in Estonia is also quite reasonable. This makes Estonia an attractive destination for international students looking for quality education without breaking the bank.
4. Strong Job Opportunities
Estonia has a booming tech scene and a strong economy, with many opportunities for graduates, especially in industries like IT, engineering, business, and digital technology. With close links to the local startup ecosystem, students have access to internships and employment opportunities with some of the biggest tech companies in Europe.
5. Cultural Diversity
Estonia offers a diverse and welcoming environment for international students. The local population is friendly and open, and English is widely spoken, especially in universities. With students from all over the world, you’ll be part of an international community that fosters cultural exchange and collaboration.
6. Stunning Natural Beauty
Estonia boasts beautiful landscapes, including forests, lakes, and a long coastline. The capital, Tallinn, is a charming city with a rich medieval history and modern amenities, making it a wonderful place to study, live, and explore. Whether you’re interested in outdoor activities or cultural events, Estonia offers a balanced lifestyle that combines academic excellence with natural beauty.
Conclusion
Estonia offers a unique and rewarding educational experience that combines high-quality academic programs, a digital-first environment, and a beautiful setting. Whether you are interested in technology, business, social sciences, or environmental studies, Estonian universities provide a wealth of opportunities to gain the skills and knowledge you need to succeed in your career. If you’re looking for an affordable, innovative, and internationally recognized education, Estonia should be at the top of your list!
Start your journey today and join thousands of international students who have chosen Estonia for its excellent education, modern lifestyle, and vibrant student culture.
Learning Estonian can feel like a bit of a challenge, especially if you’re a native English speaker. This is because Estonian is part of the Finno-Ugric language family, which is different from the language families that English, French, or Spanish belong to. But don’t worry! While Estonian has some tricky grammar and words, it’s also got some helpful features, like straightforward pronunciation and easy spelling.
The difficulty really depends on you—how much time you can spend learning, what methods you use, and how much you’re willing to practice. In the end, Estonian is not impossible to learn, and with the right tools, you can make steady progress!
In this article, we’ll show you some of the best apps to help you learn Estonian in an easy and fun way.
1. Ling: Learn Estonian Language with Fun Games
Ling is a super fun way to start learning Estonian! It has tons of topics to choose from, and the lessons feel more like games. You’ll be able to practice vocabulary and conversations with quizzes and fun chatbot chats. Plus, the app has native speaker audio to help you with your pronunciation.
Why you’ll love it: Fun and easy, perfect for beginners!
HelloTalk lets you chat directly with native Estonian speakers! You can text, send voice messages, or even have video calls. This is a great way to practice real conversations and get feedback from people who speak Estonian every day.
Why you’ll love it: Real conversations, instant feedback from natives.
Simply Learn Estonian is perfect if you want to learn basic phrases and words. It has over 300 useful phrases, and you can listen to them spoken by native speakers. Plus, it has flashcards and quizzes to help you remember what you’ve learned.
Why you’ll love it: Simple, practical phrases, great for beginners!
If you want to sound like a native Estonian speaker, SayEst is the app for you. It focuses on helping you improve your pronunciation by giving you feedback as you speak. The app uses speech recognition, so you’ll always know if you’re saying things right.
Why you’ll love it: Focuses on helping you pronounce words correctly.
Lingvist is all about making your learning experience unique to you. The app tracks how you’re doing and adjusts lessons based on your progress. It focuses on teaching you the most common words, so you’re learning what you’ll actually use in everyday conversations.
Why you’ll love it: Personalized learning at your own pace.
If you love flashcards, Anki is a great tool for learning Estonian vocabulary. You can create your own decks or use pre-made ones. The app uses spaced repetition, which helps you remember words over time.
Why you’ll love it: Easy to use, great for memorizing vocabulary.
Clozemaster is perfect if you’re looking to practice Estonian in context. You’ll fill in missing words in sentences, which helps you learn vocabulary in a natural way. It’s great for learners who want to go beyond basics and start understanding how Estonian works in real-life conversations.
Why you’ll love it: Learn Estonian through context, ideal for intermediate learners.
50 Languages is perfect if you’re looking for a wide variety of lessons. The app covers everything from simple greetings to more complex grammar, with audio from native speakers to help you with listening and pronunciation.
Why you’ll love it: Lots of lessons to help you progress at your own pace.
If you want a more personalized experience, iTalki is the app to check out. You can schedule one-on-one lessons with professional Estonian teachers who will guide you through speaking, grammar, or whatever else you need.
Why you’ll love it: Custom lessons with real teachers.
10. Drops: Learn Estonian in Fun, Bite-Sized Sessions
Drops is a great app if you’re looking to learn vocabulary in a fun and fast way. The app uses visuals and short sessions (only five minutes a day!) to teach you new words and phrases. It’s perfect for busy people who want to learn in small bursts.
Why you’ll love it: Quick and easy lessons that fit into your busy schedule.
Learning Estonian might seem tricky at first, but with these amazing apps, you’ll have all the help you need to make it easier and more enjoyable. Whether you’re a beginner or looking to improve your skills, there’s an app for you. Just choose the ones that fit your learning style, and start practicing today!
Neglecting a Business Plan: The Costly Mistake Startups Make
Is business just luck and throwing spaghetti against the wall to see what sticks? Or are there fundamental principles that separate successful entrepreneurs from those who crash and burn?
I’ve been starting and growing businesses for over five years through my consulting firm, Coaching 4 Companies. During that time, I’ve advised countless entrepreneurs. And let me tell you—the ones who followed key business principles reduced their risk, effort, and cost. The ones who ignored them? They wasted time, money, and resources.
One of the biggest mistakes I see? Starting a business without a structured plan.
A solid business plan isn’t just a formality—it’s the foundation of your success. Without it, you’re setting yourself up for failure. Let’s talk about why so many founders skip this crucial step and the consequences of neglecting a business plan.
Why Founders Ignore Business Planning (And Why It’s a Huge Mistake)
For some reason, people treat business differently from every other discipline. If a doctor tells you to take medicine for your kidney pain, you listen. If a lawyer gives you legal advice, you follow it. But when it comes to business, too many people think it’s all about instinct, gut feeling, or getting lucky.
Reality check: Business is a structured discipline governed by principles. You wouldn’t build a house without blueprints—so why start a business without a plan?
Despite this, many founders make the mistake of skipping a business plan because:
They think it’s unnecessary. They assume they can “figure it out as they go.”
They’re impatient. They want to jump straight into launching and selling without planning.
They don’t know how. Writing a business plan sounds intimidating, so they avoid it.
They think it only matters for investors. They assume that if they’re self-funding, they don’t need a plan.
But here’s what actually happens when you neglect a business plan.
The Consequences of Skipping a Business Plan
1. No Clear Direction (Winging It Leads to Failure)
Without a business plan, you have no real strategy. You’re just reacting to whatever comes your way. That leads to:
Unclear goals: What exactly are you trying to achieve? If you don’t define it, you’ll never reach it.
Inconsistent decision-making: You’ll constantly second-guess yourself without a roadmap.
Wasted resources: You’ll burn time and money on things that don’t actually move your business forward.
A business plan forces you to clarify: ✅ What problem you’re solving ✅ Who your ideal customers are ✅ How you’ll stand out from the competition
When you skip this step, you’re flying blind—and that’s a recipe for disaster.
2. Struggling to Secure Funding (Investors Need a Plan)
Need funding to launch or scale your business? Investors and banks want to see a concrete plan before they trust you with their money.
Without a business plan:
You’ll struggle to convince investors. They want to see financial projections, a market analysis, and a clear strategy before investing.
Banks won’t take you seriously. If you’re applying for a loan, lenders need to see a structured plan that proves you can repay the money.
Even bootstrapped businesses suffer. If you’re self-funding, a plan helps you allocate money wisely instead of burning through cash with no strategy.
A well-structured business plan reduces risk for investors and increases your chances of securing funding.
3. No Roadmap for Growth (You’ll Lose Focus)
A business plan isn’t just for the launch phase—it’s a living document that guides your growth.
Without one, you’ll constantly be putting out fires instead of making strategic decisions that scale your business. You might:
Chase too many opportunities at once. Without a clear focus, you’ll get distracted and spread yourself too thin.
Struggle to adapt. A good plan helps you anticipate challenges and pivot strategically.
Fail to measure progress. If you don’t track key metrics, how will you know if you’re succeeding?
A business plan helps you stay on track, make informed decisions, and adjust as needed.
How to Avoid These Pitfalls: Build a Business Plan (The Right Way)
The good news? Creating a business plan doesn’t have to be complicated. Here’s how to break it down into manageable steps:
1. Executive Summary
Your elevator pitch—a concise overview of your company, mission, and goals.
2. Company Description
Detail your products or services, target market, and competitive advantage.
3. Market Analysis
Research your industry, competitors, and target audience. What are their needs, pain points, and desires?
4. Marketing & Sales Strategy
How will you attract and convert customers? What channels will you use?
5. Management Team
Investors want to know who’s running the show. Highlight your team’s expertise and qualifications.
6. Financial Projections
Forecast your revenue, expenses, and profitability. If this feels overwhelming, use tools like AI-powered business plan generators.
Still unsure how to get started? Check out this guide on how to write a business plan australia. Just remember—templates are a starting point, not a substitute for real strategy.
Final Thoughts: Business Is a Discipline, Not a Gamble
Success in business isn’t about luck—it’s about strategy, execution, and discipline.
A business plan isn’t just paperwork. It’s your blueprint for success. It keeps you focused, helps you secure funding, and provides a roadmap for sustainable growth.
If you’re serious about building a business that lasts, stop treating business like a game of chance. Take control. Build a plan. And set yourself up for real success.
About the Author
Wayne Brown is the CEO of Coaching 4 Companies, based in Hong Kong, with branches in Singapore, Shanghai, and Australia. His firm specializes in business consulting, coaching, and executive development services designed to help SMEs achieve real performance, growth, and value. Wayne and his team have delivered impactful programs for Fortune 500 companies, including Siemens, Amazon, Google, and Coca-Cola.
Bank Accounts in Estonia – 2025 List for e-Residents.
Explore our list of bank accounts in Estonia dedicated for e-Residents. A lot of custommers ask me:
How to Open bank account in Estonia?
Do I need travel to Tallin to open bank account?
There is no single answer to this question. We have prepared a list of bank accounts in Estonia, including traditional bank accounts and app-based banking systems. If you already launched your company in Estonia, choose Eesti Consulting as your contact person.
1. Open LHV Bank Account
Key Features:
Highly e-resident-friendly
Provides multi-currency accounts
Offers business loans and investment options
Strong online banking tools
Valuable Info: LHV Pank has become one of the top choices for e-residents, offering an efficient digital banking experience that’s especially helpful for international businesses.
Valuable Info: Swedbank is a household name in Estonia and provides a full spectrum of services for businesses, though non-residents may face higher fees.
SWEDBANK requires at least two visits to its Rävala Branch. The procedure is difficult for e-Residents, as SWEDBANK asks for information about clients, service providers, contractors, and business connections with Estonia.
3. SEB Pank – mainly for residents of Estonia!
Key Features:
Known for secure online banking
Offers business credit, loans, and savings options
Wealth management and investment tools
Valuable Info: SEB provides a solid foundation for Estonian businesses, but non-residents will face additional due diligence fees for account opening.
4. Luminor Bank – Open Bank Account Here!
Key Features:
Strong local presence and a good choice for businesses with ties to Estonia
Business loans and investment options
Digital banking platform
Valuable Info: Luminor is a good choice for businesses that need strong local services, but non-residents will need to pay higher due diligence fees.
Easy banking with integration to local retail services
Offers business banking services
Provides simple account management
Valuable Info: Coop Pank’s integration with local retail stores makes it unique, but it’s mainly focused on local businesses rather than international ones.
Valuable Info: Revolut is an excellent choice for international business owners and freelancers who need a versatile digital bank for handling multiple currencies.
Valuable Info: Payoneer is a go-to solution for businesses and freelancers looking to receive cross-border payments and manage their accounts in multiple currencies.
Comprehensive financial management tools for businesses
Multi-currency accounts and payments
Ideal for freelancers and small businesses
Valuable Info: Finom makes managing business finances easier, with powerful tools designed to streamline invoicing, accounting, and payments. It’s a solid option for entrepreneurs looking for efficient financial management.
Choosing the right bank is an important decision for Estonian e-residents. It helps you manage your business, handle payments, and grow internationally. Estonia offers many banking options, including both traditional banks like Swedbank and SEB, and non-traditional platforms like Wise and Revolut.
Each bank has different benefits. Some offer great local services and others focus on international payments and multi-currency accounts. By looking at factors like fees, currency options, and ease of use, you can find the best bank for your needs.
Whether you’re a freelancer, running an online store, or managing a global business, there’s a banking solution that can help you succeed. Just make sure to compare the features and services of each option before making your choice!
Missing info or something is wrong with above edit? Contact our PR department (E-mail: contact@eesticonsulting.ee )
A lot of entrepreneurs ask me: What is the best accounting software in Estonia? 🤔 The truth is, there’s no one-size-fits-all answer to this question. Every business is unique, and the best solution depends on several factors, such as your company’s size, industry, monthly budget 💰, and the specific features you need.
For some, ease of use and affordability might be the top priority ✅, while others may require advanced functionalities like payroll management 👩💻, inventory tracking 📦, or multi-currency support 💱. Additionally, many Estonian businesses value software that complies with local tax regulations and integrates seamlessly with the country’s digital ecosystem 🇪🇪.
In this article, I’ll walk you through the 10 best accounting software options in Estonia 🔟, highlighting their key features, pricing, and who they’re best suited for. Whether you’re a startup 🚀, small business 🏢, or a growing company 📈, this guide will help you make an informed choice.
#1 SimplBooks – Accounting Software with easy imports
An online accounting software offering features like salary management, warehouse accounting, and comprehensive reporting. It allows both clients and accountants to access the same data and supports user permissions.
📌 Key Features of SimplBooks Accounting Software
🏦 Bank Integration – Connects with major Estonian banks (Coop, Swedbank, SEB, LHV) for automatic bank transaction imports, reducing manual work.
📑 Electronic Invoicing – Supports e-invoicing with Telema, Envoice, Omniva, and Costpocket for smooth invoice processing and document exchange.
📂 Easy Tax Filing – Enables seamless tax reporting and VAT declaration to tax authorities, ensuring compliance.
📊 Expense & Invoice Management – Simplifies financial tracking, expense recording, and invoice automation for businesses.
🖥️ User-Friendly Interface – Designed for simplicity, making accounting tasks, bookkeeping, and financial reporting easy for all skill levels.
🔗 Cloud-Based Accounting – Access your accounting data securely from anywhere, anytime.
💼 Small Business Accounting – Ideal for entrepreneurs, freelancers, and small businesses looking for an efficient accounting solution.
#2 Merit Aktiva – for entrepreneurs and accountants
A cloud-based accounting software designed for both accountants and entrepreneurs. It offers automated solutions to enhance efficiency and supports seamless data sharing among colleagues.
📌 Key Features of Merit Aktiva
🌐 Cloud-Based Accessibility – Access your accounting data securely from any device with internet access, allowing for flexible work environments.
🔄 Integration with Third-Party Applications – Seamlessly sync with various apps and services to enhance business efficiency.
📈 Comprehensive Reporting – Generate detailed financial reports to gain insights into your business performance.
🔒 Data Security – Benefit from bank-level security measures to ensure your financial information remains protected.
🆓 Free Trial Package – Experience all premium features for up to 6 months, with the ability to enter up to 100 sales invoices, 100 purchase invoices, and 100 ledger entries.
These features, along with those previously mentioned, make Merit Aktiva a versatile and user-friendly accounting solution suitable for various business needs.
#3 SmartAccounts – For Accountants, Difficult for Beginners!!
An online accounting program that provides tools to record income and expenses, generate invoices, and manage financial transactions.
📌 Key Features of SmartAccounts program
📄 Invoice Creation – Easily create and send invoices directly from SmartAccounts, with customizable PDF templates to suit your business needs.
📦 Purchase Management – Efficiently manage your purchases, including the ability to copy recurring purchase invoices for convenience.
📊 Financial Reporting – Access comprehensive financial reports, including balance sheets, income statements, and cash flow statements, along with several additional reports for detailed insights.
🏢 Fixed Asset Management – Conveniently manage fixed assets with built-in features, including depreciation reports.
📈 Inventory Tracking – Keep track of your inventory with ease, ensuring accurate stock levels and efficient management.
💼 Payroll Calculation – Calculate salaries and manage payroll processes seamlessly within the software.
🔗 Integration Capabilities – Integrate SmartAccounts with various platforms, including online stores and business management software, to enhance business efficiency.
📧 E-Invoicing – Send and receive e-invoices efficiently, reducing manual data entry and streamlining your invoicing process.
📱 User-Friendly Interface – Designed for simplicity and ease of use, making accounting tasks straightforward even for users without an accounting background.
#4 Freshbooks – Invoicing software for EU entrepreneurs
FreshBooks is a cloud-based accounting software tailored for small and medium-sized businesses, offering a comprehensive suite of tools to streamline financial management. Its user-friendly interface and robust features make it a popular choice among entrepreneurs seeking efficient accounting solutions.
Founded in 2004 and headquartered in Toronto, Canada, FreshBooks offers a comprehensive suite of features designed to streamline financial management tasks.
📌 Key Features of SmartAccounts program
📈 Time Tracking – Monitor billable hours with an integrated timer, ensuring accurate client billing.
💳 Online Payments – Accept credit card payments directly through invoices, streamlining the payment process.
📱 Mobile Accessibility – Manage your accounting tasks on the go with FreshBooks’ mobile app, available for iOS and Android devices.
🔗 Third-Party Integrations – Connect with various applications, including PayPal, Stripe, and G Suite, to enhance business operations
#5 ErplyBooks
ERPLY Books is a comprehensive accounting software tailored for small and medium-sized businesses, particularly in the retail and e-commerce sectors. It offers a range of features designed to streamline financial management and enhance operational efficiency.
📈 Time Tracking – Monitor billable hours with an integrated timer, ensuring accurate client billing.
💳 Online Payments – Accept credit card payments directly through invoices, streamlining the payment process.
📱 Mobile Accessibility – Manage your accounting tasks on the go with FreshBooks’ mobile app, available for iOS and Android devices.
🔗 Third-Party Integrations – Connect with various applications, including PayPal, Stripe, and G Suite, to enhance business operations.
#6 e-Financials – The simplest accounting software I ever saw!
e-Financials is a user-friendly, web-based accounting software developed by the Centre of Registers and Information Systems in Estonia. It is designed to assist small enterprises and startups in managing their bookkeeping efficiently. Accessible through the e-Business Register portal, both entrepreneurs and authorized individuals, such as accountants, can utilize the software. The platform offers a comprehensive suite of features tailored to streamline financial management tasks
📌 Key Features of e-Financials
📊 Real-time Financial Data Access up-to-date financial information anytime, allowing businesses to make data-driven decisions.
💻 Cloud-Based Platform E-Financials operate on the cloud, providing flexibility and remote access from any device, anywhere.
📑 Automated Accounting Automates tasks like invoicing, billing, and transaction recording, reducing human error and improving efficiency.
🔒 Data Security Strong encryption protocols ensure that financial data is securely stored and protected from unauthorized access.
📈 Financial Reporting Tools Generate detailed financial reports, including balance sheets, profit and loss statements, and cash flow analysis.
💡 Integrated Analytics Built-in analytics tools help businesses monitor their financial health and identify areas for improvement.
⚙️ Customization The platform can be tailored to suit the specific needs of businesses, whether small startups or large enterprises.
📱 Mobile-Friendly Optimized for mobile devices, allowing users to track and manage finances on-the-go.
Good news for small and medium-sized businesses (SMEs) across Europe! The SME Fund 2025is officially launching on 9th February 2025, and it’s packed with exciting opportunities to help your business grow and succeed. One of the biggest perks this year? A massive 75% discount on trademark registration!
The SME Fund2025 is an initiative designed to support businesses by offering financial assistance for intellectual property (IP) services. This fund helps SMEs across the European Union safeguard their creative ideas, innovations, and products, ensuring they stay competitive in a global market.
Over the past few years, the SME Fund has helped thousands of businesses protect their intellectual property by offering vouchers and discounts on things like trademarks, patents, designs, and more. This year, the Fund is back with even more support, making it easier for you to secure your brand and products through the protection of trademarks.
GET a 75% Discount on Trademark Registration in the EU and in local countries!
One of the standout features of the SME Fund 2025 is the 75% discount available for trademark registration. If you’re an SME and you’ve been thinking about registering your trademark in the EU, this is the perfect time to do so at a fraction of the cost.
A trademark is one of the most important assets for your business—it protects your brand, logo, and any unique symbols that represent your products or services. By registering a trademark, you make sure that no one else can use your brand’s name or logo without your permission. It’s a vital step in ensuring that your business is legally protected in the marketplace.
Save Money: With the 75% discount, trademark registration becomes much more affordable. It’s a great opportunity to secure your brand at a reduced cost.
Boost Business Confidence: Having your trademark protected gives you the confidence that your intellectual property is safe. It also makes your business appear more professional to potential clients and investors.
Global Competitiveness: As your business grows, protecting your trademark is key to maintaining a unique identity. With the SME Fund’s help, you can enhance your international reach and compete on a larger scale.
Encourage Innovation: By protecting your intellectual property, you’re creating a strong foundation for further innovation and growth. Whether you’re launching new products or entering new markets, a registered trademark can help you stand out.
How Apply for SME FUND voucher?
To apply for the SME Fund 2025 and take advantage of the 75% discount on trademark registration, it’s simple! The Fund will officially open on 3th February 2025, and you’ll be able to access vouchers for various IP services, including trademark registration, design protection, and patent filings.
Make sure to apply early, as these vouchers are limited, and demand is high. You can get more information and apply for the fund through the official European Union Intellectual Property Office (EUIPO) website or through local IP offices in your country.
SME FUND 2025 – Success Case from 2025 – It is done with Eesti Consulting
The launch of the SME Fund 2025 is a golden opportunity for businesses of all sizes to protect their intellectual property, reduce costs, and boost their growth. If you’ve been putting off trademark registration or want to take your brand protection to the next level, now’s your chance!
Mark your calendars for 9th February 2025 and get ready to give your business the protection and support it deserves.
For any questions or guidance, don’t forget to check out the EUIPO’s official resources, and stay tuned for webinars and tips on how to make the most of the SME Fund 2025.
How Eesti Consulting can help in Trademark Registration?
Eesti Consulting can assist you with the SME FUND 2025 for trademark registration in the following way:
SME FUND 2025 Voucher Assistance: We help you apply for the SME FUND 2025 voucher, which can cover up to 75% of your trademark registration costs. If your application is not approved, you pay nothing.
Trademark Risk Assessment: We perform a comprehensive risk assessment to ensure your logo or wordmark has a strong chance of success before you file for trademark protection.
Trademark Application Filing: We handle the entire process of submitting your trademark application to the EUIPO (European Union Intellectual Property Office) or your local patent office, ensuring all requirements are met.
Progress Monitoring & Certification: We monitor the application progress and provide you with the official certificate of registration once your trademark is successfully registered.
The SME FUND 2025 offers financial support to small and medium enterprises, making trademark registration more accessible and affordable. Let us handle the paperwork while you focus on growing your business!
The SME Fund 2025 is here to make it easier for you to protect your business and build a stronger, more competitive future. Don’t miss out on this fantastic opportunity to secure your trademark with a 75% discount. Apply on 9th February 2025 and set your business up for success in the coming year!
Happy registering, and best of luck with your business growth! 🌟
At Eesti Consulting, we help individuals and businesses with company formation, trademark registration, and more. We support you through the whole process, from getting your e-Residency card to registering your company and VAT.
We also assist with trademark registration, including applying for the SME FUND 2025 voucher, assessing trademark risks, and filing with the EUIPO or local patent offices. Additionally, we help you set up Estonian bank accounts to ensure your business runs smoothly.
We’re also looking for journalists, bloggers, and individuals with outreach experience who are interested in publishing guest posts or articles on our blog. If you have expertise in business, trademarks, or related fields, we’d love to collaborate with you and share valuable insights with our audience. Reach out to us if you’d like to contribute and be featured on our platform!
So….write for us!
What We’re Looking For
We’re accepting guest posts on a variety of topics that will help our audience thrive in today’s business world. If you have expertise in any of the following niches, we’d love to hear from you:
1. Write for Us + Accounting
Share your knowledge of accounting best practices, financial management, and tax tips for small businesses. Help entrepreneurs understand the essentials of managing their finances effectively.
2. Write for Us + Digital Nomad
If you live the digital nomad lifestyle or have advice on how to manage business while traveling, we want your insights! Share your experience on the best countries to work remotely, how to handle finances as a digital nomad, and more.
3. Write for Us + Taxes
Taxes can be tricky for small business owners and entrepreneurs. If you have tips on tax planning, tax-saving strategies, or how to stay compliant with tax laws, your guest post will be a huge asset to our audience.
4. Write for Us + Consulting
Consulting is essential for many business owners. If you have experience in business strategy, management consulting, or coaching, share your tips with our readers to help them improve their operations and grow their businesses.
5. Write for Us + Company Formation
Help entrepreneurs understand the steps and requirements for setting up a business. Share tips on choosing the right business structure, navigating legal requirements, and registering a company.
Why Write for Us?
PR Mention: We will mention you in our PR channels, giving you extra visibility for your contribution.
Dofollow Links: You’ll receive one or two dofollow links back to your website, boosting your SEO and online presence.
Build Personal Branding: Writing for us is a great way to establish yourself as an authority in your field and build your personal brand.
How to Contribute
Interested in guest posting? It’s simple! Just send your guest post or article proposal to contact@eesticonsulting.ee. Please include:
A brief bio about you and your expertise
A summary of the topic you’d like to cover
Links to any previous work you’ve written (if applicable)
We’re excited to read your guest post and share it with our community. This is a great opportunity to showcase your knowledge and help others succeed in their business endeavors.
Get Started Today!
At Eesti Consulting, we’re passionate about providing helpful insights for entrepreneurs, small businesses, and digital nomads. If you’re ready to share your expertise and contribute to our community, we invite you to write for us today!
Estonia is making important tax changes in 2025. These updates will affect everyone individuals, businesses, and consumers. Here’s a simple overview of tax changes in Estonia in 2025 year.
Income Tax and Corporation Tax Changes in 2025
Starting January 1, 2025, income tax will increase from 20% to 22% for both people and companies. Also, businesses will no longer have the option to pay a lower 14% tax on regular profit payouts. This means companies will pay more tax on their profits.
Starting in 2026, all taxpayers will benefit from a universal tax-free income of €700 per month. For pensioners, the tax-free threshold will be €776 per month in 2025
VAT Changes in 2025
From July 1, 2025, the standard VAT rate will increase from 20% to 22%. Specific sectors will see bigger changes:
Hotels: VAT will go up from 9% to 13%, making stays more expensive.
Newspapers: VAT will increase from 5% to 9%, which could raise subscription and advertising costs.
The method for calculating land tax will be revised. Agricultural land will be taxed at a rate of up to 1 percent of its value, while other types of land may be taxed up to 2 percent. Local governments will determine the specific rates.
Car Tax – Changes in 2025
A new car tax will start on January 1, 2025. Every car owner will need to pay a base tax of €50, plus extra depending on their car’s weight and CO2 emissions. This tax aims to encourage the use of environmentally friendly vehicles.
Excise Duties – Changes in 2025
Taxes on specific items will also increase:
Fuel: Excise tax on gasoline will rise by 5% every year, starting in 2025.
Cigarettes: The tax on cigarettes will increase in two steps, in January and July 2025, making them more expensive.
Simplified Rules for micro companies in the EU
Currently, businesses must register for VAT in any other EU country as soon as they earn revenue there. Without registration, they are limited to operating within local thresholds (e.g., €40,000 in Estonia).
In the future, businesses will be able to operate across EU member states without VAT registration until their total EU-wide turnover reaches €100,000. They will still need to submit a declaration to the Estonian Tax and Customs Board.
Estonia’s 0% Corporate Tax: No Tax on Profits Left in the Business
In Estonia, companies don’t have to pay tax on the money they keep in the business. If a company makes a profit and decides to reinvest it, no tax is owed. This makes it easier for businesses to grow and improve.
However, if the company decides to pay out profits to the owners or shareholders, they must pay 20% tax on that money. The tax only applies to the money that is taken out of the business, not what is kept inside.
This system encourages companies to keep their profits and invest them in growing the business, rather than paying taxes right away.
The Summary of Tax Changes in Estonia in 2025
In 2025, there will be several important tax changes in Estonia. The income and corporation tax rate will increase from 20% to 22% starting January 1, 2025, for both individuals and companies. Additionally, businesses will no longer have the option to pay a lower 14% tax on regular profit payouts, meaning higher taxes on profits.
The VAT rate will also rise from 20% to 22% starting July 1, 2025, with specific sectors like hotels seeing an increase from 9% to 13% and newspapers from 5% to 9%.
The land tax calculation will change, with agricultural land taxed up to 1%, and other types of land up to 2%, determined by local governments. A new car tax will be introduced on January 1, 2025, with a base tax of €50, plus additional charges based on the car’s weight and CO2 emissions.
Excise duties will also rise, with the excise tax on gasoline increasing by 5% annually, starting in 2025. Cigarette taxes will be increased in two stages during 2025, making them more expensive.
In terms of VAT, micro companies will benefit from simplified rules, allowing them to operate across the EU without VAT registration until their turnover reaches €100,000.
Finally, Estonia’s 0% corporate tax policy means companies will not pay tax on profits left within the business. Taxes are only due when profits are paid out to owners or shareholders, at a rate of 20%. This encourages companies to reinvest their profits rather than pay immediate taxes.
Notably, Estonia is ranked #1 in the Tax Foundation’s ranking of business-friendly tax systems, further highlighting its appeal for businesses.
How Eesti Consulting Can Help e-Residents and Other Clients
Eesti offers valuable support to e-Residents and other clients through a variety of services, making business operations in Estonia easier and more efficient. Here’s how they can help:
Consultation Services: Eesti provides expert advice on starting and running businesses in Estonia, helping entrepreneurs understand local laws, choose the right business structure, and navigate compliance requirements.
VAT Registration: They assist businesses in registering for VAT with the Estonian Tax and Customs Board (EMTA), ensuring that you meet VAT obligations and understand related rules.
Accounting Services: Eesti offers professional accounting services, helping businesses manage their finances, file taxes, and stay on top of financial reporting.
Read this artcile How to verify VAT EU Number or Just Use your VAT Checker Tool.
Verifying a company’s VAT status within the European Union is a crucial step for businesses to ensure compliance and maintain smooth cross-border transactions. The VIES (VAT Information Exchange System) website offers a straightforward way to check if a company is VAT registered. Whether you’re looking to perform a VAT number check by company name, conduct a VIES VAT number check, or simply find a VAT number, this guide will walk you through the process. We’ll also touch on the use of the EORI checker and provide a VAT number example for clarity. Read on to learn how to check if a company is VAT registered without a VAT number and ensure your business dealings are above board.
List of eligible countries for VAT checks:
🇦🇹 Austria 🇧🇪 Belgium 🇧🇬 Bulgaria 🇭🇷 Croatia 🇨🇾 Cyprus 🇨🇿 Czech Republic 🇩🇰 Denmark 🇪🇪 Estonia 🇫🇮 Finland 🇫🇷 France 🇩🇪 Germany 🇬🇷 Greece 🇭🇺 Hungary 🇮🇪 Ireland 🇮🇹 Italy 🇱🇻 Latvia 🇱🇹 Lithuania 🇱🇺 Luxembourg 🇲🇹 Malta 🇳🇱 Netherlands 🇵🇱 Poland 🇵🇹 Portugal 🇷🇴 Romania 🇸🇰 Slovakia 🇸🇮 Slovenia 🇪🇸 Spain 🇸🇪 Sweden
Input above data – choose suitable Country Code + VAT Number belonging to a company
Click Verify and check the status of VAT Number.
Verify UK VAT Number on Gov.uk
As of January 1, 2021, you can’t validate UK (GB) VAT numbers on the VIES website anymore. For Northern Ireland, use the “XI” option in the drop-down menu. For UK (GB) VAT numbers you can check it here https://www.gov.uk/check-uk-vat-number
VAT Checker for EU Companies Only
How it works in Estonia?
Get a VAT Number in Estonia with simply steps
Step 1: 🌐 Start by applying for an e-Residency card, which allows you to establish and manage an EU-based company online. This digital ID enables you to access various business services remotely.
Alternatives: Buy ready made company or register a company by notary public.
Step 2: 📍 Select a convenient pick-up location in your home country for collecting your e-Residency card. This is typically a local embassy or consulate.
Step 3: 🤝 Partner with a reliable service provider such as Eesti Consulting. We offer legal address services, a contact person, and comprehensive company registration assistance to help you set up your business efficiently.
Step 4: 🏢 Start a company in Estonia. After receiving your e-Residency card, you can register your company online. Choose your company’s name and fill out the required forms. The process is straightforward and can be completed in a few steps.
Step 5: 💼 Register your company for VAT. Once your company is set up, apply for a VAT number to comply with tax regulations. This allows you to charge VAT on your sales and reclaim VAT on your business expenses.
Verify VAT Number in Estonia
1. Just visit the Commercial Register page and check “VAT Information” section or visit EMTA website.
Did you hear that there is no TIN Number in Estonia? TIN number is Tax Identification Number.
Want to start a remote business in the first half of 2024? Whether you’re an e-Resident or not, explore our business ideas for launching a remote business from home.
I’ll share 5 exciting remote business ideas that you can start right from your home. Sounds interesting? Read on.
Remote Business from home + e-Residency Card
Why Estonia is worth Your Attention?
Estonia is a good place to start a business , because offers 0% Corporation Tax advantage
You can pick-up your e-Residency card in your home country
Run a home business with e-Residency Card within 2-3 hours
Save on accounting services due simplified tax and accounting regulations
Join e-Residency Marketplace and find business partners
Join Koda.ee Association and FB group , where the people like you started his business with a success
IDEA 1: Start Consulting Company from home
A consulting company provides expert advice and specialized services to businesses, organizations, and individuals. These services can include business strategy, management, marketing, finance, IT, legal, and more. Consulting companies help clients solve problems, improve efficiency, and achieve their goals by leveraging their expertise and industry knowledge.
An example of a consulting company is Eesti Consulting. We provide legal advice to clients, offer accounting services, assist in applications for licenses, help with company incorporation, and provide procedures and advice on how to promote on the Estonian market and gain first clients.
Is it possible to start a consulting business directly from home? Yes, if you establish a company in Estonia and have an active e-Residency card. You can avoid visiting the tax office, notary public, and banks if you have an e-Residency card at home.
Don’t forget to create a professional business cards to establish credibility and network effectively in your consulting endeavors.
A Link Building Agency is a business that specializes in creating and managing backlinks for clients’ websites. This involves acquiring high-quality links from other websites to improve the client’s search engine rankings (SERP) and online visibility.
You can start a Link Building Agency from home because this business model doesn’t require your physical presence. You can sell packages of links, niche edits, and guest posts. By linking to unique brands and URLs, you help those brands grow and achieve high SERP positions.
It’s challenging to find clients at the initial stage, but to start and earn your first income, you need to contact bigger SEO consultancy agencies and collaborate with them on B2B terms.
IDEA 3: Build AI No-code APPS from home
In the past years, I’ve seen many ads like: ‘Learn how to gain skills to create websites within 3 months – we guarantee employment for you.’ Now, in mid-2024, learning new skills may be a waste of time. To start a business, you can use no-code apps.”
Examples of no-code apps include:
Wix for website building
Bubble for web applications
Airtable for databases
Zapier for automating workflows
Shopify for e-commerce stores
How To Find Your First Customers?
To start a business, you can use no-code apps and find your first customers on popular marketplaces. Examples include:
Fiverr for freelance services
PeoplePerHour for project-based work
Upwork for a variety of freelance jobs
Freelancer for global projects
Guru for professional services
Toptal for top talent in specific fields
IDEA 4: Become Amazon Seller
If you own a brand or have a trademark, you should consider enrolling in the Amazon Brand Registry. This program helps protect your brand, provides enhanced tools for brand owners, and makes it easier to manage your listings and address issues related to intellectual property.
Benefits of Amazon Brand Registry:
Brand Protection: Protect your brand from counterfeiters and unauthorized sellers.
Enhanced Brand Content: Use advanced features to create richer product listings.
Improved Analytics: Access detailed reports on your brand’s performance.
Prepare Your Product Listings
Creating compelling product listings is key to attracting buyers. Your listing should include a clear and descriptive title, high-quality images, and detailed product descriptions. Make sure to include relevant keywords to optimize your listing for Amazon’s search engine.
Fulfill Your Orders
Decide how you want to handle inventory and fulfillment. Amazon offers two main options:
Fulfillment by Amazon (FBA): Amazon stores, packs, and ships your products for you. This option also makes your products eligible for Amazon Prime and other benefits.
Fulfillment by Merchant (FBM): You handle storage, packing, and shipping of orders yourself.
Pros of FBA:
Amazon handles logistics and customer service.
Access to Amazon Prime customers.
Faster shipping times.
Pros of FBM:
More control over inventory and shipping.
Potentially lower fees if you have your own storage and shipping setup.
7. Promote Your Products
Effective marketing can drive traffic to your Amazon listings and increase sales. Consider using Amazon’s advertising tools such as Sponsored Products or Sponsored Brands to boost visibility. Additionally, leverage social media, email marketing, and other online marketing strategies to reach a wider audience.
Marketing Strategies:
Amazon Advertising: Use Sponsored Products or Sponsored Brands to increase listing visibility.
Social Media: Promote your products on platforms like Instagram, Facebook, and Twitter.
Email Marketing: Build an email list and send promotions or updates to potential customers.
Monitor and Optimize Your Performance
Regularly review your sales data and customer feedback to identify areas for improvement. Amazon provides detailed analytics and reports to help you track your performance. Use this information to optimize your listings, adjust pricing, and enhance your marketing efforts.
By following these steps, you’ll be well on your way to becoming a successful Amazon seller. Start with thorough research, set up your account, choose the right products, and focus on delivering a great customer experience. With dedication and strategic planning, you can build a thriving business on Amazon.
IDEA 5: Start your dropshipping business
Ultimate Dropshipping Startup Checklist
Business Idea and Niche Selection 📦
Choose a unique business name to facilitate future trademark registration. Consider focusing on a niche with growth potential, like eco-friendly products or tech gadgets.
Market Research 📊
Analyze your competitors to understand their strengths and weaknesses. Conduct a SWOT analysis (Strengths, Weaknesses, Opportunities, Threats) to identify market gaps and opportunities.
Supplier Selection 🏷️
Research and select reliable suppliers who offer quality products and good shipping terms. Examples include AliExpress, Oberlo, and SaleHoo.
Add products to your store, including high-quality images and detailed descriptions. Organize your store for an intuitive shopping experience.
Domain Name 🌍
Register a memorable and relevant domain name for your online store. Consider using domain registrars like GoDaddy or Namecheap.
Payment Gateway 💳
Set up a payment gateway to process transactions. Popular options include PayPal, Stripe, and Square.
Marketing Plan 📣
Develop a marketing strategy to attract customers. Utilize social media, SEO, email marketing, and paid advertising or just a order link building package.
Shipping and Returns Policy 🚚
Define clear shipping and returns policies. Ensure you communicate these policies clearly on your website to build trust with customers. Did you think about selling digital products or ebook?
Branding and Design 🎨
Create a strong brand identity with a logo, color scheme, and design elements that reflect your business values and appeal to your target audience. Are you not familiar with XHTML, CSS and PHP? Just try to find AI Tools that help you with building your first website in minutes!
Analytics Tools 📈
Use analytics tools like Google Analytics or Shopify Analytics to track your store’s performance and make data-driven decisions. If your online store is weak and no sale? Just invest in conversion optimization of your online store.
Steps to Launch an Estonian Company for your Home Buisness
Apply for an e-Residency Card
Start by applying for an e-Residency card, which allows you to establish and manage an EU-based company online. This digital ID enables you to access various business services remotely.
Choose Your Pick-Up Location in Your Home Country
Select a convenient pick-up location in your home country for collecting your e-Residency card. This is typically a local embassy or consulate.
Choose Your Business Partner, Like Eesti Consulting
Partner with a reliable service provider such as Eesti Consulting. We offer legal address services, a contact person, and comprehensive company registration assistance to help you set up your business efficiently.
Apply for a Trademark
Secure your brand by applying for a trademark. This step protects your business name, logo, and other brand elements from unauthorized use.
Register a Domain Name
Choose and register a domain name that reflects your business. This will be your online address and is crucial for establishing your digital presence.
Create a Website and Social Media Channels
Develop a professional website and set up social media profiles to showcase your business. These platforms are essential for reaching and engaging with your target audience.
Promote Your Business and Have Fun!
Implement marketing strategies to promote your business, such as online advertising, content marketing, and networking. Enjoy the process of building and growing your venture!
If you’re new to business, it might surprise you that companies like Eesti Consulting or banks may ask for your confidential documents, like a passport copy or an identity card. You might also be asked for additional documents, such as a utility bill (for gas, electricity, etc.). Banks and other institutions verify these documents to make sure everything is in order and to prevent fraud. But why is this needed?
Upload Your Proof of ID & Address
Proof of ID – How to Confirm ID?
Proof of ID is a document or set of documents used to confirm your identity. This is often required to verify that you are who you say you are, especially in contexts like opening a bank account, applying for a loan, or completing legal transactions.
Examples of Proof of ID:
Document Type
Description
Passport
A government-issued document that confirms identity and nationality.
National ID Card
An official identification card issued by the government of your country.
Driver’s License
A state-issued card that authorizes you to drive and also serves as an ID.
Birth Certificate
An official document issued at birth that confirms your identity and birth details.
Resident Permit
A document that confirms your legal residency status in a country.
Proof of Address
Proof of address is a document that confirms your current residential address. It is often required to verify your place of residence for purposes such as setting up utility services, applying for credit, or registering for various programs.
Examples of Proof of Address:
Document Type
Description
Utility Bill
A bill from a utility company (e.g., electricity, water, gas) that shows your address.
Bank Statement
A bank statement from your bank that includes your name and address.
Lease or Rental Agreement
A contract between you and your landlord showing your address.
Recent Tax Return
A copy of your most recent tax return, which includes your address.
Official Government Correspondence
A letter from a government agency that includes your address.
Both Proof of ID and Proof of Address are critical for ensuring that individuals are properly identified and their residential details are accurate, which helps in maintaining secure and reliable transactions and communications.
How Revolut verifies Proof of Address?
Revolut requires proof of address to set up your account. If you’ve formed an Estonian company and want to open a bank account, you’ll need to provide specific documents.
You’ll receive a request via email, push notification, and a banner on your home screen. Follow the instructions to upload your document.
Ensure the document is issued by a government authority, utility company, or financial institution, and that it matches your Revolut account details. The document should be clear and show the entire page. Only PDFs or photos of physical documents are accepted; screenshots are not.
Prepare these documents to complete the verification process smoothly.
Utility bills (gas, electricity, or landline phone bills – mobile phone bills are not accepted)
Tenancy or rental agreement
Bank or credit card statement (scan/photo of a physical letter or a PDF statement)
Council tax bill or HMRC notification
Vehicle registration or tax document
Photo driving license showing your address and expiry date
Any document issued by a government agency or financial institution
Can I open Estonian Company without proof of ID and Address?
You are e-Residents with your Digital ID. You can use this card and put your signature eveywhere, but it’s not possible to open company without proof of ID and proof of address due KYC/AML regulations, that we need to follow.
We can ask you for other details like:
🤝 Business partners / clients
📈 Your business model
🏢 Nature of business
🌐 Website
🇪🇪 Reason for choosing Estonia
10 Steps to Starting a Company in Estonia.
STEP 1: Find a service provider like Eesti Consulting 🤝. Look for a reliable partner to help you set up your Estonian company. Eesti Consulting is a recommended option.
STEP2 :Set up your Estonian company 🏢. Complete the registration process with the Estonian Business Register to officially establish your business.
STEP 3: Upload your proof of ID 📜. Provide a clear copy of your identification document, such as a passport, to verify your identity.
STEP 4: Upload your proof of address 🏠. Submit a recent utility bill (gas, electricity, etc.) dated within the last 3 months to confirm your residential address.
STEP 5: Fill out the KYC / AML form
STEP 6: 📝. Complete the Know Your Customer (KYC) and Anti-Money Laundering (AML) forms as required by regulatory authorities.
STEP 7: Receive documents related to your company 📑. Obtain all official documents concerning your newly established company, including registration certificates and other important papers.
STEP 8: Apply for a bank account 🏦. Open a business bank account to manage your company’s finances. This will involve providing your company documents and proof of identity.
STEP 9: Start your business 🚀. Begin operating your business, using all the established tools and accounts to launch and grow your enterprise.
In the context of Estonia 🇪🇪, a TIN (Taxpayer Identification Number) is a unique identifier assigned to individuals or entities for tax purposes. It is used by the Estonian Tax and Customs Board (ETCB) to track and manage tax obligations. The TIN is required for activities such as filing tax returns, making payments, and dealing with any other tax-related matters. In Estonia, the TIN is typically the personal identification code for individuals or a unique business registration number for companies.
Does TIN number exist in Estonia?
In Estonia, there isn’t a traditional TIN as you might find in other countries. Instead, businesses and individuals use different identifiers for various purposes.
Registry Code instead of TIN Number
For companies, the essential identifier is the 8-digit company registration code. This code is assigned to every registered business and serves as the primary means of identification across all institutions and services in Estonia.
For individuals, the equivalent is the 11-digit personal identity code, or isikukood. This number uniquely identifies individuals and is used extensively in both personal and professional contexts.
Personal Indetification Code or Personal Number of Board Member
If you are requested to present a unique taxpayer number (sometimes called a TIN) somewhere outside Estonia, the company registration code is typically the number you should provide. Similarly, if you are asked for a VAT registration number, note that in Estonia, it is not mandatory to have one unless your company exceeds certain revenue thresholds.
Who Can Ask You For TIN Number?
A TIN number, or its equivalent, is often required by banks (WISE, Revolut, Paysera, Payoneer) or other foreign institutions to identify your company accurately. This number helps streamline various processes such as opening bank accounts, applying for loans, and complying with international tax regulations.
Sometimes you can be asked for a TIN Number by EUIPO when you register a trademark and apply for an SME FUND 2024 Grant. In the application, they ask about your Tax Identification Number. So, if there is no Tax Identification Number in Estonia, you can simply enter the Registry Code if your company trades below the VAT threshold or enter the VAT Registration Number.
Order Original Corporate Documents with TIN Number
As you know, you can visit the Commercial Register website to verify a company registered in Estonia by typing its Registry Code or name.
Search for the company using the TIN or company name.
The search will return details about the company, including its TIN, registration status, and other key information.
#Approach 3:
Request Confirmation from the Individual or Business
If you need to verify a TIN in a more direct way, you can request the taxpayer to provide official documentation that includes their TIN. This could include:
Tax Returns: Personal or business tax documents that display the TIN.
VAT Registration Certificate: If the entity is registered for VAT, their VAT certificate will show the TIN.
#Approach 4:
Check Through EU VAT Information Exchange System (VIES)
If the TIN is for a business entity in Estonia that is VAT-registered, you can use the VIES system to check the VAT number, which acts as the TIN for VAT purposes.
You can inquire whether a specific TIN is registered and valid, but keep in mind that personal or business privacy regulations may limit the details available.
Conclusion
In Estonia 🇪🇪, the Taxpayer Identification Number (TIN) is a crucial tool for managing tax obligations, both for individuals and businesses. It serves as a unique identifier, ensuring that tax authorities can accurately track and manage tax affairs. Whether you’re verifying a TIN for personal or business purposes, Estonia offers various ways to confirm its validity, including using the Estonian Tax and Customs Board (ETCB) portal, the Business Register, or the EU VAT Information Exchange System (VIES). Always ensure that the TIN is valid and correctly registered to avoid any issues with compliance or tax reporting.
Starting a company in Estonia as a foreigner is a fantastic opportunity because the country is very welcoming to international entrepreneurs. Estonia’s advanced digital systems and supportive government policies make it easy for foreigners to set up and run a business.
Foreigners have the right to open a company in Estonia, even if they don’t live there. This is possible through Estonia’s e-Residency program. With e-Residency, anyone in the world can get a digital ID that allows them to register and manage a company online. The process is simple and quick, allowing entrepreneurs to access Estonia’s business-friendly environment and the European market without much hassle.
Estonia for Foreigners
Estonia is an ideal place to start your first startup because 99% of the population uses the internet regularly. The country also ranks #1 in the Tax Foundation Rankings, making it attractive for business from a tax perspective. Additionally, Estonia has developed high-quality e-banking services that encourage people to get online, embrace e-governance, and use e-ID. These factors make Estonia a perfect hub for digital businesses and innovation.
Estonia’s commitment to making business easy for everyone, including foreigners, makes it an attractive place to start and grow a company.
Advantages of Having Company in Estonia for Foreigner
Estonia offers significant tax advantages for businesses, making it an attractive destination for startups and entrepreneurs. One of the most appealing aspects is the 0% tax on retained and reinvested profits. For example, if your startup does not pay out dividends to company shareholders and instead reinvests the profits back into the business year after year, there is no corporate tax to pay. Your startup benefits from a 0% tax rate on these reinvested profits, allowing for more capital to fuel growth and innovation.
When it comes to distributed profits, Estonia has a tax rate of 14-20%. This tax applies when the company pays out profits to its shareholders. Despite this, the overall tax burden remains favorable compared to many other countries.
Moreover, Estonia’s tax system is highly efficient and user-friendly. An impressive 98% of taxes are declared electronically. Using your e-ID card or Smart ID, you can easily file VAT returns, submit annual reports, or apply for special licenses for your business. Filing a personal tax declaration can be done in just three minutes, showcasing the convenience and speed of Estonia’s digital infrastructure.
Encryption and Decryption: With your e-Residency card, you can encrypt and decrypt your corporate documents, ensuring secure communication and data protection.
E-Notary Public System: You can conclude agreements using the e-Notary public system via teleconference software. Unlike other EU countries where you must visit a local notary public office, in Estonia, this process can be completed remotely if both parties are e-ID card holders.
Investment Company Flexibility: You can create an investment company with multiple shareholders, and the transaction of purchasing shares is simplified without the need for a notarial meeting.
Quick Certificate of Tax Residency: Obtaining a certificate of tax residency is efficient, taking only 1-2 business days.
These advantages, combined with Estonia’s supportive business environment and advanced digital infrastructure, make it an ideal location for starting and growing a company
Company for foreigners: 2 approaches
Simple Checklist: Register company by e-Residency Card
Apply for e-Residency Card
Complete the application online.
Pay the state fee.
Choose Your Pick-Up Point
Select where you will collect your e-Residency card.
Receive Card
Collect your e-Residency card from your chosen pick-up point.
Find Service Provider
Set up a legal address and contact person for your company.
Run Your Company
Choose your business name.
Note: The company name cannot be similar to existing ones and must be unique. Check the Trademark Registration Database to ensure the name is available. The Commercial Register (RIK) does not allow the registration of a company name that is already trademarked.
Simple Checklist: How to Form a Company with a Notary Public
If you live outside of Estonia and there are no pick-up points available in your country, you might need to travel thousands of kilometers to receive your e-Residency card. Don’t have the time or money for traveling? You can also register a company fully remotely using a notary public with the assistance of Eesti Consulting.
Documents Required:
Power of AttorneyNotarized and apostilled, issued in your home country.
Certified Translation of Power of AttorneyFrom your home country’s language to Estonian. We can help you with this.
Other Documents
Passport copy
Utility bill
Filled KYC/AML form (We will check your business background).
It takes some time, but we can incorporate a company for you smoothly and without any rush!
Summary
Starting a company in Estonia as a foreigner is straightforward and beneficial. The e-Residency program allows you to set up and manage a company online without living in Estonia. This is especially great for businesses like SEO agencies, IT professionals, webdesigners since almost everyone in Estonia uses the internet, and the country has top tax rankings.
Estonia offers a 0% tax on reinvested profits, meaning you pay no corporate tax if you don’t distribute dividends. The tax on distributed profits is between 14-20%. Most taxes are declared electronically, making the process quick and easy.\
If you can’t travel to pick up your e-Residency card, you can still register your company remotely with a notary public through Eesti Consulting. This involves a few documents like a notarized Power of Attorney, a certified translation, and some personal identification.
In conclusion, Estonia’s business-friendly environment, advanced digital services, and favorable tax policies make it an excellent place for foreigners to start and grow a company.
Estonia offers a great business environment with advanced digital services and a unique e-Residency program. It’s known for its efficient tax system and ease of company registration, making it a top choice for entrepreneurs around the world. Studies show that foreign investors value Estonia’s stable and secure economy, thanks to its strong political and economic foundation. The country’s fair tax system and business-friendly policies make it a competitive place to register a company.
Investors often praise Estonia’s tax benefits. The country is ranked #1 globally for tax competitiveness. Key advantages include no corporate income tax on retained and reinvested profits and a 14-20% tax on distributed profits. Taxes can be filed entirely online, and there are several grants and incentives available for foreign investors looking to register a company.
Why e-Residency Card reduces registration costs?
From an advisor’s perspective, using the e-Residency card can help you cut costs when setting up a company in Estonia. Firstly, it avoids the high fees you’d pay for a notary. Secondly, it saves time, as forming a company through a notary usually takes 5-7 business days for updates. Finally, e-Residency lets you complete everything online and instantly, making the process much smoother.
Company Registration Fees in Estonia
Understanding the costs associated with company registration in Estonia is crucial. Here is a detailed breakdown of the different registration methods and their costs.
Registration by e-Residency Card
An e-Residency card is a digital ID card provided by Estonia. It allows people from anywhere in the world to access Estonian online services, start and manage a business online, and sign documents electronically. Haven’t e-Residency card yet? Just choose apply here.
A Notary Public from Tallinn is an official authorized to perform legal acts and certify documents in Estonia’s capital, Tallinn. They handle tasks like verifying signatures, authenticating documents, and assisting with property transactions, business registrations, and other legal matters.
Eesti Consulting frequently conducts transactions using Tallinn’s notary with a Power of Attorney from our clients. We assist with company registration for clients who do not have an e-Residency card, handle paper Annual Reports, help sell or buy shares on behalf of companies, and fill in outstanding data for the Commercial Register (rik).
Registering a company through a notary public is another option, particularly for those who prefer or require in-person verification. This method includes costs such as the state fee, notary fees, legal address, and contact person services. Like the e-Residency registration, additional costs can include accounting services and business banking.
Required Documentation 📑
Power of Attorney – notarized and apostilled Proof of ID And Address
The presence of the client is not required. All activities can be done fully remotely without the presence of the client. Our attorney will handle all tasks on behalf of the client using the e-Notary system.
Cost of Opening Company with Eesti Consulting
Buying a Ready-Made Company in Estonia
Purchasing a ready made company is an alternative for those looking for a quicker start. This method involves buying an existing company that has already been registered. Costs include the purchase price, legal address, and contact person services. Additional optional costs might include accounting services and business banking.
Service
Cost (€)
Cost of Ready-Made Company
€2500
Notarial Fees
€350
State Fees (RIK)
€25
Certified Translations of Power of Attorney
€150
Success of Lignogroup from Tallinn
LIGNO is a platform and brand of wood products, dedicated to promoting sustainable goods globally. Offering over 700 items, LIGNO also specializes in custom wood products. LIGNO collaborates with designers, architects, the HoReCa sector, distributors, wholesalers, and private brands. Located in the ecologically pristine Ukrainian Carpathians, LIGNO‘s production facilities enable to manufacture large volumes of high-quality wood products efficiently.
Ligno Brand – The World of Wood Products
Conclusion
Starting a company in Estonia involves various costs depending on the chosen registration method. Whether opting for the e-Residency card, notary public registration, or buying a ready-made company, understanding these costs will help you make an informed decision. Consider your business needs and preferences to choose the most suitable method for your venture in Estonia.
In today’s digital age, e-residency has revolutionized business ownership by enabling entrepreneurs to manage their companies remotely. SimplBooks, an intuitive accounting software tailored for small and medium-sized enterprises, is an ideal solution for e-residents seeking efficient financial management tools.
Simplifying Financial Management
SimplBooks offers a user-friendly interface designed to streamline financial tasks such as invoicing, expense management, and reporting. This accessibility makes accounting straightforward, even for users with limited financial expertise.
Tailored for E-Residents
Global Accessibility: E-residents can securely access their accounting data from anywhere with an internet connection, facilitating seamless cross-border business operations.
Multi-Currency Support: SimplBooks accommodates international transactions by supporting multiple currencies, simplifying financial management for e-residents conducting business globally.
Compliance with Regulations: SimplBooks helps e-residents in staying compliant with local tax regulations, providing tools to navigate international tax laws efficiently.
Remote Collaboration: The software enables e-residents to share accounting data securely with stakeholders worldwide, enhancing remote collaboration and communication.
Key Features for E-Residents
E-Invoicing and E-Filing: SimplBooks facilitates digital invoicing and e-filing, reducing paperwork and administrative burdens for e-residents.
Bank Integration: Seamless bank integration automates transaction imports and simplifies reconciliation processes, essential for e-residents managing finances remotely.
Data Security: SimplBooks prioritizes data security with encryption and regular backups, ensuring the protection and privacy of users’ financial information.
Continuous automatic updates: Over 50 software updates per year, or an average of one update per week, at no additional cost.
Why Choose SimplBooks?
SimplBooks offers e-residents:
Efficiency: Automation of accounting tasks allows e-residents to focus on business growth.
Affordability: Cost-effective pricing plans cater to businesses at different stages of growth.
Trusted: Already more than 20,000 active users – entrepreneurs and accountants.
Conclusion
SimplBooks is more than just an accounting software—it’s a strategic ally for e-residents navigating global business operations. With its intuitive interface, robust features, and commitment to data security, SimplBooks empowers e-residents to thrive in the digital economy confidently. For the latest updates and detailed information about SimplBooks, visit their official website or reach out to their support team directly.
A trademark is a unique sign, logo, symbol, word, or mix of these elements that helps identify and set apart the products or services of one business from others. It’s essential for creating a brand identity and protecting customers.
Example 1: Trademark registered for our company – Eesti Consulting
Types of Trademarks 📚
A trademark can include words, letters, numbers, shapes, colors, and sounds. The two main types of trademarks are word marks and figurative marks.
Wordmarks 🛍️
Wordmarks contain: words, letters, numbers or other standard typographic characters.
Example of Wordmark registered with our assistance
Advantages of a Wordmarks
Advantage
Description
Name Protection 🔒
Protects the name itself, not just the logo.
Domain Safety 🌐
Stops others from using similar names in domains.
Rebranding Proof 🔄
Stays valid even if you change the logo.
Easy Proof of Use 📄
Any use of the word counts, making it easy to prove.
Strong Legal Defense ⚖️
Easier to show someone violated your trademark.
Less Copyright Issues ✍️
Avoids copyright fights over logos.
Ad Protection 🛡️
Blocks competitors from using your trademark in Google Ads.
Keywords:
trademark registration, trademarks, trademark
Figurative Marks
Example of a figurative trademark registered with Eesti Consulting
Figurative marks are trademarks that use unique characters, special designs, different layouts, or colors. They might only have pictures or a mix of words and pictures.
Checklist for Trademark Registration in the EU (2024) 📝
1. Identify your Trademark Type and Estimate Risks! 🔍
Identify the Trademark Type: Choose between wordmark or figurative mark. Tip: If you plan to rebrand the logo in the future, it’s a good idea to choose a wordmark.
Explore existing trademarks in the EU Database – e-Search Plus and prepare Risk Assessment. Check similar names or logos and estimate the level of a risk.
TIP 💡 If you choose a wordmark, avoid using common or general names; otherwise, your application may be rejected.
Define type of a trademark: wordmark or a figurative mark (upload your logo)
Prepare description of Goods or Services associated with your business under the Nice Classification. You can use the TM Class Tool or simply check your competitors’ trademark in the EU database.
Put your signature under the application and choose your role – “Applicant”.
3. Get a 75% Fee back with SME FUND 2024 Program 📨
The EU, in partnership with EUIPO and the European Commission, has initiated the 2024 Ideas Powered for Business SME Fund. This program offers vouchers for intellectual property to small and medium-sized enterprises (SMEs) across the EU. Last year, the fund saw a remarkable response with over 35,000 SMEs applying for assistance. Grants are distributed on a first-come, first-served basis throughout 2024 until the allocated funds are depleted.
The SME Fund 2024 is tailored to aid SMEs in safeguarding their intellectual property rights by substantially reducing trademark registration fees by 75%. Below, you’ll find a table demonstrating the cost savings for Estonian entrepreneurs when registering a trademark in either the EU or Estonia.
What does it mean for EU entrepreneurs?
Example of SME FUND 2024 voucher available for entrepreneurs
Instead of paying 850€ fee for a trademark registration – You Pay only 212€, because 75% of fee paid to EUIPO will be returned to your bank account.
TIP 💡To have benefits from this scheme, you need first apply for a SME FUND 2024 Voucher. Don’t submit application before the application!
4. Examination Process 🔍
Now is the time for formal examination of your application. EUIPO checks if the application meets formal requirements.
They also check potential conflicts with other applications.
If the application passes the examinations, it is published for opposition 📰.
5. Opposition Period ⏳
Third parties have three months to oppose the registration of your trademark. If no oppositions (90% of our clients) – your trademark will be successfully registered within next 3 months. You will get the registration certificate and your intellectual property become valuable asset!
If third parties oppose application , it’s more complicated case
Eesti Consulting – we started application on 03/08/2023 and after a long time on 23/05/2024 our trademark was registered! You can view our application here:
Registering a trademark in the EU involves several critical steps, from initial research to maintaining ongoing protection. Understanding the types of trademarks and following a systematic registration process ensures robust brand protection and legal security in the competitive market landscape of 2024.
No Time for Application? Explore our offer – Use discount code “Readers20” and hire Eesti Consulting
So, you’re new in the business! Congratulations! In this article, I’ll show you how to transform your LOGO into intellectual property assets! From zero to hero! Avoid the mistakes made by other entrepreneurs who used your logo, promoted brands, but failed to register their trademarks. They encountered issues with unfair competition. Let’s go and register Logo as a Trademark. No matter where your company is based.
4. Register under SME FUND 2024 Program and Get the 1000EUR voucher for trademark registration (It allows reducing the state fee from 850 EUR to 212 EUR).
6. Be patient and wait 2-3 months for the publication of your trademark!
7. Get intellectual property assets!
What is SME FUND 2024 Program?
The SME Fund 2024 is a program tailored for small and medium-sized businesses aimed at reducing fees for trademark registration paid to EUIPO. The program is available online, and the number of vouchers is limited, operating on a ‘first come, first served’ basis.
SME FUND 2024 has launched the 2024 Ideas Powered for Business SME Fund in collaboration with EUIPO and the European Commission. Last year, more than 35,000 SMEs applied for the fund, making it a significant success
Logo – Ideas Powered for Business – SME FUND Program
Why Registration of a Logo as a Trademark is a MUST HAVE?
In today’s digital world, it’s crucial to protect your unique ideas and creations legally. Your logo, as part of your brand identity, represents your business. By safeguarding it, you keep it safe from being copied or used without your permission. This ensures your brand stays special and recognizable. Plus, trademark protection gives you legal power if someone tries to misuse your logo, protecting all the hard work you’ve put into building your brand. Is your logo not registered as a trademark?
N.B In this manner, it’s not considered an asset; it’s simply a logo. Without legal protection, it’s not safeguarded by the law, and you can’t include it in your accounting records. However, when you sell your business, the logo does impact the valuation of your brand.
Apply for a SME FUND 2024 Step by Step
You have 2 options:
Apply for a SME FUND 2024 Voucher & Trademark with Eesti Consulting using this code (20% of discount: READERS20)
Apply for a SME FUND 2024 myself using below checklist
Be patient – You need wait min. 15 working days for approval
Get an electronic decision delivered to your SME Fund Account.
Apply for a Trademark Registration and choose the suitable variant registration – EUTM Easy Filing is dedicated to SMEs or individuals, particularly for those without a legal representative, while EUTM Filing is dedicated to IP experts (N.B. – Do not file a trademark registration form if you are unsure that your trademark is unique. Generic trademarks may be refused. Consider hiring Eesti Consulting to avoid potential losses.)
The Value of a voucher is 1000€, but you have right to reduce all fees paid to EUIPO by 75% only. Example: Payable Fee: 850€, Decution: 75% * 850€ = 212,50€ fee…
The positive decision on action grant!
How works SME FUND 2024 Grant voucher?
With a voucher from the SME FUND 2024 program, you can enjoy a 75% reduction in the EUIPO fee. The voucher is valued at 1000€. Any remaining balance can be applied towards future trademark filings
EU Trademark Registration 🇪🇺
Without Grant
With Grant (75% reduction)
State Fee
850 €
850 €
Grant Reduction
N/A
-637.50 €
Total Cost
850 €
212.50 €
Table 1: The Cost of Trademark Registration with and without grant.
Reason Why Register My Logo as a Trademark
Registering your trademark offers many perks for startups. First, it legally protects your brand by preventing competitors from using similar names or logos. Without registration, your logo isn’t considered an asset. Once registered, your trademark becomes a valuable asset that can be sold or licensed. Additionally, having a registered trademark boosts your company’s credibility and trustworthiness with customers, partners, and investors
🌟 Estonian Tax System – Tax Foundation 2023 Ranking 🌟
According to the Tax Foundation, Estonia has the best tax system in the world! 🌍 And you know what? It’s all because of four awesome things about their tax code:
Features of Estonia’s Tax System
1. No tax on profits companies reinvest 📈
2. Flat 20% tax on individual income 💰
3. Property tax only on land value 🏡
4. No tax on foreign profits for Estonian companies 🌐
Tax Advantages in Estonian Tax System [2023]
In simpler words, Estonia’s taxes are super easy to understand and follow. Companies spend only five hours a year dealing with taxes, compared to a whopping 42 hours in other countries! 😲 Plus, they don’t have annoying property transfer taxes like many other places do. No wonder it’s the best!
Low Tax Rates
Low tax rates also make Estonia a great place to do business. Businesses here can grow and create jobs because they don’t have to deal with high taxes eating up their profits. That’s why Estonia’s economy grew by 8.3% last year, way faster than other countries in Europe! 🚀
So, if you’re thinking about investing or starting a business, Estonia is the place to be. Their top-notch tax system will help you make the most of your money and beat those pesky inflation and energy prices! 💼💡
Założenie firmy za granica jest możliwe nie tylko dla Polaków, dla mieszkańców Unii Europejskiej, a także dla osób, które mają miejsce zamieszkania w krajach trzecich, np. Indie.
Eesti Consulting kieruje oferte glownie do Polakow, ktorzy mieszkaja poza granicami swojego kraju.
Mirek jest digital nomadem, ktory czesto zmienia swoje miejsce zamieszaknia. Przez kilka miesiecy mieszkal w Tajlandii , nastepnie udal sie do Buthanu , skonczywszy swoja przygode w polnocnej Norwegii
Poza Polską – np. Rezydent Podatkowy USA 🇺🇸, Rezydent Podatkowy Hiszpanii 🇪🇸, Rezydent Podatkowy Chorwacji🇭🇷
Prowadzenie firmy w Polsce jest związane z ponoszeniem wysokich kosztów administracyjnych takich jak: składki ZUS na ubezpieczenie społeczne (1485,31 zł miesięcznie bez chorobowego – źródło: Zakład Ubezpieczeń Społecznych), składka zdrowotna, nie mówiąc już o podatkach, które są de facto bardzo niskie w Polsce. Wiele osób pyta czy jest możliwe otworzenie firmy za granicą, a odprowadzanie podatku w Polsce. Nie ma na to odpowiedzi twierdzącej, ponieważ materia podatkowa jest bardzo skomplikowana.
Jednakże jest wielu przedsiębiorców, którzy chcą prowadzić interesy poza granicami Polski i poszukują wsparcia w zakresie rejestracji firm zagranicznych.
Jakie biznesy rejestruja firme za granica?
Agencje reklamowe i marketingowe – Oferują kompleksowe rozwiązania marketingowe, w tym SEO, SEM i LinkBuilding.
🏭 Firmy consultingowe – Świadczą usługi doradcze, pomagając w rozwiązywaniu problemów biznesowych oraz doskonaleniu procesów operacyjnych.
📊 Audytorzy oraz doradcy biznesowi – Specjalizują się w przeprowadzaniu audytów i analiz biznesowych, mających na celu optymalizację działalności przedsiębiorstw.
🖥️ Kryptowaluty (giełda kryptowalutowa) – Platformy umożliwiające handel kryptowalutami oraz inne transakcje cyfrowych aktywów.
🍽️ Startupy technologiczne – Nowe firmy skupiające się na innowacyjnych rozwiązaniach technologicznych, takich jak aplikacje mobilne, sztuczna inteligencja czy e-commerce.
🌐 Portale internetowe – Platformy online oferujące różnorodne treści, usługi lub produkty, dostępne dla użytkowników za pośrednictwem internetu.
W jakich krajach Polacy zakladaja swoje firmy?
🇵🇱 Firma w Polsce
90% klientów decyduje się zostać w Polsce z uwagi na stosunkowo niskie podatki – 12% PIT oraz wysoką kwotę wolną od podatku (30,000zł). Kwota ta ma zostać podwyższona dwukrtonie, ale niewiadomo jeszcze kiedy. Wiele rodzajów działalności może być rozliczona ryczałtem – przykładem może być najem opodatkowany stawką 8,5%.
Organ, który rejestruje spółki
Krajowy Rejestr Sądowy
Urząd Skarbowy
Urząd Skarbowy
Czas rejestracji spółki
1 tydzień
Podatek dochodowy od spółek
od 9% CIT – dla niektórych spółek
🇪🇪 Firma w Estonii
Estonia ma podatki wyższe niż w Polsce , gdyż w porównaniu z 9% CIT w Polsce tutaj musimy zapłacić 20% taksy. Kraj ten oferuje odroczenie podatku dochodowego do momentu dystrybucji dywidend, co oznaczać ma: Jeżeli nie wypłacamy dywidendy , nie płacimy podatku. Czujemy się tak, jakbyśmy mieli stawkę 0% i nie trzeba ponosić żadnych kosztów, aby ten podatek obniżać. Świetne rozwiązanie dla start-upów, które przez kilka lat tylko inwestują. Czy firma w Estonii to dobry wybór?
Do niedawna jeszcze bardzo atrakcyjna lokalizacja dla osób, które do 2021 roku cieszyły się kwotą wolną od podatku ponad 10,000 funtów. Rejestracja firmy to 2 godziny, a wszystko można zrobić elektronicznie za pomocą brytyjskiego Companies House. Niestety po 2021 roku Wielka Brytania nie jest już tak chętnie wybierana przez Polaków a to za sprawą konieczności opodatkowania wynagrodzenia dyrektorskiego w kraju zamieszkania.
Rejestracja Firmy Zgranicznej to Tez Ryzyka Podatkowe i Prawne!
Ryzyko podatkowe
Definicja
💥 Ryzyko powstania zakładu podatkowego w Polsce
Ryzyko, że prowadzenie działalności gospodarczej w Polsce może spowodować konieczność uznania firmy zagranicznej za podatnika podatku dochodowego na gruncie polskiego prawa podatkowego.
⚠️ Ryzyko rezydencji podatkowej spółki (nie dotyczy umów o unikaniu z Estonią, Litwą i Łotwą)
Ryzyko, że spółka zagraniczna może zostać uznana za rezydenta podatkowego w Polsce na podstawie przepisów polskiego prawa podatkowego, co może prowadzić do opodatkowania jej dochodów w Polsce.
❗ Ryzyko CFC
Ryzyko, że dochody uzyskane przez spółkę kontrolowaną przez podmiot zagraniczny mogą zostać uznane za dochody podlegające opodatkowaniu w Polsce na zasadach CFC (Controlled Foreign Company).
🔔 Ryzyko podatku u źródła
Ryzyko, że dochody lub inne przychody osiągnięte przez podmiot zagraniczny z tytułu działań prowadzonych w Polsce mogą podlegać opodatkowaniu w Polsce na zasadach podatku u źródła.
Tabela Ryzyk Podatkowych
Jak zarejestrowac firme w Estonii?
Forma rejestracji
Szczegółowa procedura
1. 🇪🇪 e-Residency Card
Szczegółowa procedura: Aplikuj o kartę e-Rezydencji, odbierz ją w ambasadzie Estonii i zarejestruj firmę bez wychodzenia z domu.
2. 🏢 Przyjedź do Tallinna
Szczegółowa procedura: Umów się u notariusza i załóż tam swoją firmę.
3. 📝 Udziel pełnomocnictwa
Szczegółowa procedura: Pozwól nam zarejestrować firmę w Twoim imieniu, dostarczając pełnomocnictwo notarialne w języku polskim.
4. 💼 Zakup gotową spółkę
Szczegółowa procedura: Skorzystaj z gotowej spółki, wymagane jest także pełnomocnictwo notarialne do zakupu udziałów w estońskiej spółce.
Trademark Registration in Croatia 🇭🇷 is essential for protecting your brand. Don’t miss out on this important step to secure your intellectual property rights in Croatia + Get a Voucher from SME FUND 2024 Grant. Let us help you navigate the process smoothly and efficiently.
Trademark Registration in Croatia – Natural Person & Legal?
What is the best variant? Trademark Registration done by natural person or Legal Person?
Trademarks can be registered under the names of individuals who are not running a business, individuals engaged in business, partnerships, or corporate entities – in Croatia the most popular form of business is: d.o.o. (društvo s ograničenom odgovornošću) Additionally, a collective mark can be registered by multiple entrepreneurs.
It’s important to note that registering trademarks under the name of an individual provides greater flexibility in managing the associated rights.
If the applicant wishes to maintain the confidentiality of the rights holder during the trademark registration process, EUIPO allows for temporarily concealing the data of the entity holding rights.
It is crucial to update the information of the rights holder provided during the trademark registration process at the office. Failure to update may lead to issues, especially during the trademark renewal process
Registering a trademark in Croatia with Eesti Consulting
This exclusive opportunity is not limited to Croatia companies; it extends to all SMEs registered in the EU. Eesti Consulting provides support for trademark registration in Croatia and the EU, backed by a successful track record in various EU countries. Moreover, we can apply for SME Fund 2024 on behalf of your company, offering financial assistance.
With our guidance, you’ll receive a €1000 voucher for trademark registration.
🏷️ Haven’t received it? No payment required.
How to Get 1000€ as a voucher for Croatian Trademark?
💰 Trademark Registration Fees in Croatia with SME FUND 2024
Let’s Compare trademark registration fees in Croatia paid to Patent Office when you have a1000€ voucher or when you haven’t!
The Name of Patent Office in Austria is: Österreichisches PatentamtStart Application Here: https://www.patentamt.at/en/
Trademark Registration in Austria 🇦🇹 is essential for protecting your brand. Don’t miss out on this important step to secure your intellectual property rights in Austria + Get a Voucher from SME FUND 2024 Grant. Let us help you navigate the process smoothly and efficiently. Get started today with Eesti Consulting.
Details of Trademark Registration Austria
Registration Time
6 months
Protection in Years
10 years
Language of Application
German
Nice Classification
Yes
Fees for Trademark Registration in Austria
Fee Description
How Much It Costs?
Basic Fee
322
Additional Fee
–
Extra Fees:
–
Trademark Registration in Austria – Natural Person & Legal?
What is the best variant? Trademark Registration done by natural person or Legal Person?
Trademarks can be registered under the names of individuals who are not running a business, individuals engaged in business, partnerships, or corporate entities – in Austria the most popular form of business is: GmbH (Gesellschaft mit beschränkter Haftung) Additionally, a collective mark can be registered by multiple entrepreneurs.
It’s important to note that registering trademarks under the name of an individual provides greater flexibility in managing the associated rights.
If the applicant wishes to maintain the confidentiality of the rights holder during the trademark registration process, EUIPO allows for temporarily concealing the data of the entity holding rights.
It is crucial to update the information of the rights holder provided during the trademark registration process at the office. Failure to update may lead to issues, especially during the trademark renewal process
Registering a trademark in Austria with Eesti Consulting
This exclusive opportunity is not limited to Austria companies; it extends to all SMEs registered in the EU. Eesti Consulting provides support for trademark registration in Austria and the EU, backed by a successful track record in various EU countries. Moreover, we can apply for SME Fund 2024 on behalf of your company, offering financial assistance.
With our guidance, you’ll receive a €1000 voucher for trademark registration.
🏷️ Haven’t received it? No payment required.
How to Get 1000€ as a voucher for German Trademark?
💰 Trademark Registration Fees in Austria with SME FUND 2024
Let’s Compare trademark registration fees in Austria paid to Patent Office when you have a1000€ voucher or when you haven’t!
Trademark Registration Poland 🇵🇱 is essential for protecting your brand. Don’t miss out on this important step to secure your intellectual property rights in Poland + Get a Voucher from SME FUND 2024 Grant. Let us help you navigate the process smoothly and efficiently. Get started today with Eesti Consulting.
Details of Trademark Registration in Poland
Registration Time
6 months
Protection in Years
10 years
Language of Application
Polish
Fees for Trademark Registration in Poland
Basic Fee: 450PLN
Additional Fees: 120PLN
Trademark Registration in Poland – Natural Person & Legal?
What is the best variant? Trademark Registration done by natural person or Legal Person?
Trademarks can be registered under the names of individuals who are not running a business, individuals engaged in business, partnerships, or corporate entities – in Poland the most popular form of business is: Sp. z o.o. (Spółka z ograniczoną odpowiedzialnością) Additionally, a collective mark can be registered by multiple entrepreneurs.
It’s important to note that registering trademarks under the name of an individual provides greater flexibility in managing the associated rights.
If the applicant wishes to maintain the confidentiality of the rights holder during the trademark registration process, EUIPO allows for temporarily concealing the data of the entity holding rights.
It is crucial to update the information of the rights holder provided during the trademark registration process at the office. Failure to update may lead to issues, especially during the trademark renewal process
Registering a trademark in poland with Eesti Consulting
This exclusive opportunity is not limited to Polish companies; it extends to all SMEs registered in the EU. Eesti Consulting provides support for trademark registration in Poland and the EU, backed by a successful track record in various EU countries. Moreover, we can apply for SME Fund 2024 on behalf of your company, offering financial assistance.
With our guidance, you’ll receive a €1000 voucher for trademark registration.
🏷️ Haven’t received it? No payment required.
How to Get 1000€ as a voucher for Polish Trademark?
💰 Comparision Of Fees Without SME Fund Or With SME Fund Grant.
Let’s Compare trademark registration fees paid to Patent Office when you have a1000€ voucher or when you haven’t!
What is the Basic Rate of Corporation Tax in Estonia?
Corporation tax in Estonia is a tax imposed on the profits of companies. It is calculated based on the company’s annual taxable income. The current corporate tax rate in Estonia is 20%. In 2025 the corporate income tax will increase to 22%
The 20% corporate tax rate in Estonia is applied to the annual taxable income of companies. This tax is specifically levied on the profits generated by businesses operating in Estonia. The calculation of the corporation tax takes into consideration the company’s yearly taxable earnings.
Reduced Corporation Tax Rate
The Reduced Corporation Tax Rate in Estonia is applicable to certain companies that meet specific criteria. These companies qualify for a reduced tax rate of 14% on their taxable income, instead of the regular 20%. This is known as the 14/86 rule.
Example
Scenario
Calculation
Amount (€)
Estonian company pays a dividend of 12,000 € to a shareholder
–
–
Taxes declared and paid by the Estonian company
12,000 x (20/80)
3,000
Regular dividends paid to the shareholder
12,000 x (14/86)
1,963.77
Additional personal income tax withheld (7%)
12,000 x 0.07
840
Is Estonia 0% tax country?
In Estonia, corporate income tax is incurred by companies solely upon the distribution of profits, whether in the form of dividends or other means. This includes fringe benefits, gifts, donations, expenses related to entertaining guests, and costs unrelated to business activities
Tax Residency of a Legal Person
If you create a company in Estonia under Estonian laws, it automatically becomes a tax resident in Estonia. So, if you register your OÜ, your company is considered a tax resident in Estonia and needs to pay taxes there.
§ 6 (2) A legal person is a resident if it is established pursuant to Estonian law
Source: https://www.riigiteataja.ee/en/eli/509012020002/consolide , Income Tax in Estonia
BUT….
Some countries have different rules for deciding if a company is a tax resident. They might consider not only where it’s registered but also where it’s effectively managed. If you run your company in a country with such rules, it could end up being seen as a tax resident in two places. This means that two states may want to tax the profits of your company.
The Estonian Tax and Customs Board (EMTA) issues a Tax Residency Certificate in Estonia to validate a company’s tax residency according to Estonian laws. This official document confirms the company’s tax residency status, although it’s important to consider international tax regulations that may impact your residency status.
What Expenses You Can Deduct?
If you have an Estonian company, you can deduct business expenses related to your business. This allows you to optimize your tax liabilities and ensure compliance with Estonian laws. Remember to consult international tax regulations to understand how your tax residency status may be affected.
Buy Company in Estonia = Purchase 100% Shares in Estonian Company ,
Sell Company in Estonia = Sell 100% Shares in Estonian Company
If you need to make a share transfer in Estonian Company or prepare necessary documents, Eesti Consulting is here to assist you. We Help You in Everything, including changing the company’s name, owner, Management Board, address, phone number, and email after a successful transfer.
Do you want Buy Company in Estonia? – We Help!
Do you want Sell Company in Estonia?- We Help
Do you want hire us only to draft Power of Attorney or Advice Which Notary Is Suitable? – We Help
Do you want us to provide a tax consulting? – We Help
3 SOLUTIONS for Buying or Selling Company
Detailed informations
Transfer through Notary Visit
💼 Transfer of company ownership via a notary visit where all company participants are present. One member sells their assets to another.
Corporate Stock Transfer with Power of Attorney
📜 Transfer of Estonian company’s corporate stocks through a power of attorney. All parties involved must be introduced to a notary, with the option of proxy introduction for one or all members.
Remote Transfer via notar.ee
🌐 Remote transfer of an Estonian company through notar.ee. All members must possess an e-Resident card for the transaction.
Alternatives of Share Transfer – Notary Visit, Power of Attorney or Remote Transfer
Share Transfer by Visit All COMPANY Members in Tallinn
If you want to transfer an Estonian company quickly, one option is to re-register it by personally visiting the relevant authorities. This process can be completed in just one day, but it’s important to gather all the necessary information about the company and its owners beforehand.
Before visiting Estonia in person, please send the following information:
Expected date of visit
The Name of a company established in Estonia
Full Data of the Owners/Beneficiaries of the company, including passport photo, email, phone number, residence address, marital status
Data of the Board Members, including passport photo, email, phone number, residence address, marital status
Information about the financial activities of the company , including bank statement in CSV or PDF
To transfer shares in Estonia, the first step is to gather all the necessary information from the client. Once that is done, an appointment will be scheduled with a notary for a meeting. The next step involves preparing all the required documents for the share transfer. On the appointed day, the client will need to visit the office of Eesti Consulting. Finally, both the client and the consultant will go together to meet with a notary to sign the prepared petition.
Before booking an appointment with a notary, Eesti Consulting will prepare the documents for a transfer of an Estonian company. Therefore, it is so important to send us the information about a company by email at least 10 days before your planned visit to Estonia.
After receiving the necessary information, we will book a time with a notary and draw up a petition to re-register an Estonian company. On the appointed day of your arrival, we will meet at the office of Eesti Consulting. In 2-5 days after visiting the notary, you will no longer be associated with a transferred company.
Transfer of Shares by Power of Attorney – Remotely!
To initiate the re-registration of an Estonian company through a power of attorney, it is crucial to meet all collaboration requirements and submit the required payment to Eesti Consulting before commencing the process.
After completing the payment for the services provided by Eesti Consulting, it becomes obligatory to furnish passport photos of all company representatives and furnish details regarding the company being transferred. Upon receipt of the requested information, our legal team will furnish you with English power of attorney examples, which must be notarized in your country.
Transfer of Shares STEP by STEP
Eesti Consulting will send an example of power of attorney in English based on the documents and information received from the client.
Based on the legislation of your country, it is necessary to prepare a sworn translation of the power of attorney into the state language.
After sworn translations of all powers of attorney into the state language, it will be necessary to certify all powers of attorney at a notary and apostille them (if necessary).
After the powers of attorney have been drawn up, they will need to be translated into English by a sworn translator.
After certification and translation of all powers of attorney, they will need to be sent by courier.
Different certification options for prepared powers of attorney in Estonia.
In Estonia, a local notary will certify the powers of attorney examples that we have prepared in English. However, if you are transferring shares in other countries like 🇳🇴 Norway, 🇸🇪 Sweden, 🇳🇱 Netherlands, 🇧🇪 Belgium, 🇫🇷 France, and 🇩🇪 Germany, you’re in luck! These countries accept documents in English. On the other hand, if you’re dealing with countries like 🇫🇮 Finland, 🇱🇻 Latvia, 🇱🇹 Lithuania, 🇵🇱 Poland, 🇺🇦 Ukraine, 🇬🇷 Greece, 🇷🇺 Russia, and more, you’ll need to translate the powers of attorney into the official language of that country and have it certified by a notary.
When certifying documents, it is important to consider the format of the power of attorney and whether it requires additional apostille in your country. Certifying a document, according to the Hague Convention Abolishing the Requirement of Legalisation for Foreign Public Documents, is known as apostille. This international certificate is similar to notarization in domestic law. If two countries have an agreement, an apostille is enough to verify the document’s validity, eliminating the need for dual certification by the sending and receiving countries.
List of countries that do not require apostille when certifying documents by a notary:
Lithuania 🇱🇹
Latvia 🇱🇻
Russia 🇷🇺
Ukraine 🇺🇦
Poland 🇵🇱
If the powers of attorney are certified in your country’s official language, they need to be translated into English by a sworn translator. Once the powers of attorney are notarized and, if necessary, apostilled, they should be officially translated into English by a sworn translator and sent via email. The company transfer process usually takes approximately two weeks. After this time, your association with the company will come to an end.
Change of Transfer in Estonian Company – Fully Remote Way
To transfer a company in Estonia remotely, all members are required to have an e-Resident card. It is important to discuss the transfer conditions in advance and provide the necessary details to Eesti Consulting lawyer. They will help you book a suitable time on notar.ee. To verify their identity, all members need to use Veriff.com and take a photo of themselves along with their ID using a web camera.
After all parties have verified their ID, a company sale transaction takes place — company representatives connect with a notary by a video link. Participants familiarise themselves with prepared by notary documents and sign them digitally.
Following to signing of the document by all parties, a notary signs the papers and completes the process of remote identification, and thereby the form becomes available to participants via a self-service portal.
FOR IMMEDIATE RELEASE, 04.01.2024 – Tallinn, Estonia
SME Fund 2024 starts on 22.01.2024
1000€ Voucher for 🇪🇺 EU for Trademark Registration Fees
Coming your way on January 22, 2024, SME Fund 2024 is a cool initiative from the European Intellectual Property Office (EUIPO). They’re here to help small and medium-sized businesses (SMEs) with funds and resources so you can rock the business scene, boost the economy, and reach your goals. Go, SMEs! 🚀
Period for SME Fund Applications: 22.01.2024 – 06.12.2024
Thinking of Starting a Business in Poland as a Foreigner? Check out our Guide on Taxes, Pros, and Cons of Having a Polish Company.
Why start a business in Poland? 🇵🇱 It’s in the middle of Europe and growing fast! Poland is stable, part of the EU, OECD, and G20.
In the Doing Business 2020 report, Poland ranked 40th, showing it’s good for business. The Global Competitiveness Report 2019 put Poland at 37th.
Poland’s whole country is like an economic zone 🏭, giving tax breaks for businesses. The Innovation Box gives a low 5% tax rate for selling ideas 💡.
Poland’s economy is booming 📈, even more than other European countries. With its central location and global memberships, Poland is a great place to start a business. Consider the opportunities for your business journey!
The best cities in Poland for Company Location?
Whether you’re a digital nomad or not, here’s a list of the best and biggest cities in Poland where foreigners have set up businesses. Which city do you want to choose?
City
Population (2022)
Area (km²)
Warsaw
1.8 million
517
Krakow
769,335
327
Lodz
685,285
293
Wroclaw
641,607
292
Poznan
551,627
261
Gdansk
472,997
262
Szczecin
403,426
301
What Taxes Pay Company in Poland?
Are You Thinkink About Starting a Business in Poland as Foreigner? STOP! Read about Taxes First!
Corporation Tax in Poland
Corporation tax is a type of tax that businesses pay on their profits. It’s a way for the government to collect money from companies based on the income they earn
Taxation Form
Tax Rate
Eligibility Criteria
Corporate Income Tax (CIT)
9% or 19%
– 9% Rate: Applicable for small taxpayers. If the taxpayer’s gross sales revenue does not exceed €2,000,000, or this limit is not surpassed in the current tax year, a 9% rate is applicable for active business activities. 19% Rate: Applied once the €2,000,000 limit is exceeded. Gross turnover includes VAT on goods and services. The reduced 9% rate is applicable only to revenues (income) other than capital gains, and certain restrictions apply to entities formed as a result of specific restructuring activities.
VAT Rates in Poland for Business!
PRO tip: Keep an eye on your sales. If you’re getting close to PLN 200,000, plan for VAT so you’re ready when it’s time to pay. 📊💰
VAT Rates
Percentage Rate
Application Area
Standard (23%)
23%
– General VAT rate applied to most goods and services.
Reduced (8%)
8%
– Applicable to, among other things, construction covered by a social housing program, services related to culture, sports, and recreation.
Reduced (5%)
5%
– Covers, for instance, basic food products (e.g., bread, dairy), baby products, books, and e-books.
Preferential (0%)
0%
– Preferential rate applied, for example, to intra-Community supplies of goods and exports of goods.
Eligibility and Requirements for Foreigners Setting Up a Company in Poland
To set up a company in Poland as a foreigner, there are certain eligibility criteria and requirements that need to be met. Let’s take a closer look at what these are:
Eligibility Criteria for Foreigners
Foreign entrepreneurs who wish to establish a company in Poland must fulfill specific criteria related to residency, nationality, or legal status. The following points outline the key eligibility requirements:
Residence Permit: Foreigners must have a valid residence permit or temporary residence permit in Poland. This permit allows them to legally reside and work in the country. 🇵🇱📜
Citizenship: While Polish citizenship is not mandatory, foreigners can still establish a company if they meet the necessary residency requirements. 🌍🤝
EU National Bonus: EU nationals enjoy a special advantage as they may register a Sp. z o.o. (limited liability company) in Poland, simplifying the process for those from European Union member states. 🇪🇺💼
Moreover, the process of company formation offers flexibility:
Additionally, you can open a bank account for your company with a choice of top banks in Poland. 🏦💳
Necessary Documents and Permits
When registering a company in Poland, it is essential to provide the required documents and permits during the application process. These may include:
Documents
Description
Identification Documents
Valid passport or national identification card for identity verification (KYC/AML documents).
Proof of Residence
Utility bills or rental agreements as proof of residence.
Business Plan
Well-prepared business plan detailing business nature, market analysis, financial projections, and marketing strategies.
Permits and Licenses
Depending on the industry or sector, additional permits or licenses may be required before starting business activities.
Advantages of Starting Company in Poland
Features
Description
Separate Legal Personality
LLC has a separate legal personality, allowing it to act independently. 🌐🏢
Limited Liability for Shareholders
Shareholders’ liability is limited to their contributions. They’re not personally responsible for debts. 💼💰
Flexibility in Number of Shareholders
LLC can be established by one or more individuals, even as a single-member LLC. 👥
Commercial Activity as a Single-Member
LLC allows for commercial activities as a single-member entity. 🌱👨💼
Legal Capacity for Business Transactions
LLC has legal capacity for business transactions independently. 📜🤝
Protection of Shareholders’ Investments
Shareholders’ investments are protected, and they’re not personally liable. 🛡️💸
Ability to Operate as a Single-Member Company
LLC can function as a single-member company, offering flexibility. 👤
Freedom to Hire Any Number of Employees
LLC has the freedom to employ any number of workers for scalability. 💼👥
Immediate Commencement of Business Activities
LLC can start activities immediately upon signing the company agreement. 📅🏢
Relatively Low Initial Capital
Initial capital is relatively low at 5000 zł and can be adjusted as needed. 💰📉
Flexible Capital Adjustment
Capital can be easily increased or decreased, remaining above the statutory minimum. 🔄
Streamlined Online Company Formation
Efficient online registration process with automatic tax identification assignment. 🌐💻
Efficient Registration Procedure
Quick registration procedure, especially with online methods, saving time and effort. 🚀⏱️
Disadvantages of Having Company in Poland
Challenges and Considerations
Description
Lengthy Liquidation Procedure
Liquidating a Spółka z o.o. involves extensive documentation and time-consuming procedures. ⏳🏢💼
Notarial Deed Costs
Drafting the company agreement as a notarial deed incurs additional costs and can be time-consuming. 💰📄💼
Double Taxation
Spółka z o.o. may face double taxation, with corporate income tax (CIT) and additional income tax (PIT) on profits. 💰📊
Full Accounting Obligation
Obligation to maintain a full accounting system can lead to complexity and additional costs for accounting services. 📚💻💸
Annual Financial Reporting
Mandatory annual financial reporting can be a burden for companies, with failure to submit reports resulting in fines. 📅💰
Management Board Liability
Management board members may face liability for the company’s obligations, potentially involving personal assets. ⚖️💸
Tax Incentives, Grants, and Subsidies
One of the major advantages of starting a company in Poland is the availability of tax incentives, grants, and subsidies. The Polish government offers various programs aimed at supporting foreign-owned companies. For example, businesses operating within special economic zones can benefit from reduced corporate income tax rates or even be exempt from paying it altogether for specified periods. 🌐🇵🇱
There are grants and subsidies available for specific sectors such as technology, research and development (R&D), innovation, energy efficiency, and more. These financial incentives provide valuable support to companies looking to establish themselves in Poland. 💼💰
Moreover, if you set up a Polish company, you can apply for the SME FUND 2023 grant, which offers additional financial assistance and opportunities for growth. 🚀💡
Additionally, the EU provides a system that protects your trademark in all member states through EU trademark registration managed by the EUIPO. Instead of registering in each country separately, you can register once with the EUIPO and have exclusive rights in all EU countries. This not only streamlines the process but also provides a strong legal foundation for your brand. 🛡️🌍
And here’s an exciting opportunity: with the SME FUND 2023 grant, you can imagine significant savings on EU trademark registration costs. Instead of the standard 850€, you pay only 212€! To seize this opportunity, fill in the form and discover the secret. Remember, it’s first come, first served! 🌟🔐
Access to EU Markets
As a member of the European Union (EU), establishing a company in Poland provides access to the vast EU market. This membership allows businesses based in Poland to trade freely within the EU’s single market without facing trade barriers or tariffs. It opens up doors to 27 other countries with over 450 million potential customers.
Being part of the EU also means that companies established in Poland can benefit from various EU programs designed to support business growth such as Horizon Europe (the EU’s research and innovation program) or COSME (the EU program for small and medium-sized enterprises).
Sectors with Growth Potential
Poland offers opportunities for businesses across various sectors. Some industries, in particular, have shown significant growth potential in recent years. The technology sector, for example, has been thriving with a growing number of startups and tech companies emerging in cities like Warsaw, Krakow, and Wroclaw.
Manufacturing is another sector that holds promise in Poland. The country has a strong industrial base and is known for its skilled workforce and competitive production costs. The services industry, including finance, IT outsourcing, shared services centers, and e-commerce, continues to flourish.
Networking and Collaboration Opportunities
Establishing a company in Poland also provides ample networking and collaboration opportunities within the local business community. Poland has a vibrant entrepreneurial ecosystem with numerous industry events, conferences, and networking platforms where entrepreneurs can connect with like-minded individuals.
Moreover, there are various chambers of commerce and business associations that facilitate networking among businesses both domestically and internationally. These platforms offer valuable resources for establishing partnerships or finding new clients or suppliers.
Procedures and Costs of Registering a Company in Poland
Step-by-step Explanation of the Company Registration Process for Foreigners in Poland
Registering a company in Poland as a foreigner may seem like a daunting task, but with the right information, it can be a smooth process. Here is a step-by-step breakdown of the procedures involved:
Choose your company structure: The first step is to decide on the type of company you want to register. In Poland, common options include limited liability companies (Spółka z ograniczoną odpowiedzialnością or Sp. z o.o.) and joint-stock companies (Spółka akcyjna or S.A.). Each has its own requirements and implications.
Prepare necessary documentation: To register your company, you will need certain documents, such as articles of association, which outline the purpose and structure of your business. You will also need identification documents for all shareholders and directors involved.
Open a bank account: Before registering your company, you must open a bank account in Poland. This is where you will deposit the required share capital for your chosen company structure.
Notarize documents: Some documents may need to be notarized by a Polish notary public. This includes the articles of association and any other legal agreements related to your business.
Submit registration application: Once all necessary documentation is prepared, you can submit your registration application to the relevant registry court in Poland. The court will review your application and verify that all requirements are met.
Receive KRS number: If your registration application is approved, you will receive a KRS number from the registry court. This unique identification number confirms that your company is officially registered.
Register for tax purposes: After receiving your KRS number, you must register for tax purposes with the appropriate tax office in Poland.
Overview of Required Documentation
When registering a company in Poland, you will need to provide specific documentation. Here is an overview of the required documents:
Articles of association: These documents outline the purpose and structure of your company.
Identification documents: You will need identification documents for all shareholders and directors involved in the company.
Bank confirmation: A confirmation from the bank stating that you have deposited the required share capital in your business bank account.
It’s important to ensure that all documentation is accurate and complete to avoid any delays or complications during the registration process.
Government Fees and Additional Costs
Registering a company in Poland incurs certain government fees. The exact amount depends on various factors, such as the type of company being registered and its share capital. It is advisable to check with the registry court or seek professional advice to determine the specific fees applicable to your situation.
In addition to government fees, there may be additional costs associated with registering a company in Poland. These can include legal assistance fees, translation services for non-Polish documents, notary fees for document authentication, and any other professional services required during the registration process. It’s essential to consider these potential costs when budgeting for your company registration.
Estimated Timeframe for Company Registration
The time it takes to complete the registration process can vary depending on several factors, including the workload of the registry court and whether all documentation is correctly prepared. On average, it can take between two weeks to three months from submitting your application until you receive your KRS number. It’s important to plan accordingly and allow sufficient time for any potential delays or additional requirements that may arise during this period.
Registering a company in Poland as a foreigner involves several procedures and considerations. By understanding each step involved, preparing necessary documentation accurately, accounting for government fees and additional costs, and allowing ample time for completion, you can navigate through this process smoothly. Seeking professional guidance from lawyers or business consultants experienced in company registration can also provide valuable assistance and ensure compliance with all legal requirements.
Setting Up a Limited Liability Company in Poland: Requirements and Eligibility
In Poland, establishing a Limited Liability Company (LLC) can offer numerous benefits for foreigners looking to start their own business. Let’s delve into the requirements and eligibility criteria associated with setting up an LLC in Poland.
Benefits of Establishing an LLC in Poland
Creating an LLC in Poland provides several advantages that make it an attractive option for foreigners. Some of the key benefits include:
Limited Liability: As the name suggests, an LLC offers limited liability protection to its shareholders. This means that their personal assets are safeguarded in case the company faces financial difficulties or legal issues.
Flexible Management Structure: An LLC allows for flexibility in terms of management structure. It requires at least one shareholder and one director to form the company, allowing individuals to have full control over their business operations.
Tax Exemptions: LLCs are eligible for certain tax exemptions and incentives provided by the Polish government. These exemptions can help reduce the overall tax burden on businesses, making it more financially viable.
Separate Legal Entity: An LLC is considered a separate legal entity from its owners, which means that it can enter into contracts, own property, and engage in various business activities on its own behalf.
Minimum Capital Requirements
When establishing an LLC as a foreigner in Poland, there are minimum capital requirements that need to be met. The current minimum share capital required is 5,000 PLN (Polish Zloty), which is approximately $1,300 USD.
Foreigners must ensure they have sufficient funds available to meet this requirement before proceeding with the registration process. It’s important to note that this capital should be deposited into a dedicated bank account during the registration process.
Shareholders and Directors
To form an LLC in Poland, at least one shareholder and one director are required. The shareholder(s) can be individuals or legal entities, and they are the owners of the company. The director(s), on the other hand, are responsible for managing the day-to-day operations of the business.
It’s worth mentioning that shareholders and directors can be the same individuals, allowing for a streamlined decision-making process. There are no restrictions on foreign nationals serving as shareholders or directors in a Polish LLC.
Poland Limited Liability Company (Sp. z o.o.) – characteristic
In conclusion, establishing a limited liability company in Poland as a foreigner offers numerous benefits and opportunities. The eligibility requirements are relatively straightforward, and the procedures for registering a company are well-defined. By setting up a company in Poland, you can take advantage of its favorable business environment, strategic location within Europe, and growing economy.
Now is the time to explore the possibilities that Poland has to offer for foreigners looking to start their own business. With its supportive infrastructure, skilled workforce, and competitive costs, Poland provides an ideal platform for entrepreneurial success. Whether you’re interested in manufacturing, IT services, or any other industry, Poland welcomes you with open arms.
What is your choice? Poland or maybe Estonia with 0% Corporation Tax?
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