Estonia has become one of Europe’s most attractive destinations for entrepreneurs and startups.
With its digital-first approach, favorable tax system (0% corporate tax on reinvested profits), and EU market access, registering an Estonian company offers significant advantages for international business owners.
This comprehensive guide walks you through every step of the company registration process in Estonia, from choosing your business structure to opening a bank account.
Why Register a Company in Estonia?
Estonia stands out among European countries for several compelling reasons that make it an ideal location for company registration:
Digital Infrastructure & E-Government
Estonia is the world’s most advanced digital society. The country offers e-Residency, allowing anyone globally to establish and manage an EU-based company entirely online. You can register your business, sign documents, file taxes, and manage banking without ever visiting Estonia physically.
Favorable Tax System
Estonia’s unique tax policy is particularly attractive for growing businesses:
- 0% corporate tax on reinvested profits – Pay tax only when distributing dividends
- 20% flat tax on distributed profits – One of the lowest rates in the EU
- No capital gains tax, no wealth tax, no property transfer tax
- Transparent and simple tax filing system
Access to European Union Market
As an EU member state, Estonia provides immediate access to over 450 million consumers across the European single market. Your Estonian company can freely trade goods and services throughout the EU, benefit from SEPA banking, and utilize EU business regulations.
Fast & Efficient Registration
Company registration in Estonia is remarkably fast. E-residents can establish a company in as little as 24-48 hours, while traditional notarial registration takes approximately 5 business days. The process is streamlined, transparent, and largely bureaucracy-free.
Low Operating Costs
Compared to other EU countries, Estonia offers competitive operating costs, including affordable professional services, reasonable office rental prices, and cost-effective workforce options.
💡 Did You Know?
Estonia is home to more unicorn startups per capita than any other country in Europe, including Skype, Wise (formerly TransferWise), and Bolt. The country’s startup-friendly environment has created a thriving ecosystem for innovation and growth.
Types of Estonian Companies
Estonian law recognizes several types of business entities. For most international entrepreneurs and e-residents, the Private Limited Company (OÜ) is the optimal choice.
Private Limited Company (Osaühing – OÜ)
Most popular choice for 95% of entrepreneurs.
Key characteristics:
- Minimum share capital: €0.01
- Limited liability – shareholders’ personal assets are protected
- Can be owned by a single shareholder (individual or legal entity)
- Requires at least one board member (director)
- Board member can be a non-resident, but must provide Estonian contact address
- Suitable for small to medium-sized businesses
- Straightforward governance structure
Public Limited Company (Aktsiaselts – AS)
For larger enterprises planning public offerings.
Key characteristics:
- Minimum share capital: €25,000
- Can issue shares publicly
- More complex governance requirements (supervisory board mandatory if 3+ board members)
- Higher administrative burden and costs
- Required for companies seeking stock exchange listing
Branch of a Foreign Company
For existing companies expanding into Estonia.
Key characteristics:
- Not a separate legal entity (extension of parent company)
- Parent company liable for branch activities
- Must appoint a local representative in Estonia
- More complex tax reporting requirements
🎯 Recommendation
For most entrepreneurs, startups, and e-commerce businesses, we strongly recommend the OÜ (Private Limited Company) structure. It offers the perfect balance of limited liability protection, low capital requirements, operational flexibility, and simplified administration.
Prefer to start even faster?
Instead of registering a new company, you can also purchase a ready-made (shelf) company in Estonia. It’s fully compliant, has no previous activity, and can be transferred to you within 1–3 days.
Learn more about our available shelf companies here →
3 Methods to Register Your Estonian Company
Estonia offers three distinct pathways for company registration, each suited to different circumstances and preferences:
Method 1: E-Residency Online Registration ⭐ Most Popular
Best for: Remote entrepreneurs, digital nomads, and international business owners
How it works:
After obtaining Estonian e-Residency (a government-issued digital identity), you can register your company 100% online using the Company Registration Portal.
The entire process—from registration to opening a bank account—can be completed remotely.
Timeline: 24-48 hours (after e-Residency card received)
Advantages
- No need to visit Estonia
- Fastest method available
- Lowest cost option
- Fully digital process
- Can manage everything remotely
Disadvantages
- Requires e-Residency application first (4-6 weeks)
- Initial e-Residency fee (€150)
- Must collect card in person from embassy/pickup point
- Requires technical familiarity with digital signatures
Method 2: Power of Attorney (Remote Notarial Registration)
Best for: Those who want quick registration without e-Residency
How it works:
You grant power of attorney to a trusted representative (such as LKS Consult) who registers the company on your behalf at an Estonian notary office.
You sign and authenticate the power of attorney document in your home country, then we handle everything else in Estonia.
Timeline: 5-7 business days (after document preparation)
Advantages
- No need to visit Estonia
- No e-Residency required
- Professional handling by experts
- Faster than waiting for e-Residency
- Personal guidance throughout
Disadvantages
- Requires notarization in your home country
- Slightly higher service fees
- Power of attorney documents must be legalized/apostilled
- Less control over the process
Method 3: In-Person Notarial Registration in Estonia
Best for: Those already in Estonia or preferring traditional registration
How it works:
You visit Estonia personally and complete the company registration at a notary office. This is the traditional method used before e-Residency existed. LKS Consult prepares all documents in advance and accompanies you to the notary appointment.
Timeline: 5 business days (from notary appointment)
Advantages
- Personal oversight of the process
- Direct communication with notary
- Opportunity to visit Estonia and explore the country
- Can open bank account in person (sometimes faster)
- Traditional, well-established method
Disadvantages
- Must travel to Estonia
- Travel costs (flights, accommodation)
- Time away from business
- Requires scheduling availability
- Longer overall timeline
Registration Requirements
Before starting the registration process, ensure you have the following prepared:
1. Company Information
- Company name: Must be unique, not already registered in Estonia. Can be in Estonian, English, or other languages using Latin characters. Must include “OÜ” at the end.
- Business activity codes (EMTAK): Classification codes describing your business activities. You can register multiple codes.
- Share capital amount: Minimum €2,500 for OÜ. Must be paid in full within 3 years (but many banks require full payment before account opening).
- Registered address in Estonia: Must be a physical address (not PO box). LKS Consult can provide legal address service.
2. Founders (Shareholders)
- Identity documents: Valid passport or national ID card
- Personal details: Full name, date of birth, citizenship, residential address
- Share distribution: Percentage of shares each founder will own
- Can be individuals or legal entities from any country
- No residency requirements for shareholders
3. Board Members (Directors)
- At least one board member required
- Can be the same person as the shareholder
- No residency requirement (non-residents allowed)
- Must provide Estonian contact address
- Identity documents: Valid passport or ID
- Board member has authority to represent and bind the company
4. Legal Documents
- Articles of Association (Põhikiri): Governing document outlining company structure, share capital, management rules. We prepare this for you.
- Registration application: Official form for Business Register submission
- Bank statement (if share capital paid before registration): Proof of capital deposit
- Activity licenses (if applicable): Certain industries require special permits
⚠️ Important Notes
- All foreign documents must be legalized or apostilled and translated into Estonian by a sworn translator
- If shareholders or board members are legal entities, additional documentation (registration certificates, good standing certificates) is required
- Some business activities require special licenses or permits before registration (e.g., financial services, healthcare, education)
Step-by-Step Registration Process
For E-Residents (Most Common Method)
1. Apply for E-Residency (if not already obtained)
Visit the official e-Residency website (e-resident.gov.ee) and submit your application. Provide your motivation, upload a photo and ID, and pay the €150 fee. Background check takes 4-6 weeks. Once approved, collect your e-Residency card from your chosen pickup location (Estonian embassy or Police and Border Guard office).
Timeline: 4-6 weeks
2. Choose and Reserve Company Name
Search the Estonian Business Register to ensure your desired company name is available and unique. Reserve the name through the Business Register portal. Name reservations are valid for 2 months.
Cost: Free | Timeline: 15 minutes
3. Prepare Articles of Association
Draft your company’s founding document (Põhikiri) outlining: company name, registered address, share capital amount, distribution of shares, board member(s), business activities, and management procedures. LKS Consult prepares this professionally to ensure legal compliance.
Timeline: 1-2 days
4. Pay Share Capital
Deposit the share capital (minimum €2,500) into a temporary bank account or prepare to pay after registration. Note that most Estonian banks now require full share capital payment before opening business accounts. You can pay the capital in instalments over 3 years legally, but practically, banks expect full payment upfront.
Timeline: Same day
5. Register Legal Address
Secure an Estonian legal address for your company. This must be a physical address where official correspondence can be received. LKS Consult offers legal address services as part of our registration package.
Cost: €20-50/month | Timeline: Immediate
6. Submit Registration Application
Log into the Estonian Company Registration Portal using your e-Residency digital ID. Complete the online registration form with all company details, upload required documents, and digitally sign the application using your e-Residency card. Pay the state fee (€190 for standard processing or €265 for express 2-hour processing).
Timeline: 5 minutes to submit
7. Wait for Approval
The Estonian Business Register reviews your application. If everything is correct and complete, your company will be registered and you’ll receive a registration confirmation email with your company registration number.
Timeline: 1-3 business days (or 2 hours with express service)
8. Receive Registration Certificate
Download your official company registration certificate from the Business Register portal. This document proves your company’s legal existence and includes your registration number, which you’ll need for opening bank accounts and conducting business.
Timeline: Immediately after approval
🎉 Congratulations! Your Estonian Company is Now Registered
Your company is officially registered and has legal personality. However, to start operating, you’ll need to complete several post-registration steps (see “After Registration” section below).
Register Your Estonian Company Easily with LKS Consult
With LKS Consult, the company formation process becomes simple and comfortable. We support all registration methods — online via e-Residency, remote signing, or in-person setup — and guide you through each step clearly and confidently. Our team ensures compliance, smooth communication, and a result you can rely on.
Book a call with our specialist
and we’ll handle the paperwork while you focus on building your business.
