Setting up business in Lithuania: step-by-step
Are you an entrepreneur seeking the ideal location to launch and expand your business? Look no further than Vilnius, the capital city of Lithuania. Vilnius, ranked 11th globally in the World Bank’s Doing Business Report 2020, offers a business-friendly environment tailored to meet the needs of startups, mid-sized enterprises, and global corporations. In this article, we’ll explore why Vilnius should be your top choice for business expansion and take a closer look at the effortless process of establishing a business in Lithuania.
Why Lithuania?
Lithuania is vibrant heart of Europe, it provides a supportive ecosystem for businesses of all sizes.
| Key Advantage | Description |
|---|---|
| Quick Registration | Lithuania boasts one of the EU’s fastest business registration processes, minimizing bureaucratic hurdles. |
| Expert Guidance | Government-affiliated organizations like Go Vilnius and Invest Lithuania offer free guidance and support throughout the setup process. |
| Abundant Talent Pool | Vilnius boasts a highly skilled and multilingual workforce, making it an ideal location for sectors like Global Business Services (GBS) and Manufacturing. |
Now, let’s dive into the step-by-step process of establishing your business in Lithuania.
Steps to Establishing Your Business in Lithuania
Setting up a business in Lithuania is straightforward and stress-free when you follow these steps:
| Step | Requirements |
|---|---|
| 1. Choose Your Business Type | Decide on the type of business you want to establish. |
| 2. Check Permit Requirements | Identify and understand the permits and licenses required for your business type. |
| 3. Evaluate Financial Projections | Assess your business’s financial prospects and create a comprehensive plan. |
Now, let’s delve into the detailed procedure, estimated timeframes, and associated costs:
| Step | Procedure |
|---|---|
| 1. Prepare Articles of Association | – Time to Complete: 1 day (after receiving all required documents) – Associated Costs: Legal fees (if using a legal advisor) – Requirements: Lithuanian business address and appointment of a general manager. |
| 2. Reserve a Temporary Company Name | – Time to Complete: 1 day – Associated Costs: Approximately €16 – Procedure: Submit an application to the Register of Legal Entities to reserve your company name for six months. |
| 3. Open an Accumulative Bank Account | – Time to Complete: 1-2 days – Associated Costs: Free (or bank fees) – Note: This account is for depositing share capital, with a minimum required share capital of €2500. |
| 4. Transfer Share Capital to Accumulative Account | – Time to Complete: 1 day – Associated Costs: Free (or bank fees) – Important: If share capital exceeds €2500, transfer at least 25% to the accumulative account, with the remaining amount paid within 12 months. |
| 5. Notarize Founding Documents | – Time to Complete: 1-2 days – Associated Costs: Approximately €72 – €290 (varies based on share capital) – Note: Depending on your country’s affiliation with the 1961 Hague Convention, your documents may require Apostille certification or legalization. |
| 6. Register the Company | – Time to Complete: Up to 3 business days – Associated Costs: Approximately €57 – Requirement: Submit notarized documents to the Register of Legal Entities. |
| 7. Convert Accumulative Account to Settlement Account | – Time to Complete: 2-7 days (varies by bank) – Associated Costs: Bank-dependent |
| 8. Obtain a Confirmed Electronic Signature (Optional for Online Registration) | – Time to Complete: 10 minutes to 1 day – Associated Costs: Varies based on mobile operator or electronic equipment used |
In conclusion, Vilnius, Lithuania, offers an optimal environment for launching and growing your business. With a streamlined registration process and a supportive ecosystem, you can transform your entrepreneurial aspirations into a thriving reality. Consider Vilnius as your gateway to success, and let the city’s business-friendly atmosphere propel your venture to new heights.