If you are seeking company registration services in Lithuania, you’ve come to the right place. BIZBON consultants specialize in assisting clients with a new company formation or acquiring already registered shelf companies in Lithuania.
Company formation in Lithuania services that include obtaining a VAT number, setting up a bank account, or establishing a company with a solid credit history, BIZBON is here to provide comprehensive support throughout the entire process.
At BIZBON, our comprehensive range of services includes handling registration formalities and state fees at the Companies Registry, providing a registered address for your company, preparing a company establishment act and articles, and facilitating financial reporting.
Additionally, we can assist you in opening a firm’s bank account and obtaining a VAT number, essential components for conducting business in Lithuania. BIZBON work experience since 2005 allows smoothly and fast company formation in Lithuania for your business.
Contact us today for a company registration cost in Lithuania and explore your options to start your journey towards establishing or acquiring a company in Lithuania with confidence.
Company formation in Lithuania process step by step
At BIZBON, we offer convenient and efficient remote services for company registration in Lithuania, eliminating the need for you to visit our office in person. Whether you are interested in forming a new company or purchasing an already registered one, we handle all the paperwork remotely to ensure a smooth and hassle-free process.
The timeline for company formation in Lithuania is approximately 2 weeks for a new company and about one week for purchasing an existing company. To get started with your company registration or acquisition, simply follow these steps:
- Email us the required documents:
- Copy of your passport
- Your address of living
- Two to three preferred company names for registration
- Brief description of your business activities in Lithuania, which we will include in your company’s Articles
- Make a 50% prepayment to initiate the process. We accept payments via bank transfers, credit card payments, Western Union, and PayPal for your convenience. Remaining amount 50% should be paid once the company is registered.
Once we receive your documents and prepayment, our team will promptly begin preparing the necessary company formation paperwork. We will keep you updated throughout the process and handle all aspects of the company formation remotely.
By choosing BIZBON for your company registration needs, you can rest assured that the process will be efficient, transparent, and tailored to your specific requirements. Contact us today to start your journey towards establishing or acquiring a company in Lithuania without the need for in-person visits.
Types of Company Structures in Lithuania
In Lithuania, the word “company” refers to a legal entity founded for commercial reasons. In Lithuania, following are the types of companies:
- Most popular among our clients is Mažoji Bendrija or MB is a kind of partnership in which one or more people manage a business jointly comparable to a LLC company in various jurisdictions. It requires at least one members who are jointly and severally liable for the partnership’s obligations. There is no minimum share capital requirement for MB. Share holders of this company can be only natural persons. It is the fastest company formation process.
- In Lithuania, the most common company form is a UAB, or Uždaroji Akcinė Bendrovė, which is the equivalent of a private limited liability corporation in other countries. Apart from its investors, it has its own legal personality, and its assets may be confiscated to fulfil its obligations. Investors are solely responsible for the amount of their original investment in shares. Minimal share capital of this company is 1.000 Eur. Share holders of this company can be natural and legal persons.
- Branch Company registration in Lithuania is a subdivision of a parent company. Essentially, this refers to a UAB-type entity where all company shares are wholly owned by another corporation, whether located within Lithuania or abroad. Branch company can conduct business activities, earn profits, pay taxes, and hire staff, but it should operate under the same business model as the parent company. More information about Branch company registration in Lithuania you can find in our other article here
- AB (Akcinė bendrovė) means “limited liability company.” It is quite similar to a UAB, but there are certain additional requirements, such as a 25,000 euros minimum share capital, public share offers, and the establishment of a supervisory board in addition to the management board.
- IĮ (Individuali įmonė): IĮ is a sole proprietorship in which one individual does business under their name. The individual’s personal assets will be utilised to satisfy any corporate debts.
How to choose the right legal form of the company?
Mažoji Bendrija (MB)
Choosing the legal form of Mažoji Bendrija (MB) for registering a business in Lithuania can be advantageous for several reasons:
- Tax Efficiency: MBs benefit from a tiered corporate income tax (CIT) rate. The standard rate is 15%, but qualifying companies can enjoy a reduced rate of 5% or even 0% on reinvested profits, which can significantly aid in long-term growth.
- Ideal for Acquiring Temporary Residence Permit in Lithuania. Once you register MB in Lithuania you can apply for the 2 years Residence permit. There several attractive options how to get the TRP, more information please find here.
- Skilled Workforce: The country boasts a highly skilled and multilingual talent pool, which is essential for businesses aiming to thrive in a dynamic environment. For more details please check here.
These factors combined make the MB a compelling choice for entrepreneurs looking to establish a presence in Lithuania and leverage the country’s business-friendly environment.
Uždaroji Akcinė Bendrovė (UAB)
Some of of foreign investors in Lithuania set up a UAB company. With as little as € 1,000 in registered capital, a limited liability company may be founded. A bank account must have at least 25% of the requisite registered capital as per Lithuania company register.
UAB or in other words LLC in Lithuania company register may have one or more founders (shareholders). The owner does not have to be a resident of the Republic of Lithuania. A limited liability company (LLC) is a legally separate entity. The company’s and its investors’ responsibility is restricted. If the following conditions hold on the final day of the fiscal year, an audit of the previous year’s financial statements is required: the company’s net sales wee EUR 3.5 million, its total assets were EUR 1.8 million, and the usual number of people on the payroll was 50 people per year.
A subsidiary or branch company registration
Foreign firms and organizations are permitted to establish representative offices and subsidiaries. A subsidiary of the parent business is a foreign enterprise or organization having a representative office or branch in Lithuania. One of your supervisors should be situated in Lithuania. A branch office or representative branch office is an extension of a foreign company.
A branch office is a physical site apart from the main office where the firm conducts some or all of its operations. The branch office may do business within the parameters established by the parent firm.
A branch of a company or other legal entity that may act in its name and on its behalf is known as a representative office. A representative branch office, although it may promote and market, do business on its own. The parent foreign Company is responsible for the actovties of representative office or branch office in Lithuania.
BIZBON aim is to make company registration in Lithuania much easier!
Akcinė Bendrovė (AB)
In the Lithuania company register, the majority of large and medium-sized firms in Lithuania are structured as public limited liability corporations. It must have a minimum registered capital of 25.000 EUR. A bank account must have at least 25% of the requisite registered capital. The general public is permitted to acquire or swap shares of the company’s capital. The owner/founder does not have to be a resident of the Republic of Lithuania.
Limited liability safeguards both the company and its shareholders from being held accountable for more than the value of their investment in the company. The founders and shareholders of a public limited liability company are not personally liable for the firm’s debts or obligations.
Procedure for company registration in Lithuania:
The following processes must be followed for company registration in Lithuania (in the Lithuania company register):
- Choose the Type of Business. The first step for company registration in Lithuania requires choosing the sort of company you want to start. In Lithuania, the most popular types are UAB (Uždaroji Akcinė Bendrovė) – a private limited liability company – The small community (MB) – a legal entity with limited liability;
- Choose a name that is distinctive to your company. Check to see if it complies with Lithuanian law’s requirements for name registration and is not already in use by another company.
- Articles of Association: Created the Articles of Association, which outline the company’s operations, share capital, management structure, and other essential information. This document must be validated.
- Determine the needed share capital for the business type you’ve chosen. The capital for investing must be put in a bank account.
- Account with a Bank: For company registration in Lithuania, Opening a business bank account and depositing the needed share capital is important.
- Company address of registration: Set up a registered office in Lithuania for your firm. This is the real or virtual address to which all communications and legal papers will be addressed.
- Determine the management structure of the organization, including the appointment of directors or a board of directors.
- Notary Services: A notary is not usually required for company formation and business registration processes, however, with the expertise of BIZBON in business establishment services if notary is required, we can get it done without any hassle. BIZBON consultants are on your side, you don’t need to worry about any legal process or step to be undertaken, BIZBON lawyers will complete your company registration in Lithuania with their expertise in this field as per the requirements without/with notary.
- For company registration in Lithuania, preparing the registration application, which contains the company’s data, management structure, shareholders, and other essential information, is a must. This request has been submitted to the Companies Register.
- If your company conducts taxable operations, you may be obliged to register for Value-Added tax (VAT) with the State Tax Inspectorate (Valstybinė mokesčių inspekcija). BIZBON has specialized professionals in the field of accounting and they can do everything on your part to make your all the legal obligations are fulfilled.
- Depending on the nature of your company, you may also need to register with other authorities or organizations, such as the Social Insurance Fund Board (Sodra) for employee insurance or the State Labour Inspectorate (Valstybinė darbo inspekcija) for labour inspection.
It is crucial to note that for company formation in Lithuania, this is a basic overview of the Lithuanian business registration process and that exact criteria and processes may differ depending on your individual circumstances and the sort of company formation. The best way to register a business in Lithuania is consulting a legal or business professional, who is familiar with company formation in Lithuania. BIZBON has a good track record for establishing businesses/companies that are registered for sale with a VAT code, bank accounts and have no debts or other liabilities. BIZBON is an expert at offering these kinds of services and has all the tools and information needed to make sure all legal requirements are met.
More details to be aware of during registration procedure
The incorporation documents are issued by the Register of Legal Entities exclusively in Lithuanian; hence, preparation of these documents in the national language is required for registration. Post-registration, document translation into other languages is available as needed. Engaging the services of BIZBON professionals is recommended to navigate the process seamlessly and expedite completion within one week.
Company registration can be conducted remotely, necessitating only the signing of prepared documents and provision of requisite details for the Register of Legal Entities’ forms. Alternatively, to bypass the new company registration process, a pre-registered Lithuanian company with nominal share capital and a bank account may be acquired. Upon executing a share sale agreement, the shelf company becomes operational within a week, complete with its foundational documents.
If necessary, you may later require changes such as altering the company name, increasing share capital, or other transformations. Our consultants can efficiently handle these procedures within a short timeframe. The decision to establish a new company or purchase a ready-made one in Lithuania rests with the entrepreneur. After registration or acquisition, you can commence operations, manage company funds, and engage in transactions. Subsequently, considerations should be made for registering the company as a VAT payer, hiring employees, and preparing employment contracts along with other internal company documents.
However, you can also entrust all these questions to BIZBON who will provide you with support after the opening of the company in Lithuania. Thus, the company can be opened quickly and inexpensively. If you take into account all the nuances of business in Lithuania, the company will open up new prospective and stimulate your further development.
Way to obtain company registration in Lithuania
Online Registration: One of the most feasible to create a company is through online registration. With BIZBON at your service, your presence is not required anywhere you just need to contact us and all the documentation process will be administered by us.
Foreigners from countries like India, Pakistan, Bangladesh, Iran or Nigeria etc. may benefit from starting a Lithuanian firm in a variety of ways. BIZBON helps to prepare documents for applications of residence permit in Lithuania and all the related documents and service assistance needed to travel to Europe. Lithuania is an attractive destination for business entrepreneurs who have a clear vision of establishing a business.
The process of company registration in Lithuania consists of several stages
For your own convenience, BIZBON may accordingly offer you:
- A new from zero established company with your preferred company name and all the necessary internal documentation package (i.e. new company registration and business license if needed);
- A firm in Lithuania (shelf company) that has been already established but no business activity has been executed;
- An enterprise that has been already established and had been operating for some time but due to some reasons no business activity is executed now.
A running business for sale that is operating now, has turn over, employees, etc. Choosing this type of company may ensure you steady revenue, a verified business model, also eases you the procedure of getting residence permit and ensures you unrestricted travelling through all the Schengen area in EU.
If you still have some question on how to choose the best company according to your needs or you are doubting and looking for some good advice from the professionals, you are always welcome to contact us online as well. Also, we can give you some good advice on the regions and cities in Lithuania where you can start and develop your business.
Vilnius as the capital is the most attractive for the foreign people but our country has also some other big cities full of investments and favorable business environment – like Kaunas (the second largest city in Lithuania) or Klaipėda (the third largest city in Lithuania on the Baltic sea coast with a highly developed seaport). No additional cost for starting a business in other city than the capital (Vilnius) is included. Registration process of your business would be also very similar in all the cities in Lithuania.
As our company‘s goals are highly oriented to our clients needs we want to do our best to make your start of a business Lithuania much easier. Therefore, we want to share our knowledge with you and give you some good advice on how to choose the optimal legal form of your company.
How does the Lithuania company registration process will look with BIZBON?
If you are interested in more detailed information – how to start the process, how much time and how much cost the whole company formation process will, below there are listed steps of what you need to know exactly about the whole process:
- The Client sends us documents and the required information (copy of passport, address of living, two-three company names that you want to register, description what kind of business you are going to do) by email [email protected]
- The client pays an advance payment of 50% of total amount to initiate the process
- We prepare necessary documents for the Client to sign within a week or faster and send them by email
- Then the Client signs the documents, and sends back by email.
- After we receive the documents, it takes about a week to arrange a full package of documents to the Client of company registration in Lithuania.
- Further, when the company documents are ready, we scan the company registration certificate and send it to the Client by email address. Follow that the Client have to pay remaining payment of 50% of total amount.
- In the next step, the client pays the rest of the sum 50%
- Finally, we do send out all arranged documents to the Client by email. There are no more hard copies, all electronic documents are registered online.
We are always more than happy whenever we can assist a newcomer to Lithuania. We really know how hard it is to enter a new market and that you need only the best support and most professional and honest consultants at the beginning. By starting a company registration procedure there are always many external factors that you need to be aware about. Average salary rates, different taxation for each individual business type, recruitment possibilities, office selection and many more things has to be taken into consideration while setting up a company in Lithuania.
Let BIZBON be your trusted partner in establishing your company in Lithuania, providing the expertise and support you need to navigate the complexities of company registration and setup. Contact us today to learn more about company registration cost in Lithuania andour tailored services and how we can assist you in achieving your business goals in Lithuania.
Understanding Company Registration Cost in Lithuania
When considering expanding your business horizons, Lithuania presents a compelling case for company registration. A critical aspect to consider is the company registration cost in Lithuania. This cost is competitive, offering a balance between affordability and access to a robust European market.
The company registration cost in Lithuania is influenced by several factors, including the type of legal entity you choose. For instance, registering a UAB (private limited liability company) might differ from the cost associated with a MB (small partnership). It’s essential to factor in these costs to ensure a smooth registration process.
Moreover, the company registration cost in Lithuania includes not just the initial filing fees but also potential costs for legal services, document preparation, and translation if necessary. These comprehensive services ensure that your business complies with local regulations, making the company registration cost in Lithuania a valuable investment.
Entrepreneurs should also consider ongoing costs beyond the initial company registration cost in Lithuania. These may include annual reporting, accounting, and audit fees, which are integral to maintaining your company’s good standing.
The company registration cost in Lithuania is a small price to pay for entry into a country known for its business-friendly environment. With a strategic location, skilled workforce, and a growing economy, Lithuania is an attractive destination for businesses looking to establish a presence in the European Union.
In conclusion, while the company registration cost in Lithuania is an important consideration, the long-term benefits of operating in a progressive and economically stable country far outweigh the initial expenses. Prospective business owners are encouraged to explore Lithuania as a top choice for company registration.
Related links for Immigration To Lithuania
Different options how to get Residence Permit in Lithuania by registering a company
One Year Multiple Entry Schengen Visa Type-D
Before Starting the Business in Lithuania