Company formation in Lithuania

It is not complicated to open a company in Lithuania in the form of a limited liability company (SIA). Quite often, to open a business in Europe, start with the registration of the company and the opening of the enterprise in Lithuania, as compared to other EU countries, the costs of company formation in Lithuania and maintaining will be lower.

Types of companies in Lithuania

There are two types of limited liability companies (SIA) in Lithuania: (A) SIA with full capital (“ordinary” SIA). The minimum capital of the SIA with full capital is EUR 2,800, at least 50% of which must be paid before registration with temporary bank money; the rest is paid within one year of registration. (B) SIA with small capital. The capital stock of a small SIA is between EUR 1 and EUR 2,799, and it must be paid in full before registration. For SIA with small capital, there is no need to open a temporary bank account.

The main features of company formation in Lithuania

Name SIA (company name). Company name shall not coincide with the name of any person who has already registered or applied for registration with the Lithuanian Commercial Register, nor shall it infringe the trademark rights valid on the territory of Lithuania. Fixed capital. Fixed capital can be paid for by money or property deposit. Articles of Association. The Commercial Law contains a minimum list of the provisions necessary to specify in the Articles of Association of the company. These are: the firm (name) of the company, the amount of fixed capital and the number of shares, the nominal value of one share, the right of members of the board to represent the company together or separately. The charters of most Latvian companies consist only of such minimal information and occupy no more than one page. The Merchant has the right to specify in the Articles of Association any other provisions he wishes, which must not contradict the mandatory rules of the Commercial Law. Legal address. The company must have a registered address in Lithuania, which will be used for official communication.

Documents/information required for the establishment of company in Lithuania.

To register a company in Lithuania it is necessary to prepare the constituent documents, which should contain the following information: information on the founders (natural persons): name, surname, valid passport number, date of issue and name of the body issuing the passport, personal code (if any), address of residence.

Information on founders (legal persons): name, registration number in the Business Register of the country concerned, legal address; document confirming that the Company is registered in the Business Register and continues to operate (Certificate of Status); a document confirming that these persons have the right to sign the documents on behalf of the Company. Representatives of the founder (legal entity): name, surname, valid passport number, date of issue and name of the body issuing the passport, personal code (if any), residence address.

Accounting of the company in Lithuania

The company in Lithuania is obliged to submit monthly reports and pay taxes. Reports are filed even if there is no activity for some reason. On average, accounting services cost from €100 per month depending on the number of transactions conducted. At the customer’s request we provide the services of a qualified Russian-speaking accountant.