Click here to view the August newsletter
If you’re looking to register your new company in Europe, you’ve probably come across Estonia and Lithuania as top contenders. Both countries are buzzing with innovation and offer incredible opportunities for startups. So, which one should you choose? Let’s dive into the vibrant tech ecosystems of Estonia and Lithuania and see what each has to offer!
Estonia: The Digital Pioneer
Why Estonia Rocks for Tech Startups
1. E-Residency Program: Your Digital Gateway
Estonia’s e-Residency program is a game-changer! It allows anyone in the world to incorporate and manage an EU-based company entirely online. Imagine running your business from a beach in Bali while being legally based in Estonia. Yep, it’s that cool!
2. Tax Benefits that Make Sense
- 0% Corporate Income Tax on Retained Earnings: Reinvest your profits without worrying about taxes until you distribute them.
- 20% on Distributed Profits: Only pay taxes when you’re actually cashing in.
3. Seamless Business Environment
Estonia is known for its efficiency and minimal bureaucracy. You can register your company online in just a few hours. Plus, with digital signatures and paperless administration, your life just got a whole lot easier.
4. Tech-Savvy Ecosystem
From Skype to Wise and Bolt, Estonia has a proven track record of producing tech giants. Join a community that’s supportive, innovative, and always ready to collaborate.
Highlights
- E-Residency: Run your business from anywhere.
- Tax-Friendly: Pay 0% tax on reinvested profits.
- Efficient Registration: Start your company in hours.
- Thriving Tech Scene: Be part of a legendary tech hub.
- Major Investor Visa: Residency via Investment, more info here: Major Investment Visa of Estonia – 1st Step Solution (1step.eu)
Lithuania: The Rising Star
Why Lithuania is the New Tech Hotspot
1. Startup Visa: Welcome Home, Innovators
Lithuania’s Startup Visa makes it easy for non-EU entrepreneurs to set up shop. It’s designed to attract talent from around the globe. If you’ve got a brilliant idea, Lithuania wants you! Learn more: One Year Residency in Lithuania: the National Visa D for Non-EU Entrepreneurs – 1st Step Solution (1step.eu)
2. Competitive Tax Regime
- 15% Corporate Tax Rate: One of the lowest in the EU.
- 5% for Small Businesses: Got a small startup? Enjoy even lower rates.
3. Fast and Easy Company Formation
Lithuania offers a smooth, hassle-free company registration process. With a supportive government and a streamlined bureaucracy, you can focus more on building your product and less on paperwork.
4. Burgeoning Tech Community
Vilnius, the capital, is quickly becoming a tech hub with a vibrant startup ecosystem. Co- working spaces, accelerators, and a strong support network make it a fantastic place to grow your tech business.
Highlights
- Startup Visa: Easy access for global talent.
- Low Taxes: Enjoy one of the lowest corporate tax rates in the EU.
- Quick Registration: Get your business up and running fast.
- Dynamic Tech Scene: Join a growing community in Vilnius.
Estonia vs. Lithuania: The Verdict
Choose Estonia If:
- You want to manage your business online from anywhere in the world.
- You’re looking for an established tech hub with a track record of success.
- You prefer a 0% tax on reinvested profits and a highly digital business environment.
Choose Lithuania If:
- You’re an international entrepreneur looking for an easy entry via the Startup Visa.
- You want low corporate tax rates and additional benefits for small businesses.
- You’re excited to be part of a rapidly growing tech community in a dynamic capital city.
Both Estonia and Lithuania offer fantastic opportunities for tech startups. Whether you’re drawn to Estonia’s digital efficiency and e-Residency program or Lithuania’s competitive tax rates and welcoming startup environment, you can’t go wrong. Both countries are ready to support your entrepreneurial journey and help your tech business thrive.
Ready to make a move? Let’s get your startup off the ground in the perfect European tech hub.
Contact us today to learn more about registering your company in Estonia or Lithuania.
Click here to view the August newsletter
