Company formation in Estonia

Company formation in Estonia: what a provider actually does

The registration itself is a short online application in the e-Business Register. Founders with an e-Residency card can file it alone, and some do. A provider adds value around that application, in four places.

• Preparing the filing. Choosing the legal form, drafting the articles where the standard options do not fit, entering shareholders, board members and beneficial owners, and checking the company name and main activity.
• Filing for you when you cannot sign. Without an Estonian ID or e-Residency card, the foundation documents go through a notary in Estonia, and a representative can attend on your behalf with a power of attorney. Providers organise that route.
• The legal address and contact person. A company whose management board is abroad must designate a contact person with an address in Estonia. This is an ongoing service, not a one-off task.
• Everything after day one. Bookkeeping, VAT registration and returns, payroll declarations and the annual report.

A good provider will also tell you plainly when you do not need them for a step. That honesty is a useful early signal.

What to know for 2026 and 2027

Two official changes affect the numbers in any quote you receive now. The e-Residency card costs 150 euros under the state fees in force from 1 January 2025, and the programme has announced a flat fee of €165 from 1 January 2027. The standard VAT rate has been 24% since 1 July 2025, which matters for any provider fee quoted “plus VAT” and for your own pricing once you register. If a provider’s brochure still shows older rates, ask when it was last updated.

Three ways a provider can form your company

You file, the provider supports

If you already hold an e-Residency card, you can file in the portal yourself and buy only the contact person, the address and the accounting. This keeps the one-off cost lowest and leaves you in control of the application. It suits a solo founder with a simple shareholding.

The provider files for you

The provider prepares everything and you sign, either digitally or through a power of attorney and a notary. This suits founders without a digital ID, companies with several shareholders or corporate shareholders, and anyone who wants a second pair of eyes on the articles and the share structure.

A ready-made company

Some providers sell companies that are already registered and have no trading history, often called shelf or ready-made companies. A few of the firms listed for company formation in Estonia mention them. The advantage is speed. The drawbacks are that you inherit a registration date and a name you did not choose, and the provider must hand over the shares and change the board cleanly. Ask for the company’s registry extract and confirm it has never traded.

What the provider will need from you

Expect identity checks before any work starts: a provider has to know exactly who it is dealing with. Prepare these in advance and the formation moves faster.

• Identity documents for every shareholder, board member and beneficial owner.
• Your home address and proof of it.
• A description of the business: what you sell, to whom, in which countries and roughly at what volume.
• The share structure: shareholders, their shares and the amount of share capital. The minimum for an OÜ with one shareholder is 0.01 €, and the capital must be paid in full before the application is submitted.
• Source of funds for the capital, especially for larger amounts or corporate shareholders.
• Documents for corporate shareholders, such as an extract from the foreign register, which may need legalisation or a translation.

Beneficial owners must be disclosed in the commercial register and kept up to date, so a provider that does not ask who ultimately controls the company is not doing its job.

The contact person and legal address

For many founders from abroad this is the service that ties them to a provider for years, so choose it with care.

Only certain professionals can act as contact person: a notary, an attorney or law firm, a sworn auditor or audit firm, a tax representative of a non-resident, or a provider of trust and company services. The registrar decides whether your management board counts as located abroad. If you register an address in a foreign country, the founding application itself needs a contact person in the “persons” section.

According to the e-Residency programme, a contact person or legal address service costs 200 to 400 € per year. Check what the fee includes:

• Mail handling. Is official post scanned and forwarded, and how fast?
• Who the contact person is. A named firm with its own licence, or a third party?
• Notice and exit terms. What happens if you leave, and how much notice do you need to give so you can appoint a replacement in time?
• Use of the address. Can you put it on invoices and your website, and can you receive parcels there?

Licences to look for

Trust and company services in Estonia are a licensed activity. The Financial Intelligence Unit has issued authorisations for providing trust and company services since 1 July 2014, and valid authorisations can be searched in the Register of Economic Activities. If a provider offers a contact person, a legal address or company administration, ask for its licence number and check it there yourself.

Other professions carry their own credentials. A sworn auditor or audit firm can act as contact person and sign audits. A law firm or attorney can act as contact person and advise on shareholder agreements. Membership of a professional association is worth noting, but it does not replace the licence for trust and company services.

What a quote for company formation should include

Quotes vary in what they bundle, and a low headline price often leaves out the services you will need in month two. Ask for a written quote that separates these lines:

• One-off formation fee: the provider’s work to prepare and file the application.
• State fee: 265 € for founding an OÜ electronically. It is paid to the state, so it should appear as a separate line.
• e-Residency: the card’s state fee if the provider applies for you, or nothing if you already have one.
• Notary and power of attorney costs, if you use the notary route, including any legalisation and translation.
• Legal address and contact person: the annual fee and what it covers.
• Accounting: a monthly or annual fee, and the number of transactions or invoices it covers.
• VAT registration and returns, if your business needs them.
• Annual report: whether it is included in the accounting fee or charged separately.
• Bank account help: whether the provider prepares the application or only gives you a list of banks.
• VAT on the provider’s own fees, and the currency of the quote.

Of the 92 firms listed for company formation in Estonia, 60 publish some pricing. A published price is a starting point; the written quote for your case is what counts.

Services after incorporation

Many founders keep working with the firm that formed their company, so look at what else it offers before you choose. Among the 92 firms listed for company formation in Estonia:

• 89 also offer accounting in Estonia and 89 offer tax compliance.
• 76 handle VAT and 71 run payroll.
• 52 offer corporate secretarial services and 51 a virtual office.
• 35 offer bank account assistance, 18 help with residency and visas and 19 provide audit.

The ongoing duties are the reason this matters. VAT registration becomes compulsory once your taxable supply in Estonia exceeds 40,000 euros from the beginning of the year, with three working days to apply. The annual report is due within six months of the end of the financial year. Fees paid to board members are taxed in Estonia wherever the member works, and a company managed from abroad can also be taxed abroad. A provider who formed the company but cannot handle these leaves you looking for a second firm within months.

How to compare providers

The firms listed for company formation in Estonia are a mix: 59 accounting firms, 28 corporate services providers and 5 law firms. Each type has a natural strength.

• Accounting firms suit founders who want one supplier for formation, bookkeeping, VAT and the annual report.
• Corporate services providers focus on formation, addresses, contact person services and administration, often for clients who never visit Estonia.
• Law firms suit complex shareholdings, investor agreements and regulated activities.

Size matters less than fit. Of the 92 firms, 75 are small, 12 are medium-sized and 5 belong to large networks. A small firm often gives you one person who knows your file; a network can help when you have companies in several countries.

Language is practical, not cosmetic. English is offered by 73 of these firms, Estonian by 71, Russian by 46 and Finnish by 17. Spanish is offered by 7 and Italian by 5. Official letters may arrive in Estonian, so a provider who can read them and explain them in your language saves real time.

Look at who they already serve. The client groups these firms name most often include e-residents, non-resident founders and start-ups, and the industries include e-commerce, start-ups and crypto. A firm that already handles companies like yours will ask better questions at the start.

Questions to ask before you sign

• Who exactly is my contact person, and what is the licence number?
• What does the annual fee include, and what is billed on top?
• Who prepares and files the annual report, and is it in the price?
• How do you decide whether I need VAT registration, and who tracks the threshold?
• What do you need from me each month, and by which date?
• What happens if I want to move to another provider?
• Have you formed companies for clients in my country and my industry?

Red flags

• Promises about tax. Estonian corporate income tax is charged when profit is distributed, at 22/78 in 2025 and 2026 according to the Tax and Customs Board. A provider that tells you the company will owe nothing anywhere, without asking where you live and manage it, is skipping the most important question.
• No licence number for a contact person or address service.
• A single price with no breakdown, or a state fee that is not shown separately.
• No identity checks. A provider that does not verify who you are is cutting corners you may pay for later.
• Vague exit terms for the contact person service.

Choosing a provider for company formation in Estonia

If you hold an e-Residency card and have a simple business, you can file yourself and buy only the contact person, the address and the accounting. If you have no digital ID, several shareholders or a regulated activity, pay a provider to file for you and check its licence first. Either way, judge the provider on the years after registration, not on the filing day. Accountanty lists 92 firms that offer company formation in Estonia, 64 of them with a focus on foreign clients. Browse the profiles on our Tallinn and Tartu pages, or send one free quote request and Accountanty will forward it to suitable firms. A clear quote and a licensed contact person are what separate a sound choice for company formation in Estonia from an expensive one.