Registration of a company in Latvia

Benefits of registering a company for business in Latvia 

Latvia has a favorable geographical position, thanks to which it has received the status of an “economic bridge” between European and Asian countries. The country is a leader in international trade and it is the logistics center of the Baltics, attracting investors by a developed IT segment.

Registration of a company in Latvia gives business new opportunities for domestic and international development.

Benefits of registration of a company in Latvia

1. Remote registration of a company 

Latvia is a country with a developed technical segment, which affects the bureaucratic system. It is easy to register business in the country even remotely. You may not apply for a visa to visit a European country. The account can be opened online. Remote management of the company is allowed for persons who are in the Russian Federation.

Registration of a company in Latvia is a quick process, which takes no more than three – five business days. If we compare time indicators, in bureaucratic countries companies are registered within one month.

1. Obtaining a residence permit: opportunities

Businessmen can obtain a residence permit for up to five years. This right is given to entrepreneurs immediately after the registration of the company. Business owners are required to confirm the source of income and agree on a business plan in a specialized Office for Migration and Citizenship.

The process of obtaining a residence permit takes from two to eight weeks.

1. Best conditions for non-residents

The Latvian government is interested in new investments, for this reason it offers non-residents good conditions for conducting business in the country. VAT on a transaction between a European and a Latvian company is 0%. The extension of the zero rate goes to the so-called unappropriated retained earnings generated as a result of import and export transactions. In Latvia VAT is 21%.

Dividends paid to legal entities are not subject to taxation.

1. Low tax rate threshold

The Latvian tax legislation framework is designed to support small business. The state uses a progressive tax rate, which is influenced by the staff of the company and the profits of the business. Small enterprises with an annual turnover of no more than 20,000 euros pay about 20% of the profit. Large companies operate with a profit of 20,005 – 62,800 euros at a tax rate of 23%.

Main requirements

Business registration is carried out in Latvia on simple conditions. Establishing companies is available to non-residents who do not have a visa. You can order assistance in going through bureaucratic procedures with our company.

The good news is that there are no requirements for the authorized capital, the minimum amount of which is 1 euro. To obtain a residence permit, a business plan shall be approved. A non-resident must prove that his or her business can generate income.

To manage a company, it is not necessary to stay in Latvia. Operations shall be carried out remotely with the involvement of intermediaries.

What does registration of business in Latvia give?

Many foreign businessmen are taking on the domestic market of Latvia. Some consider this opportunity as an entry into the European market, others invest their own funds in the economy of this country.

Latvia is appropriate for conducting business for the following reasons:

• Geographical position. The country is located on the border of East and West, performing the task of a link in trade relations.
• Economic security. Latvia is a country of the EU, NATO and a member of the Schengen agreement.
• Availability of Russian-speaking specialists. In terms of prevalence, the Russian language takes the second place in Latvia, since it is a native language for 37% of the country’s citizens. At the same time, the entire population knows it.
• Development of the banking sector. Banking services are developing in the country. Clients are attracted by favorable conditions by banks that are struggling to spread their services.

The inflow of foreign investment has provoked the adoption of measures to support the economy by the government of Latvia. A holding regime was created in the country to simplify tax legislation. Also, business owners are given the opportunity to obtain a residence permit for up to five years.

5 benefits of cooperation with GetResidency

1. Assistance in registering a company from scratch. We will take care of all the tasks: registration of constituent documents, selection of a competitive sector, obtaining licenses / permits.

You can establish your business in Latvia as quickly and without problems as possible. We will help you choose employees, find and rent an office. We will give advice on the choice of tax regime. We will draw up a business plan that will allow you to obtain a residence permit and will solve other bureaucratic issues.

1. Consultations on the nuances of conducting business in Latvia. The specialists of our company speak Russian, English and Latvian. There is no language barrier when working with them.
2. Services are provided at an affordable cost. Our task is to keep prices at a reasonable level to ensure comfortable cooperation. The cost of service of establishing a joint-stock company, limited liability or individual enterprise starts from 300 euros, registration of legal addresses and permits starts from 500 euros.
3. 100% service guarantee. Our clients are large Russian and European companies. To achieve high results in our work, we use proven schemes and strategies that guarantee to give the result needed to the client. When working with us, you get rid of the risks of problems in the future.
4. Experience with business in the EU of more than ten years. Our company employs qualified specialists who are aware of the bureaucratic nuances of registration of companies.

Additional services:

• Sale, registration of business, amendments to documentation
• A) We provide legal support and assistance in registering companies, we give advice on conducting business.
• B) We help to register PVN (VAT), draw up constituent documentation.
• C) We assist in the acquisition / sale of companies on a turnkey basis in the territory of Latvia.
• D) We advise on the nuances of business profitability and Latvian taxation.
• E) We register IK (individual merchant), SIA (Russian analogue of LLC), Biedrība (company), the cost of services is from 200 euros.
• F) We open bank accounts for a legal entity, work with banking institutions as intermediaries, provide information support at all stages of cooperation, the cost is from 500 euros.
• G) We enter amendments to the constituent documentation and close legal entities, the cost is from 500 euros.
• Legal addresses in Riga
• A) Selection of a legal address for the company, its confirmation upon request.
• B) Delivery of messages, notices and official letters.
• C) 500 euros per year for active, 200 euros of which is a deposit. Monthly payment is 50 euros.
• Accounting, obtaining seals, issuing permits
• Services are provided by an experienced accountant with qualifications, accounting is outsourced.
• A business seal is issued with an individual design, the cost of the service is 50 euros.
• Opening a virtual office, secretary work:
• cost for receiving calls is 150 euros per month;
• cost for processing of correspondence and receiving calls is 300 euros per month.
• Translation, legalization of documentation, apostille certification.
• Creation of a digital signature, cost of the service is 200 euros.
• Advice on tax deductions.