COMPANY FORMATION PROCEDURE IN LITHUANIA
Formation of a new company allows you to choose your own company type, name, governing structure and share capital. You will be named as the first and only owner of the company. PRESS HERE FOR PRICES.
Companies must register as VAT payers if their income from economic activities over a period of 12 months exceeds 45k EUR. There is no threshold for voluntary registration. 0% VAT rate is applicable to goods exported to the EU as well as transport and other services directly related to the export of these goods. VAT exemptions and reduced rates are applicable in some cases. Lithuania has jumped two positions in the 2017 Paying Taxes report thanks to low administrative burden and quick VAT refund procedure.
We will ask you to send us the following data about the founder (and director, if he/she is not the same person as purchaser).
1. Passport/ ID card copy;
2. Residence address;
3. Contact data – email, phone No.;
4. Short description of company’s activity;
5. Additional services you need.
Having received all the information, we start preparing all the required documents for company formation. Usually, this is a quick, 1-day procedure. However, in some cases, especially when the founder is a company, this could take longer as document translations or verifications must be performed.
Usually, we accept payments by bank transfer only. Cash payments against our invoice are ok as well, just please have in mind that we must receive an upfront payment before the company formation and registration procedure starts.
In Lithuania, a minimal share capital for an UAB-type of company is €2500, and the company must have the money in its accumulative bank account prior to registration. So, before going to a notary to verify company formation documents, this is the time where we open an accumulative bank account for your new company and you must transfer the funds there to form a share capital. You will be able to use the funds for your company’s activity after the company registration procedure is finished.
After all the information is received, documents are prepared, share capital is formed and payment is settled, we agree on a date when a founder visits Vilnius, Lithuania to sign company formation documents at the notary. In some cases, company formation documents may be verified without an actual arrival of a purchaser – contact us for more info on this.
After all the documents are signed and verified, the company must be registered in the Register of Legal Entities. We will take care of this for you. The company formation procedure in Lithuania takes up to 3 workdays (even less in some cases).
Once the company is registered, new director can go to set up a bank account (and change the type of it from accumulative account to settlements account to use the share capital for company’s needs) and start company’s activity. Application for VAT code can be submitted.
Please submit the form below to let us know what are you interested in. Our consultants will contact you soon to discuss your order.
Urgent? Do not hesitate to give us a call at +37060430006.