Discover the strategic advantages of establishing your company in Latvia.
Full EU membership providing unrestricted access to 27 EU member states and over 450 million consumers.
Prime location on the Baltic Sea with excellent port facilities connecting Europe, Russia, and Nordic countries.
Advanced digital infrastructure, e-governance systems, and growing fintech and IT sectors with government support.
Highly educated workforce fluent in Latvian, Russian, English, and German with strong technical capabilities.
Corporate income tax of 20% with various incentives, including deferred taxation on retained earnings.
Efficient online business registration system enabling company formation within 1-2 weeks through e-services.
Choose the perfect package for your business needs and growth objectives.
Standard Limited Liability Company (SIA) formation for small to medium businesses entering the Latvian market.
Comprehensive SIA formation with banking support, accounting setup, and full operational guidance for active businesses.
Joint-stock company formation for larger enterprises requiring formal governance structure and access to capital markets.
Specialized package for fintech companies seeking Latvian financial licenses with EU passporting rights.
Choose the right legal entity for your business objectives.
Limited Liability Company - the most popular business structure for SMEs and foreign investors in Latvia.
Joint-Stock Company - suitable for larger businesses and companies planning to raise capital or go public.
Sole Proprietorship - simple structure for individual entrepreneurs and small-scale business activities.
Leverage Latvia's full EU membership for maximum business advantages.
Free movement of goods, services, capital, and people across all 27 EU member states
Latvia uses the Euro, eliminating currency exchange risks within the Eurozone
Benefit from harmonized EU regulations and directives across all business sectors
Financial services companies can operate across the EU with a single license
Access to EU trade agreements with countries worldwide for international expansion
Strong legal framework and investment protection under EU law
Latvia offers opportunities across diverse and growing industries.
Thriving IT sector with strong software development, fintech, and digital services
Growing financial hub with banking, insurance, and investment services
Advanced manufacturing in electronics, machinery, and food processing
Strategic transport hub with excellent port, rail, and road connections
Dynamic property market with opportunities in commercial and residential sectors
Growing tourism industry leveraging cultural heritage and natural beauty
Obtain EU residence through real estate investment or business establishment in Latvia
Step-by-step guide to establishing your company in Latvia.
Check name availability and reserve the chosen company name with the Commercial Register of Latvia.
Draft articles of association, shareholder agreements, and other required incorporation documents.
Deposit minimum share capital (€2,800 for SIA, €25,000 for AS) in a Latvian bank account.
Submit incorporation documents to the Commercial Register and pay registration fees.
Register with the State Revenue Service (SRS) for tax obligations and VAT (if applicable).
Open corporate bank account, set up accounting systems, and obtain necessary business licenses.
Understanding the tax framework for Latvian companies.
| Tax Type | Rate | Description |
|---|---|---|
| Corporate Income Tax | 20% | Standard rate on distributed profits and certain other income |
| Deferred Taxation | 0% | Retained earnings are not taxed until distributed as dividends |
| VAT | 21% | Value-added tax on goods and services with reduced rates for certain items |
| Personal Income Tax | 20%-31% | Progressive tax rate for employees and residents |
| Social Security | 24.09% | Employer contributions to social security system |
| Withholding Tax | 0%-10% | On dividends, interest, and royalties depending on treaties |
Common questions about Latvian company formation.