Company formation in Latvia offers an excellent opportunity to trade with the Eastern and European Markets as it is a recognised member of the European Union. Additionally, it has an excellent geographical location and is well versed with the Russian market trends and language. The Latvian economy is based on service industries like transportation and financial services as well as light industries like wood, textiles and food processing.
If properly structured, a Latvian company can act as a tax-efficient subsidiary for an EU parent company under the terms of the EU Parent/Subsidiary Directive. 100% foreign ownership is permitted with Latvia company formation.
A Latvian company can access the double taxation treaties Latvia has signed with countries including Canada, China, France, Germany, Ireland, Singapore, the UK and the US.
Latvia is ranked 19th in the ease of business ranking according to World Bank. In addition, in the 2021 Index of Economic Freedom by the Heritage Foundation, Latvia ranks highly as having the world’s 30th freest economy.
Latvia ranks a positive 37th on the United Nations Human Development Index for its high overall life expectancy, literacy, education and living standards.
It is easy to open global corporate bank accounts to support Latvia company formation.
The effective corporate income tax rate is 25%.
REQUIREMENT TO OPEN A COMPANY
Minimum 1 Shareholder (Any Nationality)
Minimum 1 Director (Any Nationality)
Minimum Share Capital Requirement - EUR 2800 for a LLC
Registered local office address
For Individual Sharehoder:
List of proposed names.
Copy of passport and identification documents, address Proof
For Corporate Sharehoder:
Photocopy of Certificate of Incorporation
Bylaws of the Company
For Corporate Shareholders: Copy of Certificate of Incorporation, AoA, MoA and PAN card or similar document, Shareholding pattern and address proof.
For Proposed Directors: Copy of passport and identification documents, address proof.
Name search and name reservation
Preparing relevant resolutions, incorporation documents and company setup
Obtaining VAT registration
Assistance in opening a bank account
Other Maintenance & Compliance Services:
Providing a registered office address
Book keeping and Preparation of Financial Statements
Filing tax and annual return
Company registration process is generally completed in 2 weeks.