Why I opened a company in Estonia

Every time I stumble upon an issue with my new company, I ask myself exactly this question: Why did I decide to go with Estonia?

Every time I stumble upon an issue with my new company, I ask myself exactly this question: Why did I decide to go with Estonia?

It’s a country I have no connection with and no intent to live in; I don’t even personally know anyone who has opened a company in Estonia! I decided that I will pay taxes in a country that I have no reason to support, even though I actually feel that I should support my homeland instead.

And yet, I decided that this is the best option for my new venture. I did it because I’m thinking long-term. I want to have an easy and flexible option.

On my trip to Estonia, I realized that other European countries have a lot to learn. First of all, everything can be made through the internet. I opened my limited liability company 3 months ago fully via internet, while being in Poland! No notaries. As I was in Estonia last week, I went to the tax office, because I had plenty of questions. This is what a task office looks like:

There were almost no people in the office. Everyone managed everything via internet. Physical offices are almost unnecessary.

My visit to a bank was also extraordinary. I choose LHV, as it is one of the most progressive banks in Estonia. Before they served me, I was invited for a cup of coffee/tea and to chill out. I really enjoyed that visit.

But what is the real reason for a company in Estonia?

I don’t need another social security. I already pay one. If I opened a freelance company in Spain or in Poland, I would have to pay a social security tax every month. As far as I know, there is no possibility to have a one-person company and not to pay it.

I want to be open for investments. In Estonia, everything can be managed in English. So, if an investor comes on board, he will be comfortable joining the company, because everything is in an understandable language.

I want to have a limited liability company. In this new venture I’m not alone. I have partners. I want to get them on board as soon as it will make sense to do so. For that reason, I don’t want a freelance company; I want a limited liability company.

I like to do things differently. I’m an explorer. Normal people would go with the United Kingdom (however, it will be outside of the European Union — not good for me), Cyprus, or any other “tax heaven.”

Progressive country

I wish this mindset was adopted by the governments of Poland, Spain, and other countries. The list of benefits is long! For instance, this would reduce the number of workers in the tax offices, reduce time spent dealing with papers, open a local market for smaller investors from other countries, and reduce the risk of creating one’s own company.

 
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