Experience ease of doing business in Estonia

Estonia, a compact Northern European country, is big in opportunities. With the world’s most competitive taxes, low bureaucracy, and a superb suite of digital services, it’s a prime spot for doing business. For the past 30 years, Invest Estonia, an FDI-focused government agency, has had the secret sauce when it comes to supporting companies and investors looking to expand.

Estonia’s business environment has been shaped into something quite unique, with investors taking notice. FDI facilitated by Invest Estonia reached an all-time high in 2022 and stayed at near-record levels in 2023, in the face of global adversity. “It’s an open society and economy,” says Joonas Vänto, director at Invest Estonia, and continues: “Foreign investors and companies are welcome here.”

There’s also an excellent startup ecosystem with 10 unicorn startups, a world record per capita. Tech powerhouses such as Skype, Bolt, and Wise are among innovations originating from Estonia. But Estonia’s appeal extends far beyond unicorn startups. Invest Estonia’s goal is to facilitate foreign companies’ business, including global giants like Ericsson, ABB and Neo Performance Materials.

The agency provides tailored assistance, whether connecting investors with the right people or helping with logistics. “We put together value propositions, organise visits, connect with different stakeholders – always trying to find the best solutions for the company and show what Estonia has to offer,” says Vänto.

Digital frontier

The tailored approach is one thing, but Estonia’s attractiveness as a business destination has deeper roots; competitive taxes, minimal bureaucracy, and a highly advanced digital society sets it apart. For the past decade, Estonia has had the best tax code in the OECD, surpassing Switzerland, Luxemburg, and the US.

The country has a flat corporate income tax rate of 20%, only applied to distributed profits. Companies can reinvest their earnings without additional tax burdens. Establishing an enterprise could take as little as 15 minutes — fully online, of course.

Online rules in Estonia, and it makes all the difference for young startups and established corporations alike. “Tax filings are digital, and foreign entrepreneurs and investors can also benefit from Estonia’s e-Residency programme, which allows you to conduct business fully remotely,” explains Vänto. “It’s simple and straightforward.”

Ready to take the plunge and expand your business? Estonia might just be the perfect place for you.

Web: investinestonia.com
LinkedIn: Invest in Estonia