If you want to open a company in Latvia, you can contact one of our specialists who can explain the types of companies available in Latvia as well as the establishment formalities. In the following lines, you can find out some details about the main types of companies in Latvia. We can help foreigners set up a company in Latvia at any time.
Table of Contents
How to open a limited liability company in Latvia
Limited liability company in Latvia (SIA) is the most popular business structure. Here’s what you need to know about it:
- EUR 2,820 is the minimum share capital for a limited liability company in Latvia;
- Articles of Association are the main documents of the company, with information about the structure, activities, internal rules, and many other aspects related to business;
- It is necessary to open a bank account and deposit the minimum share capital;
- When starting a company in Latvia, you have to register for the payment of taxes;
- Once registered also with social security and pension funds, the company can start its activities. A company seal is also required.
You can contact our specialists in company formation in Latvia if you are interested in an LLC in this country.
Joint stock company in Latvia
You can also opt for opening a joint stock company in Latvia, a legal entity available for local and international entrepreneurs. One or more shareholders can open a joint stock company in Latvia, and they can be natural persons or legal entities. The minimum share capital for a joint stock company in Latvia is EUR 35,210.
To establish a joint stock company (AS) in Latvia, the following formalities and documents will also be necessary:
- founders resolution and Articles of Association;
- shareholders subscription list and confirmation of paid-up capital;
- proof of bank account and capital deposit;
- information regarding the management board and supervisory board (in case there is one);
- auditor appointment (compulsory for AS);
- registration proof with the Commercial Register and the State Revenue Service.
This is rather a complex form of business in Latvia and is generally employed by major Latvian companies or by investors aiming at public funding. The use of professional help offered by our accountants in Latvia is highly advisable in this case.
Limited partnership in Latvia
If you are interested in starting a business in Latvia, you can also opt for a limited partnership. Two or more members can form this structure based on a partnership agreement. A Latvian LP assumes the liability of at least one member and, to be able to register this structure, a registered business address is needed as well as information about the amount of investment. You can opt for our services if you want to start a company in Latvia.
To start the Latvian limited partnership (KS), the following additional documents are required and submitted to the Latvian Commercial Register: the agreement on the limited partnership and the information about all partners. A limited partnership is formed by the contribution of capital (monetary and/ or in kind) by limited partners and management by general partners.
Moreover, for the registration of KS in Latvia, there are also tax registration and bookkeeping requirements that must be respected. Consulting our company formation agents in Latvia will help for tax and other aspects of the administration of limited partners for this type of flexible form of business structure.
General partnership in Latvia
A general partnership in Latvia (PS) is also an optimal business solution for local and foreign entrepreneurs. As in the case of a limited partnership, two or more members are needed to form this business structure. A partnership agreement is also required before incorporation with the Latvian Commercial Register. The difference between the two entities is the fact that, in the case of a general partnership, the members involved are directly responsible for the debts and obligations of this structure.
In case you choose to register a company in Latvia with a PS structure, the partners must draw up a partnership agreement that has to be notarized. PSs in Latvia must register with the State Revenue Service while complying with the tax and social security law. Partners’ liability is a major concern when it comes to legal issues. Engaging the services of our accountants and experts in Latvia will bring helpful guidance through this entire process.
Opening a branch in Latvia
Foreign companies can establish their business presence in Latvia with the help of one or more branches. This must have the name of the parent company and the same activities. An advantage is the fact that opening a branch in Latvia does not require a minimum share capital.
Moreover, in Latvia, to establish a business using a branch office, the foreign parent is required to provide proof of incorporation, a notarized power of attorney, and Latvian translations of incorporation documents. In regards to branching, it is also required to meet accounting obligations like those of Latvian companies. As a result, it is advisable to get support from the services of our company formation agents in Latvia and our professional Latvian accountants.
Liaison office in Latvia
A liaison office in Latvia is the same thing as a representative office. This structure is optimal for business promotion and marketing, but without commercial activities. A liaison officer is in charge of various business responsibilities. To open a liaison office in Latvia, the following requirements must be met:
- decision of the foreign parent company to establish the office;
- details of the liaison officer;
- registered office address in Latvia;
- parent company incorporation documents (translated into Latvian);
- proof of registration at the Commercial Registry – This option is regularly selected during the early stages of company incorporation in Latvia.
Making investments in Latvia
If you are interested in company incorporation in Latvia, you must also consider the economic direction of this country. Here are some data in this regard:
- A robust rebound was registered by the construction sector in Latvia, with an increase of approximately 15% in the first 6 months of 2023;
- An economic growth of approximately 2.4% was registered in 2024;
- An estimate of a 3% economic growth is announced for the end of 2025.
Feel free to ask for the services of our accountants in Latvia, if you decide on doing business in this country. We invite you to discuss with us about types of companies in Latvia by contacting us online or by phone.