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Starting a Business in

Lithuania

Below is a detailed summary of the bureaucratic and legal hurdles faced by entrepreneurs wishing to incorporate and register a new firm in Lithuania. It examines the procedures, time and cost involved in launching a commercial or industrial firm with between 10 and 50 employees and start-up capital of 10 times the economy's per-capita gross national income.

This information was collected as part of the Doing Business project, which measures and compares regulations relevant to the life cycle of a small- to medium-sized domestic business in 190 economies. The most recent round of data collection was completed in June 2016.

Compare Lithuania to 189 other economies.

  • No. Procedure Time to Complete Associated Costs
    1

    Open bank account and deposit minimum capital requirement

    Agency: Commercial Bank

    Some banks apply charges for issuing a bank certificate, which evidences payment of share capital.

    An agreement between Centre of Registers and DNB bank on the pilot project to create internet service for opening of the account online was signed in mid 2011. Service (free of charge) in DNB bank started on 29th November 2011.

    1 day 0
    2

    Obtain a confirmed electronic signature

    Agency: Centre of Registers, Mobile operator

    In order to check and reserve company name online as well as register employees with SODRA, a company must have electronic signature.

    Electronic signature in USB form costs about EUR 44,00 plus about EUR 7.00 annual fee. Almost all Mobile operators provide electronic key for symbolical price in amount of EUR 0,50 plus monthly fee in amount of EUR 0.30 – 0.50 .

    At this moment in Lithuania are three types of electronic signatures.

    1) Electronic signature issued by state Centre of Registers. Costs – 43.33 EUR. Certificate of electronic signature is valid for 2 years. After 2 years certificate must be updated. Costs – 8.23 EUR.

    2) Electronic signature issued by mobile operators. Costs depends on mobile operator and range from 0.29 EUR to 4.34 EUR.

    3) Electronic signature issued by Migration Board with the personal identity card. Electronic signature does not cost anything but costs of personal identity card range from 8.6 EUR to 31.6 EUR.

    1 day EUR 0.5
    3

    Check and reserve the name of the company (limited liability company)

    Agency: Register of Legal Entities

    Reservation of the new company name is compulsory for online registration of business. Checking of the name is free of charge, and reservation costs EUR 16.22.
    As of May 2013, the changes of the Regulations of the Register of legal persons came into effect. Now the State Commission of the Lithuanian Language must check every new company name and give its consent on the use of a particular name. 

    Lithuanian Government amended the Articles of the Register of Legal Entities, and entrenched the mandatory consultation with the Inspectorate of National Language whether the company name corresponds to the requirements of the Lithuanian language. Currently the names of the companies must meet the requirements of formation of Lithuanian words, therefore sometimes it is not possible to use foreign words.
    Link to the amendment:
    http://www3.lrs.lt/pls/inter3/dokpaieska.showdoc_l?p_id=457223&p_tr2=2

    Less than one day (online procedure)
    EUR 16.22
    4

    Register at the Company Register, including registration with State Tax Inspectorate (the Lithuanian Revenue Authority) for corporate tax, VAT, and State Social Insurance Fund Board (SODRA)

    Agency: Registrer of Legal Entities

    According to Article 35 and 36 of the Regulations of the Register of Legal Entities, before the application for registration of a company is submitted to the Register of Legal Entities, notary public must verify the correctness of the particulars entered into the application, the compliance of the statutes with the statutory requirements and the fact that the company is eligible for registration. Article 36-1 of the Regulations provides a possibility to submit the documents electronically directly to the Register of Legal Entities, without verification of a notary (certain conditions apply, such as using only standard forms of incorporation documents, using electronic signatures, etc.). The following documents must be submitted when incorporating a small partnership:
    1. Application for small partnership registration;
    2. Statutes of the small partnership;
    3. Minutes of the statutory meeting (not always required);
    4. Founding act/Founding agreement.

    3 days EUR 51