Lithuania at a glance
Lithuania is one of the EU jurisdictions founders most often use today, especially while the EU-wide 28th Regime (EU Inc) is still a proposal. Below are the verified essentials: company types, tax, capital, timing and whether you can set up remotely.
Company types in Lithuania
- UAB (private limited liability company) The standard vehicle for SMEs and foreign founders: limited liability, one or more shareholders, shares not publicly traded.
- MB (small partnership) A lighter, no-minimum-capital form for very small businesses; members can be individuals only.
| Corporate tax | 16% standard for 2025, rising to 17% from 1 January 2026. Small companies (turnover under EUR 300,000 and fewer than 10 staff) may qualify for 0% in the first year and a reduced rate after (7% in 2026). |
|---|---|
| VAT rate | Standard VAT is 21%, with reduced rates of 9% and 5%. The VAT registration threshold is around EUR 45,000 of turnover. |
| Minimum share capital | EUR 1,000 for a UAB (reduced from EUR 2,500 in May 2023), with at least 25% paid before registration. The MB form has no minimum capital. |
| Setup time | About 3 to 5 business days, and as little as 1 to 3 days when founders use a qualified electronic signature. |
| Remote setup | Yes. A UAB can be incorporated remotely with a qualified electronic signature or by power of attorney; 100% foreign ownership is allowed. |
| Director / residency | No residency requirement for directors or shareholders; a foreign national can be sole director and shareholder. |
| Banking options | A strong local fintech ecosystem (Wise, Revolut and Paysera are licensed in Lithuania) makes EMI accounts easy; share capital must be deposited in a corporate account. |
| Our formation service | from around €100 to €200 (estimated). You get a fixed quote in your free plan before you commit. |
A popular hub for fast, low-cost EU incorporation and a leading EU fintech-licensing centre. Corporate tax was 15% through 2024, 16% in 2025 and 17% from 2026.
How to register a company in Lithuania
The process is straightforward and, in Lithuania, largely digital. In outline:
- Choose your company type and name. Most founders pick the UAB (private limited); we confirm the name is available.
- Verify your identity. Yes. A UAB can be incorporated remotely with a qualified electronic signature or by power of attorney; 100% foreign ownership is allowed.
- File the incorporation. Once documents are signed, registration usually completes in around 3-5 days.
- Open a business account and register for tax/VAT. A strong local fintech ecosystem (Wise, Revolut and Paysera are licensed in Lithuania) makes EMI accounts easy; share capital must be deposited in a corporate account.
We handle each step with licensed local counsel, so the paperwork, registered address and filings are done correctly the first time.
Form your Lithuanian company in days
Tell us where you live and what you are building. Our formation service starts from around €100 to €200 (estimated); we confirm the right structure for Lithuania, give you a fixed quote, and form the company with licensed counsel.
Get your free planWho can form a company in Lithuania
Founders from outside the EU can own and run a Lithuanian company, with the cross-border requirements handled for you. We flag any residency or local-agent rule for Lithuania up front, so there are no surprises.
Lithuania and the 28th Regime (EU Inc)
EU Inc, the proposed 28th Regime, would let you register one company valid across all 27 EU member states. It is not law yet (expected around 2027-2028), so a Lithuanian company is one of the ready options you can use today. Forming an EU company now also positions you to adopt EU Inc later, as we cover in how to prepare an EU Inc company. To weigh Lithuania against other countries, see company formation in Europe.