The Advantages of Establishing a Ready Made Company in Lithuania

In today’s fast-paced business environment, establishing a company quickly and efficiently is crucial for entrepreneurs and investors. One of the most practical solutions for expediting the registration process is to consider a ready made company in Lithuania. This article will delve into the myriad benefits of this option, particularly for those looking to navigate the Lithuanian business landscape.

What is a Ready Made Company?

A ready made company, also known as a shelf company, is an incorporated firm that has been created and registered in advance. This type of company does not have any operational history, making it an attractive option for businesses seeking to begin operations swiftly without the lengthy registration process typically involved in starting a new company from scratch.

Why Choose Lithuania for Your Ready Made Company?

Lithuania has emerged as a favored destination for entrepreneurs for several reasons:

• Favorable Business Environment: Lithuania offers a conducive climate for business operations, with supportive government policies aimed at fostering entrepreneurship.
• EU Membership: As a member of the European Union, companies registered in Lithuania enjoy access to the entire EU market.
• Tax Incentives: Lithuania provides various tax benefits, including competitive corporate tax rates and exemptions for certain types of investors.
• Strategic Location: Situated at the crossroads of Europe, Lithuania serves as an ideal base for operations aimed at both Western and Eastern markets.
• Developed Infrastructure: The country boasts modern infrastructure, including transport and digital systems, which facilitate business operations.

The Process of Acquiring a Ready Made Company in Lithuania

Acquiring a ready made company Lithuania involves several straightforward steps, ensuring you can start your business ventures rapidly. Below we outline the typical process:

Step 1: Selection of a Company

Identify a suitable ready made company based on your needs. You can choose from various existing companies that are available for purchase.

Step 2: Due Diligence

It is essential to conduct due diligence on the selected company. This includes checking its registration status, tax compliance, and ensuring there are no outstanding liabilities.

Step 3: Transfer of Ownership

Once you have identified the ready made company, the next step is to proceed with the legal transfer of ownership. This process typically involves:

• Signing the necessary documentation.
• Notifying the Lithuanian Register of Legal Entities.
• Changing the company’s shareholders and management.

Step 4: Business Registration and Tax Number

After ownership transfer, you must register for VAT if applicable and obtain a tax identification number. This registration allows your company to operate legally and perform commercial transactions.

Step 5: Operational Setup

With the company legally transferred and registered, you can now set up your operational framework. This includes opening a bank account, hiring staff, and acquiring necessary permits and licenses depending on your industry.

Benefits of Using a Ready Made Company

Choosing to start with a ready made company offers several advantages:

• Time Efficiency: The primary benefit is the significant reduction in time spent on initial setup; you can quickly start trading.
• Credibility and Professionalism: Owning a registered company adds credibility, as it can provide potential clients and partners with a sense of trust.
• Access to Contracts and Tenders: Registered companies can bid for contracts and participate in public tenders, opening up additional business opportunities.
• Immediate Bank Account Opening: With a ready made company, you can establish a business bank account almost immediately, facilitating quicker financial transactions.
• Establishing an Instant Corporate Identity: A registered company instantly gives your business a professional identity.

Considerations Before Acquiring a Ready Made Company

While there are numerous benefits, it’s crucial to consider some factors before moving forward:

Existing Liabilities

Ensure that the company does not have any outstanding debts or legal issues. Conduct a thorough investigation before transferring ownership.

Industry Fit

Choose a company that aligns with your business objectives. It's essential the company is either in your desired sector or can be adapted to fit your business model.

Regulatory Compliance

Understanding the local regulations is vital. Ensure that the company can meet all compliance requirements and respects industry standards.

Conclusion: Making the Most of Your Ready Made Company

Opting for a ready made company in Lithuania is an effective strategy for entrepreneurs aiming to penetrate the European market quickly. The advantages of time savings, reduced bureaucratic hurdles, and instant credibility can set a solid foundation for your business endeavors. However, diligence is key. Conduct thorough research and ensure the company you choose aligns with your strategic goals. By following the outlined processes and considerations, you can leverage your ready made company to achieve success in Lithuania’s vibrant business landscape.

Additional Resources

If you are considering setting up a ready made company in Lithuania, here are some useful resources:

• Eli Lithuania - for information on ready made companies.
• Lithuanian Government URL - for details on regulations and business support.
• Invest Lithuania - for investment insights and assistance in Lithuania.