One-off costs to get started
| Item | Cost | Notes |
|---|---|---|
| e-Residency application | €150 | State fee. The card is valid five years, with no annual fee. |
| Company registration | €265 | State fee for registering an OÜ through the portal. |
| Share capital | From a low minimum | Payment can often be deferred, though deferring restricts dividends. |
| Formation support | €0 to a few hundred | Optional. You can register the company yourself with the card. |
What recurs every year
| Item | Typical range | Who needs it |
|---|---|---|
| Contact person and legal address | €200 to €400 a year | Required if no board member lives in Estonia. |
| Accounting | €240 to €3,600 a year | Depends on employees and transaction volume, not on turnover. |
| Annual report | Included monthly, or from €190 standalone | Mandatory for every company, including dormant ones. |
| Business banking | €0 to €200 a year | EMI accounts are often free or near free; traditional banks charge more. |
The three costs nobody budgets for
The dormant year that was not free
People assume a company with no activity costs nothing. It still needs a contact person, a legal address and an annual report. Realistically that is €400 to €700 a year to keep an empty company alive and compliant, which is cheap if you will use it and pure waste if you will not.
The catch-up bill
Skipping bookkeeping for a year does not save the fee, it defers it and adds to it. Reconstructing twelve months from bank exports and platform reports costs several times what monthly work would have. This is the single largest unplanned cost we see.
The advice you needed in month two
A question about permanent establishment, or where a board fee is taxable, costs a few hundred euros to answer properly. The same question answered by a foreign tax authority four years later costs a great deal more. Budget something for advice in the first year, even if you never spend it.
Two realistic annual figures
A dormant or very small non-VAT company, run remotely: roughly €500 to €700 a year all in, covering the contact person, address and a small accounting plan that includes the annual report.
An active VAT-registered company with one person on payroll and a normal document flow: roughly €1,000 to €1,600 a year, most of it accounting, plus the contact person and address.
Note what is missing from both figures: corporate income tax. There is none until you distribute profit. That is the genuine saving of the Estonian system, and it dwarfs the running costs, which is why arguing over €10 a month on an accounting plan is usually the wrong thing to optimise.
What actually drives your accounting price
Not turnover. Two things:
- How many people you pay. Every person means a TSD line every month, an employment register entry, holiday tracking and year-end data.
- How many documents move. Twenty bank lines and four invoices is a different job from six hundred marketplace settlements in three currencies.
This is why an e-commerce company turning over €80,000 can cost more to service than a consultancy turning over €300,000. Any accountant quoting purely off revenue has not looked at your business.
Where you can genuinely save
- Register the company yourself with your e-Residency card rather than paying a formation agent.
- Use an EMI account rather than a traditional bank if your business does not need one.
- Send documents digitally from day one, so nobody is paid to type them in.
- Do not register for VAT before you have to, if you sell to consumers.
- Do not keep a company you have stopped using. Liquidate it or accept the annual cost deliberately.
Frequently asked questions
How much does an Estonian company cost per year?
Roughly €500 to €700 a year for a dormant or very small non-VAT company, and roughly €1,000 to €1,600 for an active VAT-registered company with one person on payroll. Accounting is the largest component.
What are the one-off costs of starting?
€150 for the e-Residency application and €265 for registering the company, both state fees, plus share capital and any optional formation support.
Does a company with no activity still cost money?
Yes. It still needs a contact person and legal address if no board member lives in Estonia, and it still has to file an annual report, so budget €400 to €700 a year.
Tagscost of Estonian companye-Residency costannual feesOÜ
General information, not tax advice
This article reflects Estonian law as it stands on the date shown. Rules change and individual circumstances differ - confirm your own position with us before acting.