Why UK businesses choose Estonia for EU Growth
Over 1,500 UK businesses choose Estonia as their gateway to EU growth. From freelancers to tech startups and established multinationals, British businesses leverage Estonia’s world-class environment to navigate the post-Brexit landscape.
Here are 5 strategic reasons why UK businesses choose Estonia:
Unrivalled business opportunities
Estonia offers opportunities in technology, defence, energy, and industrial.
As a global leader in technology, Estonia’s advanced skills, infrastructure, and solutions allow UK companies to access cutting-edge capability.
Estonia’s scale makes it affordable for UK companies to acquire an Estonian company, or establish greenfield operations.
Seamless EU market access
Securing access to EU markets is a key reason why UK businesses choose Estonia.
Estonian companies operate freely in the single market of 450m consumers and EUR 18tn output, many multiples of the UK.
Eurozone membership and harmonised procedures reduce risks and friction in cross-border trade.
Lean corporate management
The administrative burden is significantly lower in Estonia than the UK.
Low barriers to entry include minimum share capital from EUR 0.01, and one-off costs from EUR 415 for e-Residency and state formation fees.
Ongoing administration costs are low, from EUR 1,000 annually for accountancy and representation. Extensive use of electronic identity, digital contracts, and automated reporting streamline admin and enabling remote corporate management.
World-class business environment
Estonia operates with a ‘low red tape’ mindset which makes it one of the most competitive places to do business globally.
Language proficiency is high, with most state, commercial and financial services available in English.
Estonia and the UK have a positive relationship. Double taxation treaties exist since 1994, and strong links exist in business, politics, education and culture.
Unique tax system
Estonia is one of the most competitive tax systems in the world, with a flat structure and online reporting which reduce complexity.
Corporate income tax is 0% if profits are retained or reinvested. Upon distribution CIT is calculated at 22/78, versus a UK rate of 19-25%.
Estonia not only incentivises growth, but enables companies to determine when CIT is payable based on realised profits.
TrustBooks: Helping UK businesses choose Estonia
TrustBooks provides accountancy, taxation and consulting services to clients with an Estonian company. Our British and Estonian staff have extensive experience in helping UK businesses chose Estonia, contact us for a free consultation.
