Investment Guide Estonia at a Glance

investment guide estonia at a glance

OFFICIAL NAME: Republic of Estonia CALLING CODE: +372 CAPITAL CITY: Tallinn TIME ZONE: UTC+2 estonia. OFFICIAL LANGUAGE: Estonian UNITS OF MEASURE: Metric system TOTAL AREA: 45,339 sq. km. ELECTRICITY: 220 V POPULATION: 1,323,820 (2018) DRIVING: On the right NATIONAL FLAG: EMERGENCY NUMBER: 112 for digital and CURRENCY: Euro (€) GOVERNMENT: Parliamentary democracy MEMBERSHIP: EU, NATO, OECD, WTO, knowledge- Eurozone, Schengen Area, Digital 9

Iceland

based Norvegian sea

Finland

Norway business Sweden Baltic sea

Russia

Latvia North sea Denmark Lithuania

World-class human capital, unique digital Ireland Belarus United Kingdom capabilities, and a competitive business Netherlands Poland Germany Belgium environment make Estonia a smart, agile location Luxembourg Czech republic Ukraine for businesses with global ambitions. Slovakia Austria Moldova Hungary France Switzerland Slovenia Romania Croatia

Bosnia & herz. Serbia Black sea Italy Kosovo Bulgaria Andorra Monte- Caspian sea Negro Macedonia Albania Spain Greece Portugal Turkey

Malta Cyprus Mediterranean sea Extensive IT usage across the a competitive and economy creates significant efficiencies, scalability, transparent economy and real-time data

Estonia consistently ranks as one of the most open, Estonian GDP by Economic Activity (2018) competitive and transparent economies in the world. This success is due to a commitment to low red tape, the rule of 9.9 15.4 Manufacturing law, and significant investment in infrastructure and human 2.6 capital. This creates an environment that allows solutions and 3.8 Wholesale and retail trade services to be researched, developed, and delivered globally. 3.9 Real estate activities

11.7 4.1 Construction Estonia’s R&D ecosystem and digital OECD TAX capabilities make it an innovation #1 COMPETITIVENESS 4.7 Transportation and storage hotspot. Successful start-ups include INDEX 2019 Public administration and defence Transferwise, Skeleton Technologies, 6 10.1 and Bolt, to name a few. Global giants INTERNET FREEDOM Information and communication like Ericsson, Arvato, Kuehne+Nagel, #1 Freedom House 2018 6 7.7 and NATO all conduct R&D in Estonia. Professional, scientific and technical activities As IT becomes the value driver across 6.8 7. 3 all industries, Estonia is uniquely INDEX OF ECONOMIC Education positioned as the choice for digital- and #5 FREEDOM, IN EU knowledge-based businesses. The Heritage Foundation 2019 Human health and social work activities

Financial and insurance activities A variety of international organisations EASE OF DOING have acknowledged the Estonian #16 BUSINESS Administrative and support service activities economy as very open and competitive: World Bank 2019 Agriculture, forestry and fishing

Other sectors

The Estonian Government demonstrates In Central and Eastern Europe, Estonia is flexible and needs-based legislation among the leading countries regarding with a priority on the facilitation of foreign direct investment per capita. entrepreneurship. This has resulted in a By December 2018, Estonia has simple, transparent, and nimble business accumulated a total of 21,7 billion euros environment that is one of the key drivers worth of foreign direct investments. of foreign direct investment in Estonia. Estonia has some of the Standard & Poor´s: AA- highest international credit Moody’s: A1 top investment projects ratings in the region Fitch IBCA: AA- of estonian investment agency in 2018-2019

FDI stock by sector (2018)

20% Financial sector 31% Daimler AG > €129 M > Bolt | VC Real estate activities Hamburger Hafen > €50 M > Transiidikeskuse AS | M&A Manufacturing und Logistik AG 6% Wholesale and retail trade Guangzhou Hangxin > €43 M > Magnetic MRO | M&A Aviation Technology Professional, scientific, and technical activities 12% 18% Other Institutional > €34.8 M > TransferWise | VC Venture Partners 13% Heinzel Holding > €17 M > Estonian Cell | expansion

FDI stock by origin (2018)

Estonian Cell Investor of the Year at Estonian Entrepreneurs 25% 37% Swedish companies Awards 2019

Finnish companies

Dutch companies

Lithuanian companies Angela Titzrath CEO of Hamburger 3% Russian companies Hafen und Logistik AG 24% 4% Other 7% One of HHLA’s targets is to grow internationally. Estonia is one of the fastest-growing economies in Europe and a pioneer when it comes to digitalisation.” Easy administration – the estonian taxes can be declared tax system via e-tax/e-customs.

The Estonian tax system is known for its simplicity, broad tax Labour Taxes Personal Income Tax base, and low tax rates. The aim of the Estonian government The social tax rate is 33% (incl. health Residents pay tax on their worldwide is to shift the tax burden from labour to consumption. insurance). In addition to social tax, income. Taxable income includes: unemployment insurance tax at a rate of 0.8% must be paid on gross salaries → income from employment The corporate income tax rate (an additional 1.6% is withheld from (salaries, wages, bonuses, on regular profit distributions employees’ salaries). and other remuneration) is lowered from 20% to 14% → business income in cases where dividends VAT → interest, royalties, rental income are paid to legal persons → capital gains The standard VAT rate is 20%; the Corporate Income Tax reduced rate is 9%, and 0% in some → pensions and scholarships (except cases. scholarships financed from the state Estonian resident companies and Dividends paid to non-residents are no budget or paid on the basis of law) permanent establishments of foreign longer subject to withholding tax. However, The threshold for obligatory VAT entities (including branches) are withholding taxes may still apply to other registration is €40,000 per year in subject to 20% income tax only in payments to non-residents if they do not Personal income tax is withheld from turnover. respect to all distributed profits (both have a permanent establishment in Estonia employees’ gross salaries every actual and deemed), including: or if tax treaties otherwise provide. Since month and paid by the employer. The taxable period is one calendar month, the tax period for corporate entities is one and VAT returns must be submitted to → corporate profits distributed month, income tax must be returned and the tax authority by the 20th day of the during the tax period paid monthly by the 10th day of the month following the taxable period. following month. → gifts, donations and representation expenses OECD TAX → expenses and payments not Personal #1 COMPETITIVENESS related to business income tax: INDEX 2019 VAT: 20% → transfer of assets of a permanent 20% establishment to its head office Corporate or to other companies unemployment tax: income tax on 2.4% reinvested prots: Land tax: 0% from 0.1% to 2.5% Social tax: 33% Property tax: 0% startup ecosystem

e-Tax services include: Estonia is roughly the same size as IN NUMBER OF UNICORNS Switzerland, but with 6x fewer people. #1 PER CAPITA → individual income tax claims Our superpower? Startups. According to Each year, around 96% Index Venture, startups are less prone to → an enterprise’s declarations of IN STARTUP-FRIENDLINESS of all tax declarations in Estonia fail here, and Estonia is perceived as an income tax, social tax, unemployment #1 are led electronically extremely attractive place for business insurance and contributions to thanks to its reasonable business policy. IN NUMBER OF STARTUPS the mandatory pension fund #3 PER CAPITA IN EUROPE → value-added tax returns In the last 10 years, Estonian startups have raised a total of nearly €1 B. The vibrant → alcohol excise, tobacco excise, COUNTRY IN EUROPE startup community has produced four fuel excise, and packaging #3 TO CREATE A STARTUP unicorns - Skype, Playtech, Transferwise, excise duty returns It takes and Bolt - and a dozen startups, currently → INF declarations approximately 3 minutes valued over $100 M each. → customs declarations to le taxes online

Non-residents may choose a tax representative. The tax representative of a non-resident is a person to deals | 38 whom the Tax and Customs Board Raised capital EUR | No of deals | 46 deals has issued a corresponding activity licence and is authorised to represent the non-resident for the performance

Additional information:

Estonian Tax and Customs Board Ministry of Finance 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 emta.ee/en fin.ee/en startup labour market ecosystem and finding suitable staff

Estonia has a busy, supportive and open The Estonian labour market Remuneration and working time: startup ecosystem eager to support is characterised by: ambitious individuals and startups. In The labour legislation is liberal and offers 2017, the Startup Visa program was → a highly-skilled workforce more flexibility for agreement on terms launched to help non-EU founders and conditions of employment. → 86% of adults speak at least grow their startup in Estonia. one foreign language Wages must be paid at least once a month, Estonia isn’t your market – it´s your Dr. Steven Kasih → low unionisation and it is the employer’s obligation to accelerator! Take Bolt. Launched in 2013 Head of Last Mile calculate and withhold all payroll taxes. → simple and straightforward and a unicorn since 2019, it operates in Logistics & Robotic labour legislation 27 countries, but has kept its HQ and Delivery at Daimler AG When hiring, the general standard is a largest office in Tallinn, Estonia. four-month probation period with 15-days notice for termination of Estonia is a great country employment during the probationary with a great start-up spirit period. Long-term employees usually €584 have a one month notice period for and perfect conditions monthly termination of employment. €500 M to create new ideas and minimum in available funding The standard working schedule in Estonia businesses. The people wage 2020 is 8 hours a day, 5 days per week. The in Estonia have that €1310 duration of one shift may not exceed 12 open mindset you need monthly hours. The duration of the annual vacation Ca 650 500+ average gross is 28 days. if you want to create startups events salary 2018 something completely new. Also, authorities support the young and innovative companies in achieving goals e.g. by making testings of new technologies easier.”

Additional information: Employment Contracts Act riigiteataja.ee/en Number of international talent has doubled in the past 5 years.

Potential sources for Foreign recruitment grant finding suitable staff: In order to alleviate the shortage of top → the Estonian Unemployment specialists, Estonian Government has Insurance Fund (free-of-charge implemented the foreign recruitment grant, services to employers) aimed at supporting recruitment of foreign information and communication technology → private recruitment companies or science and engineering specialists. → advertising in national and local papers → The amount of the grant per one → career services departments recruited top specialist is 3000 euros. in major universities → online job listings, e.g. workinestonia.com Work in Estonia Marcin Kleczynski CEO at Malwarebytes → Helps companies in Estonia find and keep people with exceptional We have been able to skills from all over the world. find such great talent → Organizes global recruitment that not only is in campaigns. → All the job offers from the most Estonia, but outside of popular portals in Estonia are Estonia trying to come automatically fetched to the to Estonia just for the website of Work in Estonia. cultural differences and how progressive the International House of Estonia

country actually is.” → Provides free consultation services to local employers on how to hire foreign experts and on issues related to international workforce. Additional information: → Helps your employees and their families Estonian Unemployment Insurance Fund with the first steps to adapt in Estonia. tootukassa.ee/eng Additional information: Career services of Tallinn Career services of the University of Tartu University of Technology ut.ee/en Work in Estonia ttu.ee/en workinestonia.com Career services of the Estonian Career services of Tallinn University University of Life Sciences International House of Estonia tlu.ee/en emu.ee/en workinestonia.com/internationalhouse education and research

Education system: Education is free, from basic TalTech: Higher Higher education to higher education → the flagship of Estonian engineering and technology education Estonia has an attractive environment education 20 higher education institutions. for research with top-level infrastructure → one of the most modern campuses Three levels: Bachelor’s (3–4 years), and highly qualified specialists. Most in Europe – winner of the Best Doctoral study (3–4 years) Master’s (2 years) and Doctoral study research and development in Estonia is Campus category in “Science (3-4 years). Master’s (2 years) performed at universities. The largest and Education” (Oxford 2014) Bachelor’s (3–4 years) public research university is the University Senior secondary → TalTech campus is home to more of Tartu, followed by Tallinn University of than 200 high-tech companies, Technology (TalTech), Tallinn University, Divided into general senior secondary such as Skype, Starship and Estonian University of Life Sciences. education and vocational secondary Technologies, and Cybernetica. education. Senior secondary University Of Tartu: General senior secondary education: World-class environment for 3 years in a senior secondary school. → one of the oldest universities (3 years) Vocational secondary education: R&D, top-level infrastructure in northern Europe organised by vocational education General senior Vocational High-level research is also carried out in institutions or higher education institutions. → largest university in Estonia the Research Centres of Excellence and secondary secondary Besides vocational training, the student → 5th in the QS World University Competence Centres that aim to bridge education education also acquires upper secondary education. Rankings in Emerging the gap between scientific and economic In 2017/2018: 38 vocational educational Europe and Central Asia innovation. There are 12 Centres of institutions and 7 professional higher Excellence and 8 Competence Centres. nstitutions that offer more → 1st in Times Higher Education than 160 specialities. New Europe ranking

Basic education Basic education (9 years) Compulsory to all children in Estonia (including children from other countries) from age seven until grade nine, or the age of 17.

Estonia´s students are the IN EUROPE: IN READING, #1 SCIENCE AND MATH smartest in Europe and one OECD, PISA 2018 the legal system of the best in the world. IN THE WORLD & foreign businesses #5 OECD, PISA 2018

The Estonian legal environment favours entrepreneurship and Lars Ottoson Head of Ericsson the entrepreneurial mindset. Foreign investors share the same Supply Site Tallinn rights and obligations with local entrepreneurs. All foreign investors may establish a company and conduct business in Here in Tallinn we Estonia in the same way as local investors; no restrictions apply. work with the latest Foreign investors and local technology with 5G. Tilman Weide To do that, we have entrepreneurs have equal rights Managing Director of Linde Engineering the collaboration with Estonia has concluded treaties for the TalTech University, the protection of investments with 31 countries, including the USA, Germany, We are a global we recruit a lot of France, Finland, Sweden, Norway, and Switzerland. Also, agreements for enterprise and we talents from there.” avoiding double taxation have been made with 53 countries, including the EU. value flexibility, which The legal system in Estonia is based on the we can find here in Continental European civil law model and has been influenced by the German legal Estonia: good English system. Unlike in common law countries, language skills, great Estonia has detailed codifications and issues are solved according to these. Estonian law education and erudition, is, at its basic level, divided into private and favourable business public law. Generally, private law consists of civil law and commercial law. Public law environment, flexible consists of international law, constitutional system and competitive law, administrative law, criminal law, financial law, and procedural law. human capital.”

Flexible and needs-based legislation that supports entrepreneurship

Additional information: Ministry of Education and Research Research in Estonia hm.ee/en researchinestonia.eu Additional information: Study in Estonia Estonian Research Information System Estonian Legislation in English studyinestonia.ee etis.ee riigiteataja.ee/en establishing legal forms a company of business

Modern e-solutions make setting up and running a The most common forms of business entities in Estonia are the business in Estonia quick and easy. Signing up a new private limited company (OÜ) and public limited company (AS) company in the e-Business Register takes only minutes. In a few hours, the company is up and running. Private Limited Company (OÜ) Public Limited Company (AS)

A private limited company is a company One or more natural or legal persons with e-Services supporting that has its share capital divided into or without a share subscription may found a businesses in Estonia: private limited company shares. public limited company, and its share capital is divided into public limited company shares. → e-Business Register – An Share capital must be a minimum of advanced and secure tool allowing €2,500. Share capital must be a minimum of registration of a new company online, 98% €25,000. management of a company’s data, of companies → Liable for the performance of its filing of annual reports, and enquiries established obligations with all of its assets, but a → Liable for the performance of its about other companies, etc. shareholder is not personally liable. obligations with all of its assets, but online a shareholder is not personally liable. → e-Tax – The electronic service → Must have a management board: of the Estonian Tax and Customs one or several members that are → Must have a management board Board, enabling businesses to 99,9% natural persons with active legal and a supervisory board. The declare taxes online, as well as of banking capacity without the obligation latter must have at least three make customs declarations. to hold shares in the company. members that are natural persons done online with active legal capacity. → e-Financials – State-provided → If more than half of the board simple web-based accounting members do not permanently reside → If more than half of the board software that assists companies in Estonia, the company must give members do not reside in Estonia, the in managing their bookkeeping. 96% the Commercial Register a contact company must give the Commercial name and address in Estonia Register a contact in Estonia → Digital signatures – Enables the of tax declarations where documents may be sent. where documents may be sent. signing of documents electronically with validity equal to handwritten filed online signatures (Estonian ID-card or Sole proprietor (FIE) Branch e-Residency card required). In addition to the possibility of Foreign companies may also offer their → e-Banking – User-friendly online establishing a business entity, it is goods or services by establishing a branch. banking and invoicing services possible for any natural person to As a branch is not a business entity, the are available 24/7, accessible from conduct business as a sole foreign enterprise is liable for obligations anywhere in the world. The main proprietor (FIE). arising from the activities of the branch. service providers in Estonia are Swedbank, SEB, Luminor and LHV. Establishing a Private Limited Company – as Easy as ABC e-Residency

Step 1 Choose a name for your business and check that it is available Estonia is the first country to offer e-Residency – a ariregister.rik.ee/nimeparing.py transnational digital identity that provides access to Estonia’s transparent digital business environment and enables entrepreneurs to start and manage an EU-based company online. Step 2 Step 2 Holders of an Estonian ID card or Verify the corporate charter e-Residency card (in addition, some with a notary who will e-residents can: Achieve location independence: EU member states’ ID cards are OR present the information to → Establish a company online. → Operate your company accepted) can register the compa- the Commercial Register. online while traveling. ny online at the e-Business Register List of notaries → Manage a company from ettevotjaportaal.rik.ee notar.ee/18383 anywhere in the world. → No need to re-establish your company after moving abroad. → Sign and authenticate documents anywhere. → Avoid paperwork. → Declare Estonian taxes online. Step 3 e-residents receive a digital → Be the owner of your company. If the company’s area of activity is ID card that provides: subject to special requirements, a No local director needed. licence should be acquired. → a government-issued digital identity Information concerning areas of activity and electronic registration is → secure access to e-services available at the Register of Economic → the power to digitally sign and Activities mtr.mkm.ee 160+ authenticate documents 60,000+ countries e-Residents The digital ID card and e-services are built using state-of-the-art technological solutions, including a 2048-bit public key Step 4 10,500+ encryption and a two-stage PIN system. Register the employees in companies the employee registry at created The digital ID card is not a physical the Tax and Customs identification or a travel document Board emta.ee and does not display a photo.

Famous e-Residents:

Step 5 Edward Lucas, Shinzo Abe, Tim Draper, Register the company as a VAT Angela Merkel, Guy Kawasaki payer at the Tax and Customs Board emta.ee Additional information: e-Residency e-resident.gov.ee financing state a business incentives

There is a variety of both national and EU grants available Large investor support scheme Ida-Viru County grant for industrial investments that support competitiveness, innovation, job creation, and Target group: Companies registered much more. Since 2014, the Estonian government strategy in the Estonian commercial register The goal of the grant is to increase the has switched focus from technology and infrastructure operating in the manufacturing sector. economic activity of Ida-Viru county and to create new jobs in the region, investments to human capital and smart economy investments. The aim of the support scheme is active with salaries higher than the market involvement of large investors in the average in manufacturing sector. economy of Estonia through technology Emphasis is now on innovation and Market share of banks in Estonia (2018) investments, which contribute to the Maximum grant: new business models in the following growth of productivity and export € 990,000 three smart-specialisation areas: potential of a company, the increase of the added value of products, the → information and communication opening of new market opportunities, and technology – horizontally create conditions for the establishment Preferential excise duty on electricity through all sectors of higher value adding jobs. for electrointensive undertakings → health technologies and services Maximum grant: As of 1 January 2019 a preferential → more effective use of resources € 1,000,000 excise duty rate on electricity applies for undertakings with high electricity Banks in Estonia offer a wide range of Swedbank 41% SEB 24% consumption (electrointensive undertakings) financial services from everyday banking Luminor 15% Others 14% who are engaged in the manufacturing to sophisticated wealth management, Investment aid to shared or information service activities sector. and are also the biggest providers of LHV 6% service and R&D centres leasing and factoring services. The largest The current excise duty of 4,47 EUR/ banks are subsidiaries and affiliates Source: Bank of Estonia The purpose of aid is to support MWh is lowered to 0,5 EUR/MWh. of Scandinavian banking groups. international shared service and R&D centers to increase their international competitiveness as well as to develop and introduce (execute) services, products and technologies of higher value.

Applicants must be registered in Estonia, have a Group turnover of 25+ MEUR/year, be present in at least 2 foreign countries and offer either support or R&D services to company’s core activity.

Maximum grant: Additional information: Enterprise Estonia € 200,000 per enterprise eas.ee Estonian Entrepreneurship Growth Strategy 2014–2020 EU Structural Funds kasvustrateegia.mkm.ee struktuurifondid.ee/eng free-trade zones and industrial parks muuga

maardu tallinn sillamäe kohtla-järve narva paldiski rakvere jõhvi

There are three free-trade zones in Estonia and a number kärdla of industrial parks with pre- vormsi haapsalu developed infrastructure hiiumaa paide that welcome manufacturing and logistics companies.

Both free-trade zones and muhu industrial parks are logistically in favourable locations near saaremaa pärnu highways, railways, and ports. viljandi tartu kuressaare

võru valga

→ Paldiski Free-Trade Zone, → Muuga Industrial Park, Port of Muuga Paldiski Northern Port portoftallinn.com/muuga-industrial-park portofpaldiski.ee → Port of Paldiski Industrial Park, 0% corporate tax → Muuga Free-Trade Zone, Paldiski South Harbour Port of Muuga on retained and portoftallinn.com/paldiski-industrial-park Pre-developed portoftallinn.com/muuga-harbour reinvested profits → Narva Business Park infrastructure, → Sillamäe Free-Trade is also preserved in narvapark.ee/en great locations Zone, Port of Sillamäe free trade zones silport.ee → Reola Business Park dtz.ee/uusarendus/reola → Ida-Viru Industrial Area, Jõhvi ivia.ee → Vahi Industrial Park, Tartu Free-trade zones are established vtp.ee/en Additional information: → Port of Sillamäe Industrial by the Estonian government Park, Port of Sillamäe → Loode-Pärnu Industrial Area, Pärnu and monitored by the Estonian Estonian Tax and Customs silport.ee investinparnu.com/en Tax and Customs Board. Board emta.ee/eng premises healthcare services

50 There are minimal restrictions for Estonia has a state-provided healthcare system that foreigners acquiring fixed assets in Estonia. Existing restrictions fall into two is built on solidarity-based health financing. The main types according to the Restrictions medical service does not depend on the amount of on the Acquisition of Immovables Act: 40 social tax paid. Health insurance is administered by the → restrictions arising from the Estonian Health Insurance Fund (Eesti Haigekassa). acquisition of 10 hectares or more of agricultural or forested land State-provided health insurance in Estonia who has visited a doctor has 30 → restrictions arising from his or her own online e-Health record, national defence reasons funded by the social tax containing medical case notes, test results, digital prescriptions, and X-rays as well as An insured person is a permanent resident a full log-file tracking access to the data. The following graph shows the indicative of Estonia or a person living in Estonia on 20 range for rents (excluding VAT and a temporary residence permit or on the 99% of health data generated by operating expenses) in the major basis of permanent residence who pays towns of Estonia for class A and B1 social tax for himself/herself or for whom hospitals and doctors is digitised office premises, medium-sized retail the social tax is paid. Children under 19 Each person in Estonia who has visited a units in major shopping centres, and years of age and pregnant women hold doctor has his or her own online e-Health 10 new and renovated warehouses. equal status to insured persons. Everyone record, containing medical case notes, has the right to receive emergency test results, digital prescriptions and medical care regardless of whether they radiology images. This allows doctors have health insurance or not. Each person to access a patient´s records easily 0 from a single electronic file. Patients Oice Retail Industrial can access their data at all times by EUR/m2 EUR/m2 EUR/m2 logging into the e-Patient portal with an electronic ID-card and also track which Tallinn Tartu Pärnu Narva 99% of prescriptions doctors have had access to their files. digital

99% of health data digitised Additional information: Work in Estonia 100% workinestonia.com/living-in-estonia/ electronic healthcare-overview billing Estonian Health Insurance Fund haigekassa.ee/en quality of life Lauren Head of Marketing & Chief of Product, Jobbatical From the New York, USA

Estonia has one of the most competitive and open business environments in the world. But what makes Because of the affordability, Estonia an attractive place for working and living? the amount that you make in Estonia allows you the same luxuries and quality of life as in New York.” → 4th best urban air quality COUNTRY IN THE WORLD in the world (WHO); #1 FOR DIGITAL LIFE InterNations 2019 → 2nd cleanest food in Europe, which can be enjoyed for half the price of a dinner you’d get in → No other tech hub beats Tallinn when most European capitals (EFSA); it comes to optimizing your monthly Khalid expenses. Rent in Tallinn is 8 times Test Lead, Testilo → Safety – online and offline. Crime more affordable than in San Francisco; From the Netherlands rates are low and cyber safety is an especially hot topic with the NATO → The pace of life is not hectic Cooperative Cyber Defence Centre as in larger cities - no crowds of Excellence located in Tallinn; or ridiculous traffic jams; Moving to Estonia went → Top quality education - #1 in → Tallinn is the first capital in very fast - sorting out the Europe and #3 in the world; the EU to provide free public transport to its citizens; documents took a day, → English is widely spoken, whether at the doctor’s, on the street → Vibrant nightlife, frequent whilst in Berlin, this had or in official institutions; music and film festivals. taken a week. Estonia’s biggest advantage is the way everything is based on IT, which makes taking care of administrative formalities extremely easy and fast.” residence permits

For Citizens of the EU, EEA, Temporary residence permit for business A long-term residence permit and Swiss Confederation may be issued to a foreigner who: A third-country national may apply for A citizen of the EU may stay in Estonia a residence permit for business: → has stayed in Estonia permanently on on the basis of a valid travel document the basis of a temporary residence or identity card for up to three months. In → in the case of owning shares in a permit for at least five successive years order to stay longer, the EU citizen must company or acting as a sole proprietor → holds a valid temporary obtain the right of temporary residence. and having invested at least 65,000 EUR residence permit An EU citizen must register his/her in business activities (at least 16,000 stay at the local government authority EUR in the case of a sole proprietorship) → has registered residence, health nearest to his/her residence within insurance, and permanent legal → for conducting business in a three months from the date of entering income for subsistence in Estonia start-up – by obtaining a Startup Visa Estonia. The right of temporary residence → has knowledge of the Estonian is granted for a period of five years. → as a major investor - direct investment language at least at a basic level of at least 1,000,000 EUR For Third-Country Nationals

A residence permit may be temporary (with a period of validity up to five years) or long-term. A temporary residence permit may be issued to an alien:

→ for settling with a spouse or close relative permanently residing in Estonia → for study → for work and business → in case of substantial public interest → as an extension of a residence permit when a source of legal income exists

Additional information: Estonian Police and Border Guard Board Work in Estonia politsei.ee/en workinestonia.com Estonian Aliens Act Startup Estonia riigiteataja.ee/en startupestonia.ee/visa estonian investment agency

The Estonian Investment Agency (EIA), a part of Enterprise Estonia, is a government agency promoting foreign investments in Estonia and assisting international companies in finding business opportunities in Estonia.

Our services: → information services and €324 M investment preparation of investments → investment proposals and visits facilitated in 2018 → consulting and project management → facilitating contacts, negotiation with authorities → organising recruitment and Top Investment identifying suitable properties Promotion Agency → post-investment / aftercare services 2018 and 2019 by Site Selection Magazine

Martin Kolbe CIO of Kühne+Nagel

Our success stories include: When we were looking for a country to create a nearshore IT centre, we turned to Enterprise Estonia for assistance. From the beginning, we knew we were in good hands. Thanks to their support, we made many fruitful contacts with organisations and companies with whom we could talk openly about our experiences. This ensured us solid footing when we decided to build an IT nearshore centre in Estonia.” get in touch: investinestonia.com

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