At Lawhill, we make it easy to establish a Limited Liability Company (UAB) in Lithuania, whether you’re based locally or abroad.
Our experienced legal team handles the entire registration process, including document preparation, company incorporation, bank account assistance, VAT registration, and ongoing legal support. We provide a fully remote service designed to help entrepreneurs, startups, and international investors establish their business in Lithuania quickly and compliantly.
A UAB (Uždaroji akcinė bendrovė) is the most popular business structure in Lithuania, offering limited liability, flexible ownership, and a professional legal framework suitable for both local entrepreneurs and foreign investors.
What Does UAB Mean?
UAB stands for “Uždaroji akcinė bendrovė”, the Lithuanian equivalent of a private limited liability company. It is the most common legal entity used by entrepreneurs, startups, and investors due to its flexibility, credibility, and limited liability protection.
To learn more about the structure, ownership requirements, and registration process, see UAB in Lithuania: Meaning and Setup Procedure.
Not sure if a UAB is the right choice for your business? Read Types of Companies You Can Register in Lithuania to compare all available legal entity options.
STEP-BY-STEP PROCESS
At Lawhill, we simplify the entire process of setting up a UAB company in Lithuania. Here’s how it works:
- Consultation: We begin by understanding your business goals and advising you on the most suitable corporate structure and registration approach for your activities.
- Name Reservation: We help you select and reserve a unique company name that complies with Lithuanian legal requirements.
- Preparation of Documents: Our legal experts prepare all the necessary documents, including the Articles of Association, shareholder agreements, and registration forms.
- Opening a Bank Account: We facilitate the process of opening a temporary bank account to deposit your share capital, even remotely.
- Remote Formation Services: You do not need to travel to Lithuania. We provide fully remote company formation services, including document submission, local representation, and communication with authorities.
- Registration with the Registry: We handle the submission of all required documents to the Lithuanian Centre of Registers to finalize your company registration.
- Obtaining VAT Registration (if needed): For companies engaged in VAT-applicable activities, we guide you through the VAT registration process to ensure compliance.
- Business Launch: Once the company is officially registered, we continue supporting your business with legal, compliance, and corporate matters to help you grow successfully in Lithuania.
KEY REQUIREMENTS
Every UAB must appoint at least one director responsible for company operations. The director may be either a Lithuanian resident or a foreign national.
Every Lithuanian company must maintain a registered office address in Lithuania. If required, we can provide a Legal Address as part of the incorporation process.
WHY CHOOSE A LIMITED LIABILITY COMPANY (UAB)?
A UAB is the most popular form of legal entity in Lithuania thanks to its flexibility, credibility, and relatively low setup costs.
- Limited Personal Liability: Shareholders are not personally liable for the company’s debts beyond their initial capital contribution.
- Flexible Ownership: A UAB can be established by a single individual or multiple shareholders, making it suitable for both small and large businesses.
- Tax Efficiency: Lithuania offers a competitive corporate tax rate of 16%, with special rate of 6% for small companies and startups under certain conditions.
- Ease of Management: With clear regulations and straightforward compliance requirements, managing a UAB is both efficient and predictable.
- Professional Credibility: A UAB is widely recognized and trusted by clients, suppliers, financial institutions, and business partners, making it the preferred legal structure for most commercial activities.
ADDITIONAL SERVICES
At Lawhill, we provide comprehensive accounting and payroll services tailored to meet the needs of your business. From bookkeeping to tax filings, we ensure your financial records are compliant with Lithuanian regulations. Our team handles payroll management, ensuring timely and accurate payment for your employees.
Navigating the banking system in a foreign country can be challenging. We assist you in opening local and international bank accounts, guiding you through compliance requirements and documentation. Whether for operational needs or capital deposits, we streamline the process to secure your accounts efficiently.
Establish a professional presence in Lithuania with our virtual office services. We provide a legal address required for company registration and offer correspondence management to ensure you never miss important communication. This service is ideal for businesses operating remotely or without a physical office in Lithuania.
Certain industries in Lithuania require specific licenses to operate legally. At Lawhill, we help you obtain necessary licenses such as transport, pharmaceutical, Virtual Asset Service Provider (VASP), and temporary employment licenses. Our experts ensure the application process is smooth, saving you time and effort while adhering to all legal requirements.
We offer a full range of legal services tailored to businesses, including contract drafting, regulatory compliance, dispute resolution, mergers, and acquisitions. Our experienced legal team ensures that your business is fully protected and operates within the framework of Lithuanian and EU laws.
F.A.Q
Forming a UAB company in Lithuania typically takes 1–2 weeks after receiving all necessary documents from the client, making the process both efficient and straightforward.
- Corporate Income Tax: 6% for companies with an annual turnover of up to €300,000; 16% for companies with an annual turnover exceeding €300,000.
- Dividend Tax: A flat rate of 15% applies to distributed dividends.
- Value Added Tax (VAT): Standard VAT rate in Lithuania is 21%.
- Member of NATO and the EU: Lithuania has been a stable and secure member of NATO and the European Union since 2004, offering businesses access to one of the largest markets globally.
- Competitive Tax Environment: Lithuania boasts one of the lowest corporate tax rates in the EU, including special tax incentives for small businesses and startups.
- Strong Economic Growth: Ranked 1st in the EU for real GDP per capita growth from 2000 to 2020, Lithuania is an emerging leader in economic development.
- Fast and Simple Business Setup: Lithuania offers a straightforward process for company registration, making it easy for businesses to get started quickly.
- Multilingual and Skilled Workforce: The vast majority of young professionals in Lithuania are proficient in English, with many also fluent in other major European languages, ensuring smooth business communication.
- Strategic Geographic Location: Positioned at the crossroads of Europe, Lithuania provides excellent logistics and connectivity, making it a strategic hub for businesses targeting the European and global markets.
- Modern Digital Infrastructure: As a leader in digital innovation, Lithuania offers a robust infrastructure, ideal for startups, fintech companies, and tech-driven businesses.
- Business-Friendly Policies: Lithuania fosters a startup-friendly ecosystem with government incentives and grants for innovative businesses, including tech and green energy industries.
- 10-Step Checklist
- Compliance Calendar
- Banking Options
- Tax Guide
- 10-Step Checklist
- Compliance Calendar
- Banking Options
- Tax Guide
