Company Registration in Latvia

Registration of a branch of foreign merchant in Latvia

For registration of a branch of foreign merchant in Latvia the next docs are necessary: 
• Document (or notary certified copy of the document) that certifies registration of the merchant in foreign country if in legislation of the country of foreign merchant registration in the register is prescribed;
• Permission to open a branch if in legislation of foreign merchant such permission is prescribed;
• Notary certified copy of the articles of association, memorandum of association or documents similar to them of the foreign merchant;
• Document certifying authorization of persons to represent foreign merchant in all activities related to the branch and the scope of such authorization.

Please, fill out the registration form http://www.tiwatiwa.com/docs/latvia/sia_registration_en.doc and send information to us.

Registration of Representative Offices of foreign traders and foreign-registered public and nonprofit organizations, without any right to engage in commercial activities in the Republic of Latvia, and the representatives.

For registration offices (representative) of a foreign merchant or organization in the Register of Enterprises in Latvia Republic the next docs are necessary: 

1. Statement
2. A document certifying the registration of a foreign merchant in the country if the laws of the respective foreign state provides registration and if such registration law does not provide, and if opened representative offices of foreign organizations - any other document that confirms the legal status of a foreign merchant or organization in the country. 
3. Document of a foreign merchant or organization, which includes:
3.1. Decision to open a representative office in Latvia; 
3.2. Authority of the representative. 
4. Charter of foreign merchant or organization, position or other document which is treated as such. 
5. A document confirming payment of state duty for registration. 

For registration offices (representative) of a foreign merchant or organization should is necessary to pay the state fee in the amount of LVL 20 (29 euro). State fee must be paid prior to applying for registration and can be paid in any bank. 
Upon payment of the ordinary State fee the application will be processed in 15 days. 
If payments of the fee are at double rate the application will be processed within four working days. 
If payment of the fees is trippled the application will be processed within one working day. 

Please, fill out the registration form http://www.tiwatiwa.com/docs/latvia/sia_registration_en.doc and send information to us.

Registration of a Limited Liability Company in Latvia

Limited Liability Company is the most widespread form of business in Latvia.
Latvian Limited Liability Company is not required to carry on activities in Latvia (so all the activities of the company can be carried out outside Latvia). A bank account also can be opened in the banks outside Latvia.

In order to organize the Limited Liability Company you must register it in governmental register (register of enterprises). After registration you receive Certificate of Registration, Decision of governmental notary and certified Articles of Association. Also you get registration number of the company. Even if you change the name of the company (firm), this number will stay the same.

Limited Liability Company cannot sell its shares on the stock market.
Shareholders of the company are liable to creditors of the company only by the capital invested in the company. If the company becomes insolvent, usually shareholders of the company loose money invested in the company, but personal assets of shareholders are protected.

Tax reports. The company is obliged to submit annual report one time per year. If the company employs employees one time per month, the company must submit a report regarding the employees. If the company is managed by a member of board of directors, the company does not employs employees and the member of the board of directors does not receive remuneration, then the company is not obliged to submit reports regarding employees. Also the company must submit VAT report (period of submission is 1-6 months). If the turnover of the company during twelve months is not higher than 14 000 EUR, then company is allowed not to register as VAT payer (so no VAT reports). But there are some other circumstances when company is obliged to register as VAT payer.

Tax payments. Tax payments concerned with salary must be paid one time per month.

Information necessary for registration of a Limited Liability Company:

- Name (firm) of the company;
- Legal address of the company;
- Information about founders (shareholders) of the company;
- Information about members of the board of directors of the company;
- Information about statute capital of the company (including information about the amount of statute capital, payment method and payment conditions);

Depending on requirements of founders (shareholders) additional information may be necessary (for example, if shareholders decide to constitute the supervisory board then information about members of the supervisory board is necessary).

Foundation and registration of the company may proceed the following stages:

- Collection of information necessary for registration;
- Preparation of documents necessary for registration;
- Signing of documents (including notarized certification of signatures);
- In most cases it is necessary to open a temporary account in a bank and to pay the statute capital. Doing the payments is necessary for registration;
- Submission of documents to the commercial register;
- Receiving of examined documents.

Status of company – legal person with rights to do all economic activities according to legal norms (for some activities a license and other preconditions are necessary).
Payments are necessary for registration. State duty 100 LVL (if company is founded as a company which equity capital is less than 2000 LVL, then state duty is 15 LVL (~22 EUR)).

Payment for official publication is 24 LVL (if the company is founded as a company which equity capital is less than 2000 LVL, payment for publication is 12,60 LVL). Additional payments – for certification of signature, bank services and preparing of documents might be necessary.

Please, fill out the registration form http://www.tiwatiwa.com/docs/latvia/sia_registration_en.doc and send information to us.