Private Limited Company (OÜ) in Estonia

A private limited company (Estonian: osaühing, abbreviated ) is the most popular business form in Estonia. It is a legal entity with share capital divided into shares, and it is liable for its obligations with all of its assets. Importantly, shareholders are not personally liable for the company’s debts.

🔗 Legal reference: Estonian Commercial Code


Capital Requirements

  • Minimum share capital: €2,500

  • Minimum nominal value per share: €1

  • If all founders are natural persons and capital is under €25,000, the payment of capital may be deferred.

  • Until the full contribution is paid, founders are personally liable for the unpaid portion.


Management Structure

Management Board

  • Mandatory for every OÜ

  • Must have at least one natural person with full active legal capacity

  • Board members do not need to be shareholders

  • The board directs and represents the company

Supervisory Board (Optional)

  • Not required by law

  • May be included if provided for in the Articles of Association


Residency and Local Contact Requirements

If more than 50% of the management board members do not reside permanently in Estonia, the company must:

  • Appoint a local contact person and provide an Estonian address

  • Foreign shareholders must also provide a residential and email address to the Commercial Register

🔗 e-Business Register portal


Auditing Requirements

An auditor is mandatory if the OÜ exceeds certain thresholds, such as:

  • Annual turnover

  • Total assets (balance sheet)

  • Average number of employees

🔗 Auditors Activities Act §91

The Articles of Association may also require an auditor even if the thresholds are not met.


Other Legal Business Forms in Estonia

  • Public Limited Company (AS)

  • General Partnership (TÜ)

  • Limited Partnership (UÜ)

  • Commercial Association (ühistu)

  • Sole Proprietor (FIE) – for individuals

🔗 Compare business types – e-Estonia