Latvia

Public Limited Company (“AS”)

Private Limited Company (“SIA”)

Branch (“Filiāle”)

Representative office (“Pārstāvniecība”)

Minimum authorized capital

EUR 35 210.

The equity capital contribution can be made only in the form of a cash investment.

EUR 2 820

n/a

n/a

Founders/Members

1 or more persons, and they can be both natural persons and legal entities. The founder may be a resident or non-resident of the Republic of Latvia.

1 or more persons can be the founders of a limited liability company, and they can be both natural persons and legal entities. The founder may be a resident or non-resident of the Republic of Latvia.

Enterprises, including foreign enterprises

Enterprises, including foreign enterprises

Status

Legal entity

Legal entity

Branch is not considered an independent legal entity

A representative office is not a legal person, and it does not have a right to conduct commercial activities in Latvia.

Liability

The company is liable for its obligations to the extent of its entire property.

The company is liable for its obligations to the extent of its entire property. A founder or shareholder is not liable for the limited liability company's obligations, as well as the limited liability company are not liable for the founder's or shareholder's obligations.

The foreign undertaking being the parent enterprise is fully liable for the activities and obligations of its branch.

It is also possible to register a representative office for the sole purpose of advertising and promoting a business. Representative offices may no longer be used for the actual conduct of business.

Legal Address

It is necessary to indicate the legal address of the company. For your convenience we offer provision of registered address services for you.

Management body

A joint stock company is managed by a shareholders' meeting, council and board, thus the corporate governance is more complex than SIA. One or more natural persons can become members of the board, and they may be residents or non-residents of the Republic of Latvia.

The decision making body of a limited liability company is the board and, if needed, the council. The board consists of one or more natural persons who may be residents or non-residents of the Republic of Latvia.

A foreign undertaking needs to authorize a certain person to represent a foreign businessman in the activities associated with the Latvian branch office

A foreign undertaking needs to authorize a certain person to represent a foreign businessman in the activities associated with the Latvian representative office.