How Much Does It Really Cost to Start and Run an Estonian OÜ?

The €265 registration fee is only the beginning. Here’s what it really costs to start and run an Estonian OÜ, including e-Residency, contact person, accounting, banking and ongoing compliance.

The €265 company registration fee is only the beginning

One of Estonia’s biggest advantages for international founders is that starting a company can be relatively simple and inexpensive.

But there is an important difference between the cost of registering an Estonian OÜ and the cost of actually running one.

The state fee for registering an OÜ online is currently €265. If you need e-Residency, the application fee is another €150. International founders may also need a legal address or contact person, accounting services and a suitable business account.

So how much should you actually budget?

For a simple one-person company, the cost can still be relatively modest. But the real number depends much more on how your business operates than on the incorporation fee itself.

The basic cost of starting an Estonian OÜ

For a typical international founder using e-Residency, the initial costs may look something like this:

The official e-Residency programme itself estimates rough first-year costs at around €600 for a largely DIY setup and around €1,300 with accounting support. These are indicative figures rather than a price guarantee.

For many real businesses, especially VAT-registered or internationally active companies, costs can be higher.

Let’s break them down.

1. e-Residency: €150

If you plan to establish and manage your Estonian company remotely, e-Residency is usually the most convenient route.

The current state fee for an e-Residency application is €150. The digital ID is valid for five years, and there is no separate annual maintenance fee for the card.

There may also be a less obvious cost: collecting the card.

You must collect your e-Residency kit in person from your selected pickup location, so depending on where you live, travel costs may need to be included in your budget.

This is a personal setup cost rather than an annual company expense.

2. Company registration: €265

The state fee for registering an Estonian OÜ online is currently €265.

This is the part that can make Estonia look exceptionally inexpensive.

But the €265 covers the registration itself.

It does not automatically include:

• e-Residency;
• contact person services;
• legal address services;
• accounting;
• tax advice;
• business banking;
• VAT registrations;
• payroll;
• ongoing company administration.

That distinction matters when comparing formation providers.

A provider advertising “company formation for €X” may be quoting its own service fee, the state fee, or a package containing several services.

Always check what is actually included.

3. Legal address and contact person: typically €200–400 per year

Internationally managed Estonian companies often need an Estonian legal address and/or contact-person arrangement depending on their setup.

The official e-Residency programme currently gives €200–400 per year as an indicative cost for contact-person services.

This is normally a recurring annual expense, not just a formation cost.

And provider packages differ considerably.

One provider might include:

• legal address;
• licensed contact person;
• mail forwarding;
• document scanning;

while another may price these separately.

This makes the annual renewal price just as important as the first-year promotional price.

4. Accounting: from around €50 per month — but often more

Official e-Residency guidance lists accounting as starting from approximately €50 per month.

Treat that as a starting point rather than a universal price.

Accounting fees usually depend on factors such as:

• number of transactions and documents;
• VAT registration;
• number of bank and payment accounts;
• employees;
• payroll;
• cross-border transactions;
• e-commerce;
• Stripe, PayPal or other payment processors;
• inventory;
• OSS reporting;
• management reporting;
• complexity of the business model.

A dormant or very low-volume consulting company may be inexpensive to maintain.

An e-commerce company selling throughout Europe through several payment platforms is a completely different accounting job.

This is one area where choosing the cheapest headline package can become expensive later.

5. Business banking and payment accounts

Opening an Estonian OÜ does not automatically give you a bank account.

International founders may use an Estonian bank or an EEA-based fintech/payment provider depending on their circumstances. The e-Residency programme currently indicates a broad €0–200 range for opening a business banking account, although actual ongoing fees and transaction costs depend on the provider.

When comparing accounts, look beyond the monthly subscription.

Potential costs include:

• monthly account fees;
• card fees;
• international transfers;
• currency conversion;
• incoming payment fees;
• additional users or cards.

For companies operating in several currencies, FX costs can matter much more than a small monthly account fee.

6. Company formation provider: optional

You do not necessarily need to pay a company formation provider simply to register an OÜ.

An e-resident can register a straightforward company online through Estonia’s e-Business Register.

However, service providers can bundle several things you may need anyway, such as:

• company formation;
• legal address;
• contact person;
• accounting;
• tax consultation;
• banking assistance.

This is why comparing a provider’s total package cost is more useful than comparing only its company formation fee.

A €100 formation service with expensive annual renewals can ultimately cost more than a €300 package with useful recurring services included.

7. VAT registration may increase your accounting cost

An OÜ is not automatically VAT registered when it is established.

Under current Estonian rules, the general VAT registration obligation arises when relevant Estonia-place-of-supply turnover exceeds €40,000 from the beginning of the calendar year.

But the €40,000 threshold is not the only VAT rule that international founders need to know.

Cross-border purchases and sales can create other VAT obligations before a business reaches that turnover. Our Tax & VAT comparison summarises the main 2026 triggers and providers that can help.

Depending on your activities, this may involve:

• limited VAT registration;
• reverse-charge VAT;
• intra-EU transactions;
• OSS;
• foreign VAT registrations.

That can also increase the amount of accounting work required.

8. Payroll creates additional costs

If your company pays salary or management board remuneration, payroll administration and employment taxes need to be considered separately.

The actual cost depends on the provider and the number of people being paid.

For a solo founder, this may be a small addition to the monthly accounting fee.

For a company with several employees or people working in different countries, payroll can become significantly more complex.

And if the person works outside Estonia, the relevant question is not simply “How much is Estonian payroll?”

The country where the person physically works may also matter.

9. The annual report

Every Estonian company must consider its annual reporting obligations even if business activity is minimal.

Some accounting packages include preparation of the annual report.

Others charge for it separately.

This is an important question to ask before choosing an accountant:

Is the annual report included in the monthly price?

A very inexpensive monthly accounting package may look less attractive if annual reporting and other year-end work are billed separately.

What does a simple Estonian OÜ really cost per year?

Consider a relatively simple international founder:

• one shareholder;
• no employees;
• low transaction volume;
• straightforward service business;
• no complicated e-commerce;
• professional accounting used.

A rough budget could look like this:

First year

This is not a fixed market price. It is an illustration using current official starting-cost guidance.

The e-Residency programme itself currently gives approximately €1,300 as a rough first-year cost when accounting support is included.

Following years

The registration fee disappears, and e-Residency itself does not have an annual maintenance fee.

Your recurring costs are more likely to consist of:

• contact person/legal address;
• accounting;
• banking;
• payroll if applicable;
• tax or legal assistance when required;
• other business software.

For a simple company, the recurring cost may therefore be materially lower than the first-year setup cost.

Why some Estonian companies cost much more to run

Transaction count is not the only factor that determines administrative cost.

Two companies with 20 invoices per month can require completely different amounts of accounting work.

For example, costs can rise substantially when a company has:

E-commerce

Selling to consumers across the EU can introduce VAT and OSS requirements, payment-provider reconciliations and high transaction volumes.

Multiple payment platforms

Stripe, PayPal, Shopify and similar platforms often require reconciliation between sales, fees, refunds and bank payouts.

International employees

Payroll and tax obligations can arise outside Estonia when people physically work in other countries.

Inventory

Stock movements, imports, customs and cost-of-goods calculations add another accounting layer.

Investors

Companies raising capital may require cap-table support, SAFE or convertible-instrument accounting and more detailed financial reporting.

Multiple currencies

Foreign-currency transactions create FX accounting and reconciliation requirements.

The cheapest accounting package for a straightforward consultant is therefore not necessarily suitable for a SaaS startup or e-commerce business.

The hidden cost: fixing bad accounting later

There is another cost that rarely appears in formation-provider price lists.

Cleaning up accounting that was set up incorrectly.

Problems often become visible only when:

• VAT registration is needed;
• an investor asks for financial statements;
• the annual report is due;
• the company changes accountants;
• the business is sold;
• an audit or review is required.

Saving €30 per month on accounting is not necessarily a saving if several years later the books need to be reconstructed.

For this reason, compare accounting providers based not only on price but also on whether they understand your actual business model.

Should you choose an all-in-one formation package?

Sometimes.

An all-in-one provider can be convenient because company formation, contact person, legal address and accounting are handled in one place.

But convenience should not replace comparison.

Check at least:

• first-year price;
• renewal price;
• accounting limits;
• what counts as a transaction or document;
• VAT support;
• annual report pricing;
• payroll pricing;
• cancellation terms;
• whether you can easily move to another accountant later.

The cheapest first year is not necessarily the cheapest three years.

DIY vs using a service provider

Estonia makes it possible to perform a surprising amount of company administration yourself.

That does not mean every founder should.

A DIY setup may make sense when the company is extremely simple and the founder understands the relevant Estonian accounting and tax requirements.

Professional support becomes more valuable as soon as the business involves cross-border VAT, employees, e-commerce, multiple jurisdictions or more complex transactions.

The question is therefore not simply:

“Can I do this myself?”

It is:

“Is doing this myself the best use of my time and am I confident I understand the obligations?”

How to compare company formation prices properly

When comparing providers, build a three-year cost, not just a formation-price comparison.

For each provider, check:

This is the comparison Bestfit will use when evaluating Estonian company formation services.

So, how much should you budget?

For a very simple company, Estonia can still be inexpensive compared with maintaining a more complex corporate structure.

But €265 is not the real cost of an Estonian company.

A more useful budget for an international founder should include:

Setup

€150 e-Residency, if needed

• €265 company registration
• any formation assistance

Recurring

contact person/legal address

• accounting
• banking
• payroll where relevant
• additional tax/compliance support

For a straightforward company using professional accounting, roughly €1,200–€1,600+ for the first year is a more useful starting illustration than the €265 registration fee alone.

The actual cost can be lower or considerably higher depending on what the company does.

And that is ultimately the key point:

The cheapest Estonian company is not the company with the lowest registration fee. It is the company whose administrative setup actually fits the business.

Frequently asked questions

How much does it cost to register an OÜ in Estonia?

The current online registration state fee is €265.

How much does e-Residency cost?

The current application state fee is €150. There is no annual maintenance fee for the digital ID, which is valid for five years.

How much does an Estonian contact person cost?

Official e-Residency guidance currently indicates approximately €200–400 per year, although provider pricing and included services vary.

How much does accounting cost in Estonia?

Official e-Residency guidance lists accounting from approximately €50 per month, but actual pricing depends heavily on transaction volume, VAT, payroll and business complexity.

Do I have to pay €265 every year?

No. The €265 is the state fee for registering the company. It is not an annual company fee.

Is e-Residency renewed every year?

No. The digital ID is currently valid for five years. The current renewal fee is €150; the e-Residency programme has announced that the application/renewal fee will rise to €165 from 1 January 2027.

Official sources

Registration fees and tax rules may change. Check the official e-Residency company formation guidance, Estonian Tax and Customs Board VAT guidance and income and corporate tax guidance before acting.

Compare the real cost, not just the setup fee.

Compare Estonian company formation providers by incorporation cost, annual renewal fees, legal address, contact person and accounting support. Compare company formation services in Estonia →