Skip to main content
Work & LifeFinland

Starting a company in Finland

A guide to choosing your company type, registering with PRH, meeting legal requirements, and setting up finances.
Ask AI about this page:ChatGPTClaudePerplexityGoogle

Starting a company overview

Finland offers a business-friendly environment with transparent regulations, digital-first government services, and strong support for entrepreneurs. The most common company forms are the limited liability company (osakeyhtiö, Oy), sole trader (toiminimi), and cooperative (osuuskunta). Registration is handled through the Finnish Patent and Registration Office (PRH).

  • Limited liability company (Oy) is the most popular form for serious ventures
  • Company registration through PRH can be done entirely online
  • There is no minimum share capital for a private limited company (Oy) since 1 July 2019

Company types (yhtiömuodot)

Finland offers several business structures, each suited to different needs and scales of operation.

  • Osakeyhtiö (Oy): limited liability company, best for growth-oriented businesses
  • Toiminimi (sole trader): simplest form, suitable for freelancers and small operators
  • Osuuskunta (cooperative): member-owned, common in agriculture and shared ventures
  • Avoin yhtiö and kommandiittiyhtiö: general and limited partnerships, less common today

Registration process

Registering a company in Finland is straightforward and primarily handled through PRH (Patentti- ja rekisterihallitus).

  • Register online via the YTJ service (ytj.fi), which handles both PRH and Tax Administration registration
  • Choose a unique company name, PRH provides a name search tool
  • An Oy requires articles of association and a shareholder register
  • Processing time is typically 1-3 business days for online applications

Legal requirements

Several legal obligations must be met when establishing a business in Finland.

  • Non-EU citizens need a residence permit that allows business activities
  • Bookkeeping is mandatory: most companies hire an accounting firm (tilitoimisto)
  • Certain industries require specific licenses or permits (e.g., food, healthcare)
  • Companies must comply with GDPR for handling personal data

Financial setup

Setting up your company's finances correctly from the start is essential in Finland.

  • Open a Finnish business bank account, required for an Oy before registration
  • Register for VAT (ALV) if your annual revenue is expected to exceed EUR 20,000
  • Set up employer obligations if you plan to hire staff (TyEL pension, accident insurance)
  • Consider joining an entrepreneurs' unemployment fund (yrittäjän työttömyyskassa) for income protection

Key considerations

Important points to keep in mind when starting a company in Finland.

  • Seek advice from Enterprise Finland (Yritys-Suomi) or a local business advisor before registering
  • Understand your tax obligations: corporate tax rate is 20% for an Oy
  • Budget for mandatory insurances and pension contributions from the start
  • Consider joining Suomen Yrittäjät (Federation of Finnish Enterprises) for support and networking

Related content

Remote work culture in FinlandLearn about hybrid work policies, legal frameworks, tools, and etiquette for remote work in Finland.VAT (ALV) for businesses in FinlandUnderstand VAT registration thresholds, rates, reporting requirements, and EU trade rules for businesses operating in Finland.Business Finland supportDiscover the grants, funding, innovation support, and internationalization services offered by Business Finland.Performance reviews in Finland: what to expectLearn about the Finnish approach to feedback and performance evaluation.Your guide to work & life in FinlandEverything you need to know about working and living in Finland as an international professional.Getting started in Finland: complete newcomer's guide 2026Your step-by-step relocation guide to Finland. Essential checklist, timeline, and practical tips for moving and settling in Finland.