Company types
Choose the structure that fits your ambition.
Latvia's standard private limited company — the SIA. You choose the share capital model and whether to register for VAT.
Share capital: 1 EUR or 2800 EUR
Both options form a fully valid limited liability company. Your choice depends on your scale and whether you need VAT registration.
1 EUR Capital
The most popular choice for startup founders, consultants and freelancers. Register a full SIA with a nominal 1 EUR share capital — quick, cheap and low-maintenance.
- Minimum 1 EUR share capital
- Ideal for services & consulting
- Fastest registration (3 days)
- Not suitable for early VAT / large-scale trade
2800 EUR Capital
The full-scale model for trading businesses, holding companies and operations that need VAT registration from day one. A higher capital base signals substance.
- 2800 EUR share capital
- Best for trading & e-commerce
- Supports VAT registration
- Established credibility with banks & partners
With or without VAT
VAT registration in Latvia is optional depending on your turnover and target market. Here's how to decide.
Without VAT
Best for B2B or export-only services where VAT adds no benefit, or for businesses below the domestic VAT threshold.
- Lower administrative burden
- No VAT returns to file
- Ideal for intra-EU B2B services (reverse charge)
With VAT
Necessary for B2C sales within Latvia or the EU above the threshold, and often for scale e-commerce operations.
- Reclaim input VAT on purchases
- Required for B2C VAT charging
- Often pairs with the full 2800 EUR model
