How to Do LLC Company Registration in Lithuania

Can You Register an LLC in Lithuania?

Yes, Lithuania allows entrepreneurs to establish a company equivalent to an LLC. In Lithuania, the structure most similar to an LLC is called a Uždaroji Akcinė Bendrovė (UAB), which functions as a limited liability company and is widely used by startups, SMEs, and international investors. 

Advantages of Forming an LLC in Lithuania

Below are the key benefits of forming an LLC in Lithuania and why many businesses choose this jurisdiction:

• Limited Liability Protection for Owners: One of the most important advantages of LLC registration in Lithuania is the legal protection it provides to shareholders. This structure separates the company’s liabilities from the personal assets of its owners. Shareholders are generally liable only for the amount of capital they invest in the company.
• Competitive Corporate Tax System: Another major benefit is the country’s favorable corporate tax regime compared with many other European countries. The standard corporate income tax rate is 15%, which is considered relatively low within the EU. Small companies may qualify for a reduced tax rate of 5% depending on revenue and workforce size.
• Access to the European Union Market: Lithuania is an EU and Eurozone member, allowing companies to trade freely across EU countries. Businesses can reach more than 450 million consumers without customs barriers.
• Double Taxation Treaties for International Business: The country maintains double taxation treaties with dozens of countries, helping businesses avoid being taxed twice on the same income. These agreements simplify international operations and improve financial planning for companies operating globally.

Steps to Register an LLC in Lithuania

Below is a step-by-step guide explaining how to form an LLC company in Lithuania:

Step 1: Choose and Reserve a Company Name

The first step is selecting a unique business name and confirming that it is available.

• Conduct a name availability check through the Register of Legal Entities database.
• Submit the reservation request (often using Form JAR-5) to protect the company name.

Reserving the name ensures that another business cannot register the same name during the incorporation process. 

Step 2: Establish a Registered Legal Address

Every LLC company in Lithuania must have a legal address within the country before registration can proceed.

• The address can be a physical office or a legally approved virtual office.
• The property owner must provide written consent allowing the company to use the address.
• This address is used for official communication with government institutions.

Providing a valid address is mandatory and is included in the registration documents.

Step 3: Prepare the Founding Documents

The next stage involves preparing the official incorporation documents.

Common documents include:

• Articles of Association describing the company structure and rules.
• Act of Incorporation (for a single founder) or Memorandum of Association (for multiple founders).
• Shareholder information and director appointment details.
• Identification documents for founders or corporate shareholders.

These documents define the governance structure of the limited liability company in Lithuania and must comply with Lithuanian corporate law. 

Step 4: Open a Temporary Bank Account and Deposit Share Capital

Before submitting the registration application, founders must deposit the required share capital.

• Open a temporary accumulation bank account in the company’s name.
• Deposit the minimum required share capital for the company.
• Obtain a bank confirmation certificate verifying the deposit.

This certificate must be included in the incorporation documents submitted to the authorities.

Step 5: Notarize the Incorporation Documents

Certain documents must be notarized before submission.

• A Lithuanian notary verifies the authenticity of incorporation documents.
• Foreign documents may require an apostille or legalization under international conventions.
• The notary confirms that the documents comply with Lithuanian legal requirements.

Notarization ensures the legal validity of the company formation process. 

Step 6: Submit Documents to the Register of Legal Entities

After preparing and notarizing all documents, they must be filed with the Register of Legal Entities, which officially registers companies in Lithuania.

Required submissions generally include:

• Completed registration application
• Articles of Association
• Proof of registered address
• Bank certificate confirming share capital deposit
• Identification documents of founders

Applications can be submitted online through the Centre of Registers portal or in person.

Step 7: Receive the Company Registration Code

Once the application is approved, the authorities finalize the LLC formation in Lithuania.

• The company receives an official registration number (company code).
• The business is officially listed in the Register of Legal Entities.
• Entrepreneurs receive an official registration confirmation document.

After this step, the LLC is legally established and can begin business operations. 

Documents Required for LLC Registration in Lithuania

Below is a detailed list of the key documents required when establishing a limited liability company in Lithuania:

• Application for Company Registration
• Articles of Association (Company Statutes)
• Act of Incorporation or Memorandum of Association
• Identification Documents of Founders and Directors
• Proof of Registered Office Address
• Bank Confirmation of Share Capital Deposit
• Additional Documents for Corporate Founders (If Applicable)
• Power of Attorney (If Using a Representative)

Tax Obligations After LLC Registration in Lithuania

Below is a breakdown of the main taxes that apply to an LLC company in Lithuania:

1. Corporate Income Tax (CIT)

The primary tax for a limited liability company in Lithuania is corporate income tax, which applies to the company’s profits.

• The standard corporate income tax rate is around 17%.
• Some small businesses may qualify for reduced tax rates (0% or 7%) if they meet conditions such as limited annual revenue and employee numbers. 
• Lithuanian companies are generally taxed on worldwide income, while non-resident companies are taxed only on income sourced in Lithuania.

This relatively moderate corporate tax rate makes forming an LLC in Lithuania competitive compared with many European countries.

2. Value Added Tax (VAT)

Most businesses conducting commercial activity must also comply with VAT obligations after LLC company registration in Lithuania.

• The standard VAT rate is 21%, applied to most goods and services. 
• Reduced VAT rates include 9% and 5% for specific goods and services such as books, pharmaceuticals, and cultural activities.
• VAT applies to the supply of goods and services within Lithuania when conducted by a taxable person engaged in economic activity. 

VAT must typically be reported periodically through the tax administration system.

3. Social Security and Payroll Taxes

If the LLC in Lithuania hires employees, payroll-related taxes also apply.

Typical contributions include:

• Employer social security contributions of approximately 1.77% of wages. 
• Employee contributions for social insurance and health insurance deducted from salaries. 

These contributions fund Lithuania’s national social security system.

Set Up Your LLC Today with Commenda

If you’re ready to begin LLC company registration in Lithuania, working with a professional formation service can simplify the process and reduce compliance risks. Commenda provides end-to-end support for LLC formation, helping entrepreneurs handle legal filings, tax registrations, and ongoing compliance requirements from one centralized dashboard.

Key services include:

• End-to-end company incorporation across multiple jurisdictions, including support for setting up a limited liability company in Lithuania and other global structures.
• Tax registration and compliance monitoring, including corporate tax and VAT obligations.
• An entity management dashboard that centralizes company documents, filings, and deadlines.
• Bank account and financial setup assistance for newly formed companies.
• Global expansion support with local experts and accounting networks to help businesses scale internationally.

These features allow founders to manage every stage of LLC company registration in Lithuania and post-formation compliance through a single platform.

Why Entrepreneurs Choose Commenda

Common reasons businesses choose Commenda include:

• Tech-enabled incorporation workflows that streamline document submission and tracking.
• Automated compliance alerts to help companies meet filing deadlines and regulatory obligations.
• Integrated accounting and tax support, helping companies manage international tax exposure.
• Centralized management of multiple entities across jurisdictions from one dashboard. 

With expert guidance, digital compliance tools, and end-to-end registration services, Commenda helps entrepreneurs launch and manage their businesses with confidence.

Book a free demo today to get started.