MB vs. UAB business structure comparison

0% Corporate Tax in the First Year

New small businesses that meet basic criteria (under 10 employees, under €300,000 in revenue) can benefit from zero corporate tax in their first year.

Low Taxes

Lithuania offers some of the lowest tax rates in Europe: effective corporate tax starts from 7% for small businesses (with up to 10 employees and annual revenue under €300,000), and a standard rate of 17% applies when either of these thresholds is exceeded

Clear Tax & Legal Framework

Transparent regulations, stable taxation rules, and English-language legal support make Lithuania a safe and predictable place to do business.

Fast & Simple Company Formation

Opening a company in Lithuania is quick – often completed within 5-7 business days.

Low Operational Costs

From office rent to salaries, Lithuania offers one of the lowest cost structures in the EU, making it ideal for startups and growing businesses.

EU Residence Permit (TRP)

Company owners and employees may qualify for an EU residence permit based on employment or business activity in Lithuania.