Why Open a Legal E-Commerce Project in Estonia?
E-commerce refers to a system where you buy or sell goods or services without having to physically go to a retail store. From an economical standpoint, the ability to sell or buy goods or services via the web is considered the single most important application of the Internet to date. E-commerce transactions usually happen in B2B, B2C, C2B, and C2B segments. In the last 15 years, there was significant growth in the e-business segment, particularly due to the rise of global e-commerce giants such as eBay and Amazon. Estonia is routinely described by both economic experts and technology gurus as an advanced, digitized, high-income country with lots of upsides, including flat-rate taxation, low levels of bureaucracy, strong Internet infrastructure, and a reasonably good tech skills base. There are many businesses that elect to go international in order to maximize sales and profits and they chose Estonia as their home base, in large part due to its excellent infrastructure and friendly business environment. Company registration in Estonia. has become a worldwide trend!
How Long Will It Take to Register an E-Commerce Company in Estonia?
Business registration in Estonia is relatively simple and relatively fast. E-residents can set up shop in Estonia without having to set foot in Estonia, with a few clicks of the mouse. On average, it takes up to three workdays to create a business in this country.
Of course, it’s almost impossible to provide correct estimations without knowing your specific needs, structure, and the desired timeline for your E-commerce project. If there are no major hindrances or delays in the process, registering a business can be done in just a few days.
What Organizational / Legal Things to Consider Before Even Starting an E-Commerce Project in Estonia?
There are many different questions that should be addressed before even considering starting an e-commerce project in Estonia. Down below, there will be a list of a few things that are vital for online businesses. Taking them into consideration will help you prepare your project, mitigate potential problems and save time and money.
A profitable e-commerce project must:
- Have access to a pool of qualified potential employees (IT experience is a must for some positions)
- Be able to offer a wide range of products/services
- Be able to integrate itself into the digital landscape of Estonia
- Be staffed with people who are motivated and knowledgeable about digital processes, people that have e-Residence
- Have a bank account in Estonia, for sending and receiving payments
- Have a legal address (if needed)
These are only the most common considerations for any start-up project, but it’s still essential to make time and effort into ensuring that all of the necessary details are gathered and addressed as early as possible.
Why Is It So Easy to Start an E-Commerce Company in Estonia?
Estonia has a strong IT industry, especially within the area of enterprise and service delivery systems. Estonian companies are not only known for their reliability and high-quality work, but also for their outstanding work ethic and drive to excel.
There are a number of reasons why it’s so easy for companies to start and thrive in Estonia, but most of it boils down to the fact that the Estonian government recognizes the importance of tech and how it affects every single aspect of the country. Estonia’s E-Residency program and several other laws had made it incredibly easy for international businesses to start their E-Commerce offshoots in Estonia. Thanks to a spike in the number of enterprises and entrepreneurs that have an E-Residency and operate within the jurisdiction, the Estonian economy has grown considerably in the past few years.
Why Do People Choose Estonia for an E-Commerce Project?
While most of the requirements for starting an e-commerce project in Estonia are similar to any other country’s, there are several other major factors that make Estonia an ideal place for starting an e-commerce project. They are as follows:
- Innovative e-Residency program. This program enables companies to start their operations in Estonia without having to set foot in this beautiful country.
- High level of respect for private property rights. One of the cornerstones of Estonia’s business philosophy is that private property rights are of the utmost importance and must be protected at all costs.
- Ease of setting up a business. It was already mentioned above, but this Baltic country is extremely friendly toward startups.
- Innovative banking solutions. E-residents are able to transfer their money into Estonian banks with a few clicks. This convenience allows start-ups to save time and resources.
- Remote working. You can operate your business from anywhere, but you can also choose to headquarter your team in the heart of the country if you so please.
- Low costs. It’s fairly inexpensive to set up your online business in Estonia. The costs of establishing and running a company are much lower than in most other countries.
- Vast pool of skilled labor. This country is well known for its highly skilled labor force. With so many new companies setting up operations in Estonia, the average level of expertise will only continue to increase over time.