To start a company in Finland in 2027, most founders register a limited liability company (osakeyhtiö, or Oy), which has no minimum share capital, by filing a start-up notification online through ytj.fi. The company gets a Business ID (Y-tunnus) and tax registrations in the same filing. Corporate tax falls from 20% to 18% from tax year 2027, and standard VAT is 25.5%.
This guide covers each step, the main taxes, and who can help.
Choose The Right Legal Form
Most founders and foreign companies choose an Oy, where shareholders are not personally liable for company debts.
Form
Minimum Capital
Best For
Oy (limited liability company)
No minimum
Startups, SMEs and subsidiaries
Toiminimi (private trader)
None
Solo businesses
Branch of a foreign company
None
Foreign companies testing the market
Register Your Oy Step By Step
Registration is digital and can be done in days once documents are ready.
1. Choose A Name
Check that the name is free in the Trade Register.
2. Sign The Memorandum Of Association
Founders sign the memorandum and agree the articles of association.
3. File The Start-Up Notification Online
Since 1 January 2026, limited companies must file online through ytj.fi. The service is in Finnish and Swedish, and a handling fee of a few hundred euros applies.
4. Receive Your Business ID
The filing registers the company with the Trade Register and the Tax Administration, and issues a Business ID.
5. Register For VAT And As An Employer
Register for VAT once turnover passes the threshold, and join the employer register before paying salaries.
Understand Finnish Taxes In 2027
Finland’s corporate tax rate is 20% for 2026 and falls to 18% from tax year 2027, one of the lowest rates in the Nordics.
Standard VAT is 25.5%, with reduced rates of 13.5% and 10%. VAT registration is required once annual turnover exceeds €20,000.
Tax
Rate
Corporate income tax
20% in 2026, 18% from 2027
Standard VAT
25.5%
Reduced VAT
13.5% and 10%
VAT registration threshold
€20,000 annual turnover
Open A Bank Account And Hire
Finnish banks run thorough know-your-customer checks, so prepare ownership and business documents early. Bank checks are often the slowest step for foreign founders.
Finland has no statutory minimum wage. Pay and conditions are usually set by sector collective agreements, so check which one applies before hiring.
Founders From Outside The EU
Founders from outside the EU usually need a residence permit before working in Finland. Fast-growing startup teams can apply for the Finnish Startup Permit.
Is there a minimum share capital for a Finnish Oy?
No. A private limited company has had no minimum share capital since 2019.
Can foreigners own a Finnish company?
Yes. Foreign individuals and companies can own an Oy.
What is the corporate tax rate in Finland in 2027?
The rate falls from 20% to 18% from tax year 2027.
How long does registration take?
Online filings are usually processed in days once documents are complete.
Conclusion
Finland offers a digital, low-friction company setup and a falling corporate tax rate. To budget for living there, read the cost of living in Helsinki, and explore the Finland hub.
