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You can choose your type of business based on the following criteria

Nature of business

The decision depends on planned business activities.

The amount of available capital

When establishing legal entities of certain types, the founder of a legal entity must have certain amount of the authorised capital.

Taxes

The amount of taxes directly depends on the form of activities a person has chosen.

The degree of personal liability

If a person intends to limit his liability for business failures with his personal or family property, he or she should choose a legal entity of limited civil liability.

The number of founders 

If there are several or more interested persons wishing to jointly conduct business activities, they should establish a legal entity for these business activities.

The degree of complexity  of business activities 

For example, conducting individual activities is easier than having a company, because there is no management structure or need to perform other formalities necessary for legal entities.

Types of companies available in Lithuania

Have you ever tried establishing a company?

Good Business Tip #4: don’t guess, better test

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