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What form of entity is an OÜ (private limited company)?

Last updated: October 22, 2024

In Estonia there are two options for a limited liability company:

  • AS (Estonian: "aktsiaselts") – operates as a public limited company.
  • (Estonian: "osaühing") – functions as a private limited company, typically recommended for small companies due to its simplicity.

For individual business owners, an OÜ is generally recommended, as there’s no specialized format for a single-owner company.

Other entity types:

  • FIE – Sole proprietorship with full individual responsibility, which Xolo does not support or recommend.
  • MTÜ – Non-profit organization. Similar to FIE, Xolo does not support this type of entity.

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