If you decide to close your company in Estonia, we recommend a so-called voluntary dissolution (liquidation), which is the traditional approach.
In practice, the entire liquidation process takes 7-8 months on average. There are numerous steps involved in the process, including compiling and submitting various applications and notices to the public authorities in Estonia. Some accounting and legal assistance will be required. There are also some required timelines that can’t be compressed to shorten the period. However, the process itself is rather straightforward and doesn’t require significant effort from your side.
As a prerequisite, your company has to complete the following steps before beginning the process:
- Stop business activity. Once the liquidation starts, your company cannot make new sales or purchases or make salary payments.
- Clear all debts and obligations (if you have none, just consider this a friendly reminder)
- If applicable, terminate its VAT payer status (we'll do it on your behalf)
Please make sure your ID card is valid to start the process. If you need to renew your ID card, you can find the relevant application on the Estonian Police website.
There is also a requirement to appoint an official liquidator.
We're happy to assist our clients in this process if necessary, but this isn't included in our standard price.
Namely, we charge €499 + VAT for the assistance. It's a one-time fee, and once we enter the official process of termination (the petition to start the liquidation process was approved by the e-Business Register), no monthly fee will be charged in parallel. But you can also find an alternative service provider who's willing to do it - you're not tied to us.
Simply let us know in advance when you'd like to initiate the process and whether you'd like to use Xolo or somebody else.