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How to Register a Business in Finland – A Step-by-Step Guide

Starting a business in Finland is a straightforward process, but there are key steps you need to follow. Whether you’re launching a tech startup or a small local business, this guide will walk you through everything you need to know.

Step 1: Choose Your Business Structure

Before registering, decide what type of business entity suits your needs:

  • Sole Trader (Toiminimi) – Best for freelancers and small businesses.
  • Limited Liability Company (Osakeyhtiö, Oy) – Ideal for startups and companies planning to scale.
  • General Partnership (Avoin yhtiö, Ay) – Requires at least two founders.
  • Limited Partnership (Kommandiittiyhtiö, Ky) – Includes both general and silent partners.

Step 2: Register Your Business Name

Your business name must be unique. You can check availability through YTJ.fi, Finland’s Business Information System.

Step 3: Register with the Finnish Patent and Registration Office (PRH)

  • Sole traders register directly through the YTJ.fi online system.
  • Limited Liability Companies must submit official documents, including articles of association.
  • Partnerships require a registration application signed by all partners.

Step 4: Get a Business ID and Tax Registration

Once approved, your business will receive a Business ID. If your turnover exceeds €15,000 annually, you must register for VAT (ALV). You should also consider registering for Prepayment Tax and Employer Register if you plan to hire employees.

Step 5: Open a Business Bank Account

Most Finnish banks require proof of registration before opening a business account. Choose a bank that suits your financial needs and ensure it supports your payment processing requirements.

Step 6: Understand Your Accounting & Reporting Obligations

  • All businesses must maintain proper accounting records.
  • Sole traders can use single-entry accounting, while companies must follow double-entry accounting.
  • Consider hiring an accountant or using accounting software like Procountor or Netvisor.

Step 7: Start Operating and Comply with Regulations

Once registered, ensure you comply with Finnish business laws, such as consumer protection, employment regulations, and industry-specific licensing.

Final Thoughts

Starting a business in Finland is a smooth process if you follow these steps. Make sure to plan ahead, stay compliant, and leverage resources like Business Finland and local entrepreneurship networks for support.