Interested in opening a branch in Finland? You can be assisted by one of our Finnish agents throughout all the formalities. Please read this article and find out information about the key characteristics of this type of business entity.
| Quick Facts | |
|---|---|
| Applicable legislation (Home country/Foreign country) | Home country |
Best used for | Expanding business in other countries |
Minimum share capital | No minimum share capital is required to establish a branch in Finland. |
| Time frame for the incorporation of a branch in Finland (approx.) | 7 days |
| Documents to be filed by the parent company | – Memorandum of Association, – Articles of Association, – shareholder’s register, etc. |
| Management (Local/Foreign) | Local management is required to establish a branch in Finland. |
| Legal representative required (Yes/No) | Yes, Finland imposes the obligation of having a legal representative. |
| Local bank required (Yes/No) | Yes, you can get assistance from our specialists to open a bank account in Finland. |
| Independence from the parent company | No, the parent company regulates a branch in Finland. |
| Liability of the parent company | The parent company is liable for the actions of its branch in Finland. |
| Corporate tax rate | 20% |
| Annual accounts filing requirements | Yes |
| Possibility of hiring local staff (Yes/No) | Yes, it is possible to hire local staff. |
| Travel requirements for incorporating branch | No, it is not required to travel to establish a branch in Finland. |
| Double tax treaty access (Yes/No) | Yes, Finland signed almost 25 double taxation treaties. |
Table of Contents
What are the main features of a branch in Finland?
- it does not have a separate legal entity,
- it acts as an extension of a parent company,
- It is overseen by the foreign firm,
- must carry out only the operations of the foreign enterprise,
- must act under the same business name as the foreign company,
Can a branch in Finland be 100% foreign owned?
Yes.
Where is a branch registered in Finland?
At the Finnish Trade Register, which is managed by the Finnish Patent and Registration Office (PRH).
Who is liable for a branch in Finland?
The parent/foreign company.
Here is an infographic with information about branches in Finland:
What are the main conditions to start a branch in Finland in 2026?
- verify and reserve the trade name. This must be the same as the foreign company,
- non-EU enterprises must obtain a special permit/approval from the PRH for opening a branch in Finland,
- appoint a legal representative with a domicile in Finland,
- draft a start-up notification and send it to the Finnish Trade Register,
- open a corporate bank account,
- register the branch for taxation purposes in Finland.
What documents are solicited for a branch in Finland in 2026?
- an extract from the Trade Register of the country of origin of the foreign firm,
- articles & Memorandum of Association,
- copy of the Certificate of Incorporation of the parent company,
- board meeting minutes,
- a document showing that the company representative can sign documents,
- application form handled by the Finnish Trade Register, etc.
IMPORTANT! All these documents must be translated into Finnish or Swedish. Some of them must be notarized and apostilled.
Is a minimum share capital required for setting up a branch in Finland?
No.
Is a business license required for opening a branch in Finland?
Yes, depending on the industry/business sector in which the branch will operate in Finland.
You can also watch a video presentation we have prepared on this topic:
Are there any extra conditions to open a branch in Finland?
The business name must also comprise “Suomen sivuliike” or “filial”.
What are the reporting requirements for Finnish branches in 2026?
- monthly/quarterly VAT returns,
- salary reporting for the employees of the branch,
- annual financial statements, and income tax returns, etc.
IMPORTANT! All modifications made in the branch must be directly reported to the Finnish Trade Register. We can put you in contact with our accountants in Finland.
How is a branch in Finland taxed in 2026?
- 20% corporate tax rate,
- 25.5% VAT for annual turnover exceeding EUR 20,000/year,
- No taxation on profit repatriation of a branch in Finland.
How much is the registration fee for a branch in Finland in 2026?
- around EUR 400 as a registration fee imposed by PRH,
- around EUR 150 for a permit fee for non-EU/EEA branches.
How much does it take to register a branch in Finland?
Around 1-3 weeks, and even faster for online incorporation.
Are there any post-registration obligations for a branch in Finland?
- register employees with Social Security,
- keep accounting records,
- Review company data annually and report to the PRH of any changes, etc.
What are the benefits of a Finnish branch?
- 100% foreign ownership,
- lower incorporation costs compared to subsidiaries,
- no local partner needed,
- no currency restrictions,
- tax efficiency,
- fast entry in the Finnish market,
- reputation & credibility,
- no restriction on hiring foreign staff,
- operational flexibility, etc.
Ready to start your branch in Finland? Feel free to contact our agents for starting a company in Finland and find out more about the requirements imposed.