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Liaison Office in Finland

Liaison Office in Finland

The business of foreign entrepreneurs can develop, in the first phase, with the help of a liaison office in Finland. If you want to start a business in Finland and establish your presence here, you should discuss it with one of our local specialists. We can manage the process of company formation in Finland and help investors settle their operations in this country.

 Quick Facts  
The purpose of a liaison office in Finland   For advertising and promoting the activities of a foreign company in Latvia, for contracting potential local collaborators and partners

How is the liaison office known in Finland? 

Representative office 

How can a representative office be registered in Finland? 

 By presenting the documents of the foreign company:

– Articles of Association,

– Certificate of Incorporation.

Other standard forms might be solicited to be filled out.

Can a liaison office in Finland have commercial activities? (YES/NO)  NO 
Contracting potential clients and partners (YES/NO) 

YES 

Local agent required (YES/NO) 

YES 

Attributes of a liaison officer 

– promoting the business activities of the foreign company,

– getting in touch with local clients,

– developing market research,

– communicating with the company from overseas 

Bank account for a liaison office in Finland 

Recommended for the expenses of the liaison office in Finland 

Allowed to invoice local customers 

Not available 

The institution that authorizes the liaison office in Finland  Finnish Trade Register 
The costs of opening a representative office in Finland 

Supported by the overseas company represented in Finland 

Travel requirements 

Not mandatory, but recommended 

Business advertising through a liaison office in Finland 

The goods, services, and activities of a foreign company can be advertised in Finland through a representative office. 

Time frame for opening a liaison office in Finland 

A few days or months, depending on the paperwork and formalities 

Why choose our company formation agents in Finland? 

We can offer:

– support in preparing the documents for opening a liaison office in Finland,

– assistance with the relevant registration authorities,

– complete services at affordable costs. 

 Time frame to open a representative office in Finland Around 4 weeks 

 Rental contract required (YES/NO)  

 YES

 Duration of a liaison office in Finland

 Can be determined by the foreign company

 Feasibility studies permitted (YES/NO)     YES
 Formal management body  

 Not required

 Research and product development  

 Allowed with a representative office in Finland

 Legal representative for a non-EEA parent company

 Must have residence in Finland

 Producing goods and providing services in Finland through a liaison office (YES/NO) 

 NO

 Local address requirement 

 A Finnish liaison office must have a registered address.

 Restricted activities

– direct sales of services and products,

– signing contracts,

– investments,

– import and export, etc. 

 Mediating conflicts  

The responsibility of the liaison officer in Finland 

 Justifying the expenses of the representative office in Finland

With invoices 

Borrowing or lending money through a liaison office in Finland  

 Not permitted

 Related costs after registration of a representative office in Finland

– rent,

– utilities,

– equipment,

– employees salaries,

– office supplies, etc. 

 Advantages of a liaison office in Finland 

– excellent choice for business advertising,

– simple formalities,

– no taxation,

– fast incorporation 

How can a representative office be established in Finland?

A liaison office in Finland must be registered with the local authorities, such as the Trade Register. Here are other formalities in this direction:

  • The Certificate of Incorporation of the parent company must be presented, as well as the decision to open a liaison office in Finland.
  • A liaison officer is needed to represent the respective company on the territory of Finland.
  • A representative office must have a business address in Finland.
  • It is necessary to open a bank account for expenses with the liaison office in Finland.
  • No minimum capital is needed to be able to open a representative office in Finland.
  • Because it does not have commercial activities, a liaison office in Finland does not need to be registered for the payment of taxes.
  • At least one director is needed to start the activities of a liaison office in Finland.

These are some of the formalities and procedures for opening a representative office in Finland. We advise those interested to contact our company formation agents in Finland to discover as much as possible about this structure and how it can be registered. We are also here for those interested in how to open a company in Finland in varied fields of interest.

Below is an infographic with information about representative offices in Finland:

Some of the characteristics of a liaison office in Finland

As mentioned above, a liaison office in Finland cannot undertake commercial activities. Among the operations it can develop, we list:

  • Marketing and promotion activities;
  • Representation of the operations of a foreign company on the territory of Finland;
  • Development of business and marketing projects in order to enter the market;
  • Contracting potential clients interested in the services and products of a liaison office in Finland.

If you want to set up a company in Finland and are interested in a representative office, we recommend specialized help from our local agents. They can take care of the formalities and prepare the necessary documents for registration.

Does the representative office in Finland have a legal personality?

A liaison office in Finland is not defined as a legal entity, considering the activities it carries out. This is an entity closely related to the parent company, and the establishment of a liaison office in Finland is based on the Articles of Association of that company. In addition, all the activities of a representative office in Finland can be directly coordinated by the parent company, to which it reports depending on the results.

What name must a liaison office have when registering in Finland?

The name of a representative office in Finland is that of the foreign company that wants to develop its promotional activities in this country. Basically, the identity is the same, with the specification that in the documents it appears as the liaison office. We remind you that a representative office in Finland cannot have economic operations, cannot issue invoices, or sign business contracts.

Is capital needed to open a representative office in Finland?

There is no obligation to have a minimum share capital for opening a liaison office in Finland. But the costs for office rent, employees, and office supplies are borne by the parent company. It is also valid for the maintenance costs and various expenses for the liaison office in Finland, which are borne by the same company.

Can a liaison office import and export goods in Finland?

No, a representative office in Finland cannot carry out activities of any kind, including those related to the import and export of goods. This type of office is opened strictly for the promotion of the activities, services, and products of a foreign company.

Taxation of a liaison office in Finland

Because it has no commercial activities in the Finnish market, the representative office is not subject to the payment of taxes in this country. Therefore, no VAT or corporate tax is paid by having a liaison office in Finland.

The identity of a company established through a liaison office in Finland

A representative office in Finland is a good option for company owners who want to establish themselves in this country. The fact that one can enter a market without developing economic activities is a benefit. The services and goods of the foreign company can be easily promoted on the territory of Finland. Moreover, a representative office in Finland is an excellent business alternative for those who want to identify opportunities in the market and niches where they can be active, depending on what they want to offer in the future.

There are many advertising strategies, and those who want to make themselves known in the Finnish market can opt for the most modern ones. The identity of a company can be made known on this market quite easily, but before opening a liaison office in Finland, it is recommended to undertake some market checks to be able to implement the proposed marketing options. We advise you to contact our local specialists and find out what are the steps for opening a liaison office in Finland. Our specialists can provide you with all the details and answer questions about the representative office, and generally about starting a company in Finland.

Finland, a top destination for investors

With economic growth registered annually and a business climate highly appreciated among top-quality entrepreneurs, Finland is an optimal business and investment destination. And to give you an idea of the country’s economy, if you want to open a business or even a liaison office in Finland, the following figures might arise your interest:

  • Data for 2022 show that GDP in Finland increased by 2.1%.
  • The inflation rate recorded at the end of 2022 was approximately 7.2%.
  • The government deficit dropped to 0.9% of Finland’s GDP, in the same year.

Those interested in opening a liaison office in Finland are advised to contact us. We have a team ready to inform as much as possible about company incorporation in Finland and related aspects.