Publication date: November 8, 2025
Latvia offers a strong option for entrepreneurs looking to access the EU with low entry costs, quickly position themselves in the Baltic market, and benefit from a flexible tax structure. A budget of 60,000 Euros can cover both the company establishment and the residency permit process through investment with the right setup. The following guide outlines the steps to establish an SIA (limited company) in Latvia as of 2025, the logic of Golden Visa/residency permits through investment, tax and payroll compliance, and international workforce planning in a clear sequence. The Corpenza team provides end-to-end solutions including company formation, payroll, personnel leasing (posted worker), accounting, tax optimization, and residency/work permits throughout this journey.
1) Why Latvia and What Does the 60,000 Euro Plan Provide?
Advantages of Location, Cost, and Compliance Offered by Latvia
Riga facilitates trade at the intersection of the Scandinavian, Central European, and CIS corridors. A digitalized public infrastructure accelerates processes from company registration to tax declaration. The labor market produces qualified profiles in technology, logistics, finance, and manufacturing support roles.
- Fast digital registration and online processes with e-signature
- Predictable corporate tax regime for companies
- Access to the EU/Schengen and extensive supply chains
Realistic Goals with 60,000 Euros
This budget is sufficient to cover the main items of SIA establishment and residency permit application through investment. Plan the budget among share capital, official fees, legal and translation expenses, banking, and startup operational costs. Additionally, allocate funds for the state contributions and renewal conditions anticipated in the residency permit application.
- Share capital: At least 50,000–60,000 Euros depending on the investment route
- Establishment, translation, apostille, and consultancy: Varies according to company structure
- Banking, office/virtual office, initial payroll, and software licenses
2025 Outlook and Legislative Sensitivities
Authorities prevent the establishment of dormant structures created solely to obtain a visa. Prove real economic activity with indicators such as a business plan, contracts, office, and payroll. Legislation and fees are updated periodically; check official sources before applying.
- Residency permits and investment conditions: Latvia Migration Office (OCMA)
- Company registration and UBO notification: Latvia Commercial Register
- Tax and e-declaration processes: Latvia State Revenue Service (VID)
2) Establishing an SIA (Limited Company): Step-by-Step Roadmap
Preparation: Founder, Address, and Banking Strategy
Clarify the founders, share distribution, and managers. Ensure UBO (ultimate beneficial owner) transparency from the start. Plan a physical or virtual address in Riga. Prepare your compliance file for banking (source of funds, business plan, contracts).
- Selection of company name and activity codes (NACE)
- Articles of association and amount of share capital
- UBO declaration and identity verification
Fast Establishment with Digital Registration and E-Signature
Apply electronically through the Latvia Commercial Register portal with an e-signature. Support documents with sworn translation and apostille when necessary. If managed correctly, registration can be completed within a few business days.
- Approval of articles of association and application forms
- Share capital blocking letter and subsequent release
- Commercial Register registration and company number
After Establishment: Tax, VAT, Payroll, and Proof of Activity
Open tax liabilities with VID. Register for VAT when you exceed thresholds and strengthen your file with real activity (contracts, office, equipment, payroll). Reduce risks with regular declarations and bookkeeping.
- Corporate bank account and e-payments
- Establishment of VAT and withholding processes
- Schedule annual financials and audit requirements
3) Golden Visa/Residency with 60,000 Euros: Eligibility and Application
Eligibility Criteria and Investment Items
Investors who are not citizens of the EU/EEA/Switzerland can apply for residency permits with certain amounts of company capital investment. Legislation defines metrics such as minimum investment, state contributions, and annual activity/accrued tax. You can add family members to the application under certain conditions.
- Clean criminal record, valid health insurance
- Proof of source of funds and sustainable income
- Real economic activity and intention to employ
Application File and Timing
Prepare the file according to the OCMA guidelines. Company registration documents, proof of investment, bank statements, passport, biometric data, insurance, and documents confirming family ties should be included in the file. The business plan should clearly outline market entry, employment, supply, and tax impact.
- Pre-review and document completeness checklist
- Appointment, biometrics, and possible interview
- Card production and management of annual/multi-year validity
Renewal, Stay Requirements, and Status Maintenance
Maintain the investment and company activity to protect the permit. Timely fulfill the company’s tax and payroll obligations. Plan minimum visit/residency conditions and annual reporting requirements. Confirm current conditions through OCMA.
- Renewal schedule and timely submission of documents
- Closure of tax and social security accruals
- Address, partnership structure, and UBO change notifications
4) Tax, Payroll, and Compliance: Framework for Error-Free Operations
Corporate Tax and VAT Regulation
Latvia eases cash flow with its approach focusing corporate income tax on the moment of profit distribution. Manage the VAT registration threshold and refund procedures according to your business model. Keep documentation tight in transfer pricing and parent-subsidiary relationships.
- Monthly/quarterly VAT declarations and reconciliations
- Taxation of undistributed profits and dividend planning
- Utilization of double taxation avoidance agreements
Payroll, Social Security, and Remote Teams
Accurately structure payroll calculations for resident and non-resident personnel in Latvia. Manage remote workers with legally compliant contracts. Systematically manage fringe benefits, minimum wage, overtime, and leave rules.
- Gross-net calculations, social contributions, and deductions
- Tax withholding at source for non-resident employees
- Payroll reporting and archiving of pay slips
UBO, AML, and Document Management
UBO notification is mandatory; update changes without delay. Implement Know Your Customer (KYC) and Anti-Money Laundering (AML) procedures. Create retention schedules for invoices and contracts.
- UBO registration and periodic verification
- Risk-based AML policies and training
- E-archive and audit-ready file structure
5) International Workforce: EOR, Payroll, and Posted Worker
Personnel Leasing and Temporary Employment (Posted Worker)
If you are going to make temporary assignments within the EU, comply with the host country’s notification, minimum wage, and working hours rules. Create project-based capacity with the temporary employment model and distribute risks. Prepare documents (A1 certificate, contract appendices) in advance.
- Assignment notifications and country-specific time limits
- Expense, accommodation, and daily allowance policies
- Occupational health and safety obligations
Fast Market Entry with EOR and Payroll
If you need to employ without establishing a local legal entity, use the EOR (Employer of Record) solution. Corpenza manages payroll; pays salaries; handles contracts and notifications. You focus on team management and revenue generation.
- Fast hiring and legal working framework
- Expense recognition of salaries and reporting transparency
- Multi-country payroll consolidation
Talent Retention with Permanent Residency/Work Permits
Create roadmaps for permanent residency and work permits for critical positions. Match company transfers, highly skilled workers (EU Blue Card), or investment-based routes based on role and profile. This way, you can prevent compliance and timing errors.
- Role-based route selection and requirement list
- Family reunification and training planning
- KPIs for renewal and status maintenance
6) Action Plan and Corpenza’s Role: 30-60-90 Days
First 30 Days: Establishment and File Architecture
Clarify the establishment strategy, initiate company registration, and prepare banking. Gather investment documents suitable for the residency permit route. Set up accounting and payroll software; create a VAT and tax calendar.
- Company registration and UBO notification
- Definition of IBAN and payment flows
- Document set: contracts, insurance, criminal record, business plan
60 Days: Operations and Application
Sign initial contracts, onboard the first employee(s), and run payroll. Submit the OCMA application; manage biometrics and appointments. Test VAT/withholding workflows and prepare initial declarations.
- Start of operations and invoicing
- Residency application and follow-up
- Internal checklists and compliance trials
90 Days and Beyond: Renewal Criteria and Scaling
Monitor revenue and tax KPIs; adjust routes according to residency permit renewal criteria. Evaluate posted worker and EOR options when opening sales in new countries. Protect capital with cash flow and tax optimization.
- Tax and social security closure checks
- Assignment plans within the EU
- Financial reporting and audit readiness
How does Corpenza support?
- Residency permits and Golden Visa: Application preparation, document control, scheduling, and renewal management
- Company establishment: Articles of association, UBO notification, banking, and Commercial Register processes
- International accounting and tax: VAT, corporate tax, transfer pricing, and reporting
- Payroll and EOR: We manage payroll end-to-end for your remote employees
- Personnel leasing (posted worker): We handle assignment, notification, and compliance steps as a temporary employment agency
- Investment-based citizenship and tax optimization: We position your assets and income with country-based risk/tax matrices
Important notes: Legislation, threshold amounts, fees, and durations may change. Check current conditions from official sites before applying and prepare your file accordingly: OCMA, Commercial Register, VID. Corpenza manages each step in a documented and scheduled manner; you focus on strategy and growth.
