Around 5.3 million people reside in Finland, with the majority concentrated in the southern part of the country. It is the eighth largest country in Europe in terms of area and the most sparsely populated country in the European Union.
Finland is a parliamentary republic with a mostly Helsinki-based central government and local governments in 348 municipalities. A total of about one million residents live in the Greater Helsinki area (which includes Helsinki, Espoo, Kauniainen, and Vantaa), and a third of the country's GDP is produced there. Other major cities include Tampere, Turku, Oulu, Jyväskylä, Kuopio, and Lahti.
Finland is well placed in many international comparisons of national performance such as the share of high-technology manufacturing and health care. The country is ranked 1st in the 2009 Legatum Prosperity rating, which is based on economical performance and quality of life.
Finland’s economic stability and high-tech industrial base has made it a key target for international investors. Anyone can set up a limited company in Finland, irrespective of nationality, so long as one of the company’s founding members is resident in the European Economic Area. If the founder is a legal person, its domicile should be in an EEA country (the EEA compromises all the EU countries plus Iceland, Liechtenstein, Norway and Switzerland).
The most common type of company in finland
The two most popular forms of business entity in Finland are:
- public limited company - osakeyhtiö Oyj
- private limited company – osakeyhtiö Oy
How much share capital is required to establish a public limited company (OYJ)?
- The minimum share capital for a public limited company is €80,000.
Other requirements for a public limited company
- a minimum of three board directors plus a chief executive
- it is usual to be listed in the Helsinki Stock Exchange
- there is a statutory requirement for audited accounts
- flat corporate tax rate of 26%
How much share capital is required to establish a private limited company (OY)?
- The minimum share capital for a private limited company is €8,000.
Other requirements for a private limited company
- at least one board director and a deputy
- there is a statutory requirement for audited accounts
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- flat corporate tax rate of 26%
Other types of company
- general or limited partnership
- small private company, usually sole trader
- branch of a foreign company
