Estonia: Operating a Business

Setting Up a Company

Types of Companies and Capital (Max/Min)	Number of Partners/Shareholders and Liability
Sole proprietorship No minimum capital.	1 person. Liability is unlimited.
Private Limited Company Minimum EUR 2,557	No minimum Partners' liability is limited to the amount contributed.
Public Limited Company Minimum EUR 25,566	No minimum. Partners' liability is limited to the amount contributed.
General partnership. No minimum capital.	Minimum 2 partners. The partners are solitarily liable for the obligations of the partnership with all of their assets.
Limited partnership No minimum capital.	Minimum 2 partners. Limited Liability.

The Competent Organization: Registration should take place at the Commercial Register.

Source: Doing Business.

Business Setup Procedures: Consult Doing Business Website, to know about procedures to start a Business in Estonia.
Trade Register

Legal Weekly Duration: Legal duration is 40 hours a week.
Retirement Age: 63 for men
60 for women
Working Contracts: There are fixed-term contracts, (their maximum duration is five years) and contracts with unspecified terms. A minimal part of the working populations has no written contract; conditions are agreed orally. These contracts can not be extended over two weeks.

Minimum Wage: Minimum monthly wage for a full time work is EUR 230
Average Wage: The average monthly gross earnings in Turkey is EUR 720. The highest wages are paid in the financial sector and the lowest in the hotels and restaurants.
Social contributions: Social Security Contributions Paid By Employers: The rate is 33% (20% for social security and 13% for health insurance).

Social Security Contributions Paid By Employees: Two contributions are deducted by the employer on the worker's gross wages:
- A contribution of 2% which is paid to a pension fund;
- A contribution of 0.6% which helps to finance unemployment insurance.

Social Dialogue and Involvement of Social Partners: There are 2 major trade unions in Estonia:
- EAKL - Confederation of Estonian Trade Unions
- TALO - Estonian Employees' Unions' Confederation.
It should be noted that trade unions were reorganized following the independence of the country in the 90's. The trade unions gave up their role of acting as an "executing organ" and supporter of the Soviet Union system to gain freedom in acting in the state system and economy. The principles of social partnership were therefore established quite recently. A Trade Unions Act was drawn up and guarantees the right for employees to join a trade union.
Unions: Confederation of Estonian Trade Unions
Estonian Employees' Unions' Confederation
Unionization Rate: Only 14% of Estonian employees are member of a Trade Union.
Labor Regulation Bodies: Ministry of Social Affairs

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