PERMITS AND NOTIFICATIONS
1. Permits and Notifications
Business, trade or professional activities may be carried out in Finland by individual entrepreneurs as well as by corporate entities. In principle freedom of occupation prevails, which means that no special permits need to be obtained for establishing a business in Finland.
However, before starting business activities regardless of the legal entity of the enterprise, a notification has to be filed with the Trade Register and the County Tax Government. The latter includes a registration for tax, VAT and employer purposes, whereby the enterprise receives a certain tax registration number.
There are a number of specific business activities which are licensed or otherwise restricted. To a certain extent the rules concerning foreigners are different compared to those concerning Finnish citizens.
In principle the freedom to carry on a trade applies to all natural persons living inside the European Economic Area, Finnish corporations and foundations as well as branches to foreign companies registered and having their primary domicile inside the European Economic Area. The Ministry of Trade and Industry may permit also other persons to carry on a trade. The same permit is also needed for a foreigner who wishes to operate as personally liable partner in a partnership.
2. Restrictions on Investments
Under current legislation foreigners can freely invest in Finnish shares.
Until the end of 1995, however, the Ministry of Trade and Industry retains the limited control of corporate acquisitions. Under this control large companies, with a turnover exceeding FIM 1 billion and more than 1.000 employees, are required to inform the Ministry of any transaction involving the transfer of more than 1/3 of their voting power to foreign owners. The Ministry can refuse approval of any such transaction if it is deemed to endanger Finland's national interests.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
1. Permits and Notifications
Business, trade or professional activities may be carried out in Finland by individual entrepreneurs as well as by corporate entities. In principle freedom of occupation prevails, which means that no special permits need to be obtained for establishing a business in Finland.
However, before starting business activities regardless of the legal entity of the enterprise, a notification has to be filed with the Trade Register and the County Tax Government. The latter includes a registration for tax, VAT and employer purposes, whereby the enterprise receives a certain tax registration number.
There are a number of specific business activities which are licensed or otherwise restricted. To a certain extent the rules concerning foreigners are different compared to those concerning Finnish citizens.
In principle the freedom to carry on a trade applies to all natural persons living inside the European Economic Area, Finnish corporations and foundations as well as branches to foreign companies registered and having their primary domicile inside the European Economic Area. The Ministry of Trade and Industry may permit also other persons to carry on a trade. The same permit is also needed for a foreigner who wishes to operate as personally liable partner in a partnership.
2. Restrictions on Investments
Under current legislation foreigners can freely invest in Finnish shares.
Until the end of 1995, however, the Ministry of Trade and Industry retains the limited control of corporate acquisitions. Under this control large companies, with a turnover exceeding FIM 1 billion and more than 1.000 employees, are required to inform the Ministry of any transaction involving the transfer of more than 1/3 of their voting power to foreign owners. The Ministry can refuse approval of any such transaction if it is deemed to endanger Finland's national interests.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
