There are many reasons.
At the beginning, a few facts:
- Estonia is a member of the European Union and NATO
- The valid currency is EURO
- Estonians are the best English speakers in Europe
- Estonia is a friendly place to lead business
- In the ranking of economic freedom Estonia is on the first position in European Union
- Estonia is a homeland of start-ups
But the most important for business are:
- tax advantages: 0% income tax on retained or reinvested profits
- electronic administration: Estonia ist he most digitized country in the world
What does it mean for business?
- Companies can be managed online
- Tax declarations are electronically analyzed
- The goverment in Estonia helps entrepreneurs
- Income tax is obligatory only when the profits are paid for shareholders(in dividend)