Supporting Investment Activities in Lithuania: From Planning to Protecting Investor Rights

Meanwhile, projects entail complex, multi-stage endeavours:

Company registration in Lithuania

• Opting for the best-fit legal structure
• Analysing domestic laws
• Fulfilling the investment project.

A thorough comprehension of local regulations is required. This equally concerns regulatory stipulations in Lithuania and the domestic fiscal system, licensing procedures, and possible restrictions related to currency regulation. Mistakes result in fines, loss of assets, and potential legal disputes.

As a practicing lawyer, I consider investment support in Lithuania to be an essential condition for the successful implementation of any project. Close-knit cooperation with area experts allows us to conduct investment due diligence in Lithuania, enhance investment taxation, and avoid costly court disputes.

Our approach pursues systematic consideration of multiple legal nuances, as well as administrative specifics and economic fluctuations. Today’s blog post showcases professional support of investment activity in Lithuania, considering all the risks and strategic objectives of individual business ventures.

Investment activity support in Lithuania

The investment-oriented activity support in Lithuania entails full legal and financial facilitation to ensure the successful implementation of investment projects in line with applicable legislation. Beyond complying with legal and regulatory formalities, the focus is on strategic risk management, sustainable operational models, and optimisation of costs.

Once within a foreign jurisdiction, you will stick with initial complexities ranging from the registration of the investment company in Lithuania and office rent to concluding investment contracts.

Without comprehensive expert support, you will barely launch the investment process in line with legal regulations. Professional support will let you formalise investment in Lithuania and mitigate fines, restrictions, and reputational risks.

Stages and elements of investment support

Investment-oriented facilitation in Lithuania involves legal, financial, and organisational measures. It starts with analytical preparation and continues toward operational facilitation. While the stages are complementary and interrelated, any mistake entails legal consequences.

Stages and elements of investment activity support in Lithuania

Always rely on comprehensive support provided by specialised law and audit firms and consultants with experience in cross-border projects.

As per your industry, business size, and investment volume, our professional team of due diligence, tax, regulatory compliance, and corporate law specialists will help you make informed investment decisions.

Service beneficiaries and risks involved

Business owners looking forward to investing in Lithuania, though unfamiliar with the local legal and administrative system, should not launch their journey alone. Businesses of all sizes, ranging from multinational corporations to SMEs and startups to private investors going to set up an investment company in Lithuania, will have to back up their efforts with professional assistance.

Doing everything on your own presupposes potential flaws that will eventually result in:

• Registration rejection
• Currency violation sanctions
• Inaccurate tax reporting
• Loss of asset rights
• Overdue licences and permits.

Furthermore, you risk completing legally unjustified contracts, which can result in litigation.

Types of investments in Lithuania

Before formalising investment efforts in Lithuania, decide on the due form and structure. Your options will mostly depend on registration issues and formal ways to protect investors’ best interests.

Lithuania applies all investment forms approved by international and European practice.

Corporate capital investments, infrastructure, or assets to obtain management control and participation are considered direct investments. Usually, entrepreneurs are setting up a company in Lithuania for investment or acquiring a share in an operating company. The investment is accompanied by rights to participate in distributing corporate profits, voting rights, and strategic decisions.

Direct investments necessitate registering a company in Lithuania and following mandatory procedures related to corporate governance. Direct investments are governed by strategic project agreements and ruled by the Bank of Lithuania. Preliminary financial analysis of investments in Lithuania is strategically important.

These are investments in shares, bonds, and other assets free of formal management. These assets are most often acquired through EU stock markets or private investment-focused platforms. Lithuania provides free capital movement per investor protection standards set by the European Union.

Foreigners access the domestic security market with unlimited investments. However, it is necessary to consider the Lithuanian currency regulations and tax residency, especially when receiving passive income - dividends, interest, and royalties.

The Lithuanian legislation allows for using the profit already received for further investments without withdrawing foreign capital. This suits companies looking forward to expanding their business and production. On these grounds, companies optimise their investment activity in Lithuania to avoid double taxation in Lithuania.

Reinvestment opportunities into (1) core business, (2) subsidiaries, and (3) joint projects are direct investments that necessitate robust compliance with corporate procedures and internal reporting.

Individuals and legal entities leverage investments in land, commercial, or residential property. While purchasing the land, territorial restrictions are considered, i.e., closer to the state border or in protected natural areas.

Investors purchase offices, production facilities, warehouses, and building plots. Real estate transactions require accurate legal due diligence, so it is important to conduct investment due diligence in Lithuania and assess possible risks, including ownership disputes or operational restrictions.

This is a form of cooperation between a foreign and local partner. A joint venture can be established as a separate legal structure or through a contractual agreement. This format is popular for projects with high capital intensity: logistics, construction, and energy.

For such investments, proper execution of investment agreements in Lithuania requires you to (1) set profit distribution and asset management and (2) follow the procedure for investment project withdrawal. Once disagreements arise, the mechanism for investment-related disputes applies in Lithuania and through international arbitration.

Investment attractiveness of Lithuania

Before launching an investment journey in Lithuania, assess the country’s business climate, macroeconomic indicators, infrastructural landscape, and legal guarantees.

Lithuania enjoys EU, NATO, WTO, and OECD membership. A solid geopolitical stance ensures a sustainable legal and economic framework. In 2015, Lithuania joined the Euro currency. In 2024, the country’s GDP grew by 2.2 percent. The European Commission projects it to grow by 3 percent in 2025. The domestic economy pursues export-oriented production and high-tech services.

Lithuania's investment climate is shaped under official European Union requirements: (1) standards of corporate transparency, (2) antitrust regulation, and (3) owners' rights protection to safeguard investment confidence in securing investments in Lithuania and long-term project stability.

Reasons for investor interest

Investment flows into Lithuania are due to the win-win synergy of geographical conditions, a stable legal climate, and a well-thought-out fiscal policy. Lithuania is at the epicenter of trade routes, bordering Poland, Latvia, and Belarus. The country accesses the Baltic Sea and leverages direct logistics routes to Scandinavia.

The local workforce is of high quality owing to decent technical education and training facilities oriented towards export sectors, varying from industrial domains to biotech and IT. A stable macroeconomy and predictable fiscal policy, coupled with EU, OECD, and Eurozone membership, set the best-fit investment climate in Lithuania with minimum political, legal, and currency hurdles.

Among the core incentives is the possibility to officially set any project as an investment-oriented project and claim tax preferences. The investor company can deduct taxable profit by up to 100% of the incurred expenses needed to acquire fixed assets, including, though not limited to:

• Equipment
• Intellectual property
• Production facilities
• Software.

The benefit applies to expenses incurred from 2009 to 2028, while unused amounts can be reinvested over the next 4 years. Assets should be no older than two years from the commissioning date.

This precondition requires a robust description of the investment project and its adherence to the applicable tax regulations.

Lithuania compensates the expenses incurred during launching or innovating production through a tax deduction mechanism. This privilege makes securing investments in Lithuania especially favorable for businesses that pursue Long-term growth Scaling of production capacities Technological upgrades.

Business conditions and support

Accompanying investment activity in Lithuania, pay attention to special fiscal regimes. Consider free economic zones (FEZs), territories with particular taxation regimes and simplified administrative procedures. Registered in FEZs and adhering to established criteria for capital investments and personnel requirements, the company is entitled to profit tax and property tax exemptions up to ten years. The reduced profit tax rate of 7.5 percent applies following the eleventh and sixteenth years of investment operation in Lithuania.

The state investment agreement regime applies to large projects, allowing for administrative and individual tax preferences. The well-established transport network comprising Klaipeda seaport, Via Baltica motorways, Rail Baltica railway corridor, and four international airports ensures convenient access to the EU and Scandinavian marketplace.

Grants, tax deductions, research subsidies, and state-initiated support for hiring personnel, including foreign employees, are available for new projects. These measures help companies optimise taxation burden for investments in Lithuania and eliminate operational business expenses at the early stages.

Priority areas for investment in Lithuania

Investment operations in Lithuania are concentrated across local sectors featuring domestic business activity, institutional incentives, and export prospects. All strategic areas are supported by proper infrastructure, human resources, and access to European markets.

Information technology

The IT sector mostly develops within Kaunas and Vilnius national universities, hosting the largest tech parks. Across the EU, Lithuania leads in (1) STEM graduates per capita and (2) the speed of Internet connection. Vilnius is a regional hub for IT outsourcing, software development, and startups.

International technology hubs of Nasdaq, Unity, Uber, and Wix are well represented across the country. Simplified corporate registration in Lithuania for investment activities and further access to digital infrastructure make the IT domain accessible even to small capital. Support is provided through state digitalisation funds and accelerator programs.

Financial technology

The Bank of Lithuania (Lietuvos Bankas) is the central regulator of finance. It issues licences for payment and e-money institutions and regulates the CENTROlink system connecting fintech companies to SEPA to operate across the eurozone directly, without bank intermediacy.

Over 280 fintech ventures operate in Lithuania, including Revolut, Kevin, Contis, and Paysera, among many others. Lithuania leads the EU in issuing EMI/PI licenses. Legal facilitation for investments in Lithuania is vital considering a robust regulatory environment, AML/CTF stipulations, and the specifics of cross-border transactions.

Manufacturing industry

Kaunas, Šiauliai, Panevėžys, and Klaipeda are local hubs for industrial capacities. Industrial zones provide access to wider logistics and qualified professional staff. Wood processing, machine building, chemical, and food industries are showing stable and strong performance. There are industrial parks with connected engineering infrastructure.

Production projects are fulfilled across local FEZs, providing land benefits and tax holidays. Investment agreements in Lithuania are applied to support strategic projects featuring long-run concentration of jobs and assets. Most local enterprises pursue overseas exports to Germany, Poland, and Scandinavian countries.

Biotechnology and pharmaceuticals

The Santariškės district of Vilnius is a focal location for biotech developments in Lithuania, hosting research institutes, medical institutions, and universities. Companies like Thermo Fisher Scientific Baltics, Northway Biotech, and Biotecha represent local and international production facilities.

The domestic legislation allows for triple tax deductions for R&D expenses and grant support of up to 2 million EUR for innovative, scientifically novel projects. The industry is strictly regulated under EU standards and patentability, pharmacovigilance, and technical documentation requirements. Therefore, investment due diligence in Lithuania in this domain is crucial at the preparatory stages. Lithuania encourages capital investment in genetic technologies, diagnostic solutions, and drug production, involving export-oriented models.

Logistics and transport

The port of Klaipeda is the transport infrastructure centre, a sole non-freezing seaport within the region. The port connects to the European Rail Baltica railway network as well as the Via Baltica motorways with direct access to Finland, Germany, and Poland. Lithuania has four international airports in Kaunas, Palanga, Siauliai, and Vilnius.

The country is establishing a vast network of logistics terminals, distribution centres, and customs zones. Warehouses, cargo handling, and multimodal routes all require foreign investment. In its turn, Lithuania delivers investment facilitation with licensing, environmental impact assessments, and monitoring adherence to international transport safety standards.

Telecommunications and data centres

Lithuania enjoys one of the fastest internet networks and a well-adjusted fibre optic infrastructure across the European Union. It hosts EU data centres like Data Logistics Center to serve local and cross-border IT projects. 5G network developments aligned with cloud technologies provide favorable prospects for foreign investment.

Investors are offered sites with a guaranteed power supply and backup connection. Legal advice on nvestments in Lithuania embraces cybersecurity, data protection, and operational sustainability rules.

Green energy

Energy investments concentrate on wind turbines, solar parks, and small biogas plants. By 2030, Lithuania is going to become energetically independent and increase the national share of renewable sources to 45 percent. The Ministry of Energy and the European funding facilitate the implementation of subsidy programs.

Green energy investment projects require domestic investment dispute resolution of land management issues, grid connection, and adherence to environmental requirements. Large investors purchase contracts to leverage equipment incentives and green energy access.

Construction and development

The construction and development domain focuses on residential, retail, and warehouse properties. Vilnius, Kaunas, and Klaipeda’s suburbs are facing intensive development. Investor interests are explained by Stable rental demand Population growtheCommerce developments.

In large cities, town planning allows for permits in an accelerated mode. Development projects necessitate investment activity formalisation in Lithuania in close collaboration with local architects, engineers, and legal teams to accompany successful interactions with municipalities.

Medical tourism and wellness

Lithuania provides inexpensive, high-quality medical care. Plastic surgery, dentistry, ophthalmology, and rehabilitation programs are most popular. Domestic clinics actively serve EU, Scandinavian, and UK patients.

Foreign investments facilitate the establishment of private clinics and recreational and wellness centres. Legal regulations of investments in Lithuania necessitate medical licences’ registration, certification of equipment, as well as insurance agreements with foreign patients.

Legal regulation of investment activities in Lithuania

The national legal framework regulates investment-focused activities. All processes, ranging from opening the company in Lithuania to protecting investor rights, are regulated at several levels.

National legislation

The legal investment framework in Lithuania is grounded in domestic legislation and EU provisions. The key legislative acts regulating investment activities are

• The Civil Code establishes general principles of civil law relations, including forms of ownership, contractual commitments, and corporate structures.
• The Law on Companies regulates the setting, operation, and liquidation of legal entities, as well as the rights and duties of corporate representatives.
• The Law on Investment establishes core stipulations for investment activity and investor' rights and protects investments.
• The Law on Strategic Investments regulates investments as strategically significant activity and allows for privileges.

The following bodies oversee investment compliance in Lithuania:

• The Ministry of Economy and Innovation coordinates investment policy and business environment
• The Ministry of Finance determines tax policy and manages strategic investments.
• The Bank of Lithuania regulates financial activities and institutions
• The State Tax Inspectorate governs taxes and executes fiscal control.
• Judicial protection takes place in civil and administrative courts.

Investors may resolve investment disputes in Lithuania through national instances or claim proceedings under international treaties.

European provisions

Being an EU member state, the country complies with European law. The fundamental principles involve qual market access Freedom of capital movement Discrimination non-tolerance.

These pivotal provisions are prescribed in the Treaty on the Functioning of the European Union (TFEU) and are harmonised with the applicable directives on investment, taxation, e-commerce, financial services, and data protection (GDPR).

Investors can appeal to the European bodies once internal market principles are violated. The privilege solidifies legal protection of investors in Lithuania and safeguards investment capital from potential breaches. Meanwhile, all European norms fully correlate with the applicable national legislation to ease the formalization of investment activity in Lithuania.

International agreements and standards

Lithuania is a signatory to more than fifty bilateral treaties on double taxation. These agreements optimise investment taxation in Lithuania.

Lithuania ratified

The Washington Convention to settle disputes by the International Centre for Settlement of Investment Disputes (ICSID)

Multiple bilateral agreements to ensure mutual protection of investments in Lithuania.

The application of international arbitration rules (ICC, UNCITRAL) is a common practice in the case of complex projects.

Support of investment activities in Lithuania

Investment support in Lithuania assumes consecutive stages to ensure the project’s legal clarity, financial transparency, and regulatory compliance. This helps to formalise investments in Lithuania and establish a sustainable business model that prioritises the legal environment, industry specifics, and investors’ best interests.

Preliminary analysis and investment planning

Prior to launching investment projects in Lithuania, investors undergo thorough preparation to determine project viability to generate a viable strategy to enter the jurisdiction. Potential mistakes are difficult to cope with later. Hence, competent analysis prior to the company and investment registration in Lithuania will mitigate all the potential risks.

Investors thoroughly analyze Macroeconomic indicators Currency stability Inflation rate GDP dynamics Economic structure.

They also appraise the dynamics of the core sectors, industry-related regulations, access to infrastructure, and human resource potential. Administrative burden, law enforcement practices, the country's participation in cross-border agreements, and legal protection for investors in Lithuania undergo a robust examination.

Sectoral projects path through regional analyses: it is smart to locate industrial production in Kaunas or Šiauliai, logistics in Klaipeda, and fintech in Vilnius. These solutions allow for optimising investment taxation in Lithuania and soothe interactions with municipalities.

On this stage, investors opt for the best-fit investment model: controlling stake, equity participation, joint venture, portfolio investment in Lithuania, or property acquisition. Based on the goal analysis, a strategic map is developed:

• Investment volume
• Timeline
• Planned ROI
• Risk tolerance
• Control methods.

The investor’s internal resources are also assessed, from available capital to managing facilities on-site. In case of partnership, investors fix participation terms beforehand, decide on profit distribution, and project exit.

Before signing agreements and investing funds, performing investment due diligence in Lithuania is pivotal to review financial, legal, and tax nuances.

Examine the counterparty Stipulate the transaction object, i.e., land spot or a building Statutory documents Asset flows Indebtedness Licences.

When foreign parties are involved, asset ownership restrictions and the counterpart’s participation in strategic industries are examined. Judicial histories of the target company or the counterparty are advisable to rule out hidden liabilities or disputes.

Assessment of regulatory constraints

All potential road bumps are analysed individually. Land acquisitions are restricted for Lithuanian non-residents. Licensing is required in the education and medicine sectors. Energy, telecommunications, and media in Lithuania necessitate special regulations.

Assessing regulatory constraints affects the possibility of formalising a potential investment project in Lithuania and implementing it as declared.

Antitrust assessments take place in case an investor purchases a stake in a company holding a market share. Then, it is required to obtain approval from the Competition Council. Before signing the agreement, all issues should be fixed to avoid potential rejections or challenges that may arise.

Legalisation and structuring of the investment

After the preliminary analysis, the project moves to the formalisation stage. Formalising the investment process in Lithuania is coupled with legislation, business practice, and strategic investors’ goals.

Investors prefer a closed joint stock company (UAB) in Lithuania, similar to an LLC. Initial capital requirements should comprise 2,500 euros. A single participant may operate as the company’s founder, while the management board should employ a director.

For large-scale, investment-focused projects, assuming public capital market access, investors establish open joint-stock companies (ABs). The model allows for unlimited shareholders and requires an authorised capital worth 40,000 euros. The establishment of a supervisory board and regular external financial audits are prerequisites.

Alternative forms are applicable in Lithuania:

• TUB - general partnership, created by agreement of the participants, provides for full property liability.
• KUB is a limited liability form with division of participants into active (liable for all property) and passive (risking only the contribution).
• Alternatively, a foreign company may register a structural subdivision as a branch or a representative office. A legal form will depend on

The capital amount Ownership structure Legal regime Access requirements.

While the UAB model is suitable for startups, large public structures are more often organised as ABs.

National standards apply to the registration procedure. The investors apply to the Register of Legal Entities. The required documents are Articles of association Founder's resolution Information on directors Legal address.

Following the KYC verification, the investor opens a bank account. The procedure lasts from 2 to 5 working days.

Further, the applicant provides Tax numbers VAT registration, once the turnover threshold is in excess Labour agreements, if the company hires employees.

The accuracy, compliance with all the requirements, and committed execution of statutory files are all crucial to support the investment project in Lithuania.

In case the investment comes via the holding company or provided there are multiple investors involved, a more complex corporate structure is created as (1) a chain of companies across diverse jurisdictions, (2) engagement of nominee holders, or (3) constituent shareholder agreements. These options help to optimise investment taxation in Lithuania, safeguard investors from direct levies, and soothe the share sale process.

Investment agreements in Lithuania predetermine future relationships among investors, businesses, partners, and third parties. A wide range of contractual instruments apply:

• Investment agreements
• Options
• Share transfer agreements
• Contractor agreements.

They must align with the Lithuanian legislation, specify applicable jurisdiction, and outline the ways of dispute resolution.

The English language is practiced, though notarised translation is mandatory for for official registration and court proceedings.

Applicants should determine the way they will protect their interests:

• Pledges
• Contractual penalties
• Sureties
• Withdrawal terms.

Businesses across diverse sectors in Lithuania should be licenced: fintech, telecommunications, pharmaceuticals, medicine, and logistics, including customs operations. An application is submitted to the relevant department, and a documentary dossier is provided, including a business plan, ownership structure, and personnel details.

The review period usually varies from 1-to-3 months. Once the permit is valid, the organisation receives official status and can render services and interact with core commercial and government infrastructures Centralised registers National payment systems Public procurement mechanisms.

All non-residents should provide documents confirming business reliability, professional experience, and a stable financial position.

Opening an account with a Lithuanian bank or electronic money institution requires a separate verification process. Lithuania strictly enforces AML/CTF regulations, so information is requested about the origin of funds, ultimate beneficiaries, and business purpose. Some banks may refuse without explanation, especially if the investor structure is complex or the project is high risk.

To avoid refusals, it is important to prepare all documentation beforehand and analyze the corporate structure and professional facilitation of the potential investment project in Lithuania. Investors open accounts with non-banking institutions licenced by the Central Bank.

Financial and tax support for investments in Lithuania

Investors must ensure correct tax burden, transparent accounting, and full compliance with currency regulations. Without proper support, even minor mistakes will result in fines or blocked transactions.

A professional approach to all the involved processes will help you optimise investment taxation in Lithuania and boost overall confidence in the investment project by the banks, strategic partners, and official authorities.

The country deploys a dual accounting system. Business entities should manage accounting records in line with the national standard adapted to IFRS. Accounting includes registration of all business transactions, tax calculation, execution of primary documents, and report preparation.

All the accounting procedures should be filed in the Lithuanian language and euros. The company’s director keeps all the records, even though this function is often performed by third-party accountants. Foreign investors should receive financial facilitation of the investment project in Lithuania during its commencement to mitigate any potential flaws and tax authority claims.

Starting from 2025, a baseline rate of 16% is applicable on profits from investment activities. For new small companies hiring less than 10 employees and with up to EUR 300,000 annual income, favourable conditions apply: a zero rate during the starting year of operation and a reduced rate of 6% afterwards.

Financial institutions, including banks, pay taxes at the rate of 21% for profits above €2 million.The basic VAT rate is 21% countrywide. Meanwhile, lower rates of 9% and 5% apply for medicines, educational and social services, and passenger transport.

Dividend taxation is set at the rate of 15 percent; however, foreign investors leverage reduced rates under bilateral contracts, exempting them from double taxation.

Lithuania applies zero currency limitations on euro transactions. In the case of cross-border transfers in USD and other currencies involving non-residents, financial monitoring applies. Companies should disclose fund sources, payment purposes, and compliance with sanctions regimes.

Currency control is exercised by the Central Bank and local banks. When supporting investment activities in Lithuania, it is important to take into account that attempts to circumvent currency regulations may result in the freezing of accounts or administrative liability. Therefore, it is necessary to properly execute foreign trade contracts, notifications, and currency reports.

All companies are obliged to file their annual financial statements with the Registration Centre. Monthly or quarterly reports for VAT, social, and income taxes. When a certain turnover is reached, a compulsory audit takes place.

For effective management, conducting regular financial analyses of investment activities in Lithuania is important to monitor profitability, return, tax burden, and flow of funds. This is necessary not only for internal purposes but also to prepare for possible audits by tax, customs, and labour inspections.

Investment protection and dispute resolution

Any investment project involves legal risks. These may include disputes with partners, claims from regulators, changes in legislation, or actions of third parties. It is important for an investor to support an investment project in Lithuania and build a system to protect their rights in advance.

Lithuania deploys a well-developed legal infrastructure combining national norms, European frameworks, and international guarantees.

Legal investor protection in Lithuania is stipulated by the Civil Code, the Law on Strategic Investments, and antimonopoly and tax acts.

FDIs are protected against expropriation and discrimination based on the capital origin. Lithuania deploys legal certainty, property inviolability, and contractual priority.

Individual investment agreements with the state bodies facilitate strategically oriented projects. Stable conditions, tax treatment, and infrastructure access are provided. This creates a basis for long-term predictability when establishing an investment company in Lithuania.

Economic disputes are processed across administrative and civil courts. The three-instance system applies to enable cassation appeals. Courts are independent bodies that respect the procedural rights of the parties. Proceedings are conducted in the Lithuanian language, while filings in English with sworn translation are possible.

Lithuanian courts recognise international treaties, including the provisions on law application and the choice of jurisdiction. This allows investors understand possible protections for their investments in Lithuania. Investment contracts should contain a clear clause on resolving disputes to streamline the judicial process.

The resolution of investment disputes in Lithuania is subject to arbitration, mediation, as well as other out-of-court procedures. The arbitration courts follow ICC, UNCITRAL, and the regulations set by Vilnius International Arbitration Centre (VCCA). The national courts recognize the decisions of these bodies and are subject to enforcement.

Mediation is particularly relevant in disputes between partners or when there is a need to preserve a business relationship. Alternative procedures have the advantage of speed, confidentiality, and cost reduction. However, they require an agreement to be in place before or after a conflict arises.

Lithuania signed New York Convention on the Recognition of Arbitral Awards Washington Convention, ICSID Over fifty bilateral agreements to mutually protect investments in Lithuania.

These treaties enable investors to resort to international arbitration whenever conflicts with state authorities arise.

These mechanisms are particularly important for large infrastructure, energy, or resource extraction projects. They provide an additional level of assurance beyond national jurisdiction.

When preparing an investment project, it is important to check whether there is an investment protection agreement in force between Lithuania and the investor’s country.

Additional aspects of investment support in Lithuania

Beyond legal registration, tax customisation, and protection of assets, investment projects demand continuous facilitation. These elements cover state interactions, real estate negotiations, as well as following personnel and specific business regimes. Skipping these nuances, an investor will not lead proper investment activity in Lithuania.

Lithuania applies investment-support initiatives, including grants for technological development, reimbursement of personnel training costs, subsidies for innovative projects, as well as fiscal incentives for special-regime participants. To apply, an applicant should submit a justified business plan, including investment and job creation requirements.

Additionally, administrative support involves accelerated processing of permits, support in state agencies, and consultations on projects. For strategic projects, direct support through a contract with the state is possible. It is important to take into account that such measures require precise legal support for investments in Lithuania during project applications.

A significant part of investments concerns real estate purchases or leases: offices, warehouses, and land for development. The property’s legal status should be checked, including applied restrictions, transaction history, and encumbrances. Land purchases by non-residents are regulated separately, including restrictions in border zones and protected areas.

In the case of large-scale projects, we recommend conducting investment due diligence in Lithuania before the transaction; this includes analysing ownership, cadastral data, lease agreements, tax burden, and possible disputes. It is also necessary to take into account local town-planning regulations and construction approval procedures.

Investment activities in Lithuania involve international experts or the relocation of a founder to the country. Obtaining residence and labor permits and registering with social insurance authorities are mandatory.

Employing a local workforce necessitates signing labour contracts. and filing information to social insurance funds and tax authorities.

If migration or labour regulations are violated, the investment project may be fined or suspended. Hence, professional legal investment support in Lithuania embraces a comprehensive arrangement of personnel and immigration records.

Startups and other ventures regularly interact with tax authorities, customs, the Registration Centre, labour inspection, municipalities, and relevant agencies. Communication omissions lead to sanctions, operational suspension, and permit denials.

Therefore, investment project support in Lithuania provides investor representation, prepares responses to inquiries, supports inspections, attends meetings, and monitors compliance with deadlines. This reduces the operational burden and allows the investor to focus on the business.

Conclusion

As can be seen from the above, investment support in Lithuania is a multi-level process covering legal due diligence, financial customisation, regulatory control, and interaction with the authorities.

Each stage, from preliminary due diligence of investments in Lithuania to asset protection in courts, requires full comprehension of the domestic and international legislation, business climate, tax practices, and state of the target industry.

The quality of support determines project realisation, its safety, sustainability, and economic efficiency.

As a practicing lawyer, I understand the importance of feeling confident in a foreign jurisdiction. My task is not only to formalise an investment project in Lithuania but also to protect it at every stage, remove the administrative burden, and offer solutions rather than problems.

If you are planning to open a business, expand an existing structure, or want to avoid mistakes at the early stages, my team is ready to launch your investment project.

We know how to support investment activities in Lithuania professionally.