Our startup experts bring you valuable insights ranging from fundraising to corporate relations, offering you the best possible practices to consider for scaling your startup. Let’s dive in and learn together!
Global recruitment
Hiring globally can bring great talent to your startup. You can move your people to Estonia or let them work remotely. But what about all the legal stuff? For EU nationals, it’s easy. All they need to do is register their home here in Estonia, and they are good to go. But what do non-EU nationals need to do? Our counsel, Pirkko-Liis Harkmaa, explains what makes getting visas and residence permits easier.
Tax advantages in Estonia
Estonia is recognised as having the best tax code in the world for the 11th year. It’s like the Olympics but for taxes, and Estonia keeps bringing home the gold. What does it mean for startups? Marian Moldau explains three tax advantages you can benefit from.
Selling shares? Beware of tax implications
Why might the tax board think the startup founder is a tax scammer? Our counsel, Kärt Kelder, and partner, Kaido Künnapas, share an example of such a situation. The lesson seems to be that if you want to sell your shares, the tax authorities will take notice. If a sale is close, then don’t transfer.
ESG – can startups afford to ignore it?
Startups move fast, and there is constant pressure on time and budget. Every penny counts, and every minute matters. Can startups really afford to ignore ESG? Without a focus on ESG, small mistakes can become big problems. For instance, these risks can multiply when it comes to data privacy. Watch the video with insights from counsel Piret Lappert and associate Elina Lumiste to understand the importance of ESG for your startup.
Safeguarding your employees
Proper employment documentation is crucial for maintaining a positive workplace and protecting your startup against legal disputes. Our counsel Pirkko-Liis Harkmaa highlights how clear documentation reduces conflicts and serves as essential evidence if disputes arise. Discover how investing in legally compliant paperwork can enhance your reputation, attract top talent, and ensure success in legal due diligence.
Data protection
Navigating GDPR compliance is crucial to avoid fines and enhance your startup’s reputation. In this video our senior associate Liisa Kuuskmaa and partner Mihkel Miidla explain how to start by mapping personal data and ensuring transparent processing activities. They highlight that true compliance integrates into your product design and company culture. Learn key steps to protect your business and build trust with your audience.
Founder relations
Effective founder relations are essential for startup success, and the founders’ agreement is the cornerstone of managing these relationships. It prevents conflicts by defining roles, regulating equity stakes, and ensuring dedication. The agreement covers essential elements like devotion, role clarity, and reverse vesting, which protect the company when founders depart early. Our counsel Lauri Liivat and associate Kadri Puu offer insights into creating a founders’ agreement that fosters team harmony and stability.
Pick the fundraising model that suits you
Are you a startup founder who is navigating the complexities of funding your early-stage company? Our head of the startup team in Estonia, senior associate Mirell Prosa, and associate Kevin Piho suggest that traditional equity rounds may not be the best fit for some startups and recommend convertible instruments like convertible loans and SAFEs as flexible alternatives. The instruments allow startups to secure funding without immediately issuing shares, offering benefits for both parties involved.
Raising capital for startups – equity investment
Equity investment is money invested into company by purchasing newly issued shares. In this way, the company receives the financing it needs and the investor acquires the shares and the right to vote as a shareholder. By choosing equity investment for raising money, you should start from an investor deck and move on to the term sheet which will define the most crucial part of any equity investment – valuation. Our partner Toomas Prangli, and associate Eva Lennuk will share tips and tricks to make the whole process as smooth as possible.
Employee share options
Offering share options is a key strategy to attract and motivate top talent. Our head of the tax team in Estonia, partner Kaido Künnapas and associate Kristi Tammiku, emphasise the importance of embracing employees as a way to kickstart your business. Compensating employees through share options offers distinct tax advantages and presents potential cost savings when contrasted with traditional salary payments. You decide the amount of shares given to an employee and how long the employee works for you before the shares can be redeemed.
All about IP
Did you know that intellectual property can be a pivotal asset for your company? Our IP expert, associate Helery Maidlas highlights the potential of copyrights as a pivotal asset for safeguarding software solutions, designs, and other creative endeavors. Copyrights act as a shield, protecting original masterpieces expressed in tangible forms. However, not all intellectual property falls strictly under copyright protection; some are better kept as trade secrets with confidentiality agreements.
Corporate relations
If you’ve ever wondered what are the elements that drive smooth and instinctive management of Estonian companies, look no further – our associate Vladislav Leiri has some quality content to share.
In managing a company, you can’t look past the management board entrusted with day-to-day operations and decision-making. The supervisory board, on the other hand, focuses on strategic guidance, ensuring that management decisions align with the company’s long-term goals. And finally, the shareholders’ meeting, as the highest governing body, has the power to elect and remove board members as well as approve major decisions.
