Cheapest EU Company Formation: Real Monthly Costs Compared
What does it actually cost to form and run an EU company? We break down formation fees, monthly costs, and hidden charges across 6 providers and 4 countries.
By the EU Inc Guide editorial team — independent, data-driven analysis
The formation fee is the number every provider puts in big type on their homepage. It's also the least useful number for figuring out what you'll actually spend.
What matters is the monthly cost after you've formed. Because that payment keeps coming. Every month, for as long as your company exists. A €299 formation fee with a €49/month plan costs you €887 in Year 1. A €600 formation fee with €109/month costs €1,908. That's a €1,021 difference, and almost all of it comes from the monthly.
So the real question isn't "what's the cheapest EU company to form?" It's: what will I actually pay per month to keep it running?
Year 1 costs across 6 providers
We compared six established formation services that handle Estonian OÜ registration for non-resident founders. All prices are what you'll pay for a basic operational setup: registered address, contact person, and basic accounting or bookkeeping support.
| Provider | Formation fee | Monthly fee | Year 1 total |
|---|---|---|---|
| Unicount | €299 | €49 | €887 |
| Dalanta | €300 | €50 | €900 |
| Enty | €399 | €49 | €987 |
| Xolo | €295 | €59 | €1,003 |
| 1Office | €390 | €59 | €1,098 |
| Companio | €600 | €109 | €1,908 |
The cheapest Year 1 total is Unicount at €887. The most expensive is Companio at €1,908, more than double. For a deeper look at what each provider includes in those prices, see our full provider comparison. If you're weighing Xolo specifically against other options, see Xolo alternatives.
The groupings are clear. Unicount and Dalanta both come in under €900 for Year 1. Enty and Xolo land around €1,000. Companio is more than double Unicount, but that includes accounting from month one, which other providers charge extra for at higher plan tiers.
What the monthly fee actually covers
Base-tier plans at €49/month cover roughly the same things across providers. What's included and what costs extra:
Usually included:
- Registered legal address in Estonia
- Contact person (required by Estonian law)
- Basic platform access and dashboard
- Company registration support
Usually extra:
- Accounting and bookkeeping (€20-50/month on top, or included in higher plans)
- VAT registration filing
- Annual report preparation and submission
- Payroll processing
- Bank account opening assistance
When you factor in accounting, the real monthly cost for most active companies lands between €79 and €149/month across all six providers. The headline "from €49/month" numbers are technically accurate but misleading for anyone who plans to actually invoice clients and file taxes.
Country comparison: where's the cheapest EU company?
Estonia gets most of the attention, but it's not the only option. Here's how four popular jurisdictions compare for a solo founder running a small services business.
Estonia OÜ
- Share capital: €2,500 (can be deferred, so you don't need to deposit it upfront)
- Monthly accounting: €100-200 through a local accountant, or included in provider plans
- Annual report: mandatory, typically covered by your provider
- VAT threshold: €40,000/year
Estonia's big advantage is e-Residency, which means you can manage everything remotely without visiting. The formation service ecosystem is the most developed, with six serious providers competing on price. That competition keeps costs low.
Realistic Year 1 total with a provider: €887-1,098 (provider fee) + potential extras = €950-1,200
Ireland Ltd
- Share capital: €0 minimum
- Monthly accounting: €150-300
- Annual return: €20 filing fee, but accountant time adds up
- VAT threshold: €37,500 for services
Ireland has no minimum capital requirement, which looks great on paper. But monthly accounting costs are higher than Estonia, and the tax system is more complex if you're not physically based there. The 12.5% corporate tax rate is attractive, though it comes with substance requirements that can add cost.
Realistic Year 1 total: €2,000-4,000 (formation + accounting + compliance)
Netherlands BV
- Share capital: €0.01 (yes, one cent)
- Monthly accounting: €200-400
- Notary requirement: mandatory, €500-1,500 for formation
- VAT threshold: none (registration mandatory from first sale)
The Netherlands BV has an almost symbolic minimum capital, but everything else is more expensive. You need a notary for formation, which adds €500-1,500. Monthly accounting costs are the highest of the four countries here. The BV makes sense for founders who need Dutch treaty access or plan to scale significantly, not for minimizing monthly costs.
Realistic Year 1 total: €3,500-6,500
Latvia SIA
- Share capital: €2,800 (must be paid in)
- Monthly accounting: €80-150
- Annual report: mandatory
- VAT threshold: €40,000/year
Latvia is the underrated option. Monthly accounting is the cheapest of all four countries, and the formation process is low-friction. The catch is the €2,800 share capital that must actually be deposited, unlike Estonia where it can be deferred. The provider ecosystem is smaller, with fewer English-language options.
Realistic Year 1 total: €3,800-4,800 (including mandatory share capital deposit)
Country comparison table
| Estonia OÜ | Ireland Ltd | Netherlands BV | Latvia SIA | |
|---|---|---|---|---|
| Share capital | €2,500 (deferrable) | €0 | €0.01 | €2,800 (required) |
| Monthly accounting | €100-200 | €150-300 | €200-400 | €80-150 |
| Formation fee | €299-600 | €300-800 | €1,000-2,500 | €200-500 |
| Year 1 all-in | €950-1,200 | €2,000-4,000 | €3,500-6,500 | €3,800-4,800 |
| Remote-friendly | Excellent | Good | Moderate | Moderate |
Estonia wins on Year 1 cost and remote management. Latvia has the lowest monthly accounting, but the upfront capital requirement pushes Year 1 totals higher.
Hidden costs nobody mentions on the sales page
The sales page total and the actual Year 1 invoice rarely match. These are the costs that most often cause the gap.
VAT registration: €0-150. In Estonia, your provider usually handles this. In the Netherlands, VAT registration is mandatory from day one. Some providers include it, others charge a one-time fee.
Bank account opening: €0-200. Traditional banks (LHV, SEB in Estonia) are free to open but increasingly difficult for non-residents. EMI accounts (Wise, Revolut Business) are easier to get but may not satisfy all compliance requirements. Some providers charge a fee for bank introduction services.
Annual report filing: €50-300. Mandatory in every EU country. Usually included in accounting packages, but check. If you're on a bare-bones plan, this can be an unpleasant surprise in month 13.
Legal address renewal: €0-120/year. Often included in your monthly plan, but if you switch providers or go independent, you'll need to source this separately.
Apostilled documents: €30-100 per document. Needed for opening bank accounts in some jurisdictions, or for dealing with tax authorities in your home country.
Accountant switch costs: €200-500. If you outgrow your provider or switch to a local accountant, expect a transition fee and a month or two of overlap billing.
Year 1 all-in cost: the honest table
This table adds a realistic buffer for extras on top of the base provider costs.
| Provider | Base Year 1 | Estimated extras | All-in Year 1 |
|---|---|---|---|
| Unicount | €887 | €130-175 | €1,020-1,065 |
| Dalanta | €900 | €135-180 | €1,035-1,080 |
| Enty | €987 | €150-200 | €1,135-1,185 |
| Xolo | €1,003 | €150-200 | €1,155-1,205 |
| 1Office | €1,098 | €165-220 | €1,265-1,320 |
| Companio | €1,908 | €100-150 | €2,010-2,060 |
Companio's extras estimate is lower because more is included in their base monthly fee. Everyone else will likely need add-ons for accounting, VAT registration, or annual report support at some point during Year 1.
When cheapest isn't the strongest fit
Unicount at €887 is a genuinely strong choice for most solo founders. But there are situations where paying more is the better decision.
You're brand new to running a company. Xolo's documentation, community, and support infrastructure is worth the extra €116/year over Unicount. A provider that has onboarded 150,000+ founders has seen most of the mistakes you're about to make.
You need multi-country presence. 1Office covers seven countries. Companio covers four. If you need an Irish Ltd alongside your Estonian OÜ, the cheapest Estonian-only provider won't help.
You want accounting included from day one. Companio's €109/month looks expensive until you add accounting costs to cheaper providers. The gap narrows significantly when you compare like-for-like.
You're doing high transaction volume. Budget providers price for simplicity. If you're processing 100+ invoices per month, you'll quickly move past basic plans anyway.
You value a single point of contact. Cheaper providers sometimes mean more DIY. If you want someone to handle everything and only send you things to sign, that costs more, and it might be worth it.
The cheapest EU company formation is an Estonian OÜ through Unicount or Dalanta, with Year 1 all-in costs around €1,020-1,080. That's a real, operational EU company with a legal address, accounting, and compliance handled. For most solo founders running a services business remotely, nothing else in Europe comes close at that price.
But "cheapest" and "best value" aren't the same thing. Pick the provider that matches your situation, not just your budget.
Pricing data was collected directly from provider websites in April 2026. Formation fees and monthly plan costs change periodically — verify current figures before committing. This article is for informational purposes and does not constitute tax or legal advice.
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