Starting a business in Finland

[willow77]

I recommend you borrow "Establishing and Doing Business in FInland" by Tuulikki Holopainen from your local library.

Great, i'm off to the library now!

[filecore]

Another question - I've just been asked for a VAT number (eg, FI010123456) and although I'm VAT-liable, I don't recall ever having seen one like that. I've always just charged VAT as appropriate and the only number I've ever used has been my Y-tunnus, and this has worked for the last two tax seasons. Should I be using a VAT number? Where do I find this? Do I have to apply seperately for it? Am I going completely down the wrong track here? Thanks.

[Rosamunda]

Y-tunnus should be enough. I don't think I have any other number than that.

Who asked you for this? Was it a foreign company or tax department?

[filecore]

Actually it was a Finnish company (part of SanomaWSOY, in fact). They didn't ask directly; they sent out a brief to all subcontactors, regarding a structural change inside the company, and informed us that we needed to update their details on our invoices, and also reminded us that we had to include all our own relevant details on the invoice too. Here's what was in the note:

All invoices must absolutely bear the following information:
- The company being invoiced, ie [their own name], and the VAT no., [their number]
- Complete name, Business ID and VAT no. of the invoicing company
- The detailed invoicing instructions remain unaltered

That's why I'm wondering.

[Rosamunda]

If it is a standard letter being sent to all their suppliers then I guess they are stipulating Business ID number and VAT number separately because in some countries these are different. Finland's company registration process is relatively streamlined but I can well imagine that in other EU countries (eg France) this may not be the case.

My magic business book says the following: Establishing and Doing Business in Finland by Tuulikki Holopainen (who is no relation to me)

page 97
Domestic Trade
If a trade number is entered in the VAT register, the invoices and other documents between VAT-liable parties shall contain the VAT identification of the seller (Business ID).

then, under the heading "Inter-EU trade" there is an explanation about the ADP-based VAT information exchange system wherein each VAT-liable party has its own VAT number. Buyer and seller VAT numbers must BOTH be indicated on the invoice in inter-EU sales. It is possible to check the validity of VAT numbers from the CLO unit of Vero (this is to prevent Carousel Fraud: the seller is responsible for checking that the buyer is a bona fide VAT-registered party). This VAT number should NOT be used in domestic sales (ie inside Finland).

It then explains how to construct your VAT ID number in the required format:

Finnish country code FI
Business ID number omitting the final dash (-)

[filecore]

Okay, that sounds fairly definitive to me, thanks! I was just curious because it wouldn't be the first time I've encountered something I'm supposed to have already had a year ago (*cough*ennakkovero*cough*).

You really ought to run a course in this stuff for struggling sole entrepreneurs and while you're helping me, did you see my other post regarding toiminimi and paternal support? Maybe your book has something to say on that too. I guess I should head over to the library someday...

[Rosamunda]

The book does deal with paternity leave for employEES in the chapter on employER obligations.

In the chapter on Social Security for entrepreneurs there is no mention of paternity leave. But it does address accidents, unemployment, healthcare and pensions.

You could try emailing the http://www.intofinland.fi service for foreigners.

[z3phyr]

Hi everyone,

I have recently started a Limited company in the UK but am based in Finland. Not being able to find work here due to lack of understanding and it being not a good time anyway, was wondering as I am wanting to apply for residency that this company lets me tick the employed box?

As I will be spending most of my time and money in Finland when all is running smoothly in the UK, I would be seen as contributing to the economy anyway. Down the line the company will try its luck there but not before I will need permission to stay.

Any help greatly appreciated.

[Jason Wright]

Hi everyone,

I have recently started a Limited company in the UK but am based in Finland. Not being able to find work here due to lack of understanding and it being not a good time anyway, was wondering as I am wanting to apply for residency that this company lets me tick the employed box?

As I will be spending most of my time and money in Finland when all is running smoothly in the UK, I would be seen as contributing to the economy anyway. Down the line the company will try its luck there but not before I will need permission to stay.

Any help greatly appreciated.

Hi z3phyr,

Here is a link for some info on setting up a foreign company's operations in Finland: http://www.vayla.fi/english/pdf/UU_engl ... _ENG_3.pdf

If you establish a foreign branch in Finland, you'll be responsible for reporting to the Finnish authorities.

I personally recommend Jari Parkkonen, who is my advisor for tax and administrative reporting for my Finnish limited company. I have worked with Jari since 2003 and he proven himself to be a trusted advisor who is committed to helping expats run their businesses in Finland.

Jari Parkkonen
GSM +358 50 5292 879
jarip [ (ät) ] tilitoimistoparkkonen.fi

http://www.tilitoimistoparkkonen.fi

Tilitoimisto Parkkonen Oy
Fredrikinkatu 55, 4 krs
00100 Helsinki

[z3phyr]

Hey Jason,

Thanks for the quick reply.

I will give him a bell and check out the website for (hopefully) the answers to my questions.

Z3phyr

[filecore]

One more question - which may also be of relevance to new starters - about the VAT rate. I heard something that it's set to rise from 22 to 23%? Does anybody know if this is accurate, when this will be, or when I should raise the VAT on my invoices to compensate?

[jully_jully]

Hi,
i remembered somebody mentioned he can buys Moomi cups in wholesale in Finland and posts them to Japan for sale.

Anybody can help me: where to buy moomi cups or Moomi products in wholesale in Finland? it's expensive if just buy from shops. no benefit.
one of my friends established a business out of Finland and she's quite interested in selling Moomi cups in her shops&website.

I'll appreciate if you could help me with this question.
kristin.g.kristin@gmail.com

Thank you and Best Regards
Jully_Jully

[filecore]

Isn't it Iittala who makes them?

[jully_jully]

yes, Moomin cups are from Ittala, but where to get wholesale cups for sale? i'm also interested in establishing business and sell them, eg, ebay, or other website.Thanks.

[filecore]

http://www.iittalagroup.fi/web/iittalag ... 6000489D7E