Ensuring Trust: How To Verify Lithuanian Companies Effectively

2023 12 20

Due to Lithuania’s business-friendly environment, pool of high-caliber talents, and rapidly growing industrial ecosystem, the country has seen a boost in incoming foreign investments in the last few years.

Not only investors – entrepreneurs and founders across the globe are interested in registering their companies in Lithuania.

However, before concluding an agreement with Lithuanian companies, make sure to verify their legitimacy first to avoid legal complications – or worse, business shutdown.

In this article, we’ll address the step-by-step to check if a Lithuanian company is registered by law or not.

How do I verify a company in Lithuania?

Aside from administrative data, you can find all the necessary information about the Lithuanian company you’d like to invest in – from its number of employment to tax status.

Best of all, you don’t have to fly all the way to Lithuania just for confirmation – you can verify the company registration from the comfort of your home through a simple online search.

Here are the full procedures on how to verify Lithuanian companies:

1. Verify the general legality of a company

If you want to validate whether a company you’re about to invest in is legally registered or not, you can do so through Rekvizitai.lt.

Rekvizitai is a directory site that stores a comprehensive list of the legal entities operating in Lithuania. Those include sole proprietors, Public Limited Liability Company (AB), Private Limited Liability Company (UAB), and Joint Stock Company (JSC).

If you’re accessing outside of Lithuania, make sure to enable your VPN to access the Lithuanian version of the site.

To start, type the company name in the search bar then hit enter. Here’s a list of public data you can find about a company from the site:

• General information, such as company name, social insurer code, VAT code, current director, legal and location addresses, as well as phone and email addresses.

• Historical information, including date of registration, changes in legal status, and scope of operations.

• Company turnover from 2005 until today.

• Employment information like debts to the Social Insurance Fund (Sodra), total employees, average salary, and the total amount paid for social insurance taxes.

• Company assets, which consist of vehicles, offices, public procurement, and so on.

2. Verify the detailed legality of a company

At times, you’d like to find more details to ensure that the company you’re investing in is fully compliant with the regulations.

This becomes especially important if you’re planning to manage risks before transferring a large amount of money.

For that, you can find detailed legal information about the company and any state obligations it’s bound to in the Register of Legal Entities (JAR).

Thankfully, the database has an English version. Once you search for the company name, you’ll have 100 credits a day to find information such as:

• Legal address

• Legal status – operating status, reorganization, bankruptcy, or liquidation

• Legal documents – charter, attorneys, management board members, financial statements, and more

For 6.37 EUR, you can also extract more detailed data such as a company’s authorized capital, shares, founders, and historical timeline throughout its entire operations in the electronic form.

If you’d like to validate whether or not the investment you’re going to make will pay a profitable return, you can get a copy of a company’s financial statements within a specified timeline for 8.98 EUR.

The services will only be available once you’ve signed up as a user in the Registry Center.

Simply visit the RC website, complete an application, and specify the legal reasoning why you need the data and what you’ll use it for. Then, send the form to info@registrucentras.lt.

3. Verify real estate and property legalities of a company

If you’re a real estate investor looking to assess the risk of your investment, you can verify a company’s property assets through Real Estate (NTR), Mortgages (HR), and Arrest Certificates (TAAR) sections in JAR.

There, you can find official records about fixed assets of the business, including property pledges that are contractual or obligatory, seizures, and other authorized entities.

However, to access such information, you need to be a registered user in the Register Center system – which we have outlined in the previous section.

Additionally, there’s more substantial data that you can obtain with a fee:

• Real estate possessions (owned or leased) for 3.19 EUR

• Mortgage properties, transactions, and credits for 9.27 EU

• Restricted properties – seized assets, their size, the reasoning for the seizure, start date and duration of the seizure – for 9.27 EUR

Conclusion

To summarize, here’s what you can check before investing in a Lithuanian company, or if you’d like to ensure that your type of business is allowed in the country:

• General legal information through Rekvizitai.lt.

• Detailed legal information through JAR.

• Real estate and property information, also through JAR.

By verifying the legality of the company you’re about to invest in, you’re assessing any possible risks, gaining a well-rounded understanding of the business, and even potentially making a more strategic investment with a higher ROI.

Remember, if you need help with company registration in Lithuania, our team at Demire Inc. is here for you. We wish you the best of luck!

Ensuring Trust: How To Verify Lithuanian Companies Effectively