Finland: Since 1 January 2026, an employer may terminate an indefinite employment contract on grounds relating to the employee…
Took effect 1 January 2026
Submission received
Your information has been recorded by WONE.
Nordics · WONE Global market
Doing business in Finland
Finland is covered by WONE for cross-border business discovery, with links to relevant expertise, professionals, industries and market intelligence. No WONE Global Partner is in place here yet. WONE Global confirms on request whether a vetted Associate firm can act, before anything begins.
Helsinki · Saturday 24 October
06:37
Local time
- Currency
- EUR
- Working week
- Monday – Friday
- Dialling code
- +358
- Region
- Nordics
Market guide · Source-checked research
Key rules for doing business in Finland
Finland is an EU and euro area member with a Nordic civil law system and two official languages, Finnish and Swedish. Most foreign investors use a private limited company (Oy), which has no minimum share capital but needs a permit unless board and managing director meet EEA residence rules. Corporate income tax is 20%, with a cut to 18% proposed from 2027, and standard VAT is 25.5%. There is no statutory minimum wage, and universally binding collective agreements set minimum terms in many sectors.
Essentials guide · Source-checked research47% of statements checked against a source25 checked against an official source0 checked against a secondary sourceChecked 2026-10-1911 held back until checked against an official source11 topics include AI-written statements, not source-checkedNot yet professionally reviewed
Overview
Finnish law is mainly statutory, with EU regulations applying directly. The Finnish Patent and Registration Office keeps the Trade Register (which also holds beneficial ownership information) and the national IP registers; the Finnish Tax Administration handles tax; the Financial Supervisory Authority regulates financial services; the Finnish Competition and Consumer Authority handles merger control; and the Data Protection Ombudsman supervises data protection. The Åland Islands are an autonomous, Swedish-speaking region with special rules on property, business rights and VAT.
Key facts
- Corporate income tax
- 20%; cut to 18% proposed from tax year 2027
- VAT
- 25.5% standard rate; 13.5% and 10% reduced
- Main entity form
- Private limited company (Oy), no minimum share capital
- Board residence
- One ordinary and one deputy board member and the managing director resident in the EEA, unless PRH grants a permit
- Currency and exchange controls
- Euro; no exchange controls
- New York Convention
- Party
- Minimum wage
- No statutory minimum wage; universally binding collective agreements
Entry, investment and company formation
Statements not yet checked against a source are marked AI-written. Confirm anything you plan to rely on with a qualified local professional.
Foreign investors usually set up a private limited company (osakeyhtiö, Oy) or register a branch, both through the Trade Register kept by the Finnish Patent and Registration Office. Acquisitions in the defence and security sectors need prior confirmation from the Ministry of Economic Affairs and Employment.
Key facts
An Oy can be formed with no minimum share capital, which keeps set-up simple for subsidiaries.
AI-writtenFile the start-up notification with the Trade Register through ytj.fi within three months of signing the memorandum of association, or the incorporation lapses.
Plan the board and management so that at least one ordinary board member, one deputy member and the managing director live in the EEA, or apply for a PRH permit.
Report beneficial owners to the Trade Register, and check whether the target is a defence or security sector company, where prior application for screening is mandatory.
Still to be confirmed · 3
- Registration fees and processing times were not confirmed.
- The status of the draft act on the screening and authorisation of foreign investments, which would replace the current screening act, was not confirmed.
- How the Business ID is issued on registration was not confirmed.
Who handles this in FinlandSetting up and running a companyContracts and commercial lawLicences, permits and regulatorsAnti-bribery, sanctions and compliance
Sources for this topic · 4
- Suomi.fi (Finnish Digital Agency and partner authorities) — Setting up a limited liability companyChecked against an official source · checked 2026-10-19 · 2 statements
- Finnish Patent and Registration Office (PRH) — Start-up notification onlineChecked against an official source · checked 2026-10-19 · 1 statement
- Finnish Patent and Registration Office (PRH) — Permits to persons living permanently outside the EEAChecked against an official source · checked 2026-10-19 · 1 statement
- Ministry of Economic Affairs and Employment (TEM) — Questions and answers about the act on the screening of foreign corporate acquisitionsChecked against an official source · checked 2026-10-19 · 1 statement
Questions on this topic
6 statements on entry, investment and company formation in Finland, 1 not yet checked against a source
Tax, accounting and audit
Statements not yet checked against a source are marked AI-written. Confirm anything you plan to rely on with a qualified local professional.
1 statement on rates, thresholds or deadlines is held back until it is checked against an official source.
Key facts
Corporate income tax is 20%, administered by the Finnish Tax Administration; a cut to 18% from tax year 2027 has been proposed but not yet enacted.
Standard VAT is 25.5%, so check pricing and invoices that still assume the former 24% rate.
Large groups are in scope of the Pillar Two minimum tax rules.
Payroll data goes to the Incomes Register within five days of each payment.
Still to be confirmed · 3
- Withholding tax rates on dividends, interest and royalties paid to non-residents, and treaty reductions, were not confirmed.
- The audit exemption thresholds and the financial statement filing deadline were not confirmed.
- Whether Parliament adopts the proposed 18% corporate tax rate for 2027 should be checked.
Who handles this in FinlandTax and structuringAccounting and annual filingsAudit
Sources for this topic · 4
- Finnish Tax Administration (Verohallinto) — The Government proposes to lower the corporate income tax rate to 18% and to extend the deduction period for business lossesChecked against an official source · checked 2026-10-19 · 1 statement
- Finnish Tax Administration (Verohallinto) — Rates of VATChecked against an official source · checked 2026-10-19 · 1 statement
- Finnish Tax Administration (Verohallinto) — Your tax handbook in FinlandChecked against an official source · checked 2026-10-19 · 2 statements
- Finnish Tax Administration (Verohallinto) — General information about Pillar TwoChecked against an official source · checked 2026-10-19 · 1 statement
Questions on this topic
5 statements on tax, accounting and audit in Finland
Employment, payroll and mobility
Statements not yet checked against a source are marked AI-written. Confirm anything you plan to rely on with a qualified local professional.
1 statement on rates, thresholds or deadlines is held back until it is checked against an official source.
Key facts
Check whether a universally binding collective agreement covers the business, as it sets minimum pay and conditions.
Since 1 January 2026 a proper reason relating to the employee is enough for dismissal; employers with 50 or more staff fall fully under the Co-operation Act, and those with 20 to 49 have some obligations.
Pension insurance (TyEL) must cover employees aged 17 to 69, and accident insurance is needed once wages exceed EUR 1,500 a year.
Still to be confirmed · 4
- Employer contribution rates for pension, unemployment and other social insurance were not confirmed.
- Salary thresholds for specialist permits and EU Blue Cards were not confirmed.
- Annual holiday accrual rules and working time limits were not set out in detail.
- The exact Co-operation Act obligations for employers with 20 to 49 employees, and when the 50-employee threshold took effect, were not confirmed.
Who handles this in FinlandEmployment, payroll and immigrationContracts and commercial lawBusiness insurance
Sources for this topic · 4
- Occupational Safety and Health Administration (Tyosuojelu.fi) — PayChecked against an official source · checked 2026-10-19 · 1 statement
- Finnish Government (Valtioneuvosto) — Lower threshold for dismissal if employee breaches obligationsChecked against an official source · checked 2026-10-19 · 1 statement
- Suomi.fi (Finnish Digital Agency and partner authorities) — Act on Co-operation in Undertakings (YT Act)Checked against an official source · checked 2026-10-19 · 1 statement
- Suomi.fi (Finnish Digital Agency and partner authorities) — The employer's statutory insurancesChecked against an official source · checked 2026-10-19 · 1 statement
Questions on this topic
4 statements on employment, payroll and mobility in Finland
Licensing, incentives and property
Statements not yet checked against a source are marked AI-written. Confirm anything you plan to rely on with a qualified local professional.
1 statement on rates, thresholds or deadlines is held back until it is checked against an official source.
Financial services in Finland are authorised by the Financial Supervisory Authority, and public procurement follows EU rules. Buyers from outside the EU and EEA need permission from the Ministry of Defence to acquire real estate. The autonomous Åland Islands have their own rules on property and business rights.
Key facts
Financial services need FIN-FSA authorisation unless passported from another EEA state.
AI-writtenNon-EU and non-EEA buyers, and EU companies with 10% or more non-EU ownership, need a Ministry of Defence permit before acquiring real estate.
Public contracts follow EU procurement rules.
AI-written
Still to be confirmed · 2
- Sector licensing outside financial services (energy, telecoms, transport, health) was not set out.
- Specific grant and incentive schemes and their conditions were not confirmed.
Who handles this in FinlandLicences, permits and regulatorsContracts and commercial law
Sources for this topic · 1
- Ministry of Defence (Puolustusministeriö) — Authorisation to non-EU and non-EEA buyers to buy real estateChecked against an official source · checked 2026-10-19 · 1 statement
Questions on this topic
4 statements on licensing, incentives and property in Finland, 3 not yet checked against a source
Banking, payments and capital
This topic was written by AI from general knowledge and is being checked against official sources. Confirm anything you plan to rely on with a qualified local professional.
Finland uses the euro and has no exchange controls. Banks apply strict customer due diligence under the Finnish AML Act, and account opening for non-resident owners can take time. The Bank of Finland is part of the Eurosystem.
Key facts
No exchange controls apply, so profits and capital can be repatriated subject to tax.
AI-writtenUsing the euro removes currency risk for euro-based groups.
AI-writtenExpect detailed AML checks on owners, directors and business activity when opening a Finnish account.
AI-writtenAccount information is available to authorities through a central register.
AI-written
Still to be confirmed · 3
- Typical account opening requirements and timescales for foreign-owned companies were not confirmed.
- Which authority keeps the bank and payment account register was not confirmed.
- Whether share capital must be paid into a Finnish account was not confirmed.
Who handles this in FinlandBanking and capitalPayments and currencyAnti-bribery, sanctions and compliance
Questions on this topic
4 statements on banking, payments and capital in Finland, 4 not yet checked against a source
Trade, customs and export controls
Statements not yet checked against a source are marked AI-written. Confirm anything you plan to rely on with a qualified local professional.
2 statements on rates, thresholds or deadlines are held back until they are checked against an official source.
Finland is in the EU customs union, so EU tariffs, trade agreements and product rules apply.
Key facts
EU customs, tariff and product conformity rules apply to goods placed on the Finnish market.
Åland is inside the EU customs territory but outside the EU VAT area, so check VAT treatment of shipments to and from Åland.
Still to be confirmed · 2
- The current status of Finland's land border crossings with Russia was not confirmed.
- The authority for military goods export licences was not confirmed.
Who handles this in FinlandCustoms, trade and export controlsAnti-bribery, sanctions and complianceTax and structuring
Sources for this topic · 2
- EUR-Lex (Publications Office of the European Union) — Regulation (EU) No 952/2013 laying down the Union Customs CodeChecked against an official source · checked 2026-10-19 · 1 statement
- EUR-Lex (Publications Office of the European Union) — Council Directive 2006/112/EC on the common system of value added taxChecked against an official source · checked 2026-10-19 · 1 statement
Questions on this topic
3 statements on trade, customs and export controls in Finland, 1 not yet checked against a source
Data protection and cyber
Statements not yet checked against a source are marked AI-written. Confirm anything you plan to rely on with a qualified local professional.
4 statements on rates, thresholds or deadlines are held back until they are checked against an official source.
Still to be confirmed · 2
- The Finnish law implementing NIS2, its entry into force and sector authorities were not confirmed.
- The turnover threshold for the right to receive e-invoices was not confirmed.
Who handles this in FinlandData protection and cyberContracts and commercial law
Sources for this topic · 1
- Office of the Data Protection Ombudsman (Tietosuojavaltuutetun toimisto) — Corrective powersChecked against an official source · checked 2026-10-19 · 1 statement
Questions on this topic
1 statement on data protection and cyber in Finland
Intellectual property
Statements not yet checked against a source are marked AI-written. Confirm anything you plan to rely on with a qualified local professional.
Patents, trade marks, utility models and designs are registered with the Finnish Patent and Registration Office. EU-wide rights are available through the EUIPO and European patents, and Finland has been part of the Unified Patent Court since June 2023. IP disputes are heard by the Market Court.
Key facts
File national rights with the PRH, or use EU trade marks and designs that also cover Finland.
AI-writtenInternational filings can use the Madrid, PCT and European patent routes.
Patent disputes may go to the Unified Patent Court or the Market Court; other IP cases go to the Market Court.
AI-written
Still to be confirmed · 2
- Official fees and examination timelines were not confirmed.
- Rules on employee inventions and compensation should be checked.
Who handles this in FinlandTrade marks, patents and brandsContracts and commercial lawDisputes and arbitration
Sources for this topic · 1
- World Intellectual Property Organization (WIPO) — WIPO Lex: Finland, member profileChecked against an official source · checked 2026-10-19 · 2 statements
Questions on this topic
4 statements on intellectual property in Finland, 2 not yet checked against a source
Deals, competition and restructuring
Statements not yet checked against a source are marked AI-written. Confirm anything you plan to rely on with a qualified local professional.
Listed company takeovers follow the Securities Markets Act and the Helsinki Takeover Code. Insolvent businesses may go into bankruptcy or use a court-led restructuring procedure.
Key facts
Notify deals above the Finnish thresholds (combined Finnish turnover over EUR 100 million, two parties over EUR 10 million each); the authority cannot call in smaller deals.
Merger prohibitions are decided by the Market Court on the authority's proposal, with appeal to the Supreme Administrative Court.
Listed takeovers follow the Securities Markets Act and the Helsinki Takeover Code.
AI-writtenCourt-led restructuring is available as an alternative to bankruptcy.
AI-written
Still to be confirmed · 4
- Whether notified deals must wait for clearance before completion was not confirmed against a source.
- Who imposes competition fines was not confirmed against a source.
- The mandatory bid threshold for listed companies was not confirmed.
- Foreign acquisition screening interaction with deal timetables should be checked.
Who handles this in FinlandBuying, selling and investingLicences, permits and regulatorsContracts and commercial law
Sources for this topic · 2
- Finnish Competition and Consumer Authority (KKV) — Towercast investigations: How does the FCCA investigate mergers that fall below the turnover thresholds?Checked against an official source · checked 2026-10-19 · 1 statement
- Finnish Competition and Consumer Authority (KKV) — The FCCA proposes the Market Court to prohibit the merger between Mehiläinen and PihlajalinnaChecked against an official source · checked 2026-10-19 · 1 statement
Questions on this topic
4 statements on deals, competition and restructuring in Finland, 2 not yet checked against a source
Compliance, sanctions and governance
Statements not yet checked against a source are marked AI-written. Confirm anything you plan to rely on with a qualified local professional.
2 statements on rates, thresholds or deadlines are held back until they are checked against an official source.
Key facts
Organisations with 50 or more staff must, as a rule, operate internal whistle-blowing channels; external reports go to the Office of the Chancellor of Justice.
Listed companies apply the Corporate Governance Code on a comply-or-explain basis.
AI-written
Still to be confirmed · 2
- The range of corporate fines was not confirmed.
- Compulsory insurance requirements beyond employee pension and accident insurance were not confirmed.
Who handles this in FinlandAnti-bribery, sanctions and complianceBusiness insuranceContracts and commercial law
Sources for this topic · 1
- Office of the Chancellor of Justice (Oikeuskanslerinvirasto) — The Whistleblower Act entered into force: centralised reporting through the Office of the Chancellor of JusticeChecked against an official source · checked 2026-10-19 · 1 statement
Questions on this topic
2 statements on compliance, sanctions and governance in Finland, 1 not yet checked against a source
Disputes and enforcement
Statements not yet checked against a source are marked AI-written. Confirm anything you plan to rely on with a qualified local professional.
Finland has district courts, courts of appeal and a Supreme Court, with the Market Court handling IP, competition and procurement cases. Arbitration is available under the Finnish Arbitration Act and through the Arbitration Institute of the Finland Chamber of Commerce. Finland is a party to the New York Convention and recognises EU judgments under the Brussels I Recast Regulation.
Key facts
Commercial cases start in the district courts; IP, competition and procurement cases go to the Market Court.
AI-writtenThe FAI is the main arbitral institution, and foreign awards are enforceable under the New York Convention.
AI-writtenJudgments from other EU states are recognised and enforced without special procedure; check the treaty position for judgments from outside the EU.
Court-annexed mediation is available in district courts.
AI-written
Still to be confirmed · 3
- The status of proposals to replace the Finnish Arbitration Act with a Model Law based statute was not confirmed.
- Court fees and typical durations were not confirmed.
- Enforcement of judgments from Lugano Convention states and from other non-EU states was not confirmed against a source.
Who handles this in FinlandDisputes and arbitrationContracts and commercial law
Sources for this topic · 2
- United Nations Commission on International Trade Law (UNCITRAL) — Status: Convention on the Recognition and Enforcement of Foreign Arbitral Awards (New York, 1958)Checked against an official source · checked 2026-10-19 · 1 statement
- EUR-Lex (Publications Office of the European Union) — Regulation (EU) No 1215/2012 (Brussels I recast)Checked against an official source · checked 2026-10-19 · 1 statement
Questions on this topic
5 statements on disputes and enforcement in Finland, 3 not yet checked against a source
Sources last checked on 19 October 2026. None of it has been professionally reviewed yet: it is research checked against official and secondary sources by WONE Global, not legal or tax advice.
WONE Global Intelligence
Ask about doing business in Finland
Ask in your own words. Answers come from WONE Global's checked records, with every source shown, and end with the named Partner who can act. Go deeper on any point, or build a decision file.
Who handles your work
No WONE Global Partner in Finland yet
Tell us what you need. WONE Global confirms whether a vetted Associate firm can act, tells you who it is and checks for conflicts before any work starts. You agree scope and fees with that firm directly.
On request
WONE Global can find the right local professional in Finland for you.
No WONE Global Partner holds this yet. Send us your requirement: WONE Global confirms whether a vetted Associate firm can act, tells you who it is and checks for conflicts before any work begins.
Bring a requirement →What changed recently
Rules that changed in Finland
From the Newsroom: changes recorded in this guide, each checked against its official source, with the date it takes effect.
Situations
When something happens in Finland
Common problems that need someone on the ground, and worked scenarios involving Finland.
Urgent Our bank has frozen an international payment. What can we do?Urgent Our bank says it will close our account. Can we stop it?Urgent Our goods are stuck at customs abroad. How do we get them released?Urgent We've received a tax notice from another country. Do we have to pay?Urgent We paid a supplier abroad and nothing arrived. How do we get our money back?Urgent We've received a legal letter from another country. How serious is it?