Estonia's e-residency bank account is enabling non-residents to run a business in Europe

a year ago   •   5 min read

By İlayda Birol

Estonia's e-residency bank account is enabling non-residents to run a business in Europe. Here's everything you need to know about the requirements and benefits of this program. If you are an entrepreneur, a small business or a startup with big plans, you know that a big part of your success will come from selling your products or services to customers in other countries. But setting up a business bank account in another country can be a real challenge - especially if you're not a resident.

That's where we come in. We're here to help you to leverage a recent benefit that enables you to establish a European digital company and open a bank account in Estonia from anywhere, even if you are a non-resident.

In the past, opening a business bank account and establishing business in a European country required residency and some tedious legal procedures. But thanks to Estonia’s game-changing e-residency program, you can now open an Estonia e-residency bank account and run a business without being a European resident.

Estonia e-Residency offers a streamlined and digital business setup process, access to a trusted and transparent business environment, and the ability to run a location-independent business from anywhere in the world.

What is Estonia’s e-residency?

In short, an e-residency is a government-issued digital ID that gives entrepreneurs access to open a bank account in Estonia and a range of online business services in Europe - even if they're not physically present in the country. E-residency was launched in Estonia in 2015 and since then, the country has become the most digital society in the world. It is also the first country to offer e-residency to non-residents and is enabling people from almost all the countries to join the Estonia e-residency program and run a business. After you open a bank account in Estonia, you are eligible for the following:

  • Access to international business setup
  • Conduct cross-border banking online
  • Digitally manage business contracts
  • Manage international payment processing
  • Manage taxation online
  • Access to EU marketplaces

This residency is mainly aimed at entrepreneurs, freelancers, small businesses, startups etc., but it is also available to anyone who wants to use Estonia's digital services.

E-residency is not a physical residency or citizenship. It does not give you the right to enter Estonia or live there. However, it does give you the ability to start and run a location-independent business in Estonia and access Estonia's e-services.

Why Open a Bank Account in Estonia?

As one of the most business-friendly countries in the world, It's no surprise that Estonia were the first to launch e-residency. Estonia supports new entrepreneurs with the facilities it offers. You can easily become an Estonia e-resident with just applying for e-residency . Open a bank account in Estonia right after and start growing your business. There are various other reasons that make the Estonia e-residency bank account an ideal choice:

  • Estonia's digital infrastructure is world-class,  allowing you to open a company entirely online easily.
  • Estonia is also the most wired country in the world with 99% of its 1.3 million people having access to the internet.
  • Estonia has a flat 20% corporate tax rate, which is one of the lowest in Europe.
  • Estonia is also a member of the European Union and the eurozone, which gives businesses easy access to the EU market of 500 million consumers.
  • Estonia is a great place to do business for many reasons, but perhaps the biggest drawcard is that it's easy to open a bank account there as an e-resident.

Why open a business bank account in Estonia as a non-resident

There are plenty of benefits to having a business bank account in Estonia, to name a few:

1) It gives you access to the SEPA (Single Euro Payments Area) payment system

This means, with an Estonian bank account, you can receive and send payments anywhere in the EU for free. You'll also get a local IBAN number, which makes it easier for customers and suppliers to pay you.

2) An Estonian bank account gives you access to Estonia's e-services:

This includes e-invoicing, e-tax, and e-residency applications. All of these services are available to e-residents through their Estonia digital ID.

3) You have access to multilingual support:

Estonia offers support in English, Russian, and Estonian.

4) Estonia is a safe and stable country:

Estonia has an AAA credit rating from all three major credit rating agencies (Moody's, S&P, and Fitch). This means that Estonia is a financially stable country with a low risk of defaulting on its debts.

5) Estonia is a member of the European Union and the eurozone:

This gives businesses easy access to the EU market of 500 million consumers.

Do You Want To Open a Company in Europe?
Visit wamo page for information about countries you can choose to grow your business in Europe and business accounts that will make your business easier.

6) The banking sector in Estonia is well-regulated:

Your Estonia bank account will be supervised by the European Central Bank.

There are a few established service providers associated with the program that offer Estonian e-residency bank accounts. These service providers will help you with the application process, account management and also provide you with other Estonian e-services. Some of the Estonian e-residency service providers are Xolo, Deel, wamo.

Check Out wamo’s Services

How to get an Estonian e-residency bank account?

If you're interested in getting an Estonia e-residency bank account, you’ll be pleased to know that the process is pretty straightforward.

  1. The first thing you need to do is to apply for Estonian e-residency. You can do this by filling out an online application form.
  2. Once you have your Estonian digital ID, you can register online through the government-owned Company Registration Portal, or via Business Register API services that service providers offer on their websites.
  3. The service provider will help you with the documentation and process of opening a bank account. The provider must be licensed to fulfil necessary legal requirements.
  4. Once the bank account is open, you'll have access to Estonia's e-services and the SEPA payment system.
  5. You can use your Estonia e-residency bank account to receive and send payments anywhere in the EU.
You may need a service provider to manage your accounting, taxation, legal matters, banking and payment transfers to run a business in Estonia.

wamo is one of the Estonia e-residency service providers that offer a business bank account for e-residents. With wamo as your all-in-one financial management platform, your EU business can manage business banking, SEPA payments, virtual business debit cards, multi-currency account, local and international payments.

Ready to open a bank account in Estonia as a non-resident?

While opening a bank account in Estonia seems easy, it's important to remember that you still need to comply with various legal procedures and banking requirements. You might need to prove your business' financial stability, your ties with Estonia, and your business' purpose for needing an Estonian bank account. Nonetheless, Estonia provides many benefits and opportunities for businesses, so it's definitely worth considering Estonia as your next business destination.

Through wamo's multi-currency account, you'll be able to get the best out of Estonia's business opportunities and e-services, without having to worry about the hassle of managing multiple accounts in different countries. With wamo, you can focus on what you're good at - running your business.

Register wamo today and start growing your business instantly.


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