Corporate trade differs depending on whether the object of the deal is ownership of the company or business activity.
The Tax Administration must be notified if business activity ceases. Such notification is made on a final declaration form, which can be found in the Forms section of the BIS website. The trade register also obtains information about cessation of business activity through the BIS.
If the reason for cessation of business activities is corporate trade, a copy of the trade register extract is annexed to the declaration. If business activities end in bankruptcy, a copy of the court judgment imposing bankruptcy is annexed. If the company merges, a copy of the trade register extract mentioning the court's granting of permission to merge is annexed.
Types of business transfer
Gift tax is paid on gifts and advance inheritances of EUR 4000 or more. Inheritance tax is paid on inheritances of EUR 20 000 or more. Inheritance tax is determined on the basis of the value of the property inherited and the family relationship.
Business transfers: a step-by-step guide
The options for continuing business activity can be divided roughly into three groups: succession, sale to a party outside the family or termination of business activity. Other opportunities for terminating a company with a different ownership structure are merger with another company or sale of the company to another company.
Taking over an existing company is a worthwhile alternative to setting up a new business.
Business transfer procedures
Business owners must officially notify the Trade Register and the Tax Administration Office of any change in the ownership of their business.
You may access the necessary forms at the Finnish Business Information System (YTJ/BIS) website.
Enterprise-Finland provides comprehensive information on business activity in Finland: launching a business, expanding, going international, taxation and business development, transferring the business, public financing and the roles of employers and employees. It also has a telephone helpline.
The Federation of Finnish Enterprises runs an internet-based service called Enterprise Exchange which gives advice on expanding, selling and purchasing a business.
The Chambers of Commerce Network has information about all its corporate members. This can be useful when seeking partners and customers.
Centres for the Employment, Transport and the Environment provide assistance for those preparing to transfer a business - either to a descendent or to a new owner from outside the family.
Invest in Finland provides assistance and advice on matters relating to commencing business activity in Finland.