Osakeyhtiönä

Osakeyhtiönä refers to operating as a Finnish limited liability company (osakeyhtiö, Oy). It is a separate legal entity from its owners, and its liability is limited to the capital invested by the shareholders. This structure provides a degree of protection for personal assets and is widely used for both small and larger businesses.

Formation and capital lie at the core of the form. A private limited company (Osakeyhtiö, Oy) requires a minimum share capital of 2,500 euros. It can be formed by one or more founders who prepare a perustamiskirja (founding document) and a yhtiöjärjestys (articles of association), after which the company is registered in the Finnish Trade Register maintained by the Patent and Registration Office (PRH). The company name must typically end with Oy or osakeyhtiö.

Governance and management follow a defined structure. The highest decision-making body is the yhtiökokous (general meeting) of the shareholders, which appoints the board of directors (hallitus). The hallitus may appoint a toimitusjohtaja (managing director) to handle daily operations. The company’s management work is separated from ownership, allowing for clearer governance and potential transfer of shares.

Taxation and reporting obligations are significant considerations. An Oy is taxed as a separate entity, with corporate income tax on profits at a rate of 20%. Dividends paid to shareholders may be subject to additional taxation at the personal level. Oys are required to maintain accounting records, prepare tilinpäätös (financial statements), and file annual accounts with the authorities, with audit obligations depending on size.

Compared with other business forms, such as a toiminimi (sole proprietorship) or partnership, an Oy offers limited liability and greater credibility, but entails higher administrative requirements, costs, and formal governance.