Why Lithuania. Why ECOVIS

Lithuania has everything you need to make your investment in Europe (EU/EEA area) go further: dynamic talent pool, competitive, growth-oriented business environment, strong focus on continued innovation, EU-leading infrastructure, innovations and R&D, quality and costs, 6 Free Economic Zones in the economic centres of the country.

Why Lithuania is the best jurisdiction for FinTech companies

High rankings recently granted to Lithuania confirm preferable business conditions, good investment possibilities, capacity to create good well-being of the country:

  • the 11th position in the World Bank’s Doing Business 2020 report measuring business conditions.
  • Vilnius took the 1st place in FDI’s first Tech Start-up FDI Attraction Index. Lithuanian capital received the highest number of greenfield FDI projects per capita from start-ups in the software and IT services sector between 2016 and 2018.
  • the 29th position in IMD World Competitiveness Rankings. This ranking shows how countries are able to harness available resources and competencies to increase their well-being.
  • the 6th place globally for the best work-life balance (OECD Better Life Index, 2019).
  • Top 4 best locations in the world for FinTech, ranked by Findexable Global FinTech Index 2020, covering more than 250 cities in 65 countries.
  • the 18th position in Paying Taxes Ranking 2019, ranked by PwC and the World Bank Group

FinTech company or other financial institution registered and licensed in Lithuania provides a significant competitive advantage and opens EU/EEA financial market at significantly lower incorporation and operational costs. Regulators in other member states are not allowed to make any barrier or set additional requirements. FinTech is a dynamic and rapidly developing sector in Lithuania. Almost two hundred FinTech companies operate in our country. The Bank of Lithuania is constantly receiving applications for electronic money and payment institution, also bank licenses. FinTech companies prefer Lithuania as a European jurisdiction for Payment and Electronic Money Institution licensing for many reasons: fastest pan-European FinTech licensing process, five times lower initial capital requirement for challenger banks, regulatory Sandbox, newcomer program and other progressive regulations.

Business-oriented regulation and Lithuanian FinTech community

ECOVIS ProventusLaw is the founder of FINTECH HUB LT association which now unites more than 20 FinTech companies licensed in Lithuania. It intends to contribute to the creation of favourable conditions for the activities of financial technology industry players, seeking to make Lithuania a traction centre for the financial technology industry throughout the European Union. Our FinTech community and regulator welcome all new ideas and proposals on the improvement of existing regulation. International FinTech is part of the Government policy in Lithuania. Together with other state authorities, the Bank of Lithuania aims to create a FinTech-friendly environment that will attract new companies and encourage them to incubate new products in Lithuania.

ECOVIS ProventusLaw is an experienced finance institution and FinTech licensing advisor

ECOVIS professionals advise governmental working groups on improving the regulatory environment for financial institutions in Lithuania and focusing on pan-European needs. Currently, we provide services to clients from continental Europe, the UK, Americas, Southeast Asia, Israel, UAE and other parts of the world. We do not differentiate between experienced international financial institution providing services around the globe and FinTech start-up making their first steps into the European financial market. We welcome everybody and we are ready to assist everyone. ECOVIS ProventusLaw’s experience in consulting and licensing international clients goes back to the incorporation of the first modern NSEL 30 Index fund in Lithuania and the fund management company 15 years ago. We licensed the first international payment FinTech in Lithuania – California-based e-payment company Alternative Payments in 2014 which provides services to more than 100 000 websites around the world. Alternative Payments currently holds a Lithuanian license for their pan-European business. We advised the national post operator AB Lietuvos Paštas and the leading mobile telecommunications service provider UAB Omnitel (now Telia) on getting their licenses. We mediated the Singapore-based Senjo Group global holding company specializing in payment services and financial technology, with the acquisition of Finolita Unio, which has a payment institution license.

ECOVIS ProventusLaw acquired an electronic money institution license for Singapore-based InstaReM, which operates in more than 50 countries. ECOVIS offices in Lithuania, Singapore, Luxembourg and Germany assisted InstaReM (currently Nium), so this project was most definitely international. In 2019, Ecovis proved services to the UK’s Contis Group, the leading European alternative banking and payments solutions, in getting an Electronic Money Institution license. The total number of financial licenses we recently served from the beginning till the end of the licensing process currently exceeds 35. The Guides to the World’s Leading Financial Law Firms IFLR1000 awarded ECOVIS ProventusLaw and Attorney at Law Inga Karulaitytė in the 2019 IFLR1000 law firm rankings as a Highly Regarded Lawyer in Banking. The awards received from the international legal directory was the recognition of ECOVIS ProventusLaw FinTech team exceptional knowledge and expertise in banking, financial services as well as financial institution licensing.

ECOVIS International is global financial advisor

ECOVIS ProventusLaw is a part ECOVIS International – the leading global consulting group with over 7500 professionals operating in more than 80 countries around the world. As an interdisciplinary network of legal, audit and tax professionals, ECOVIS advises on all aspects of financial institution’s incorporation and licensing process, including preparation of the business plan, tax advice and human resources. ECOVIS handles all licensing processes, from the preparation of documentation in a client’s home country to the submission of the full licensing package to the regulator and representation with the regulator. Our worldwide ECOVIS network with offices in more than 80 countries provides clients with the possibility to work through their home country ECOVIS office. You can get a license for your European financial business without leaving your home city. Deep local knowledge in the home country and international expertise of the interdisciplinary network of ECOVIS International professionals ensure fast and efficient services for the client. This makes ECOVIS different from other service providers.

More about FinTech licensing.

Inga Karulaitytė-Kvainauskienė

Lawyer, attorney at law, partner of the law firm

Contact person