Business accounts: Iceland
An honest assessment before work starts, the quote is fixed in writing.
Iceland is a member of the European Economic Area but not of the European Union, and it has its own currency, the Icelandic krona. The capital controls introduced after the 2008 crisis were lifted in 2017, so a company can move money abroad freely. Icelandic banks are supervised by the Central Bank of Iceland, which has also served as the financial supervisor since 2020. A business account here is opened mainly for an Icelandic company or a foreign company with real operations in the country: tourism, fishing and seafood, energy, data centres, software.
An Icelandic company: key conditions
| Item | Condition |
|---|---|
| Usual form | private limited company |
| Share capital | from ISK 500,000, ~$4,100, paid in full before registration |
| Government registration fee | ISK 140,500, ~$1,200 |
| Managing director and board | the managing director and at least half of the board live in Iceland, another European Economic Area or European Free Trade Association state or the Faroe Islands; under a general exemption the rule does not apply to citizens of OECD, European Economic Area and European Free Trade Association states who live in one of them, others need a ministry exemption |
| One-member board | at least one alternate is required |
| Beneficial owners | reported to the tax authority together with registration |
| Corporate income tax | 20% |
| Value added tax | 24%, reduced rate 11% |
Dollar amounts are converted at the European Central Bank rate of 5 October 2026 and rounded up. The residence rule for directors is set in the Icelandic Act on Private Limited Companies, so we design the management structure before registration: the bank's decision depends on it too.
We will calculate online the cost of opening an account for your company and maintaining it for a year.
What the bank will check
- The company register extract, articles, list of directors, board members and beneficial owners.
- Icelandic identification numbers of the company and its managers. No account is opened in Iceland without one; non-residents receive a separate system number.
- What the company does, who its clients and suppliers are, and how much of its revenue is linked to Iceland.
- Expected turnover, currencies and payment countries: krona, euro, dollars, deals outside Europe.
- Source of the share capital and of the owners' funds: statements, contracts, documents on the sale of a business.
How the opening works
| Stage | What happens | Time |
|---|---|---|
| 1. Assessment | link to Iceland, board composition, countries of owners and payments | 2-3 days |
| 2. Company | articles, paying in capital, registration, beneficial owners, tax numbers | 2-4 weeks |
| 3. Bank pack | business description, turnover, counterparties, source of funds | 1-2 weeks |
| 4. Bank review | bank questions, meeting with the director, signing | from several weeks |
The capital is paid in full when the company is set up, so we choose the bank and prepare the first documents for it in advance, before registration. Electronic access to the bank is easier for the manager to obtain during a personal visit, so a trip to Reykjavik is best planned in advance.
Who gets refused
The bank will refuse if the company has no clear link to Iceland, if the source of money cannot be proven with documents, if owners or counterparties are linked to sanctions, or if expected payments do not match the business description. A refusal is also possible when the board composition does not meet the legal residence rule for directors. We check whether the bank works with Russian citizens before preparing documents.
What we do
Murblz specialists assess the chances before applying, design the board and directors, register the Icelandic company, obtain identification numbers, prepare the business description and bank pack, and handle correspondence until the account is open. If an Icelandic bank is unrealistic for your model, we suggest another European country where a company account is easier to open. We fix the estimate in writing; the decision to open an account always rests with the bank.
What we do
- Corporate account - opening assistance
See also
Company formation · Personal account · Investment property · Country taxes · All country programs
FAQ
Can an Icelandic company open an account without a trip to Iceland?
Do I need a director who lives in Iceland?
How much does it cost to set up an Icelandic company?
What taxes does an Icelandic company pay?
What currency will the account be in?
Does a company in Iceland give a residence permit?
Want a company account in Iceland?
We assess your company's chances with Icelandic banks, prepare the compliance pack and help explain the business link to Iceland. The catalogue covers every country.
The Murblz consultant replies straight away in the chat on this page. Describe your situation and we will work it out together.
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