Hiring local through e-residency company

In a broad sense there are 2 ways to get people for working for your company - to have them as service providers/independent freelancers or officially hire them as employees. The rules differ for both and also the rules differ depending on the jurisdiction.

If your aim is to build closer ties with Estonia then hiring among the local population could have some benefits (by local we do not mean Estonians but people living in Estonia already).

We get a lot of messages asking for help regarding hiring someone for their e-residency company and then moving them physically to Estonia. Or the owner/manager of the e-residency company would like to do that for themselves. The issue that they would be faced then is that for the Police and Border Guard this situation is a bit suspicious. They would like to see the e-resident company have presence already before bringing in someone from abroad. This builds reliability. Obviously the company would have to have a financial record that would show the ability to pay salary as well.

Hiring a local can be also challenging when the management is not present in Estonia as they would also need to know the employment laws of Estonia. Nevertheless, this would be a recommended option is some cases.