Open an international business in Luxembourg in 2023
Luxembourg is an excellent option for international business. It is a country with a high standard of living characterized by political, economic, and social stability. Among other reasons to open an international business in Luxembourg in 2023 and the country's advantages are fast Internet, developed transport infrastructure, and the lowest VAT in the EU (from 7 to 16%). The country is a developed financial center that offers a wide range of banking services, including asset management, insurance, and funds.
The advantages of Luxembourg for international business
Luxembourg is a founding member of the EU, so it offers access to a multi-million dollar audience. As a result, government agencies and local administration are easily accessible, and the level of corruption is minimal.
Among the advantages of Luxembourg are:
- Good location in the center of the EU.
- Qualified workforce.
- Laws aimed at business development.
- Advanced digital center.
- AAA credit rating.
- High level of economic freedom.
- The banking sector is the driving force of the economy.
Multilingualism - many residents are fluent in German, English, French, and Luxembourgish.
It is also worth noting that Luxembourg is one of the richest countries in the world, so the standard of living here is high.
Requirements for business registration
Before opening a business, a company must draw up a Charter, and the founders must provide specimen signatures, copies of passports, and other papers. All documents must be translated into the official language and certified by a notary.
Among other requirements:
- Investors must open an account in a local bank, where a minimum capital must be deposited (the amount depends on the form of the legal entity);
- The company's name must be unique, which is checked in the Commercial Register;
- A local office is not required, and virtual office is allowed.
What kind of company can be opened in Luxembourg
The most popular form of legal entity for registering an international business is LLC or SARL. Its features:
- Minimum share capital - €12,000, share value - from €25.
- Number of shareholders - from 2 to 40.
- It can be managed by one person, not necessarily a resident of the country.
How to register LLC in Luxembourg
You need to perform the following steps to open a company in Luxembourg:
- Check the name for uniqueness and reserve it.
- Prepare the Articles of Association, which, together with the data on the shareholders, managers, and directors, are submitted to the Registry of Companies.
- Submit the documents to the Ministry of Economy and Foreign Trade. One must obtain a commercial, financial, or another license if required.
- Apply to the Civil Registry Office and obtain a certificate of incorporation from the Ministry of Trade.
- Register the company with the tax inspectorate and obtain an identification number.
- The Memorandum of Association has to be published in a Luxembourg official newspaper within two months after business registration.
How to start a company in Luxembourg
Contact IT-OFFSHORE experts to open a business in Luxembourg in 2023.