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Company Formation Luxembourg



The Minimum Capital for Opening a Company in Luxembourg

Updated on Friday 08th December 2017

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The-minimum-capital-for-opening-a-company-in-LuxembourgForeign investors come to Luxembourg because of the numerous types of companies they can establish and because the Grand Duchy offers a friendly taxation system. Company registration in Luxembourg is possible through the Commercial Code which provides for all types of structures that can be incorporated, including the requirements for setting them up. Before starting the company formation process, one must know that a company must have a specific number of shareholders, at least one manager or director and a start-up capital.

Our company formation agents in Luxembourg can offer detailed information about each type of company.

The share capital of Luxembourg companies

One of the most important aspects of registering a company in Luxembourg is the share capital which must be deposited when setting up the business. The share capital represents the contributions of the shareholder and can take the form of money or assets. Once issued, the capital will be divided into shares.

The following types of companies are required to have a minimum share capital in Luxembourg:

  • -          the private limited liability company (SARL);
  • -          the public limited liability company (SA).

The minimum share capital required to register a SARL company in Luxembourg is approximately 12,500 euros and the whole amount must be paid upon incorporation. The share capital required to set up a SA company is approximately 31,000 euros, out of which 25% must be paid when registering the company. The share capital must be deposited in the company’s bank account.

Share capital requirements for partnerships in Luxembourg

There are four types of partnerships one can establish in Luxembourg:

  • -          general partnership;
  • -          limited corporate partnership;
  • -          special limited partnership;
  • -          corporate partnership limited by shares.

While the first three types of partnerships are not subject to share capital requirements, the partnership limited by shares must have a start-up capital of 31,000 euros.

It must be noted that a company or a partnership’s share capital can be altered under the provisions of the Company Act.

For assistance in setting up any of the types of companies above, do not hesitate to contact our company incorporation representatives in Luxembourg.


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