Europe Emirates Group can help you start your business in Luxembourg
Luxembourg company formation takes the SARL format and can be facilitated without visiting the country. The process requires seven working days.
A unique business name is required. Following verification, the business should open a bank account and deposit a minimum amount for share capital.
The actual incorporation process must be done in the presence of a notary. If the shareholders are not able to attend the incorporation meeting, power of attorney can be given. The notary participates in the preparation of the Articles of Association and handles all relevant authority requirements.
Following incorporation, the money-blocking certificate placed on the initial share capital is released so the company can access its funds. There are also taxes that have to be paid to the authorities.
The director may be of any nationality and reside in any country and only one director is required. It is advisable to have a director who is an EU resident for business licence processing. The names of directors do not appear on public record.
Companies with fewer than 25 shareholders do not have to hold annual general meetings and only one shareholder is required, who may also be from any nationality. Corporations can also serve as shareholders and nominee shareholders are accepted. A maximum of 40 shareholders is permitted.
A Financial Accounts Manager has to present accounts at company meetings, but there is no requirement that a company secretary be engaged.
Luxembourg levies taxes against foreign corporations, but its VAT is among the lowest in the EU. The tax rate for commercial activities on profits is generally set at 16 percent. Exemption from income taxes and capital gains taxes can be obtained if certain conditions are met, for example, if the company qualifies under double tax treaties or if the company meets EU requirements regarding parent and subsidiary companies.