Luxembourg, a small country in Western Europe, is a popular destination for entrepreneurs and investors due to its stable economy, favorable tax system, and business-friendly environment. If you’re interested in starting a business in Luxembourg, it’s important to understand the registration process and legal requirements. In this article, we’ll provide a step-by-step guide on how to register a business in Luxembourg.
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Choose your business structure
The first step in registering a business in Luxembourg is to choose the appropriate business structure. The most common types of business structures in Luxembourg are sole proprietorship (entreprise individuelle), partnership (société en nom collectif), limited liability company (société à responsabilité limitée), and public limited company (société anonyme). Each business structure has its own advantages and disadvantages, so it’s important to choose the one that best suits your business needs.
Reserve your company name
Once you’ve chosen your business structure, the next step is to reserve your company name. This can be done online through the Luxembourg Business Register website. Your company name must be unique and cannot be similar to an existing company name in Luxembourg. Once your company name is approved, you will receive a certificate of registration.
Prepare your articles of association
The articles of association outline the rules and regulations of your company, including the purpose of your business, the management structure, and the rights and responsibilities of shareholders. These documents must be drafted by a notary or lawyer and signed by all shareholders.
Register your company
To register your company, you must submit the following documents to the Luxembourg Business Register:
Certificate of registration of your company name
Articles of association
Identification documents of all shareholders and directors
Proof of address of the registered office
Declaration of subscription and payment of share capital
Obtain your business license
Depending on the nature of your business, you may need to obtain a business license from the relevant authorities. This can include licenses for professions such as lawyers, accountants, and doctors, as well as permits for businesses such as restaurants, bars, and retail shops. The requirements for obtaining a business license vary depending on the type of business and can be obtained through the relevant authorities.
Register for taxes and social security
Once your company is registered, you will need to register for taxes and social security. You will need to obtain a tax identification number and register for VAT if your business turnover exceeds a certain threshold. You will also need to register for social security and health insurance for yourself and your employees.
In conclusion, registering a business in Luxembourg can be a complex process, but with careful planning and the right legal advice, it can be a smooth and successful process. At Generis Global, we have extensive experience in helping businesses register and operate in Luxembourg. Contact us today to learn more about how we can assist you with your business journey in this country.