On 28 April, the Chamber of Deputies adopted a law aimed at simplifying the creation of private limited liability companies (SARLs). The text introduces the possibility of deferring the payment of the minimum share capital of EUR 12,000, thereby eliminating the requirement to open a bank account prior to the incorporation of the company. The objective is to ease administrative procedures and accelerate business creation processes.

The reform is presented as a means of strengthening the competitiveness of the financial sector and addressing the needs of certain transactions where speed is essential, particularly in private equity. It is also seen as a support measure for entrepreneurs, especially those who do not immediately have the required capital, and is part of an effort to align with practices in neighbouring countries.

The Chamber of Commerce “welcomes the provisions of the draft bill, which bring company law into line with the current demands of the business world and represent a significant step forward for the financial centre”.

For its part, the Chambre des Métiers, recognising the momentum the law could bring to the craft sector, highlighted a “development that meets the needs of business founders, who often face cash flow constraints when launching their businesses”.

To read more: Les députés ont adopté une loi pour faciliter la création d’une SARL au Luxembourg | Virgule