---
canonical: "https://euincnow.com/company-formation-europe"
dateModified: "2026-10-11"
---

# Company Formation in Europe: Compare Countries and Costs

Company formation in Europe starts with a national legal form and the country where it will be registered. Compare the signing process, capital, address and director requirements, account eligibility and annual costs. Your place of management and business activity matter alongside the registration address. This guide covers EU and non-EU jurisdictions; EU Inc remains a proposal.

## Choose a country for the business you will run

- Start with your operating plan: where you live, make management decisions, employ people and need premises or licences. Then compare the company forms available there and any other jurisdiction that serves a practical business need. Registration in one country does not remove tax, employment or licensing duties elsewhere.
- The [EU’s business startup guide][1] explains that legal forms differ in liability, tax, ownership and setup costs. It also separates registering a business from tax, VAT and licensing steps. Use those distinctions when comparing a short registry timeline with a complete operational setup.

## Compare 43 European jurisdictions

- The table includes 27 EU member states and 16 countries or jurisdictions outside the EU. A non-EU company is not an EU company. Each profile explains the national requirements and lists its sources.
- Formation costs and filing requirements have a scoped review date for Estonia: 2026-10-11; Ireland: 2026-10-11; Portugal: 2026-10-11; Germany: 2026-10-11. Other figures retain their earlier review scope. Headline tax rates are a starting point, not a calculation of your company’s or your own liability.

| Country | Main type | Corporate tax | VAT | Min capital | Setup | Remote |
| - | - | - | - | - | - | - |
| Estonia | OÜ (private limited) | 0% retained / 22% distributed | 24% | €0.01/shareholder | \~1 day (registry) | Yes, e-Residency |
| Ireland | LTD (private limited) | 12.5% trading | 23% | Set in constitution | \~3-5 days | Yes |
| Poland | Sp. z o.o. (limited) | 19% (9% small) | 23% | \~€1,150 (PLN 5,000) | \~1-5 days | Yes |
| Lithuania | UAB (private limited) | 17% (2026) | 21% | €1,000 (UAB) | \~3-5 days | Yes |
| Portugal | Lda (private limited) | 19% (15% SME band) | 23% | €1/quota | \~1-3 days | Yes |
| Germany | GmbH (limited) | \~30% combined | 19% | GmbH €25,000 (€12,500 paid) | Case-dependent | Conditional, accepted eID or representation |
| Cyprus | Ltd (private limited) | 15% (from 2026) | 19% | None (typ. €1,000) | \~8-12 days | Yes |
| Malta | Ltd (private limited) | 35% (\~5% effective) | 18% | \~€1,165 (20% paid) | \~3-7 days | Yes |
| Romania | SRL (limited) | 16% (1% micro) | 21% | RON 500 (\~€100) | \~1-2 weeks | Yes |
| Latvia | SIA (private limited) | 0% retained; 20% distribution (optional 15% + 6%) | 21% | €2,800 (or €1 micro) | \~1-3 days | Yes |
| Hungary | Kft. (limited) | 9% | 27% | HUF 3M (\~€7,500) | \~4-5 days | Partial |
| Greece | IKE (private company) | 22% | 24% | €1 (IKE) | \~2-4 weeks | Partial |
| France | SAS (joint-stock) | 25% (15% small band) | 20% | €1 (SAS/SARL) | \~1-2 weeks | Yes |
| Spain | SL (limited) | 25% (15% startups) | 21% | €1 (SL) | \~1-3 weeks | Yes (via PoA) |
| United Kingdom non-EU | Ltd (private limited) | 25% (19% small) | 20% | None (£1) | \~24 hours | Yes (online) |
| Austria | GmbH (limited) | 23% | 20% | €10,000 | \~1-3 weeks | Yes |
| Belgium | BV/SRL (limited) | 25% (20% SME) | 21% | None (BV/SRL) | \~2-4 weeks | Partial |
| Bulgaria | EOOD/OOD (LLC) | 10% flat | 20% | €1 (LLC) | \~3-7 days | Yes (via PoA) |
| Croatia | d.o.o. (limited) | 10% / 18% | 25% | €1 to €2,500 | \~1-4 weeks | Partial |
| Czechia | s.r.o. (limited) | 21% | 21% | CZK 1 (s.r.o.) | \~2-3 weeks | Yes |
| Denmark | ApS (private limited) | 22% | 25% | DKK 20,000 | \~1-2 weeks | Partial |
| Finland | Oy (limited) | 20% | 25.5% | None (Oy) | \~1-3 days | Partial |
| Italy | SRL (limited) | \~28% (24% + IRAP) | 22% | €1 (SRL) | \~1-3 weeks | Yes (via PoA) |
| Luxembourg | SARL (limited) | \~24% combined | 17% | €12,000 (€1 SARL-S) | \~1-3 weeks | Yes (via PoA) |
| Netherlands | BV (limited) | 19% / 25.8% | 21% | €0.01 (BV) | \~1-2 weeks | Yes |
| Slovakia | s.r.o. (limited) | 10%, 21% or 24% by revenue | 23% | €5,000 (s.r.o.) | \~1-3 weeks | Yes |
| Slovenia | d.o.o. (LLC) | 22% | 22% | €7,500 (d.o.o.) | \~4-5 days | Partial |
| Sweden | AB (aktiebolag) | 20.6% | 25% | SEK 25,000 | \~1-2 weeks | Partial |
| Switzerland non-EU | GmbH (limited) | \~12-21% (canton) | 8.1% | CHF 20,000 (GmbH) | \~1-3 weeks | Yes (PoA) |
| Norway non-EU | AS (private limited) | 22% flat | 25% | NOK 30,000 (AS) | \~5-10 days | Needs D-number |
| Iceland non-EU | ehf. (private limited) | 20% | 24% | ISK 500,000 (\~€3,400) | \~1-3 weeks | Yes (agent) |
| Liechtenstein non-EU | GmbH / AG | 12.5% | 8.1% | CHF 10k (GmbH) | \~1-3 weeks | Yes (fiduciary) |
| Georgia non-EU | LLC | 0% retained / 15% distributed | 18% | None (LLC) | \~1-2 days | Yes (PoA) |
| Serbia non-EU | d.o.o. (LLC) | 15% flat | 20% | RSD 100 (<€1) | \~3-5 days | Yes (PoA) |
| Ukraine non-EU | TOV (LLC) | 18% (9% Diia City) | 20% | None (TOV) | \~1-3 days | Yes (PoA) |
| Turkey non-EU | Limited Sirket (Ltd) | 25% (30% financial) | 20% | TRY 50,000 (Ltd) | \~2-4 weeks | Yes (PoA) |
| Jersey non-EU | Private company (Ltd) | 0% (zero/ten) | 5% GST (no VAT) | None | 2 hrs to 5 days | Yes (via TCSP) |
| Guernsey non-EU | Company (Ltd) | 0% (zero-ten) | No VAT/GST | None | \~1-2 weeks | Yes (via CSP) |
| Isle of Man non-EU | 2006 Act Co (Ltd) | 0% (zero/ten) | 20% | None | \~48 hours | Yes (via CSP) |
| Gibraltar non-EU | Private (Ltd) | 15% | No VAT | No minimum | \~3-5 days | Yes (PoA) |
| Andorra non-EU | SL (limited) | 10% flat | IGI 4.5% | €3,000 (SL) | \~8-12 weeks | Partial |
| Monaco non-EU | SARL / SURL (limited) | 25% where ISB applies | 20% | €15,000 SARL / €8,000 eligible SURL | \~2-6 months | In person |
| San Marino non-EU | S.r.l. (LLC) | 17% flat | No VAT (17% import) | €25,500 (SRL) | \~6-8 weeks | Yes (PoA) |

- Capital and timing refer to the form and assumptions described in each profile. For example, Germany’s main capital figure concerns the GmbH, not the UG. A registry processing time may exclude identity documents, notarisation, capital payment or account checks.

## How do you register an LLC in Europe?

- “LLC” is often used in English when searching for a limited-liability business. The filing itself uses a national legal form. You choose that form and complete the relevant national procedure; a generic European LLC application is not the registration route.

* **Germany:** GmbH or UG (haftungsbeschränkt), with different capital rules and a notarial formation process.
* **Estonia:** OÜ, with online filing when all required signatories have supported digital identities.
* **Ireland:** LTD, with its constitution, registered-office, director and secretary requirements.
* **Netherlands:** BV, under Dutch formation and reporting rules.
* **France:** SARL or SAS; the choice changes governance and other obligations.
* **Poland:** Sp. z o.o., with signing and filing routes that depend on the case.
* **Spain:** SL, subject to Spanish registration and capital rules.

- Limited liability does not make these structures identical for tax. Even a US LLC can be classified differently depending on its owners and elections, as the [IRS explains][2]. Do not assume that a US treatment transfers to a European company. Compare the legal form, company taxation and owner taxation separately.
- The existing [European Company (SE)][3] has its own eligibility and capital framework. The proposed EU Inc is another distinct concept and is not open for registration.

## A practical company registration sequence

1. **Choose the jurisdiction and form.** Check your business activity, ownership, director and local-presence requirements. Resolve any regulated-activity permissions before relying on a launch date.
2. **Confirm who must sign and how.** List shareholders, directors and representatives. Check supported digital identities, appointments, powers of attorney and document certification.
3. **Prepare the company information.** Confirm the name, registered address, activity, ownership, capital and governing documents required by the chosen registry.
4. **Arrange capital and file.** Establish how any required contribution will be paid and evidenced. Submit the signed application with the applicable official fee.
5. **Complete the operational steps.** Check tax, VAT, trade and beneficial-ownership filings, account onboarding, bookkeeping and the first reporting deadlines.

- For concrete national steps, start with Estonia’s online registration process or Germany’s GmbH and UG formation routes. Their identity and signing requirements are different.

## Compare the complete budget

- **Official charges:** registry, notarial and other mandatory filing fees for the chosen route.
- **Preparation:** digital identity, certified copies, translations, apostilles or representation where needed.
- **Share capital:** funds contributed to the company, separate from fees paid to others.
- **Professional services:** the agreed scope of formation support and any legal or tax advice.
- **Recurring costs:** bookkeeping, annual reporting, address or contact-person services, account charges and renewals.

## Check remote eligibility before choosing a deadline

- An online registry does not mean every founder can complete every step online. Confirm the accepted identity documents for each required signatory. In Estonia, obtaining and collecting a digital ID is separate from the company filing. In Germany, the video-notary route depends on the identity documents and the intended transaction. The linked country guides explain these conditions with sources.
- Ask account providers about your legal form, residence, ownership and activity before filing. Check whether their account supports capital payment and the payments your business needs. Incorporation does not guarantee account approval. Read the banking guide for non-resident founders, then prepare the post-registration checklist.

## Country comparisons and shortlists

- Use the head-to-head guides to compare practical requirements as well as headline figures:

* Estonia vs Ireland: company formation compared
* Cyprus vs Malta: company formation compared
* Estonia vs Lithuania: company formation compared
* Estonia vs United Kingdom: company formation compared
* Germany vs Estonia: company formation compared

- Select two countries for a focused comparison. The general country shortlist, low-capital company options and guide for digital nomads provide other starting points. A shortlist does not replace checking the fit for your operations.

## Where the proposed EU Inc fits

- EU Inc would introduce a harmonised company form alongside national forms. It remains under negotiation, registration is closed and no launch date is confirmed. Follow the legislative tracker and timeline for the difference between proposal, adoption and application.
- If you need a company for contracts, hiring or investment now, assess existing national forms. A future conversion would depend on the adopted rules and your eligibility. Read how to prepare or compare EU Inc with an Estonian OÜ.

## Sources for this guide

- [Your Europe: starting a business and choosing a legal structure][1]
- [European Commission: company law and European legal forms][3]
- [IRS: LLC classification depends on ownership and elections][2]

* These sources support the general framework. Use each country profile’s source list for national requirements and its stated review scope.

## Frequently asked questions

### How do I register an LLC in Europe?

- Choose a country and its national legal form, then meet that registry’s formation requirements. Common limited-liability forms include the German GmbH or UG, Estonian OÜ and Irish LTD. The English label LLC does not give them identical rules or tax treatment. The proposed EU Inc cannot yet be registered.

### Which European country is best for forming a company?

- There is no single best country for every founder. Start with where the business will be managed and operate, then compare signing requirements, director and address rules, capital, total costs and ongoing obligations. A low headline tax rate alone does not settle the choice.

### Can a non-EU resident form a company in Europe?

- Several jurisdictions permit foreign ownership, but ownership, permission to act as a director and permission to live or work locally are separate questions. Check the chosen country’s ownership approvals, director residence, identity verification and registered-address requirements before filing.

### Can I complete company formation in Europe online?

- It depends on the country, legal form and signatories. Estonia offers online OÜ registration with supported digital identities. Germany offers an online notarial route for eligible transactions and identity documents. Obtaining an identity document, notarising a power of attorney or satisfying a bank may still require separate steps.

### What should a European company formation budget include?

- Separate official registration fees, identity and document costs, professional services, share capital, account costs and recurring compliance. Capital belongs to the company; it is not a government or service fee. A formation quote should say which charges and ongoing services it includes.

### Does company registration guarantee a business bank account?

- No. Banks and payment providers assess the company, owners, residence, activity and documents separately. Check eligibility and the capital-payment route before you register. An approved company filing or digital identity does not guarantee an account.

### Is EU Inc available instead of a national company?

- Not yet. EU Inc is a legislative proposal with no confirmed launch date. Existing national forms remain available. A future conversion would depend on the adopted law, eligibility and required approvals.

## Source URLs

[1]: https://europa.eu/youreurope/business/lifecycle/starting/startups/index_en.htm

[2]: https://www.irs.gov/businesses/small-businesses-self-employed/llc-filing-as-a-corporation-or-partnership

[3]: https://commission.europa.eu/topics/business-and-industry/company-law-and-corporate-governance_en