BCA EU  /  Formation  /  Company Formation in Europe

Company formation in Europe.

Incorporating in the EU follows a common logic — a limited company, articles of association, a registration, a bank account — but the entity, the capital and the timeline differ by country. An overview of the choices and the process.

27EU member states, one shared directive framework
LtdPrivate limited company — the usual vehicle
1–6Weeks to incorporate, depending on jurisdiction
€0–25kMinimum share capital range across the EU
01 — The common pattern

Different countries, one basic route

Across the EU, forming a company follows a recognisable sequence: choose the entity type, prepare articles of association, execute the incorporation (often before a notary), register in the commercial register, and open a bank account. What changes from country to country is the detail — the minimum capital, whether a notary is required, how long registration takes, and the ongoing filing obligations.

For most international business the vehicle of choice is the private limited liability company — the Dutch B.V., the Luxembourg S.àr.l., the German GmbH, the French SARL, the Irish Ltd. These are flexible, widely recognised, and suited to both operating businesses and holding structures. For the Netherlands specifically, see company formation in the Netherlands.

02 — The usual vehicles

Common European entity types

Private limited

Ltd / B.V. / GmbH / S.àr.l.

The workhorse. Private limited liability, flexible governance, low or no minimum capital in several states. Used for operating and holding companies alike.

Public limited

PLC / N.V. / SA / AG

For larger groups and listed companies. Higher minimum capital, freely transferable shares, and the vehicle for public markets.

Partnership

LP / CV / SCSp / KG

Limited partnerships, often tax-transparent. Common in funds and investment structures where income is taxed at investor level.

Branch

Branch office

An extension of a foreign company rather than a separate entity — simpler to open, but without the liability separation of a subsidiary.

Holding

Holding company

A private limited company used to own subsidiaries — benefiting from the participation exemption and treaty network.

SE

Societas Europaea

The European Company — a pan-EU form allowing a single entity to operate across member states under one framework.

03 — By jurisdiction

Formation at a glance

Indicative — private limited company; figures for comparison only, not advice.
CountryEntityMin. capitalNotaryTypical timeline
NetherlandsB.V.EUR 0.01Yes~1–2 weeks
LuxembourgS.àr.l.EUR 12,000Yes~1–3 weeks
GermanyGmbHEUR 25,000Yes~2–4 weeks
BelgiumSRL / BVNo minimumYes~1–3 weeks
FranceSARLEUR 1No~1–2 weeks
IrelandLtd (LTD)No minimumNo~1–2 weeks
04 — The process

Five steps to incorporation

1

Choose entity & name

Select the form and jurisdiction; verify the company name is available.

2

Articles of association

Draft the statutes — purpose, capital, governance and shareholders.

3

Incorporate

Execute the deed, before a notary where required, and fund the capital.

4

Register

Register with the commercial register and obtain company & tax numbers.

5

Bank & operate

Open a corporate account, arrange substance, and begin trading.

Incorporation is the same idea everywhere in Europe. The right question is not “how do I form a company?” but “which country, and which entity?”
05 — Choosing where

Jurisdiction is the real decision

The mechanics of forming a company are broadly similar; the consequential choice is where. That decision turns on the participation exemption, the treaty network, corporate tax, substance requirements and the specific role the entity will play — operating business, holding, or investment vehicle. For holdings, the Netherlands and Luxembourg lead; for a three-way view see Belgium vs Netherlands vs Luxembourg.

Whatever the jurisdiction, the same non-negotiable applies: an entity needs genuine substance to access treaty and directive benefits. See substance requirements and the participation exemption in Europe.

— Keep reading

Related on BCA EU

Guide

Netherlands formation

The full B.V. incorporation procedure, step by step.

Read the guide →
Comparison

Belgium vs NL vs LU

The three-way Benelux picture for holdings.

Compare →
Reference

Participation exemption

Why the jurisdiction choice matters more than the formation itself.

Explore →

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