Malta – A Viable Brexit Solution for Businesses

As a hard-nosed, self-made busi­ness­man, I believe that Mal­ta rep­re­sents the best des­ti­na­tion for ambi­tious UK firms that must have a post-Brex­it pres­ence in the EU” — Michael Ashcroft

The depar­ture of Europe’s num­ber one des­ti­na­tion for for­eign direct invest­ment has sent shock­waves through­out the world and cre­at­ed con­fu­sion and uncer­tain­ty for the Euro­pean Asset Man­age­ment Indus­try, par­tic­u­lar­ly for UK-based asset man­agers whose access to the EU mar­ket has been left in an extreme­ly vague state.

Albeit Brex­it nego­ti­a­tions are not entire­ly over, choos­ing the right EU juris­dic­tion has become a sig­nif­i­cant con­sid­er­a­tion, for start-up and estab­lished com­pa­nies, who require a Plan B to ensure con­tin­ued use of pass­port­ing rights.

BUTIS THIS SITUATION TOTALLY IMPOSSIBLE TO HANDLE?

Mal­ta could be the Brex­it Solu­tion as well as the oppor­tu­ni­ty to keep one foot with­in the EU!

12 reasons to choose Malta

Being one of the youngest and most recent addi­tions to the Euro­pean Union, some of the rea­sons why Mal­ta is the right juris­dic­tion for you include the fol­low­ing:

Maltese Legal System Heavily Based on English Common Law

Malta’s rap­port with the UK togeth­er with its mixed legal sys­tem makes Mal­ta the per­fect domi­cile for both com­mon and con­ti­nen­tal asset man­agers. Fur­ther­more, this allows Mal­ta to offer the best of each sys­tem and to pro­vide busi­ness­es with the oppor­tu­ni­ty to smooth­ly con­tin­ue their activ­i­ties with­in the EU.

Attractive Maltese Tax System

One of the main rea­sons why many busi­ness own­ers chose to relo­cate their head­quar­ters and oper­a­tions to Mal­ta, even pri­or to Brex­it, is the island’s advan­ta­geous tax sys­tem and cheap costs com­pared to oth­er Euro­pean coun­tries.

Single Accessible Regulator — modelled on the then UK FSA

Cred­its for Malta’s suc­cess as a finan­cial ser­vices hub mere­ly go the Mal­ta Finan­cial Ser­vices Author­i­ty (‘MFSA’). The adop­tion of an open-door pol­i­cy not only pro­vides asset man­agers with the oppor­tu­ni­ty to direct­ly and infor­mal­ly com­mu­ni­cate with the Reg­u­la­tor, but the lat­ter offers instant advice and is flex­i­ble to incen­tivise those who wish to do busi­ness in Mal­ta. Addi­tion­al­ly, to decrease bureau­cra­cy, the MFSA is present­ly improv­ing the man­ner it reg­u­lates and serves indi­vid­u­als and busi­ness­es.

Relocation to Malta …. suitable for Brexiters?

Although the tough­est and most chal­leng­ing part for any cor­po­rate exec­u­tive is to relo­cate to a niche des­ti­na­tion, Malta’s res­i­den­cy scheme, par­tic­u­lar­ly the intro­duc­tion of the Gold­en Visa Pro­gramme (in addi­tion to the cit­i­zen­ship-by-invest­ment pro­gramme) could now be seen as a deter­min­ing fac­tor for high­ly paid indi­vid­u­als when choos­ing their next coun­try of res­i­den­cy. In oth­er words, Mal­ta would be Europe’s gate­way i.e. pro­vid­ing third-coun­try nation­als with visa-free access to the Euro­pean Schen­gen Area.

Conclusion

While Mal­ta is in no way try­ing to take over busi­ness from the UK, amidst this con­fu­sion, Malta’s straight­for­ward and trans­par­ent process, con­struc­tive atti­tude and ever-grow­ing finan­cial ser­vices indus­try offers the lean­est, pro-busi­ness juris­dic­tion in Europe.

Hence, to achieve your goals, it would be best to act now and pre­pare your­selves for all pos­si­ble Brex­it out­comes.

Our Team

With­in Dr. Wern­er & Part­ner we have peo­ple who can pro­vide you with a to z assis­tance and advice.

Our tax team can help you plan the most effec­tive tax struc­ture. Our cor­po­rate team can assist you with all your com­pa­ny incor­po­ra­tion needs. Our relo­ca­tion team can assist you with obtain­ing the nec­es­sary work and res­i­den­cy per­mits as well as help you look for liv­ing and office space.

In oth­er words, part­ner­ing with Dr. Wern­er & Part­ner would def­i­nite­ly ease and enhance your Brex­it Strat­e­gy.

For more infor­ma­tion, kind­ly con­tact us on +356 21377700 or info@drwerner.com.

 Dis­claimer: The above-men­tioned arti­cle is sim­ply based on inde­pen­dent research car­ried out by Dr. Wern­er and Part­ner and can­not con­sti­tute any form of legal advice. If you would like to meet up with any of our rep­re­sen­ta­tives to seek fur­ther infor­ma­tion, please con­tact us for an appoint­ment.

About Dr. Yanika Micallef

Dr. Yani­ka Micallef was born on the 10th of June 1995. She obtained her War­rant under the Laws of Mal­ta in 2019 after suc­cess­ful­ly com­plet­ing her Bach­e­lor of Laws (Hon­ours) in 2017 and Mas­ter of Advo­ca­cy in 2018 from the Uni­ver­si­ty of Mal­ta. She suc­cess­ful­ly sub­mit­ted and defend­ed her dis­ser­ta­tion enti­tled ‘The Notion of Excus­abil­i­ty in Error as a Vice of Con­sent’ in 2017.

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