Number of registered companies in Malta now nearly 70,000

I have men­tioned in pre­vi­ous posts that more and more com­pa­nies are set­tling their busi­ness in Mal­ta, and that we are get­ting more requests from clients who are inter­est­ed in find­ing out more about the Mal­ta com­pa­ny mod­el. The finance min­is­ter of Mal­ta, Edward Sci­clu­na, has now stat­ed that the num­ber of reg­is­tered com­pa­nies in Mal­ta has sur­passed the 70,000 mark. 30% of these com­pa­nies have been reg­is­tered in the last five years, which means an increase of 12% every year.

The finance min­is­ter con­firmed that the Com­pa­nies Act is a very impor­tant con­trib­u­tor, and most of the com­mer­cial activ­i­ty in Mal­ta is car­ried out by means of the Mal­ta lim­it­ed lia­bil­i­ty com­pa­ny mod­el. He also said that it is impor­tant to keep the Com­pa­nies Act as mod­ern as pos­si­ble and to upgrade it in order to be in line with the needs of the com­pa­nies and those pro­vid­ing cred­it and financ­ing for the com­pa­nies, to fur­ther ensure eco­nom­ic growth.

The num­ber of reg­is­tered com­pa­nies in Mal­ta and the increase also reflect the pop­u­lar­i­ty of the nation with com­pa­nies. There are sev­er­al rea­sons for a com­pa­ny to move their busi­ness to Mal­ta or to estab­lish a brand-new ven­ture here. Mal­ta is part of the Euro­pean Union and is there­fore a strate­gic loca­tion. The coun­try also has a very sta­ble econ­o­my and bank­ing sys­tem and the banks in Mal­ta passed the ECB stress test last year. How­ev­er, most com­pa­nies will con­sid­er Mal­ta prob­a­bly because of the favourable tax­a­tion struc­tures it offers. It is pos­si­ble to low­er the effec­tive tax rate with the prop­er imple­men­ta­tion of the Mal­ta lim­it­ed com­pa­ny mod­el, and com­pa­nies are able to get a 6/7 refund of the cor­po­ra­tion tax of.

The Mal­ta com­pa­ny mod­el is not suit­able for every com­pa­ny and it is impor­tant to care­ful­ly assess whether the com­pa­ny can be estab­lished in Mal­ta. To avoid being accused of tax eva­sion it is nec­es­sary to move the com­pa­ny oper­a­tions to the islands, which means that it is not pos­si­ble to just have a let­ter­box com­pa­ny in Mal­ta.

If you would like more infor­ma­tion about the Mal­ta lim­it­ed com­pa­ny mod­el, or you would like to sched­ule a per­son­al con­sul­ta­tion, you are wel­come to con­tact us at the legal office of Dr. Wern­er & Part­ner. We have assist­ed many clients to suc­cess­ful­ly estab­lish their com­pa­ny in Mal­ta, and would be hap­py to assist you too.

About Philipp Sauerborn

In 2005, Philipp Sauer­born joined the firm of St. Matthew in Lon­don, one of the lead­ing Ger­man account­ing firms in Eng­land renowned for its exper­tise in cor­po­rate, com­mer­cial and tax law, as a depart­ment head. After three years, he was a part­ner and man­ag­ing direc­tor.
Towards the end of 2011, he decid­ed to move to Mal­ta, where he first worked at inter­na­tion­al law firms and con­sul­tan­cies in an employed and con­sult­ing capac­i­ty. Since the begin­ning of 2013, he has been a senior employ­ee at Dr. Wern­er & Part­ner. Mr. Sauer­born is cur­rent­ly com­plet­ing his ADIT ‑Advanced Diplo­ma in Inter­na­tion­al Tax.

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