Most foreign investors coming to Malta will choose the limited liability company as a business form to carry out their activities. This is how this type of company became the most popular type of structure in Malta. There are two types of limited liability companies in Malta, the private limited liability company and the public limited liability company. Our Maltese lawyers can offer information on both types of structures.
What is a private limited liability company in Malta?
The Maltese private limited liability company is known worldwide as the LLC or the LTD. The LLC falls under the regulations of the Commercial Code in Malta and has the following characteristics:
- it must have at least 2 shareholders;
- the maximum number of shareholders permitted is 50;
- the transfer of shares is restricted to the shareholders only;
- the company may not trade its shares on stock market.
The private limited liability company can be registered by foreign investors or their representatives who can be professional agents or even a law firm in Malta.
Requirements for a Maltese private limited liability company in 2023
The most important document related to the opening of private limited liability company in Malta is the articles of association which must clearly state the fact that the company is a private one. In order to be deemed a local company, it must have a registered address in Malta and the shareholders must also deposit a minimum share capital of approximately 1,165 euros. It must be fully subscribed upon the registration of the Maltese LLC.
To ensure the management of the private limited liability company in Malta, at least one director and one company secretary are required. Moreover, the minimum share capital for a private LLC in Malta is approximately EUR 1,165.
Registration of private limited liability companies in Malta
Malta now provides for a reduced period of time for the incorporation of private limited liability companies, however depending on its activities, it must also apply for various licenses or permits before being allowed to operate. The company registration process of a Maltese LLC in 2023 consists in:
- company name reservation;
- preparation of the statutory documents;
- depositing the share capital;
- registration with the Commercial Registrar;
- obtaining the business license;
- registration for VAT;
- registration for employment purposes.
A private limited liability company in Malta is a company that restricts the right to transfer shares, prohibits any invitation to the public to subscribe for any shares, and limits the number of members to 50.
A single-member company can be a private limited liability company in Malta, and he/she qualifies as an exempt company. As such, this structure is incorporated with one member only or if it is the case, the membership is reduced to one person after the registration.
For assistance in opening a private limited liability company in 2023, please contact our attorneys in Malta.