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Types of Companies in Malta

Types of Companies in Malta

Foreign investors come to Malta because of the variety of business vehicles they can choose when deciding to start a company. According to the Maltese Company Law, one can set up from the simplest form of company which is the sole proprietorship to other types of companies, among which joint stock corporations and even holding companies. The legislation provides for the following types of companies one can establish in Malta: limited liability companies, partnerships, international holding companies, trusts.

Foreign companies may also choose between setting up subsidiaries or branch offices. A subsidiary will usually be registered under one of the limited liability types of companies acknowledged by the law.

Limited liability companies in Malta

There are two types of limited liability companies one can open in Malta:

  •   the private limited liability company;
  •   the public limited liability company.

The main differences between these two types of Maltese companies reside in the share capital required to set them up and in the possibility of listing their shares on the capital markets. Foreign investors choosing to open a private limited company should know they will need a minimum share capital of nearly 1,200 euros. Also, a private company may not have more than 50 shareholders. Those interested in setting up a public company will be required to deposit a start-up capital of approximately 46,600 euros. Public companies may trade their shares on the Malta Stock Exchange, while private companies are not allowed.

Our lawyers in Malta can help you set up any of the types of companies mentioned above, in accordance to your needs.

Find out from the video below the main types of companies available for registration in Malta:

Partnerships in Malta

Setting up a partnership in Malta is quite simple, as all one needs is the partnership agreement to be drafted and notarized. There are two types of partnerships foreign entrepreneurs can set up in Malta:

  • the general partnership;
  • the limited partnership.

The main difference between these types of companies consists in the liability of the shareholders. While general partnerships will have one or more partners sharing the liability to the company’s debts and obligations with all their assets, in the case of limited partnerships there are two types of partners: general and limited ones. The general partners will be in charge with the management of the company and will be liable with all their assets to the business’ liabilities. The limited partners will be accountable only to the extent of their contributions to the company.

For assistance in drafting the documents necessary to set up any type of company, do not hesitate to contact our law firm in Malta.